Entertainment Industry Liabilities

Hollywood's brightest stars are often the center of lawsuits, legal liabilities, and countless other undesirable predicaments. In recent years, the political arena has also been plagued by entertainment related legal controversies. When embarking on any business endeavor, it is important to research trademarks, copyrights, and other intellectual property to ensure you are not infringing upon the rights of others.  Professionals in the entertainment industry whether it is music, movies, television, or design have to be very careful when it comes to deal making.  In this blog I am going to discuss three legal controversies that I found to be very interesting.  

     

Superstar Drake has taken the rap world by storm. One of his biggest hits of 2011, a song entitled Marvin's Room, is now receiving legal backlash. The song begins with the voice of a young woman who Drake calls on a drunken night. Turned out the woman that he calls is his ex-girlfriend Ericka Lee. Lee is suing for co-writer royalties, as well as "damages and disgorgement of profits." Drake claims that Lee gave him permission to use her voice without monetary compensation.

Drake could have avoided this pending legal battle by obtaining Lee's permission to use her voice in writing. He did not consider the possibility of legal backlash from someone that he was emotionally involved with. It is important to remember that business is business and that it must be separated from personal relationships. If an agreement is made, it needs to be documented in writing.

In United States v. American Society of Composers, Authors and Publishers (ASCAP) et al., the Second Circuit Court of Appeals confirmed the decision of the lower court by ruling that downloads are not performances as interpreted by Section 101 of the Copyright Act. What does this mean? ASCAP cannot collect “public performance royalties on downloads” as they sought to collect from websites like Yahoo (Firemark, 2010). As the number of digital downloads continues to outweigh the number of tangible album sales, it may be time to reevaluate the Copyright Act as it pertains to the music industry.

A New Jersey self motivation business woman filed a lawsuit against Oprah Winfrey claiming the talk show host stole her campaign slogan “ OWN YOUR POWER”.  The lawsuit filed in a New Jersey Court claims that the self-motivation title “own your power” is from a local self-motivation businesswoman who developed the slogan in 1996.  She said that it all started when she saw the slogan on the cover of “O” Magazine, then it went on to appear on the oprah.com. 

Trademark infringement is the issue of this case, which happens all of the time in other industries outside of entertainment.  I feel that it is almost impossible to give steps to avoid trademark infringement.  I’m sure I have thoughts the same as others in the world, so to say that someone stole my “slogan” or ‘saying” is difficult.  Now of course if I’m watching television and I see a “Nike” commercial with a new slogan I can’t turn around the next day and use that same slogan on my website.  You just have to be really careful of trademarks.  This lawsuit against Oprah is still being processed, no further details have been provided.

Sources:

Gardner, Eriq. (2012). Drake Sued Over 'Marvin's Room' by Purported Ex-Girlfriend (Exclusive). The Hollywood Reporter. Retrieved from http://www.hollywoodreporter.com/thr-esq/drake-girlfriend-marvins-room-lawsuit-286916.

http://firemark.com/2010/09/29/entertainment-law-update-podcast-episode/

Oprah Winfrey Sued for Allegedly Stealing "Own Your Power" Slogan | TMZ.com. Celebrity Gossip | Entertainment News | Celebrity News | TMZ.com . Retrieved from: http://www.tmz.com/2011/07/30/oprah-winfrey-sued-lawsuit-own-your-power-simone-kelly-brown/ 

Dizaster's 8 Mile Story

In an industry where new talent surfaces everyday, an artist with steadfast tenacity is determined to earn his spot at the top battle by battle. Dizaster is a hungry young emcee with an insatiable appetite for success. Being born in America but raised in Lebanon has given this young man a wide perspective on life and plenty of ammunition to fire at his competition. In support of his musical dream Diz’s family relocated back to California so that he could pursue his goal in becoming a hip-hop household name.

With a natural gift at freestyle, Dizaster spent the early part of his career in the battle-rap circuit working his way through various competitions. In 2004, a semi-final spot at the All Out MC Battle in the Windy City was earned as well as endless wins at Santa Monica California’s Pit in the few years following. As his reputation grew fiercer with every battle, by the time 2007 rolled around Dizaster found himself in New York City competing in the JumpOff’s World Rap Championship and took a nomination for Most Valuable Rapper and some major head-nods back home to California with him. He also competed in MTV 2’s One World Hip Hop Championships and conquered the competition but unfortunately never received the $1 Million Grand Prize that was assured.

Small setbacks such as that came and went as well as several pivotal battles being cancelled with short notice for unanswerable reasons. However, Dizaster did not become easily discouraged. He pushed through his trials taking them on the same way he does his rap battles: fearlessly. Diz is still maneuvering his way across California and beyond to make sure his voice is heard loud and clear. This battle rap legend currently has a total of over 10 million views on youtube, and co-signs from legends such as Eminem, Drake, and Raekwon to name a few.  With talent as unquestionable as his, it’s only a matter of time before Dizaster strikes in your neighborhood. Be on the look out! 

*For information on Dizaster or how to obtain his services please contact his management sn@dizaster.tv.

Twitter & Instagram: @MRDIZASTER             

Facebook: DIZASTER 

Youtube: MCDIZASTER

Website: WWW.DIZASTER.TV

           

Who runs the world? Beyonce at the U.N.

Beyonce took to the stage in the U.N. General Assembly hall, normally reserved for world leaders, to film a music video that will be released on Aug. 19 to mark World Humanitarian Day.



The U.N. event was a rare performance by Beyonce since she and her hip-hop 
mogul husband Jay-Z welcomed their first child in January, daughter Ivy Blue.

