Eminem Wins Appeal In Royalty Lawsuit
A federal appeal may quadruple the amount Eminem and others receive for music licensed to iTunes and other digital distributors.
A federal appeals court has ruled in favor of Eminem’s former production company in a 2009 suit filed against Aftermath Records and Universal Music Group. The original suit, filed in 2004, called for an increased royalty share of the alleged $2.5 million Eminem’s digital downloads made between 2003 and 2008.
Friday, the U.S. 9th Circuit Court of Appeals ruled Eminem and F.B.T. Productions were entitled to a 50-50 split with Universal for all recordings licensed to digital distributors such as iTunes. Various sources report UMG previously paid Eminem and F.B.T. a 12 percent royalty rate for music licensed to digital distributors, which is the agreed-upon rate for physical albums.
Should appeal stand, it likely marks a landmark victory for artists whose music is licensed to via ringtones, iTunes and other digital distributors.
Excerpt from HipHopDx.com