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Last Updated: Friday, 26 March, 2004, 11:07 GMT
Madonna's label sues record giant
Madonna
Madonna owns a 60% stake in Maverick with two business partners
Madonna's record label Maverick has sued parent company Warner Music for $200m (111.1m) for breach of contract.

Madonna is saying that Warner Music's mismanagement and improper accounting has cost her and her business partners millions of dollars.

The legal action accuses Warner Music of "engaging in acts of self-dealing and profit-taking".

Madonna formed the label in 1992, and has signed artists such as Alanis Morissette and Michelle Branch.

Maverick has said in court documents that the label has earned more than $900m (499m) since it formed in 1992, and has made more than $100m (55.7m) profit for Warners.

'Baseless'

The lawsuit was lodged in Los Angeles Superior Court on Thursday.

In the suit Maverick said Warner Music had not paid for "guaranteed" services, including radio promotion, marketing and sales for the label's artists.

In a statement, Warner Music said Maverick's accusations were "baseless, unsubstantiated and without merit".

Madonna's business partners Guy Oseary and Ronnie Dashev are also named in the action, which asks that the three can end Maverick's joint partnership with Warner Music and work with other companies.

The trio have a 60 per cent stake in the label.

Distance

Maverick's legal move came a day after Warner filed a "sealed lawsuit" in Delaware, asking a court to affirm that Maverick's allegations were without merit.

But Warner also made efforts to distance the action from their own dealings with Madonna, who is signed to them as a solo artist.

"This effort to resolve ongoing contractual issues surrounding the Maverick Records joint venture agreement in no way impacts the company's deep respect for Madonna," the statement said.

Meanwhile a second show at London's Earls Court has been added to Madonna's forthcoming greatest hits tour.

She will play the venue on 18-19 August as part of her Reinvention tour of north America, Paris and London.


SEE ALSO:
Pop star land row heads for court
23 Mar 04  |  Wiltshire
Madonna announces UK concert date
23 Mar 04  |  Entertainment
Warner Music cuts workforce 20%
02 Mar 04  |  Business
Media mogul snaps up Warner Music
24 Nov 03  |  Business


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