As RadarOnline.com previously reported, Megan has filed multiple lawsuits against her former label 1501 Certified Entertainment, and executive Crawford. She has been attempting to get out of her current contract with 1501.
The rapper has complained the terms of the deal are unfair. 1501 and Crawford have been fighting Megan’s attempts for years. They argued they have a legal contract to which Megan has yet to satisfy all her obligations.
In 2022, Megan sued demanding her 2021 album Something for Thee Hotties be counted as an album owed on her contract. 1501 claimed the record was not an album because it was only 29 minutes.
In April, Megan asked the court to appoint a third-party receiver to take control of 1501’s finances. She accused Crawford and his associates — including label execs J. Prince and Gee Robertson — of draining the label’s funds without paying her.
Megan said she believed Crawford was being paid handsomely from the sale of her music. She said she feared 1501’s money was running low. Her lawyers told the court that one the label’s primary bank accounts had less than $10k in it.
Megan said that millions had been deposited into the account but most of it had been withdrawn.
The rapper said she wanted an official appointed to handle 1501’s finances out of fear the label won’t have any money left in the event she wins a judgment against it in her lawsuit.
Now, 1501 and Crawford have fired back at Megan’s request and want her sanctioned for “knowingly filing and maintaining groundless and frivolous claims” and asking for an official to take control of 1501’s funds.
Crawford and 1501 claimed Megan asked for the official to be appointed in “bad faith and solely for harassment.”
The music executive said 1501 has “sufficient assets to cover any judgment” that Megan may be awarded.
Crawford’s lawyer wrote, “But to gain an unfair advantage in this proceeding, Ms. Pete and her counsel falsely and publicly misrepresented 1501’s financial state in an attempt to both strangle 1501’s business operations and drag Mr. Crawford’s reputation by forcing him to litigate this case in his individual capacity.”
In his motion, Crawford said 1501 owns Megan’s masters which are worth tens of millions of dollars. He asked that the rapper be sanctioned and he be dismissed individually from the lawsuit.