Home / Arts and Entertainment / Lit Rocks Sony: Streaming Royalties Lawsuit Settled
Lit Rocks Sony: Streaming Royalties Lawsuit Settled
9 Jul
Summary
- Lit band members settled an $800,000 lawsuit against Sony Music.
- The dispute concerned streaming royalties for the band's 90s catalog.
- A key contract clause about net proceeds from master use licenses was central.
Rock band Lit has reached a settlement with Sony Music, concluding an $800,000 lawsuit concerning streaming royalties for their 1990s music catalog. The band, known for the 1999 hit "My Own Worst Enemy," sued Sony in March, alleging underpayment of royalties from digital streaming platforms.
Lit argued that a specific clause in their 1998 record deal with RCA Records entitled them to 50% of net proceeds from master use licenses, including streaming. This provision, seemingly ahead of its time, was interpreted by the band to grant them a more favorable royalty rate than the standard 14% offered by Sony.
The lawsuit claimed the anomalous contract language meant they were owed $800,000. After attempting negotiations, the band took legal action when Sony allegedly offered little defense. A court filing on Tuesday indicated a settlement in principle had been reached, leading to the closure of the case.
