Artists getting hosed by digital media delivery of their music

From KCRW’s On the Beat – Last month, the legendary rock band, the Allman Brothers, filed a lawsuit for $13 million against Universal Music. The Allman Brothers contend that Universal has been shorting the band their full compensation for the sale of their music on outlets like iTunes. The Allman Brothers are hoping to make their case an example for other recording artists with similar contracts. Cheap Trick has already filed suit, and many in the business are watching to see how these lawsuits will finally play out.

Innovations in the marketplace require contractual clarity, for the fairness of all involved. But before the 1970’s, no one was thinking about their digital future. Who could have imagined new distribution pipelines, created by third parties who would parse out a digital song file and sell it at the click of a mouse.

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