URL co-founder Dagoberto Velez sues the company for $40M and claims he was pushed out following the deal between Drake & Caffeine.
A co-founder of Ultimate Rap League is taking the company to court in the wake of its recent deal with Caffeine and Drake. Dagoberto Velez has filed a $40M lawsuit against Ultimate Rap League (LLC) accusing them of pushing him out of the company after their fruitful deal with the Toronto rapper and the social streaming giant.
Velez said that he helped build the brand as the lead talent recruiter for URL. He said he was the main talent scout that helped bring talent to their platform and identify the prominent figures and buzzing MCs in the scene. Velez added that he was among those who had authority in negotiating contracts pertaining to the company and served as a visible figure whos image and likeness were used as an on-camera personality.
Velez filed the multi-court lawsuit against Troy Mitchell, Eric Beasley and Jean French who he accuses of breach of contract, wrongful dissolution, and other counts. His lawsuit said that the defendants have previously admitted that Velez is a partner in the company.
Velez said Mitchell, Beasley, and French have "dissolved" their relationship on a public platform following URL's partnership with Drake and Caffeine, even though he said he was a pivotal figure in helping land the lucrative deal.
He's now suing for $40M and 10% royalty from the company.