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Pharrell Williams Hit With Lawsuit From Neptunes Partner Chad Hugo Over Alleged Unpaid Royalties

Pharrell Williams has stayed booked and busy over the past year, balancing new Clipse music with his high-profile role at Louis Vuitton. But his 2026 has taken an unexpected turn. The multi-hyphenate is now facing a lawsuit from longtime collaborator Chad Hugo—his partner in The Neptunes and bandmate alongside Shay Haley in N.E.R.D..

According to a report from Complex, Hugo has accused Pharrell of financial misconduct, alleging unpaid royalties and improper accounting of shared business funds. The lawsuit, filed Friday (January 23) in federal court in California, claims that Skateboard P owes Hugo at least $375,000—and potentially more than $1 million—from N.E.R.D.’s 2017 album No One Ever Really Dies alone.

Beyond that project, Hugo alleges he has not been properly paid royalties tied to much of The Neptunes’ and N.E.R.D.’s broader catalog. This includes revenue from sales, touring, and merchandise partnerships. The filing claims that numerous songs are missing from Hugo’s label and SoundExchange portals, suggesting he has not received the compensation he is owed.

Hugo also takes issue with the financial oversight of N.E.R.D. Music, LLC, the company the trio formed in 2014. According to the lawsuit, Pharrell was responsible for handling and reporting income, expenses, and royalties, but allegedly failed to provide accurate and transparent accounting. Under the company’s agreement, Pharrell receives 50 percent of touring and related income, while Hugo and Haley split the remaining half evenly. Merchandising and trademark income, however, is meant to be divided equally among all three members.

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Additionally, Hugo asserts that he has played a central creative role in The Neptunes’ success, describing himself as the “principal composer, arranger, multi-instrumentalist, and producer” behind much of the duo’s signature sound. While Pharrell often served as the public face of the group, Hugo claims he has been requesting access to company financial records since 2021 with little to no response. The lawsuit characterizes Pharrell’s alleged actions as “willful, fraudulent, and malicious,” accusing him of self-dealing, withholding key information, and diverting revenue.

Pharrell Williams and Chad Hugo first met in Virginia Beach in the late 1980s and officially formed The Neptunes in the early 1990s. Despite crafting some of the most influential hits in modern music together, tensions between the two have surfaced over the years. This lawsuit, centered on alleged unpaid royalties and financial exclusion, marks the latest and most serious chapter in their long-running partnership.

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