Megan Thee Stallion Settles 1501 Entertainment Lawsuit After Years Of Battling Label

BYGabriel Bras Nevares1082 Views
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ATLANTA, GEORGIA - OCTOBER 05: Rapper Megan Thee Stallion performs onstage at the 2019 BET Hip Hop Awards at Cobb Energy Performing Arts Centre on October 05, 2019 in Atlanta, Georgia. (Photo by Aaron J. Thornton/WireImage/Getty Images)
Finally, the two are parting ways.

After over three years of litigation, Megan Thee Stallion finally reached a private settlement in her case against her former record label, 1501 Certified Entertainment. Moreover, she sued the company for an "unconscionable" record deal, alleging that they blocked new releases and failed to support her as they were contractually obligated to. Legal representatives for 1501 announced on Thursday (October 19) that they finally came to a compromise with the Houston rapper. According to these attorneys, they "mutually reached a confidential settlement to resolve their legal differences" and will "amicably part ways." No matter how you slice it, this is a long-awaited and necessary resolution to this conflict.

Furthermore, 1501 Certified Entertainment elaborated a bit further on their feelings about this settlement with her. "Both Megan and 1501 are pleased to put this matter behind them and move forward with the next chapter of their respective businesses,” they stated. In addition, the statement included a remark from label president Carl Crawford. “[We] wish Megan the very best in her life and career," he expressed. However, as of writing this article, it's still unknown what specific considerations went into Megan Thee Stallion's settlement, including whether there was any monetary exchange or other legal or contractual stipulations.

Megan Thee Stallion At The 2023 MTV VMAs

NEWARK, NEW JERSEY - SEPTEMBER 12: Megan Thee Stallion attends the 2023 MTV Video Music Awards at Prudential Center on September 12, 2023 in Newark, New Jersey. (Photo by Taylor Hill/Getty Images)

For those unaware, the "Bongos" MC accused 1501 Certified Entertainment of roping her into an imbalanced record deal in 1028 as a young artist. Apparently, this was far from the industry standard when it comes to artist freedom and financial considerations. Megan Thee Stallion maintains that a Roc Nation management deal in 2019 opened her eyes to the "cr*zy" nature of the agreement thanks to the assistance of "real lawyers." Since then, multiple other complaints emerged, such as 1501 not counting projects as albums (which affects the terms of her deal) and that the label mishandled royalties and charged excessive amounts for marketing and promotion.

Meanwhile, even though a judge ruled in December that this required a jury trial for resolution, it looks like that's no longer the case. The 28-year-old artist even hinted at this settlement during a recent Instagram Live session. "I have no label right now," she expressed. For more news and the latest updates on Megan Thee Stallion, keep checking in with HNHH.

About The Author
Gabriel Bras Nevares is a staff writer for HotNewHipHop. He joined HNHH while completing his B.A. in Journalism & Mass Communication at The George Washington University in the summer of 2022. Born and raised in San Juan, Puerto Rico, Gabriel treasures the crossover between his native reggaetón and hip-hop news coverage, such as his review for Bad Bunny’s hometown concert in 2024. But more specifically, he digs for the deeper side of hip-hop conversations, whether that’s the “death” of the genre in 2023, the lyrical and parasocial intricacies of the Kendrick Lamar and Drake battle, or the many moving parts of the Young Thug and YSL RICO case. Beyond engaging and breaking news coverage, Gabriel makes the most out of his concert obsessions, reviewing and recapping festivals like Rolling Loud Miami and Camp Flog Gnaw. He’s also developed a strong editorial voice through album reviews, think-pieces, and interviews with some of the genre’s brightest upstarts and most enduring obscured gems like Homeboy Sandman, Bktherula, Bas, and Devin Malik.
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