Chad Hugo Sues Pharrell Williams For ‘Self-Dealing’ And Withholding Royalties

Pharrell Williams and Chad Hugo spent decades shaping the sound of modern pop and hip-hop as The Neptunes, but now their legendary partnership is facing a major legal blowup. Williams has been hit with a lawsuit by Hugo, his childhood friend from Virginia and longtime production partner. In new documents filed on Friday, January 23, Hugo accuses Williams of freezing him out of their company and engaging in serious misconduct tied to royalties, revenue, and access to financial records.

Pharrell Williams Sued As Legal Fight Over Royalties And Records Escalates

At the center of the new lawsuit is Hugo’s claim that he has not received what he believes is his rightful share of money earned through The Neptunes’ work, and specifically, income connected to N.E.R.D., the group they were involved in alongside their production run.

Hugo alleges the music icon-turned-fashion figure has "engaged in self-dealing, concealed material information, and diverted revenues owed." "Such willful, fraudulent, and malicious conduct warrants the imposition of punitive damages," Hugo’s attorney, Brent J. Lehman, said in court documents, per Billboard.

According to the filing, Hugo claims Williams has withheld royalties and documents that would help determine what he is owed. "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 wrote.

Hugo Claims He’s Owed $1 Million Over N.E.R.D.’s 2017 Album

Hugo’s complaint reportedly claims he is owed $1 million in damages from the 2017 N.E.R.D. album "No One Ever Really Dies." The project delivered several major tracks, including the Rihanna-assisted “Lemon,” along with “1,000” featuring Future and “Don’t Don’t Do It” with Kendrick Lamar, and Hugo argues he’s entitled to revenue tied to that release and related streams of income.

In the new legal action, Hugo claims he’s owed big money but hasn’t seen any revenue since 2023, including a N.E.R.D. merchandising partnership and "at least $325,000-$575,000" from "No One Ever Dies" with damages potentially running over "$750K to $1M," per Billboard.

Chad Hugo Claims Pharrell Williams' Team Promised Documents, But Says They Never Arrived

Hugo’s lawyers also argue they tried to resolve the dispute without court intervention, claiming Williams’ legal team promised financial documents that never materialized. They say Williams' legal team, even in recent weeks, "promised to produce documents" regarding the company’s finances, but claim 'no documents were ever produced' that would end the conflict.

"Notably, defendant Williams' counsel admitted having difficulty accessing the documents but acknowledged that such documents exist," Hugo’s lawyers stated.

A Legendary Hitmaking Run Now Overshadowed By Courtroom Drama

Before the fallout, Williams and Hugo were considered one of the most influential producer duos of the past 25 years. As The Neptunes, they crafted hits for Justin Timberlake, Jay-Z, Nelly, Snoop Dogg, Usher, Britney Spears, Gwen Stefani, and more, while also releasing music through N.E.R.D. throughout the 2000s and 2010s.

But now, the partnership that helped define an era is being dragged into a new spotlight, one focused on royalty splits, ownership claims, and accusations of financial wrongdoing. "After years of obfuscation by Pharrell and his team, Mr. Hugo had no choice but to seek substantial compensation and accountability in court," Lehman told Billboard in an emailed statement. "We look forward to presenting the evidence and obtaining the full relief the law provides."

Pharrell Williams’ Neptunes Feud Heads Back To Court As 2024 Name Fight Spills Into Royalties And Finance

This isn’t the first time their business relationship has ended up in court. Back in 2024, Hugo filed a lawsuit accusing his former friend of "fraudulently" aiming to exclusively control the Neptunes name, a case that remains active in a federal trademark tribunal.

“Throughout their over thirty-year history, [Hugo] and Williams agreed to, and in fact, have divided all assets,” Hugo’s attorney Kenneth D. Freundlich, a seasoned music industry attorney, said at the time. “By ignoring and excluding [Hugo] from any and all applications filed by the applicant for the mark ‘The Neptunes,’ the applicant has committed fraud in securing the trademarks and acted in bad faith.”

Now, the latest lawsuit expands the dispute into finances, royalty accounting, and business responsibilities, with Chad Hugo alleging Pharrell Williams has shut him out and failed to act in the company’s best interest.