Though it includes JAY-Z’s iconic debut Reasonable Doubt, Dame Dash’s ownership part in Roc-A-Fella Records is scheduled to be auctioned off by the U.S. Marshal later this month. However, it seems that not everything that shines is truly gold.
As previously announced, on August 29 in New York City, Dame’s 33.3% stake in the renowned record label will be auctioned off at a public auction. The $823k he owes film producer Josh Weber for copyright infringement and defamation for the 2016 film Dear Frank will be settled with the proceeds of the sale.
The buyer will only be a minority owner and have no formal influence over the business because all decisions need a majority vote, according to information obtained by TMZ, so the deal may not be as appealing as it first appears. The worst thing is that their shares would only be profitable for a certain period of time.
The source informed the newspaper, “There’s also an expiration date on the master ownership for the company, which means revenue and the only asset doesn’t have many years left.”
When Dame was compelled by a judge earlier this year to sell his shares in order to satisfy his previous debt, Biggs and Jay both objected, citing company bylaws that require the board of directors to authorize any sales of ownership holdings before any can be made.
U.S. Magistrate Robert W. Lehrburger, however, decided that because the former executive’s ownership of Roc-A-Fella is his personal property, it can really be confiscated to assist pay the verdict.
Lehrburger chastised Jay and Biggs in his 15-page ruling for drafting a no sell-off clause at a 2021 board meeting that Dame did not participate in or vote in. He gave Roc-A-Fella instructions to give the US Marshals Service Dame’s stock certificate so they could hold an auction in 180 days.
However, Jay and Biggs’ primary opposition is more about their worries that an outsider would acquire Roc-A-Fella’s intellectual property than it is about supporting Dame. Lehrburger stated, “They can participate in the auction and place the winning bid” as a solution to the problem.
