By Nigeria Anderson
Music Industry News. Who Wins!
In 2012 many artists came forth with lawsuits against their record companies over unpaid digital revenue sales. Most labels treated download income as record sales and paid the lower royalty. The argument by artists was download revenues are actually a licensing fee, such as licensing ones music to iTunes. Since downloads income was not part of the initial recording contract, artists rather receive the higher cut of their value which stem from a licensing royalty. This has also caused some class actions lawsuits to ensued. Many artists made their claim to have their royalty adjusted such as; Eminem, Rob Zombie, Chuck D, George Clinton, Peter Frampton, Sister Sledge, Kenny Rogers and James Taylor, among others. Sony agreed to pay a 3% increase as a quick fix but most artists are holding out for a bigger pay day.