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Pharrell has responded to a recent lawsuit filed by his former Neptunes collaborator, Chad Hugo, alleging he is owed up to $1 million in unpaid royalties.

The lawsuit, submitted on January 23 in a California federal court, accuses Pharrell of withholding significant amounts of money owed to Hugo for his work with The Neptunes and N.E.R.D. Additionally, it claims Pharrell failed to provide proper accounting for their joint company, N.E.R.D. Music, LLC, established in 2014.

Hugo’s complaint highlights his role as the “principal composer, arranger, multi-instrumentalist, and producer” responsible for the signature sound of The Neptunes. It alleges Pharrell took on sole responsibility for managing the company’s income, expenses, royalties, and other financial operations but did not fulfill these duties properly.

According to the suit, Hugo has been attempting to review the company’s financial records since 2021 but has reportedly met resistance.

He claims he has yet to receive his rightful share of royalties from The Neptunes and N.E.R.D.’s music releases, album sales, touring income, and merchandising deals. Hugo specifically estimates he is owed between $325,000 and $1 million from the contributions he made to N.E.R.D.’s 2017 album *No One Ever Really Dies*.

The lawsuit asserts that Pharrell engaged in “self-dealing,” withheld crucial financial information, and diverted Hugo’s rightful revenue. Hugo’s attorney, Brent J. Lehman, stated that this “willful, fraudulent, and malicious conduct” warrants the awarding of punitive damages.

In response to these claims, Pharrell’s representative issued a statement to Billboard, denying any misconduct and labeling the lawsuit as premature.

“A standard accounting review is already in progress,” the rep said. “The lawsuit filed is premature as there may not even be a dispute between the parties. If the accounting review determines that money is owed, the appropriate party will pay it.

“Pharrell has consistently acted in good faith. He has great respect for Chad and looks forward to resolving this in a way that honors their shared history.”

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