Toni Braxton Files for Chapter 7
Pop singer Toni Braxton has filed for bankruptcy protection in Los Angeles. Three companies owned by the Grammy-winning R & B artist also filed for Chapter 7 under the U.S. Bankruptcy Code.
The move comes just eight weeks after Braxton filed a lawsuit against La Face Records and its parent company, Arista Records, seeking to terminate her recording contract.
Although sales of Braxton’s music have generated an estimated $188 million over the last six years, the singer’s representatives say she is broke because of a substandard La Face recording contract that pays her less than 35 cents per album.
Braxton is the second star on La Face’s artist roster to file for bankruptcy. In 1995, R & B trio TLC filed for bankruptcy and sued La Face, also blaming their financial condition on a substandard contract. TLC settled the matter out of court last year for a multimillion-dollar advance and is back in the studio working on their next La Face release.