A number of American Idol contestants are being drug into a lawsuit as their publishing company has discovered an issue with Sony Music's records. 19 Recordings, a music company run by Idol creator Simon Fuller, alleged that multiple audits have found several former Idol contestants have not been paid proper royalties. The performers include Kelly Clarkson, Carrie Underwood, Chris Daughtry, Jordin Sparks and Clay Aiken.
The lawsuit claims that Sony Music has claimed that when master recordings owned by the company are used on streaming sites, such as Spotify and Pandora, that it qualifies as sales or distributions. 19 Recordings claims that the usage should be classified as broadcasts or transmissions, which would result in a higher royalty rate being paid to the performer behind the music. The suit also claims Sony made some shifty moves regarding music video use, compilation albums and foreign income tax claims. All in all, 19 Recordings claims that Sony owes its clients somewhere in the $10 million ballpark.
"We did not want to have to file this lawsuit, but Sony left us no choice, so this became necessary to protect our artists," Jason Morey, 19 Recordings head of music said. "Our complaint lays out the claims in great detail. Everything we have to say about the case is set forth in it."
Sony has not released a response to the lawsuit. American Idol the program hasn't been brought into the fray yet, but no idea on whether the lawsuit could endanger the relationship between Sony Music and the program.
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