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Lady GaGa Renegotiating Contract With Interscope Records

May 1, 2010, 4:33 am GMT

The new agreement is hoped to be reached by both parties before the release of Lady GaGa's third studio album.

Lady GaGa

Lady GaGa's team "is deep into the process of renegotiating the contract of the breakout artist with Interscope," so HITS Daily Double reported. The dance queen's camp and people in the recording company hope to settle the new agreement before the release of her new studio album.

Suggestion for contract renewal apparently was offered by GaGa's team to the label after learning that she has become "a major windfall" for Interscope. The "Poker Face" singer has sold million copies with her two albums "The Fame" and "The Fame Monster", not to mention several worldwide hit singles and many sold-out concerts.

Lady GaGa herself has started working on new materials for her third album while traveling across the globe for Monster Ball Tour. "Well, I'm working on it now and I've already written kind of the core of it, so I'm just kind of continuing to travel around the world and just make something great. It's certainly my best work to date," she said in a radio interview Down Under.

The not-yet-titled album hasn't had any release date, but rumor suggests it will be dropped sometime this fall.

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