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UPDATED: Universal Music Group (UMG) Artists Can’t Sue Capitol Records In Class Action Lawsuit

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NEW YORK (CelebrityAccess) – Hundreds of artists wanting to sue Universal Music Group (UMG) and Capitol Records to regain control of their masters were told no on Friday (January 27) by District Court Judge Lewis Kaplan.

First filed in February 2019, the motion asked Judge Kaplan to certify classes comprised of more than two hundred musical groups and solo artists. The case was led by singer John Waite of “Missing You” fame and others over US copyright law’s “termination right.” The right is supposed to give artists a way to regain control of their old music. Waite and others allege in the suit that UMG has ignored that obligation, not returning the masters to artists when requested.

Judge Kaplan denied the request to certify the case as a class action, which, if certified would have allowed hundreds of UMG artists to bring their claims as a single lawsuit, represented by a single set of lawyers. Judge Kaplan cited the unique questions raised by each individual artist’s relationship with UMG.

“Plaintiffs’ claims raise issues of fairness in copyright law that undoubtedly extended beyond their own grievances,” the judge wrote. “However, the individualized evidence and case-by-case evaluations necessary to resolve those claims make this case unsuitable for adjudication on an aggregate basis.”

According to the lawsuit verbiage, it says: “Defendants have been holding the artists’ rights hostage and have deprived the artists of the ability to reclaim their rights.” However, the labels argue that most sound recordings aren’t subject to the termination rule, unlike the actual musical composition. The label’s argument falls under the idea that recordings are “works for hire,” meaning the label creates them and hires artists to contribute to them, leaving the works in the hands of the label forever.

Lawyers for the artists argued that UMG has made those “fictitious” arguments every time an artist invokes the termination right – which would be best represented by a huge class action. Judge Kaplan did not agree stating, “The analysis requires understanding for reach artist the circumstances in which the recordings were produced, the creative involvement, if any, of the record label, and the types of resources and payments the record label provided the artist.”

He went on to state that in order to determine if the music was “work for hire,” tricky questions would need to be navigated for each separate artist in order to determine if the label was “more involved in the creative process.” He clarified further, “Did the record label agree on the lyrics and music with the artist?” the judge asked. “Did the record label select the producers and sound engineers to work on the sound recordings? What level of substantive artistic feedback, if any, did the record label provide?”

The lawsuit will not proceed forward on behalf of Waite and a handful of other artists.

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Original Story Below – Published April 20, 2022

NEW YORK (CelebrityAccess) – A group of nine artists is suing Universal Music Group (UMG) and Capitol Records to regain control of their masters.

First filed in February 2019, the new motion on April 15th asks District Court Judge Lewis Kaplan to certify classes comprised of more than two hundred musical groups and solo artists. The case is led by singer John Waite of “Missing You” fame and others over U.S. copyright law’s “termination right.” The right is supposed to give artists a way to regain control of their old music. Waite and others allege in the suit that UMG has ignored that obligation, not returning the masters to artists when requested.

If Judge Kaplan certifies the case as a class action, it will allow numerous other artists to join the suit. The motion filed on Friday reads, “Defendants have been holding the artists’ rights hostage and have deprived the artists of the ability to reclaim their rights.” However, the labels argue that most sound recordings aren’t subject to the termination rule, unlike the actual musical composition. The label’s argument falls under the idea that recordings are “works for hire,” meaning the label creates them and hires artists to contribute to them, leaving the works in the hands of the label forever.

Another case against Sony Music Entertainment was filed the same day (by the same attorneys) and is being led by New York Dolls lead singer David Johansen. That case is paused for mediation until May 18. The full motion can be read below.

 

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