A guy who says that he got cut out of the Death Row Records deal by his partners is suin’ mad — and he’s going after them for more than they paid for Suge’s sloppies.
Ron Goldberg says in his lawsuit that he got Susan Berg and Reggie Bush (not that one) to buy Death Row, but that he’s now on the outside looking in. He wants $25 million from Berg, Bush, and the former president of his company, Global Music Group.
The label was bought at an auction last month for $24 mil.
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The following is a statement from Global Music Group Inc. in response to the news item above regarding Death Row Records and Ron Goldberg. Hopefully, this initial statement will set the record straight.
In addition, included is the official announcement on the acquisition which was made on Monday of last week.
Roger Muse, a partner at the Beverly Hills business and entertainment law firm of Muse Matheny states:
We represent Global Music Group, Inc, a New York corporation which was the successful bidder at the auction of the assets of the bankruptcy estates of Death Row Records, Inc., and Marion Knight, Jr. My client and its principals put up all the money necessary to make the bid and were physically present at the Bankruptcy auction to make that successful bid.
Mr Goldberg is not a principal of Global Music Group Inc., a New York corporation, nor does he have any ownership in that company or in its assets, including the Death Row assets subject to the company’s court-approved bid. Mr. Goldberg has apparently filed a Delaware Corporation under the same name as my client; but of course anyone can file a corporation in any state under any name as long as the name is not then in use in that state by another corporation. Mr. Goldberg’s claim that it is his Delaware Global Music Group was the “true” bidder of the bankruptcy assets simply has no merit.
http://www.musematheny.com
FOR IMMEDIATE RELEASE
July 15, 2008
DEATH ROW RECORDS AWARDED TO
GLOBAL MUSIC GROUP, INC.
A NEW YORK CORPORATION FOR $24M
LOS ANGELES—Legendary hip-hop record label, Death Row Records including its trademarks, master recordings and music publishing assets, was awarded to Global Music Group Inc., a New York corporation, which placed the winning bid of $24M on June 24, 2008, it was announced today by spokesman Roger Muse, attorney for Global Music Group, Inc.
The auction sales price of $24M includes the entire Death Row Records catalog of recordings, artists’ agreements, artwork, music videos and publishing rights, all free of past debts and lawsuits.
Death Row Records and Suge Knight filed Chapter 11 Bankruptcy in April, 2006 with over $100M in judgments and debts. The Death Row catalog includes the biggest albums from such well known artists as Tupac Shakur, Dr. Dre, Snoop Dog, Warren G. and Nate Dogg, among several others.
Global Music Group Inc. was incorporated in New York by Anthony Marotta, the company’s Vice President. Marotta worked at Warner Brothers on “Cold Chillin Records” by Biz Markie and has produced many records to date. “The acquisition of this asset will enable Marotta to bring his talent and expertise to a larger audience,” said Susan Berg, President of Global Music Group, Inc.
Global CEO Anthony Davi Jr.of A.G. Davi Real Estate and Secretary Martin Satow of A.V. Solutions, both based in Central California, are among the investors that joined Susan Berg, President of Global Music Group Inc. New York, in the initial investment.
Berg qualified Global Music Group Inc. New York as a bidder with the Federal Bankruptcy Court two weeks before the actual auction by taking all actions required by the court, including putting up more than one million dollars on deposit. The company was represented by attorney Kathleen P. March, Berg and Davi, who attended the auction of the music-related assets by the Bankruptcy Court, Central District of California by Chief Judge Zurzolo.
Berg is also President of Foxy Avenue Clips (foxyavenueclips.com), a
premiere men’s grooming business with plans to open salons nationally in the next two to three years.
“As we look towards the future, our initial focus is to bring in the right partners and leadership. This will enable us to position the company for the best economic results out of the catalog and provide long term stewardship of the artist’s work.” said Davi. Many candidates have been discussed to spearhead the label and Global is composing a highly qualified team of creative entertainment industry executives to re-establish theposition and legacy of Death Row Records.
An official press announcement will be made by the company within the next two weeks which will outline the company’s structure, its principle players,and executive and creative roster. The forthcoming release will detail the significant assets acquired in the sale and Global’s exciting future plans and projects for the Death Row label.
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