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Artists Hit Sony With Major Suit

Sony Suit

Posted May 21, 1998 12:00 AM

Sony Music Entertainment is experiencing something of an uprising as more than 1,500 recording artists have filed a class action suit against the entertainment giant to reclaim foreign royalties. |

A multi-million dollar suit filed early this week claims that the company knowingly miscalculated and shortchanged foreign royalties due their artists under a uniform provision in their contracts. Spearheading the legal proceedings is hair metal elder Firehouse (Michael Foster, William Leverty, Perry Richardson and C.J. Snare), who filed case in Manhattan State Supreme Court on Monday.

According to court papers, Sony routinely deducts 150 percent of the of the foreign value added tax from the gross royalty base which the company uses to calculate royalties. The company has also been accused of providing artist and their management with phony royalties statements which undervalue the amount due artists -- some of whom have worked under the Sony banner since 1965. (Brandon Barber)


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