Congratulations Cardi, your 2-year turmoil is finally over! On December 24th, 2020, the rapper settled the $30 million court case against her previous manager Klenord Raphael, who also goes by the name 'Shaft'. A $10 million lawsuit was filed by him in 2018, in response to which Cardi B filed a countersuit against Shaft during the same year, resulting in her long-awaited victory. What does this mean for the rapper? Keep reading to see how this settlement affects both parties!
A tedious journey finally came to an end right before Christmas of 2020. Despite Christmas Eve being a day to rejoice and spend time with family, Cardi B was busy wrapping up business rather than gifts on December 24th. The case she filed against her ex-manager Klenord Raphael was finally settled on that fateful day.
The rapper was initially sued by Klenord for $10 million in 2018. After her song 'Bodak Yellow' topped the charts and awarded Cardi with massive success, Shaft felt like he deserved a bigger cut from her earnings than what he received. He claimed one of her biggest hits to be a result of his and his team's writing efforts, and although he has credits as one of the contributing songwriters for the song, his role isn't as major as the lawsuit claimed it to be.
To stick up for her fair share in her own success, Cardi's countersuit against him was transpired in April 2018. As a result of this dispute, many royalties of her music were piling up. Wouldn't you be mad too if your payments were being held for over two years?
For those who don't know- royalties are the payments an artist receives whenever their work is used or bought. Since Shaft was claiming a part in the song, the royalties couldn't be distributed until the settlement of the case (we're talking millions!), and were being held by her label, Atlantic Records. Her case on Shaft highlighted the fact that she wasn't made fully aware of the correct audit of her earnings, and accused him of illegally taking an unreasonable portion from her earnings.
As Shaft owns the management company 'WorldStar Marketing Group', the label 'KSR Group', and has also registered 'Minkoze.com', those entities, along with Shaft's name are listed as the plaintiffs, whereas Cardi B is stated as one of the defendants under her real name 'Belcalis Almanzar'.
Shaft and Cardi were assigned case number 1:18-cv-03710, and its documents were filed in New York States District Court, Southern District of New York. Paul LiCalsi of Robins Kaplan LLP served as the rapper's attorney. This stipulation of dismissal with prejudice was passed by Judge John P. Cronan, who also was the judge for this case.
The acquired court document states 'It is hereby stipulated and agreed, by and among the undersigned for the parties in the above-captioned action, that, pursuant to Fed R. Civ. P. 41, this action, including all claims and counterclaims, is hereby dismissed in its entirety by prejudice.'
Since the court dismissed this case on prejudice, either parties can't sue over this matter again. Case closed, finally! We're so happy for her- not only will this result in a lot of zeroes in her bank account, but is also a signal for new music! We think Cardi's hitting the studio already and might drop a new song soon. How do we know this? Click here to read all about her upcoming secret surprise. Congratulations again Cardi, keep making money moves!
Update 29/12/2020: 5 days after Cardi B settled exhausting $30 million court case
Both parties released an official statement to Billboard regarding the future of their professional relations, stating,
'Cardi and the KSR Group have agreeably parted ways and their dispute has been resolved. In addition, Cardi has renegotiated her deal with Atlantic Records and is happy with the outcome of both deals. She is looking forward to 2021 and releasing new music. The KSR Group will continue its mission of breaking new artists who achieve worldwide impact and acclaim.'
This confirms that the rapper has renegotiated her contract, which means new music might be dropping soon! It's unclear whether this change allows her more creative control as well, but it will definitely result in more dough in the bank for the 28-year-old.
Not only will she be getting money from the royalties, but also from her renegotiated contract. She reportedly had a '360 deal' prior to this, which meant that a large percentage of her earnings and revenue were being given to Atlantic Records rather than Cardi herself. Now that she's changed her contract, terminated all professional ties with KSR Label, and is in direct contact with Atlantic rather than having managers, only she will be receiving her rightful earnings. As she should!