Chad Hugo dropped a bombshell lawsuit against Pharrell Williams, claiming his former Neptunes partner has been hiding money and blocking access to financial records for years.

The Virginia Beach producer filed the federal complaint in California, painting a picture of systematic financial misconduct that stretches back to 2021.

Hugo describes himself as the “principal composer, arranger, multi-instrumentalist, and producer responsible for programming, instrumentation, and overall sound design” for the legendary production duo.

The heart of the dispute centers around N.E.R.D. Music, LLC, the company Hugo and Williams formed in 2014. According to the lawsuit, Williams was supposed to handle all financial reporting but has failed to provide basic information about income, expenses and royalties.

Hugo claims he’s been trying to get access to the company’s financial records since 2021 with almost no success. The lawsuit states Williams “has failed to provide [Hugo] with access to essential financial records, has withheld distributions and profits to which [Hugo] is entitled under the Company’s Limited Liability Operating Agreement.”

The money breakdown shows Williams gets half of the touring and other income, while Hugo and Shay Haley each get 25 percent. Merchandising and trademark income gets split equally among all three members.

Hugo believes he’s owed at least $325,000 for N.E.R.D.’s 2017 album No One Ever Really Dies alone. The lawsuit suggests the actual amount could exceed $1 million when all missing royalties are calculated.

The complaint gets specific about missing payments. Hugo says, “a significant number of songs are missing from label portals and SoundExchange portals indicating that Plaintiff has not received the royalties he is entitled to.”

Williams allegedly engaged in “self-dealing, concealed material information, and, upon information and belief, diverted revenues owed to [Hugo].” The lawsuit calls this “willful, fraudulent and malicious conduct” that warrants punitive damages.

This isn’t the first legal battle between the former partners.

In 2024, Hugo accused Williams of trying to “fraudulently” claim sole ownership over the Neptunes name without his permission. The trademark dispute sparked strong reactions from longtime collaborators.

Williams confirmed in September 2024 that he and Hugo were no longer speaking as their legal disputes intensified. The producer said he was “surprised” by Hugo’s trademark claims and insisted he had reached out multiple times to share ownership.

Hugo’s attorney, Kenneth D. Freundlich, responded that Williams should have registered the trademark jointly if he truly wanted to include Hugo.

“This was a land grab in a long-simmering dispute that has yet to be resolved,” Freundlich said.

Pusha T called the legal battle “stupidity” on Instagram, writing, “There’s not a dollar involved in this stupidity. Just a lawyer looking to drain Chad’s pockets. Unreal.”

The Clipse rapper, who worked closely with both producers throughout his career, expressed mixed feelings about the split during an interview.

“Chad’s my guy. I love Chad. Pharrell’s my guy; love Chad too. We’re brothers, we came up together,” Pusha T said. No Malice, Pusha T’s brother and Clipse partner, shared similar sentiments.

“I’ll see Chad in the airport, in the street, at Buffalo Wild Wings, you know, in VA. Whatever they got going on, just hope for the best,” he said. “Whenever we see each other, it’s always gonna be love. Always.”

The Neptunes created some of Hip-Hop’s biggest hits during their partnership.

They produced chart-toppers like Nelly’s “Hot in Herre,” Snoop Dogg’s “Drop It Like It’s Hot” and Gwen Stefani’s “Hollaback Girl.” As N.E.R.D., they released five studio albums between 2001 and 2017.

They were inducted into the Songwriters Hall of Fame in June 2022, cementing their legacy in music history.