Looks like legendary '70s guitarist Peter Frampton doesn't love the way of his record label. (See what I did there?) According to several reports, Frampton has sued A&M Records (a subsidiary of the Universal Music Group) over unpaid digital royalties. According to the suit, Universal are contractually obligated to pay artists like Peter Frampton 50 percent of all digital net sales rather than the traditionally lower rates afforded to physical music sales.
"The issues in these cases go beyond simply breach of contract," says Frampton lawyer Richard Busch, speaking with The Tennessean. "The plaintiffs allege the wrongdoing here is a part of deliberate effort to deprive the parties of their royalties."
Billboard.com points out that several similar lawsuits have started springing up following Eminem's successful appeals court overturning of a 2009 ruling in favor of Universal Music and Aftermath Records over unpaid digital royalties.
You might be thinking, "Digital royalties? Whatever who cares." Keep in mind, in a year or two's time, labels might not even be releasing music physically anymore. How artists are compensated for digital sales is going to be a major issue moving into the post-CD music industry frontier—expect to hear about a lot more lawsuits similar to Eminem's and Frampton's.
Using Spotify? Listen to the deluxe edition of Frampton Comes Alive! right here.
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