The drama continues in Osama 'Sam' Lutfi's defamation trial against Britney Spears' parents. This week, one of Spears' former nannies, as well as a label exec from Jive Records, both took the stand -- and their testimony may have hurt Lutfi's case.

Spears' nanny, Leah Frand, told TMZ point blank, "I have never seen meth in that house or any type of drug." This directly contradicts Lutfi's claims that drug-sniffing dogs found a bag of crystal meth in Spears' home. Lutfi also said that Spears shaved her head because she feared that if she was ordered to take a hair follicle drug test, traces of methamphetamine would show up and she’d lose custody of her two tots, Sean Preston and Jayden James.

Lutfi claimed to be Spears' manager during her darker days, and Frand rebuked that as well, telling cameras, "I don't know what the h--- he was doing, honestly ... being Britney's b---- basically and not getting paid for it." Frand also shot down Lutfi's claims that Jamie Spears assaulted him.

Meanwhile, former CEO of Jive Records, Spears' label at the time, also denied that Lutfi was Spears' manager -- a position for which Lutfi is suing for backpay. "Britney was pretty erratic at the time," Weiss told the court. "Sam Lutfi never introduced himself or came in for a meeting. He never discussed records or a record contract ... He helped us get a video made," Weiss said. "He was trying to keep Britney on the set." However, according to Weiss, that's as far as Lutfi's work went: he was more a "gofer ... like a personal assistant." He expounded, "There was no manager involved ... She was estranged from her family. I felt I was a lifeline for her. She was texting me constantly from her cellphone."

For their part, Spears' family and team insists that Lutfi was little more than a drug pusher who consciously manipulated the singer when she was at her most vulnerable, even kidnapping her dog and then "rescuing" him to play with her emotions and make her dependent on him. He's been trying to get Spears to take the stand, but as long as she's under a conservatorship, that likely won't happen.

Watch the Britney Spears 'Gimme More' Video