Shawty Lo is being sued by two Georgia producers who claim they were jerked out of advances and royalties relating to his album Units in the City.
Producers Cory Way and Teriyakie Smith filed the lawsuit late last week against Shawty Lo and D4L Records in the Superior Court of Fulton County in the state of Georgia.
According to the producers, they entered into an oral agreement with Shawty Lo and D4L Records in November of 2007, which was supposed to have amended their original, written agreement.
In the complaint, the pair agreed to produce Shawty Lo’s album Units in the City, which was released on a Asylum/Atlantic Records in February of 2008.
The lawsuit claims that in exchange for producing Units in the City, Shawty Lo agreed to pay Way and Smith a producer fee of $5000 per track, for any master recording they created for the rapper.
Way also claims that he is owed a total of $22,500 in advances, plus a 2% royalty rate of the retail sales for each album that was sold.Teriyakie Smith claims that he is owed a total of $30,000.
Both men claim that Shawty Lo, born Carlos Walker, advanced them tens of thousands of dollars each, but he still owes a balance for the remaining work that was completed.
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