Monday, 6 June 2011

Publishers want bigger cut from downloads

Publishing companies and record labels have braced themselves for an onslaught of expensive court cases to determine how royalties are treated and calculated in the digital age.

The industry’s apprehension comes as Rob Zombie and White Zombie, Whitesnake and Dave Mason have launched a series of class-action lawsuits against Universal Music in the US arguing their contracts have erroneously counted digital downloads as sales.

The rock acts argue Universal should have specified any digital activity as licensing agreements, which would attach a significantly higher royalty payment.

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