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Virgin/EMI Sue 30 Seconds to Mars for $30 Million, Leto Fights Back

8/18/08, 11:48 am EST

EMI may have found a new way to generate profits: suing their own artists. Virgin/EMI have slapped 30 Seconds to Mars with a $30 million suit for — depending on which side you talk to — breaching their contract (says Virgin/EMI) or legally terminating their contract (says 30STM’s Jared Leto.) After news of the suit hit, Leto issued a lengthy statement arguing that the band signed its contract with the label nine years ago, but according to California law (where the deal was inked), “one cannot be bound to a contract for more than seven years.” So the band, looking to take advantage of that loophole despite owing Virgin three more albums, is opting out due to some significant disagreements:

“If you think the fact that we have sold in excess of 2 million records and have never been paid a penny is pretty unbelievable, well, so do we,” Leto writes. “And the fact that EMI informed us that not only aren’t they going to pay us AT ALL but that we are still 1.4 million dollars in debt to them is even crazier.” Plus, there’s more, “like the new regime at EMI firing most of the people we know and love, wanting to place advertisements on our Website, EMI owning 100 percent of the masters of our record… forever, and basically having a revolving door of regimes at the company made it easy to not want to continue as is.”

An EMI spokesperson responded by saying, despite their success with 30STM, “We have been forced to take procedural, legal steps in order to protect EMI’s investment and rights during contract renegotiations initiated by the band and management. We hope to resolve these matters amicably and put them behind us so we can continue working in partnership with the band to take them to even greater levels of success.”


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Comments

nc | 6/19/2009, 3:48 am EST

their recording an album with flood right?

dan | 2/19/2009, 1:10 pm EST

emi are a bunch a bull ****ers they shud just go away and die

stefanie | 2/19/2009, 1:41 am EST

so why do we pay for music that the real artists get no money for? Screw the system.

L | 2/19/2009, 1:33 am EST

“What the world needs now
Is love, sweet love
It’s the only thing
That there’s just too little of”…

too much bullshit about money and too little LOVE… money sucks, and it seems that since our country is in a little bit of a recession (ha.. you judge the little bit!!) that everyones trying to save their asses… f u c k emi. money is only paper… and 30 million.. shit. half of america cant even phathom that much money..along with this new stimulus shit (hellooooo!!!! TRILLION!!!!???).. so, to jared and the boys of 30stm… be strong and hang in their… good things come to those who wait ;)

mwa love you guys!!!! xx

kris | 2/18/2009, 8:45 am EST

ok, honetly?

so 30 STM learned how to use the system to get out of a lose lose situation. You best believe that EMI would be doing the same thing if 30 stm hadn’t been so popular. the law is the law and even a loophole is part of it.

-good luck 30 STM-

TreeTop | 2/12/2009, 6:31 pm EST

30stm should just change their name to 30mill..

CaeliRose | 2/11/2009, 6:44 pm EST

Well, you have to figure that a record label only gets anywhere between 3 - 15% of all record sales, the artists if they are lucky get 1 - 3% of all record sales. The other 82%+/- the label usually divides between the different companies and contracts the record company spent to promote the album, its investors, producers, pay for the art, packaging, and crap like that. Most record companies don’t consider this a part of their initial payback which is asinine considering the artist never sees this money to begin with, the label does.

The smart artists usually make their money while on tour. Usually a large percentage of all money made on a tour is paid directly to the artists themselves with the record company getting less than 10%, but that’s ok because that is what the record companies agree to when signing a contract. Sadly, though when a band is more successful than the record label anticipated this kind of thing happens and the record companies get pissed they are not getting a larger piece of the pie, so to speak. This same thing happened to the Dixie Chicks years ago.

Alex Gibbons | 2/11/2009, 5:18 pm EST

I am a student of music technology, and as much of a massive 30STM fan as I am, I think that signing to such a big label was stupid anyway, when you become signed you basically give your life away. Music dont belong to you, the band doesn’y belong to you, most deals mean you never see the profits, and if you do anything that is ‘off the leash’ they will hit you as hard as they Can.

Labels need ways of generating profit, and this it would seem is one. Bands have been shafted for as long as there have been record labels to sign them. Everyone should self-produce or sign an indie deal, its much more friendly to the band and generally works out better Look at radiohead or marillion!

