Limp Bizkit, Fred Durst, and Flawless Records are taking legal action against Universal Music Group (UMG) for over $200 million in unpaid royalties. The lawsuit, filed in the U.S. District Court for the Central District of California, alleges that despite Limp Bizkit’s recent resurgence in popularity, they have not received any of the music streaming royalties owed to them for nearly half a billion streams.
Legal Battle for Unpaid Royalties
Durst, on behalf of Limp Bizkit and Flawless Records, is seeking to terminate all contracts with UMG. The lawsuit includes claims of breach of contract, fraudulent concealment, and copyright infringement. Representatives for Limp Bizkit and Universal Music Group have been contacted for comment.
Steady Growth in Assets
According to the lawsuit, Limp Bizkit’s assets have experienced consistent growth of 30-40% each year since 2017, reaching approximately 68% in the past year alone. Despite this success, the band had not received any royalties from UMG until taking legal action. The lawsuit alleges that UMG intentionally designed royalty software to conceal artists’ royalties and withhold profits.
Discovery of Unpaid Royalties
In April 2024, after hiring new legal representation, Durst discovered that UMG claimed to withhold royalties to recoup $43 million spent on the band over the years. It was revealed that Flip Records, the band’s former label, had received substantial payments from UMG in recent years. The lawsuit highlights UMG’s failure to provide detailed accounting of recoupment costs and issue royalty statements during key periods.
Failure to Provide Royalty Statements
The lawsuit reveals that UMG did not issue royalty statements from 1997 to 2004, a period of significant success for Limp Bizkit. Statements indicated that the band’s 2005 album, Greatest Hitz, did not generate positive royalties due to unrecouped losses. Additionally, UMG failed to provide statements for the band’s fourth album and music videos utilizing Master Recordings.
Conclusion
The legal battle between Limp Bizkit, Fred Durst, Flawless Records, and Universal Music Group sheds light on the complexities of royalty payments in the music industry. The lawsuit exposes alleged discrepancies in accounting practices and raises questions about fair compensation for artists.
FAQs
Q: What is the lawsuit about?
A: The lawsuit involves Limp Bizkit, Fred Durst, and Flawless Records suing Universal Music Group for over $200 million in unpaid royalties.
Q: Why did Durst seek to terminate contracts with UMG?
A: Durst sought to void contracts with UMG due to alleged breach of contract, fraudulent concealment, and copyright infringement.
Q: What did the lawsuit reveal about UMG’s royalty statements?
A: The lawsuit exposed UMG’s failure to provide detailed accounting of recoupment costs and issue royalty statements during key periods, leading to unpaid royalties for Limp Bizkit.
Credit: pitchfork.com
