My question involves independent contractors in the state of: AZ
For the past 2 months, I have been freelancing an online radio station, making website updates and finding possible participants for their compilations.
Basically, I send a generic form letter expressing interest in artists using various music sites and then schedule a call with interested parties and the station's "Music Director." Artist pay to be included on the compilation. While immoral, I figured most people would be smart enough not to respond.
Two weeks ago, one of the recipients of this generic email responded to me, stating that they had been scammed a year ago by the station. They payed the requested fee and did not receive a spot on the compilation and did not get their money back when requested. They tried to contact her numerous times and were unsuccessful.
I immediately forwarded this email to my contact at the station and asked for clarification. I was told it was a misunderstanding and nothing more. I responded that I needed clarification as I did not want to involve myself in illegal activity. I told her that I would not be doing any more work until this matter was clarified.
Ten days later, she finally explains what happened and it's total B.S. She says that this artist was offered to be reimbursed, but the artist says this did not happen.
Long story short, I gave my 10 business days notice (as specified in my contract) and said that I would update the website but would not provide any more leads during this period.
She is now threatening to sue me for breach of contract. The contract specifies Tuscon, AZ as the place of law, so I would be required to fly from NY in order to defend myself.
As a freelancer, I've always been under the impression that if illegal activities are involved (such as scamming someone out of $195) a contract would be null and void. My question is does she really have any ground to sue me for breach of contract? If I thought what she was doing was illegal, don't I have a right terminate our relationship without repercussion?

