Counting Crows sue Universal Music in what could be a landmark case
When Weird Al Yankovic and Sony recently settled a $5m lawsuit out of court, the major label system breathed a sigh of relief, as yet another court precedent that could have massive ramifications for the industry was narrowly avoided.
Counting Crows are the latest act to file a lawsuit against their label – this time Universal Music Group – saying: “Through this lawsuit, Counting Crows seeks to compel Defendant to account to and pay the rightful share of licensing income paid to Defendant for downloads and ringtones of the recorded music licensed by Defendant to these entities.”
Basically, the band are asking for a 50% royalty rate for songs sold in digital stores, rather than the standard 15%. The reasoning is that these are not sales, but in fact a licensing agreement where the track is licensed to the retailer. This aspect made up one part of Weird Al’s lawsuit against Sony, and if this current case reaches a decision, the precedent set will no doubt revolutionise the way music is sold and consumers online. Until then, enjoy Mr. Jones.