Def Jam and Lyor Cohen Win Ruling, TVT Vows Appeal

Def Jam and its former

chairman Lyor Cohen won a victory in court yesterday, when a court threw out a

$54 million dollar damage awarded to TVT Records, over an unreleased album by

Ja Rule.

The U.S. 2nd Circuit Court

of Appeals found that TVT’s claims of unsavory business tactics, including

the charge of fraud, were without merit.

Def Jam and Cohen were accused

by TVT of unsavory business tactics, which included fraud, over Ja Rule’s

group Cash Money Click.

The group put out two singles

with TVT before Ja Rule was a Def Jam recording artist. Ja Rule was released

from his contract with TVT in 1998, when Irv Gotti created his Murder Inc. imprint

at Def Jam.

The lawsuit claimed that

Def Jam and Cohen sabotaged an album by Cash Money Click that TVT was preparing

by blocking the album’s release.

TVT was initially rewarded

$132 million in damages, with Cohen being held liable for $54 million. Def Jam

and Cohen vowed to appeal the earlier ruling.

"We are delighted but

by no means surprised by the court's ruling, fully vindicating Mr. Cohen's position

on this matter from day one,” Cohen’s lawyer said in a statement.

“In reversing the findings of liability, fraud and the related damages,

the court has specifically found that there was no credible evidence to support

the outrageous claims against Mr. Cohen."

TVT was awarded $126,000

for breach of contract claim which Def Jam and Cohen did not appeal.

TVT’s lawyer vowed

to appeal the decision based on the $126,000 judgment.

“TVT Records

will appeal the reduction in the damages award,” Attorney Peter L. Haviland

said. “We were forced to bring this action in part because Mr. Cohen and

Def Jam denied the existence of a contract critical to our business. This court

has affirmed that we did have a contract and that the defendants broke it. This

is not over, and we look forward to the next round."