Company's Response on Friday
In their motion on Friday, Universal Music Group stated clearly that "Plaintiffs' entire narrative that UMG tried to conceal royalties is a fiction." This response comes over a month after Durst first sued the world's largest music company in October, alleging that the record company had "designed and implemented royalty software and systems that were deliberately designed to conceal artists' royalties and keep those profits for itself."Details of the Allegations
Durst and his attorneys claimed that UMG owed the band as much as $200 million and that he had "not seen a dime" in royalties before their inquiries. The suit accused UMG of fraud, negligent misrepresentation, and copyright infringement. It also demanded that Durst and the band receive full ownership of their music. These are serious accusations that have drawn significant attention.However, in their response, Universal Music Group provided a different perspective. They said that the dispute started with a director at the company reaching out to Limp Bizkit's manager over email seeking to set up a vendor profile so the band could get their recording royalties. The business manager had initially informed the UMG director that most of the band members had sold off their royalty shares. But over a year later, he emailed again, clarifying that he was referring to publishing royalties, not the recordings. The email communications, which they included in their reply, "eviscerate" the fraud claims.
A rep for Durst did not immediately respond to Rolling Stone's request for comment, leaving the situation somewhat unresolved. Despite this, Universal Music Group maintains that they began the process soon after and paid the band over $1 million in back royalties while giving Durst's record label Flawless Records $2.3 million. The company said this was all of the "outstanding royalties and profits."
Context of the Lawsuit
"Despite these payments, on September 30, 2024, Plaintiffs served UMG with a formal Notice of Rescission of the Flip Agreement, the Recording Agreement, and the Flawless Agreement," the company wrote of Durst's decision to sue. "When UMG rejected the Rescission Notice, Plaintiffs filed the present action, asserting no less than 15 state (and one federal) putative claims for relief." This shows the complexity of the situation and the various legal steps that have been taken.The music industry is closely watching this case as it could have implications for how royalty payments are handled and how disputes between artists and record companies are resolved. It remains to be seen how this situation will unfold and what the final outcome will be.