July 25, 2012 19:14:52 GMT
MGA Entertainment agreed last year to create a doll line using the image of the singer, but merchandising company Bravado has delayed the production.
Lady GaGa is dragged into a lawsuit for a business matter that she lends her image to. A spokesperson for the singer told THR that she hadn't seen the lawsuit and had no comment, stating that "this is a dispute between Universal's merchandising company and MGA."
MGA Entertainment, the maker of Bratz dolls, named GaGa, her management company and Universal Music Group-owned firm Bravado International Group for delaying the production of GaGa dolls. Bravado as the merchandising firm paid $1 million for the product to arrive before the "2012 Christmas shopping season".
However, Bravado said in April that GaGa "wanted to delay production and shipping until her new album is released in 2013." MGA said in the lawsuit they "agreed to an excessively generous royalty rate, invested millions into the pre-production of the Lady GaGa Dolls and put its reputation and goodwill on the line in order to secure distributors and retail shelf space."
MGA, asking for $10 million in damages, "demands a trial by jury on all issues so triable." Meanwhile, GaGa's spokesperson said, "There was no legitimate reason for dragging Lady GaGa into that dispute. Lady GaGa will vigorously defend MGA's ill-conceived lawsuit and is confident that she will prevail."