UMG, Artists Get Nod On $11.5M Digital Royalty Settlement

Law360, New York (April 14, 2016, 7:06 PM EDT) -- A California federal judge on Wednesday signed off on an $11.5 million settlement to resolve class action claims that Universal Music Group stiffed recording artists on digital royalties, rejecting objections from funk legend George Clinton.

Under the agreement, approved by U.S. District Judge Susan Illston of California’s Northern District, UMG Recordings Inc. will pay $11.5 million to resolve claims brought by Rick James' trust and artists like the Temptations and Rob Zombie accusing the label of purposely miscalculating royalty payments on digital downloads. UMG has also agreed to permanently increase class members' future royalty payments by 10 percent under the deal....

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