News for July 2001

Bone Thugs-N-Harmony sued by Ruthless Records
July 26th, 2001

Bone Thugs-N-Harmony have been sued by Comptown Records (doing business as Ruthless Records) on Wednesday (July 25) for breach of contract, fraud, and damages under the same labor code (2855) that Courtney Love and others have brought to court over the seven-year contract rule.

The suit, filed in Los Angeles Superior Court, claims that the label is not challenging the California Labor Code 2855, which gives employees the right to "decline to render services pursuant to a personal services contract beyond a period of seven years from the commencement of services under such contract."

However, Comptown is taking issue with "the disingenuous and self-serving attempt of defendants to withdraw from valid, enforceable and binding commitments that they freely made, and from which they have profited handsomely and, in fact, have been unjustly enriched at Comptown's expense, under the guise of purporting to invoke their rights under Section 2855 of the California Labor Code in connection with contracts as to which seven years have not elapsed since the commencement of services thereunder," explains the suit.

The label is looking to "enforce its own rights under the statute to recover monetary damages sufficient to compensate" the label for its loss of revenues that it would have received from each of the albums that Bone promised, but failed to deliver, before the group informed the label that it didn't intend to record for it any further, according to the lawsuit. In addition to damages under Labor Code Section 2855, Comptown is seeking declaratory relief, injunctive relieve, and restitution.

Bone Thugs-N-Harmony's attorney, Jeff Kempler, could not be reached for comment at press time. The band's last album, The Collection, Volume Two, was released on Ruthless/Epic Records in November 2000; Epic is not named as a defendant or plaintiff in the suit.

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