News•March 28, 2014 1:00 PM ET•6,154 views
Earache Records sues Century Media
Courthouse News Service reports that British label Earache Records is suing The Century Family and their affiliate Century Media Records. The suit alleges that Century Media owes Earache $250,000 in licensing fees, in addition to breaking a pledge to release hundreds of albums in the Earache catalog. As you may recall, Earache and Century Media originally announced their partnership little more than a year ago. Here's an excerpt of the Entertainment Law Digest report:
According to Earache, of the 356 albums it delivered to Century, including 10 new releases, the company has distributed only albums in the United States. "Without each album being released in the U.S. during the term of the agreement, it is impossible for Earache Records to earn royalties in the U.S. market (in this case, for several years), and fulfill its obligations to its artists," the 17-page lawsuit states. (Parentheses in complaint.) To duck two advance payments of $125,000, Century Family's lawyers sent the British label a letter that falsely accused it of breaching the licensing agreement, the complaint states. Earache calls that a "transparent pretext" for delaying payment. As well as defaulting on the fees, Century Family allegedly used album artwork and set release dates without Earache's approval. The U.S. company failed to account for royalties in a timely manner, Earache adds. Earache says Century Family is still marketing and selling Earache's records in the U.S. market.[via Metalsucks]
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