Damon Dash is facing mounting legal pressure in Manhattan federal court after failing to comply with a court order related to a $4 million default judgment.
AllHipHop reports that court documents filed on July 14 confirm that Dash has not submitted key ownership documents required to initiate the sale of his assets through a public auction. The U.S. Marshal’s Office cannot proceed without them.
U.S. Magistrate Judge Robert Lehrburger criticized Dash’s lack of cooperation, describing it as part of a “pattern of non-compliance and delay.” He has ordered Dash to appear in court on July 31 at 10 a.m. to explain his inaction.
Should he fail to appear, the court may issue a warrant for his arrest and impose additional financial penalties. Dash can avoid those outcomes by filing the missing paperwork by July 30.
The dispute stems from a long-standing legal fight over the 2019 film Dear Frank. Dash was removed from the production but later asserted ownership, leading filmmaker Josh Webber and Muddy Water Pictures to sue for copyright infringement and defamation. A 2022 judgment ordered Dash to pay $805,000 after he missed court deadlines and refused to mediate.
Tensions escalated further in 2025 after Dash made defamatory comments about Webber during an appearance on the Earn Your Leisure podcast. The remarks resulted in a $4 million default judgment against him.
To recover damages, the court approved the sale of Dash’s business holdings, including stakes in Dash Films Inc., Bluroc LLC, Blakroc LLC, Lebanon Improvements LLC, Ocean East Improvements LLC, and 1996 Songs LLC. Poppington LLC was also directed to hand over copyright certificates tied to multiple film projects. Webber’s attorneys say those documents remain outstanding.
In a recent court filing, Webber’s legal team asked the court to issue an arrest warrant and transfer control of Dash’s disputed assets to the U.S. Marshal. Dash previously sold his one-third interest in Roc-A-Fella Records in December 2024 for a little over $1 million, but the funds were absorbed by outstanding debts to New York State and did not offset the full judgment.
With no resolution in sight, the court is now moving to liquidate the remaining assets. The U.S. Marshal will oversee the auction, and any excess proceeds will be returned to Dash once the judgment is settled in full.