NEW YORK – A federal judge has recommended that Nelly be reimbursed legal fees stemming from a “baseless” and “frivolous” lawsuit filed by one of his former St. Lunatics bandmates last year over a copyright dispute.

In September 2024, Ali Jones filed a federal lawsuit against Nelly, claiming he misled bandmates about credit and royalties for eight tracks on his breakthrough debut album “Country Grammar.”

That lawsuit initially sought $50 million and listed three other St. Lunatics members (Torhi Harper, Robert Kyjuan and Lavell Webb) who quickly withdrew and say they did not authorize the lawsuit. Jones continued alone but moved to voluntarily dismiss the case in April 2025, according to federal court records.

The lawsuit alleged that Jones and other St. Lunatics members contributed to songwriting on “Country Grammar” while Nelly’s contributions were primarily as a performer. The album spent five weeks on NO. 1 on the Billboard 200 and helped launch Nelly’s solo career. The lawsuit alleged, as a result, that Nelly owed Ali a share of royalties.

Nelly’s attorneys argued that Jones’ claims were “time-barred, preempted, or otherwise frivolous, and a federal magistrate judge in New York found allegations “without merit,” according to an Oct. 10 federal court filing. It also states Jones’ attorneys continued to advocate for “baseless claims” after the lawsuit was amended.

Despite Jones’ voluntary dismissal, Nelly’s lawyer sought sanctions against his counsel. The judge recommended that Precious Felder Gates (Jones’ primary attorney) pay Nelly’s legal fees incurred from the lawsuit. Additionally, Gail Melanie Watson (a New-York based local counsel) was ordered to pay a $1,000 fine.

The judge did not specify a dollar amount for Gates’ sanctions. The final total must still be approved by a district judge. Attorneys for Nelly and Jones have until Oct. 24 to file objections, after which the case could be closed for good.