Kelsey, a musician Nathan was working with, came to AVI looking to get out of a contract she signed with a major label. She had a seven-album deal with PMG, a record company and they were refusing to release the album she'd done with Nathan. However, Danny did some digging and found out Nathan had told PMG the album wasn't finished which is why they hadn't yet released it. They did more digging and found out Nathan had a contract with a porn company that specializes in celebrity sex tapes.
Kelsey confronted Nathan about having recorded her having sex with her boyfriend, Tyler. Nathan said he did it to promote her record, knowing it would get her attention instantly. Alice said they'd stop the release, but Nathan sent it to TMZ before she could do anything. She said they'd sue, but he said they wouldn't win because it was his studio and everything that happens in it belongs to him.
With the sex tape out, Kelsey's album topped the charts. Kelsey turned off her phone and went into hiding. However, she turned it back on shortly afterward to tweet from Nathan's that she was taking matters into her own hands. She overdosed and was taken to the hospital. Tyler fought with Nathan, saying it was his fault. Alice stepped in and quickly subdued Nathan, who was excited at the idea of another video to get views. Her stomach was pumped and the doctor said she'd be okay. Meanwhile, Nathan announced to the press that she'd be touring later that year.
When they were talking about what they could do about Kelsey's situation, Alice had an epiphany that Tyler was only 17 when he and Kelsey moved into Nathan's, meaning Nathan recorded a minor having sex and could be charged with possession of child pornography. Nathan was arrested and Kelsey was free to do what she wanted going forward.
He is a record producer known for making hits.