Common Music Group has responded to the large $200 million lawsuit just lately introduced in opposition to them by Limp Bizkit vocalist Fred Durst. Filed this previous October, that lawsuit alleged that UMG had engaged in using “fraudulent’ accounting practices in a bid to quick his band and several other different related artists on owed royalties.
As a part of his declare, Durst additionally contended that the alleged shady practices weren’t restricted solely to his group and that probably “tons of” of artists may have been victims. Durst claimed to have solely just lately filed swimsuit after hiring on new monetary illustration, who began investigating why he and his Limp Bizkit bandmates had not acquired any substantial royalty fee on some 45 million copies of their albums that had been offered/streamed.
Durst alleged that UMG had knowledgeable him that the label had but to recoup the $43 million in advances and prices they’d put into the albums, thus Durst and co. weren’t but eligible for royalties.
Upon preliminary digging from his new monetary illustration, Durst claimed UMG launched $1.03 million to the band, and $2.3 million to Durst‘s previous Flawless Information imprint label. That enterprise put out albums from the likes of Puddle Of Mudd, The Revolution Smile and extra.
Exterior of searching for the potential $200 million in damages, Durst can be aiming to void Limp Bizkit‘s recording contract with UMG, thus granting the band possession of their masters. He’s additional searching for to sever the same association with UMG he had for artists underneath the aforementioned Flawless Information imprint.
Per Rolling Stone, UMG are searching for to have Durst‘s lawsuit dismissed, claiming the allegations had been “primarily based on a fallacy”. Rolling Stone summed up UMG‘s argument for dismissal as follows:
‘UMG stated that the dispute began with a director on the firm reaching out to Limp Bizkit‘s supervisor over e-mail searching for to arrange a vendor profile so the band may get their recording royalties. The enterprise supervisor had advised the UMG director that a lot of the band members had offered off their royalty shares, however over a yr later, he emailed once more, clarifying he was referring to publishing royalties, not the recordings. UMG stated the e-mail communications, which they included of their reply, ‘eviscerate’ the fraud claims.’
Moreover, UMG declare that the aforementioned $1.03 million paid to the band and $2.3 million paid to Flawless Information coated everything of all “excellent royalties and income” owed.
