Daryl Hall has reportedly taken legal action against his longtime partner John Oates over plans for a sale of Oates’ stake in their joint venture, Whole Oats Enterprises, to Primary Wave Music.
That’s according to a report by The Associated Press, which first reported the news on Friday (November 24). According to the AP, the lawsuit contends that a move by Oates to sell his share of the duo’s JV would violate the terms of their longstanding business agreement.
The legal battle escalated quickly, prompting Nashville chancery court judge Russell Perkins to temporarily pause the sale ‘while legal proceedings and a previously initiated arbitration continue’ according to the AP.
The AP’s report followed the news that Hall had filed a restraining order against Oates, although details of the case were not disclosed as the lawsuit was sealed.
However, according to the AP, part of the case has since been unsealed by Chancellor Perkins, who previously ordered all details to be kept confidential.
The AP reports further that the order prevents the sale of Oates’ share in Whole Oats Enterprises LLP to Primary Wave IP Investment Management LLC until an arbitrator, involved in a separate case initiated by Hall on November 9, makes a decision.
The order is set to expire within 15 days unless extended by the court.
The AP notes that it is “still unclear” if the dispute between Hall and Oates “centers on the music catalog of Hall & Oates”.
The legal dispute centers on an alleged breach of contract, with Hall’s team claiming that Oates shared details of their joint business agreement with Primary Wave, a violation of the agreement’s terms, AP reported.
“Thus, the entire Unauthorized Transaction is the product of an indisputable breach of contract,” the lawsuit states, as reported by the AP.
The court has scheduled the next hearing for November 30, well before the expiration of the current restraining order.
In 2007 it was reported that Primary Wave acquired an interest in Hall & Oates’ song catalog, estimated to be worth between USD $25 million and $50 million, according to an article from The New York Post at the time.
That same year, Primary Wave acquired “the copyright and music publishing interests” for around 70 songs written by sisters Sara and Janna Allen, including their share of Hall & Oates hits like Maneater, You Make My Dreams, and I Can’t Go for That (No Can Do).
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