Report: Death Row Sale Terminated
August 25, 2008 at 8:42 AM (PT)
GLOBAL MUSIC GROUP’s $24 million dollar JUNE acquisition of DEATH ROW has been terminated, according to a lawsuit filed in bankruptcy court by SUGE KNIGHT’s estate and the trustees of DEATH ROW RECORDS, reports ALLHIPHOP.COM.
The complaint details that GLOBAL MUSIC GROUP failed to consummate the acquisition of the label as required by a deadline of JULY 23rd, 2008, or by the forbearance extension date of JULY 29th. The lawsuit goes on to state that "since JULY 29th, GMG (GLOBAL MUSIC GROUP) has continued to fail to forward the purchase money, instead making a number of requests for extension, none of which has been granted by the Trustees." GMG attempted to negotiate further extensions with the DEATH ROW trustees on AUGUST 15th, only to be rebuffed with a termination letter calling the deal off.
The trustees of DEATH ROW and SUGE KNIGHT’s estate are now requesting that the courts allow the label to again negotiate with other potential buyers.