50 Cent Ordered To Pay $16 Million To Sleek Audio
50 Cent lost a big battle in court recently, forcing him to pay out more than $16 million.
According to Radar Online, the hip-hop mogul was ordered by a judge to pay Sleek headphones $11,693,247 in damages, plus $4,488,331 in attorney's fees, totaling $16.1 million.
Sleek sued 50 Cent last year, after a planned deal between the two fell apart. After investing more than $1 million in Sleek to start his own line of headphones, the rapper severed ties with the company and would eventually partner with another audio brand to launch SMS Audio.
Sleek, however, claimed 50 Cent stole their design, saying it was "basically the same design, mechanically" as the model he developed for SMS Audio. Moreover, they accused 50 Cent of "misappropriating trade secrets, breaching his fiduciary duty owed to Sleek, participating in a civil conspiracy, breaching his confidentiality agreement with Sleek, and being unjustly enriched."
They said 50 pulled private confidential information off a website Sleek created. This website has reportedly close to 4,000 potential customers' e-mail addresses, among other data. And, when the data disappeared from Sleek's servers, they said his assistant reportedly wrote, "[Sleek] is onto us, LOL. They emailed and called ... about the data." Another assistant also commented on this. "Tell him something like, sorry, you just have to finish editing a video for 50 or something, we'll get to it, LOL," the assistant reportedly said.
50 Cent had counter sued, accusing Sleek of "fraudulently induced him into entering into an investment with them and breaching their fiduciary duties to him." In May 2013, an arbitrator denied 50 Cent's claims and sided with Sleek.
Now, he's on the hook for more than $16 million. Ouch!