Good luck 30STM My heart is on your side! xxx

Dymfy, The Netherlands | 2/11/2009, 11:03 am EST

7 years is..7 years, not 9.

Record companies are usually like this, the one thing they think about is making more money.
suing the people who make the money for them? that is just..
-Good luck 30STM-

Spela | 11/17/2008, 10:34 am EST

Why don’t we just start collecting money, like 1$ per person, and then send it to EMI like a charity donation … obviously the global financial crisis hit them and have to squeeze money out of any source possible.

LV | 10/28/2008, 2:35 am EST

I’m with Jared…he’s HOT!

melsy | 9/24/2008, 3:11 am EST

Thats not fair that emi wants to sue 30stm i reckon they just jealous of jareds fame and want his money any excuse will do

30stm shouldn’t have to pay 30million to some record company

m.t. | 9/1/2008, 11:34 pm EST

you know what!? 30 seconds to mars has the hottest guy ever and he has a good voice, so if you people want to sue him then do it and then they can turn into a Christian band and have more fans and make more millions than ever!!!! God bless you all who read this!

30stmsuprfan | 8/20/2008, 9:50 pm EST

i can’t belive that!!!
30stm is th bst band , hav the bst videos,songs and lyrics what hapen wiht EMI???
WE ARE WITH 30STM!!!
provehito in altum**

me | 8/20/2008, 6:15 am EST

on one side, i agree with AllStar, 30 STM may have not recouped the damn advance yet.

on other side, why don’t EMI just extend the goddamn contract for few more years and then they can chased 30 STM around to birth 3 more albums to recouped the album amount as promised and the $1.4 million money? aren’t those kind of stuff can be arranged? that way, they can keep the chaos to themselves.

but then again EMI is already on the edge of their apocalypse. fast money is always the opt ¬¬

loyal_30stm_fan | 8/19/2008, 1:14 pm EST

FUCK EMI!!!! they’re a bunch of assholes anyway!! I mean, why the heck would they need 30 million dollars, when they are already bathing in money! 30 seconds to Mars is absolutely a great & wonderful (and VERY good live) band!!

Art Freak | 8/19/2008, 11:20 am EST

30 million?????!!!!!
wat da..#$!^

Goddamn! KEEP STICKING IT 2 THE MAN JARED!

AllStar | 8/19/2008, 8:58 am EST

Has the World gone mad? EMI paid this band a massive advance. The band have not recouped this money for EMI so that is why they are yet to receive a royalty.

EMI is not a charity and it amazes me that these bands want a huge payment upfront yet when they fail to generate enough revenue for the record label throw their toys out of the pram and demand royalties.

All these people defending the band, i’d like to seem them lend a large amount of money to someone and see how they feel when it is not paid back to them.

Dan | 8/19/2008, 8:46 am EST

emi have lost it! they cant be serious!! anyone got a spare 30mil to help jared and the boys out?..me either

JD | 8/18/2008, 11:07 pm EST

It’s a good thing they didn’t call themselves 60 Seconds to Mars, or else they’d be sued for 60 million.

Anonymous | 8/18/2008, 5:01 pm EST

emi is lossing it.

Jim Talbot | 8/18/2008, 3:11 pm EST

corporate weasels will attempt to rape us all! Sign on the devil’s dotted line & see what happens.

fdo | 8/18/2008, 2:55 pm EST

next 3 records?
you are kidding rigth?

#3704-8B | 8/18/2008, 2:50 pm EST

FUCK THE MAN.

Kevin the Robot | 8/18/2008, 2:13 pm EST

I just hope they won’t go after Russell Crowe next. Then we’ll all be screwed.

pe | 8/18/2008, 2:06 pm EST

“…We hope to resolve these matters amicably and put them behind us so we can continue working in partnership with the band to take them to even greater levels of success.”

What reason for, to dupe them again?
So you Mars Guys beware of that machinery that serves only one purpose - money. Not sure if record companies really care about artistic license still…

math ? | 8/18/2008, 2:03 pm EST

If the band lost $1.4 million on two records and they have three left under their contract, wouldn’t the label just pay the band the $2.1 million they won’t be losing on the next three records instead of suing for $30 million?

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