As reported by Billboard, Limp Bizkit and their frontman Fred Durst have initiated legal action against Universal Music Group (UMG), claiming that the label owes the band in excess of $200 million. Durst's legal team asserts that he has "not seen a dime in royalties" over the years and that hundreds of other artists may have been subjected to similar treatment.
In a lawsuit filed on October 8th in Los Angeles federal court, Durst and the band's attorneys accuse UMG of implementing a "systemic" and "fraudulent" policy designed to conceal royalties from artists and retain the profits for itself.
The lawsuit alleges that Limp Bizkit had "never received any royalties from UMG," despite the band's significant success during its peak. According to the lawsuit, the band's albums had sold millions of copies, and Limp Bizkit continues to have "millions of streaming users per month on Spotify alone."
Durst's representatives were shocked to learn that he had "not received any money for any Limp Bizkit exploitations — ever" after he retained new representatives in April. They discovered that Limp Bizkit's accounts actually held more than $1 million in royalties, which had not been communicated to the band by UMG.
UMG had allegedly failed to issue royalty statements during significant periods of the band's history, including "during the height of Limp Bizkit's fame," suggesting intentional concealment of sales and royalties due to the band.
The lawsuit also points to potential "fraudulent accounting practices" used by UMG to improperly keep the band in the red and avoid paying royalties.
Durst's attorneys claim that UMG's actions have resulted in the band being owed tens of millions of dollars in copyright infringement, if not more, and allege that the amounts owed to them by UMG following the rescission of these agreements will easily surpass $200 million.
The lawsuit seeks allegedly unpaid royalties, a ruling voiding the band's contract with the label, the return of the band's copyrights to their recordings, and copyright infringement damages over those rights.
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