Death Row Records co-founder Marion "Suge" Knight filed for bankruptcy on Tuesday to avoid losing the label in a $107 million civil court judgment, his lawyers said.
Trouble began for the muscled mogul when he failed to pay a March judgment to Lydia Harris, who claimed Knight cheated her out of a 50 percent stake in the label. Lawyers for Harris have accused Knight of "playing games" to avoid making the payment.
Two weeks ago, Los Angeles County Superior Court Judge Ronald Sohigian said he would appoint a court officer (or receiver) to take control of Knight's assets, including Death Row, and ordered Knight to disclose his finances in a debtor's exam set for April 1.
Sohigian allowed Knight a chance to petition the court to remove the receiver if he cooperated in providing information about his assets. But the rap mogul never showed up at the exam on Saturday.
"He has no choice, the way these people have forced his hand," Knight's new lawyer, Laurence Strick, told Reuters on Tuesday, adding that he will file for bankruptcy for Death Row later in the day.
Another court hearing in the matter has been set, during which the judge could formalize the receivership.
Trouble began for the muscled mogul when he failed to pay a March judgment to Lydia Harris, who claimed Knight cheated her out of a 50 percent stake in the label. Lawyers for Harris have accused Knight of "playing games" to avoid making the payment.
Two weeks ago, Los Angeles County Superior Court Judge Ronald Sohigian said he would appoint a court officer (or receiver) to take control of Knight's assets, including Death Row, and ordered Knight to disclose his finances in a debtor's exam set for April 1.
Sohigian allowed Knight a chance to petition the court to remove the receiver if he cooperated in providing information about his assets. But the rap mogul never showed up at the exam on Saturday.
"He has no choice, the way these people have forced his hand," Knight's new lawyer, Laurence Strick, told Reuters on Tuesday, adding that he will file for bankruptcy for Death Row later in the day.
Another court hearing in the matter has been set, during which the judge could formalize the receivership.
