The 'Cypher' is a pre-recorded segment showcasing freestyle performances by hip-hop artists. The 2011 lineup included Ludacris, Busta Rhymes, B.o.B and Eminem, with hip-hop producer DJ Premier as the presenter.
DJ Premier had originally said that he did not allow Bieber to participate in the event because he had heard that the young singer wanted Ludacris to pen his rhymes.
"I was like oh no, no, no, no. If you ain't writing your own rhyme, you can't do it, so Justin, you gotta take a backseat. Write your own rhymes, honey," DJ Premier said.
However, Ludacris has now addressed the issue on his Twitter, saying: "My Lil homie @justinbieber loves hip hop & at no point was I supposed to write his cypher flow. #getyafactsright (sic)."
DJ Premier has since thanked Ludacris for clearing up the matter.
Bieber and Ludacris famously collaborated on 'Baby'.
Last month, Bieber helped raised $10,000 (£6,200) at a charity basketball game organised by Ludacris.
Watch a video for Justin Bieber's 'Baby' featuring Ludacris below: