Chad Hugo has taken legal action against his longtime producing partner Pharrell Williams, claiming unpaid royalties tied to the 2017 N.E.R.D. album No One Ever Really Dies Alone, per Billboard.
Hugo, who in the complaint refers to himself as the “principal composer, arranger, multi-instrumentalist and producer responsible for programming, instrumentation and overall sound design” in The Neptunes, claims Williams owes him as much as $1 million.
The childhood friends formed The Neptunes in Virginia Beach in 1992. Williams often provided backing vocals and music video appearances on the duo’s productions, while Hugo remained behind the scenes.
Hugo states it was Williams’ sole responsibility to handle the company’s income, expenses, royalties and other financial matters, but he failed to do so.
“Williams engaged in self-dealing, concealed material information, and … diverted revenues owed to plaintiff,” wrote Hugo’s attorney, Brent J. Lehman of the law firm Munck Wilson Mandala. “Such willful, fraudulent, and malicious conduct warrants the imposition of punitive damages.”
The dance-punk, hip hop album, No One Ever Really Dies Alone, received critical acclaim for its futuristic, experimental sound. Williams earned a Producer of the Year Grammy for his production efforts on the album in 2019.
In the suit, Hugo accuses Williams of withholding royalties and refusing to hand over documents that would help Hugo figure out how much he’s owed — part of what his lawyers call a “systemic denial” of his rights as a partner.
“Plaintiff has not received his appropriate share of royalties in connection with The Neptunes and N.E.R.D.’s album sales and released music, as well as distributions from touring income, and various merchandising deals,” Lehman writes.
Hugo and Pharrell continued working together between 2020 and 2022. But in 2021, Hugo allegedly tried to get Pharrell to hand over “monthly statements, books and records, and royalty statements” as required by their operating agreement. Upon being refused, Hugo’s attorneys began sending Williams demand letters seeking financial disclosures. But he allegedly was not compliant, only providing “limited” and “incomplete” documents.
Hugo’s attorneys say they’ve seen no revenue at all since September 2023 from an N.E.R.D. merchandising partnership, for instance. They wrote thst they’re owed “at least $325,000-$575,000” for No One Ever Really Dies Alone with “potential damages” over the album “exceeding $750k-$1M.”
Pharrell’s legal team responds
Responding to the lawsuit, Williams’ legal counsel asserts that they’ve repeatedly offered involve Hugo and had always intended both men to “share in ownership” of the name. However, Hugo’s reps claim those business terms would have limited their client’s compensation.
“After years of obfuscation by Pharrell and his team, Mr. Hugo had no choice but to seek substantial compensation and accountability in court,” Lehman said in a statement to Billboard. “We look forward to presenting the evidence and obtaining the full relief the law provides.”