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Warner Music Group Settles Download Royalty Lawsuit For $11.5 Million

gavelA settlement valued at a minimum of $11.5 million has been reached in a class action lawsuit over how the Warner Music Group calculated royalties for downloads and mastertones. Artists and others who receive royalties from contracts dated before January 1, 2002 with a WMG U.S. label are now eligible for the following benefits from the settlement:

  • Cash payments for past royalties paid.
  • An increase in download and mastertone royalties going forward. The increase in future royalties will give artists an increase of 5% percentage points in their royalty rate on U.S. downloads and mastertones (or more if necessary to reach a floor of 10%, capped at a maximum of 14%) and a 2.5% increase on foreign exploitations.
In order to receive benefits from the Settlement, a valid claim must be submitted by May 31, 2014. Warner Music Group U.S. Labels include: 
  • image from www.metalinsider.netAtlantic Recording Corporation
  • Bad Boy Records LLC
  • Elektra Entertainment Group Inc.
  • Fueled By Ramen LLC
  • Nonesuch Records Inc.
  • Rhino Entertainment Company
  • Warner Bros. Records, Inc.
  • Word Entertainment LLC
More information about the Settlement, including rights and benefits, is available at or by calling 1-877-690-7098.