Bassist Murphy Karges and drummer Stan Frazier filed suit against their former frontman in October (13), claiming he had diverted 48 per cent of the band's profits into his own pocket by misappropriating its trademark.
They also accused him of launching a "bitter campaign" to ruin their professional and personal reputations.
MCGrath has now responded to the lawsuit, suggesting that all bands eventually fall out over money and admitting he is looking forward to fighting their claims in court.
He tells New York Post gossip column Page Six, "It's all about greed, isn't it. Isn't this the way all bands end up? We were together for 24 years and I still love the guys. Of course if you talk to them, you'll get a whole other story. This will all get settled. I am looking forward to going to court."