Skip to main content

Megan Thee Stallion’s Label Calls Her Million-Dollar Damages Demand ‘Baseless’

In their first response to the rapper's new accusations, her label says it's Megan that owes "many millions of dollars" and not vice-versa.

Megan Thee Stallion’s record label is striking back against the rapper’s recent demand for $1 million in damages, telling a judge that the claim is “baseless” and that it’s actually Megan who owes “millions of dollars.”

In a response to the updated accusations Megan filed late last month, Carl Crawford’s 1501 Certified Entertainment fired back with accusations of their own, arguing that her new demand for monetary damages was merely the latest ploy in a two-year effort to ditch a label that help launch her career.


“1501 is the record company that discovered MTS and signed her in 2018, back before she was the success she is now, and when no other record labels were interested in signing her,” the company wrote. “As soon as she became a star, MTS decided that she no longer needed 1501 or Carl Crawford, so she has pursued baseless legal actions in an attempt to get out of her valid contractual obligations.”

A rep for Megan declined to comment on 1501’s new filing.

The star rapper (real name Megan Pete) has been fighting with 1501 for more than two years now, claiming Crawford duped a young artist into signing an “unconscionable” record deal in 2018 that was well-below industry standards. She says that when she signed a new management deal with Jay-Z’s Roc Nation in 2019, she got “real lawyers” who helped her see that the deal was “crazy.”

She filed the latest case in February, claiming 1501 was refusing to count her 2021 Something for Thee Hotties counts as an “album” – a key distinction, since she must produce three albums under her record deal. 1501 quickly countersued, arguing that Thee Hotties contained just only 29 minutes of original material.

Then last month, Megan filed a new complaint seeking more than $1 million in damages. The new filing says 1501 “systematically failed” to pay enough royalties and had “wrongfully allowed for excessive marketing and promotion charges.”

But in Thursday’s response, attorneys for 1501 told the judge that it was actually vice-versa. They cited portions of her record deal that allegedly require her to split money she made from endorsements, partnerships and other business deals, as well as requirements related to publishing royalties.

“MTS’s claims against 1501 are wholly without merit and, in fact, MTS owes 1501 many millions of dollars for its contractual share of her Entertainment Income and music publishing income,” the filing said.

Notably, Thursday’s response also made pointed reference to 300 Entertainment, Megan’s distributor that was recently acquired by Warner Music Group: “Any claims that MTS has concerning royalties, including any additional payments she believes she is owed or additional accounting she contends she is entitled to, are properly directed to 300 Entertainment, not 1501.”

A spokeswoman for 300 Entertainment did not immediately return a request for comment.

Read the entire filing here: