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LMFAO Slapped with $7 Million Lawsuit from Former Managers

Before their performance on ‘American Idol,’ LMFAO were hit with a $7 million lawsuit from a former management company. LMFAO Slapped with $7 Million Lawsuit from Former Managers

A $7 million lawsuit is no laughing matter for LMFAO. According to TMZ, the duo were slapped with the lawsuit on the way to performing on American Idol last night. Former management company RPMGRP are suing the “Party Rock Anthem” hit makers for a breach of contract, claiming the company took their career “from 0 to 60” and then were fired. RedFoo apparently laughed in response.

RPMGRP says they signed LMFAO in 2008, and upon success, the group dropped them. While entirely plausible, this story verges on a cliché for suddenly-successful performers.

The agreement between the parties was set for two years with a 20-percent commission on all earnings. However, RPMGRP states, the duo used poor interference and accounting practices, such as paying managing employees a salary instead of giving the agency a commission check. Part of the statement reads: "This case arises from LMFAO's failure to fully account and pay commissions to its now former managers, pursuant to both written and oral agreements."

The case management conference is scheduled for July 11.

In spite of this news, RedFoo and SkyBlu went on to perform “Party Rock Anthem” on American Idol.

Not all is bad for LMFAO, however. With No. 1 hits “Party Rock Anthem” and “Sexy and I Know It,” the two are one of the top nominated acts for the Billboard Music Awards, with 17 nominations. Others equally favored are Adele, Rihanna, Lady Gaga, and Lil Wayne.

What’s your view of this lawsuit? Do you think it has any merit, or is RPMGRP just trying to capitalize on and take advantage of the group’s success?

Written on Apr 21 2012 by Irene Test (Google+ profile), writer at KOvideo. Tags: lmfao american idol rpmgrp

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