A new battle for Verzuz is brewing.  Timbaland and Swizz Beatz sued Tuesday afternoon for breach of contract, claiming they are owed more than $28 million by would-be rival TikTok.

Timbaland and Swizz Beatz launched the series on Instagram in the immediate aftermath of the COVID-19 pandemic in the US in March 2020. It began as a remote competition and, as restrictions were lifted, focused on live events streaming in real time on the social platform as well as Apple Music.  Over the course of the series, dozens of artists have appeared, including Snoop Dogg, John Legend, Alicia Keys, RZA and Ludacris.  A battle between 90s icons Brandy and Monica filmed at Tyler Perry Studios brought in more than 1.2 million concurrent viewers. 

Triller in March 2021 announced that it was acquiring Verzuz for an undisclosed amount in a deal that made Timbaland and Swizz Beatz shareholders in its parent company Tiller Network.  

It is now clear that the sum was in the eight digits.  It was to be paid in installments: the first at closing, another shortly thereafter, and two more on the first and second anniversaries of the deal.  Triller made the first two scheduled payments, but the company defaulted on their agreement in January 2022, according to the complaint filed in LA County Superior Court by attorneys at Singh Singh & Trauben.

Timbaland and Swizz Beatz entered into a settlement and payment agreement with Triller in February.  Under its terms, Triller had to pay them $9 million no later than March 17 (and sooner if the company reached a funding threshold).  After that, Thriller would pay them $500,000 on the first of the month for 10 months.  That timeline would be accelerated if the company received $100 million in funding or if it closed its proposed merger with SeaChange International.  An additional $120,000 was awarded for the producers’ legal fees. 

According to the complaint, Thriller again breached the agreement.  He did not pay the $18 million in March, nor did he make any of the $1 million monthly installments.  Timbaland and Swizz Beatz sent a notice and demand for payment in April, but Triller still hasn’t paid.

Specifically, their settlement agreement included a waiver of defenses.  The complaint states the agreement: “If Triller breaches any payment obligation under this Agreement and fails to cure within five (5) days of receiving written notice of such breach, the full unpaid amount remaining due under this Agreement shall shall be immediately due and payable, and with respect to any such breach, Triller permanently waives and permanently releases all claims and defenses of every nature, both legal and equitable (“Waiver and Release of Claim and Defense”) except that Timely Payment was in fact made by Thriller.”

It also states that “the prevailing party shall be awarded its reasonable attorney’s fees.”  Since Thriller’s only defense allowed under the settlement is “timely payment,” it’s hard to imagine the duo won’t prevail.

Timbaland and Swizz Beatz are seeking $28,095,000 in damages plus attorneys’ fees and costs and prejudgment interest. 

Triller, which gained traction as a video-sharing app, has since received a majority investment from Ryan Kavanaugh’s Proxima Media and expanded into live events including a boxing league called Tiller Fight Club.

Triller is no stranger to litigation, having battled TikTok and a podcasting duo, and has since faced a biometric privacy class action (among others).  Neither is Kavanaugh, whose bankrupt Relativity Media has been mired in litigation, including a lawsuit from investors, a contract dispute against Netflix and claims of dueling with a ousted executive.

Triller did not immediately respond to a request for comment.