Instead of ambassadors and world leaders, some seats in the U.N. General Assembly hall were filled by celebrities including actress Julia Stiles, model Alek Wek and rapper The Dream. Beyonce met U.N. Secretary-General Ban Ki-moon during rehearsal.

The music video, donated by Beyonce, will launch a global campaign that hopes to reach one billion people and encourage them to pledge online at www.whd-iwashere.org to do something good for someone in need.

Illustrations on Beyonce’s website, www.beyonce.com, suggested a few ways people can leave their mark - draw a small animal and tell it all your secrets, make food and share it with others, and dance like children who don't know the rules.

“I hope everyone will pledge to complete at least one humanitarian action - however great or small,” said U.N. aid chief Valerie Amos in a statement.

“Together we can create an unprecedented awareness of the plight of people affected by crises around the world.”

In 2008, the U.N. General Assembly declared Aug. 19 World Humanitarian Day to raise awareness of such work, recognize people who risk their lives to help those in need and mark the day in 2003 when 22 people who were killed in a bomb attack on U.N. offices in Baghdad.

http://www.rollingstone.com/music/videos/beyonce-performs-i-was-here-for-world-humanitarian-day-20120819 

Weeping Buddha Records

I recently had an interview with one of the best producers in California, Richie Stites, a veteran in the music industry. Richie Stites has produced albums with everyone from Michael Jackson, Outkast, Sleepy Brown, Tupac, to Tim Armstrong, The Transplants, Hollywood Undead, George Clinton, Candyman 187 and Optimus.

I requested an interview with him and he graciously accepted my invitation. I posed a few questions concerning negotiation deals in the music industry. Here is the result of our discussion:

Please tell us a little bit about your current company, Weeping Buddha Records, and what you are working on?

Weeping Buddha is a label comprised of four companies providing production, development, marketing, promotion, and tour support for artists.  Besides producing and creative development I also oversee all A&R administration for the label, which includes album budgets, backend payments, sample and side artist clearances for soundtracks, and compilation albums. 

In past negotiations, what were some ways that you were able to separate the people involved from the problem or issue being negotiated?

It is important to remain calm and stay focused on the key points of the negotiation.  Compromise enough to make sure that you get what you want, without giving in to all the demands that are being made.  The client needs to trust you and know that you have their best interest at heart, which is very important!

Finally, creative people such as music artist can bring a lot of emotions to a negotiation. What are some ways to effectively deal with potential negative emotions?

Creative people such as recording artist will almost always bring a lot of emotions to the negotiation.  The important thing we have found is to let the artist know that we understand their vision and that we have a common goal of doing what is best for their career. We present the outlook of possible outcomes of the situation, if they can look at it calmly and clearly, the management/production viewpoint, so that he or she can have a clearer understanding of both sides.  Often by repeating back what they have said and then offering positive solutions and alternate ways to look at it, we then make sure that they know that we are on the same side and for a common goal, which is the success of the artist.

Once upon a time EMI was the most successful of the Big four record labels, to now being split in half and sold off to two of its former competitors, Sony and Universal for $4.1 billion. According to Billboard.biz, Sony has purchased EMI Music Publishing, while the overgrowing Vivendi/Universal Music Group picked up the crown jewel, the EMI recorded music division, which includes the works of the Beatles, Pink Floyd, and a roster that currently includes Coldplay, Gorillaz, and Katy Perry.   

With the addition of EMI's 1.3 million song copyrights, Sony stands to become one of the largest competitors in an industry where six years ago it was far from a dominant force.

Considering Terra Firma bought EMI as a whole for $5.2 billion in 2007, the $1.8 billion Universal/Vivendi spent to purchase EMI's recorded music division is a bargain, even now that music sales are down significantly. Without getting too deep into the business details, the deal essentially means EMI will continue running as they have been in recent years, except now they'll be better managed.

No more Citigroup bankers who wouldn't know a hit song if it punched them in the face. People who actually understand the music industry are back atop of the corporate ladder. Universal has put together the most talented group of executives in the industry today.  This can only be a positive for the artists and executives at EMI.

UMG provided the press with quotes from artists and managers expressing their thoughts on the new developments.  As Mick Jagger said in a statement following news of the sale, "This is a very positive development and I particularly welcome the fact that EMI will once again be owned by people who really do have music in their blood."

Christman, E. (2011). Retrieved from: http://www.billboard.biz/bbbiz/industry/record-labels/emi-publishing-goes-to-sony-label-to-universal-1005508552.story 

This diva is strong enough to bear children then get back to business!

Is it too soon for Beyonce to get back to work? According to the New York Post, Jay Z is working on an epic world tour for Beyoncé, having approached Live Nation about a $150 million deal for his wife to tour the world on what would be a blockbuster comeback since giving birth to their baby daughter, Blue Ivy Carter, back on January 7.

Sources say that a few weeks after the baby was born, Jay-z approached his buddies at Live Nation to propose a $150 million deal for the mega star to go on tour later this year.  Beyonce is currently in a joint management deal with Jay-z’s Roc Nation as well as Live Nation after she split with her father/manager early last year.

Whether the tour will actually happen is still up in the air with Live Nation allegedly making a lower counter offer, but until that moment arrives, Beyonce is returning to the stage in just a few months.  The new mother’s first performances since Blue’s birth are scheduled just in time to kick the summer off right at the Revel Resorts in Atlantic City, New Jersey’s new Ovation Hall for three nights from May 25-27, with tickets going on sale on April 6 at 10 a.m. on Ticketmaster.

Tickets go on sale April 6th for dates May 25th, May 26th and May 27th.

Bringing Beyoncé back to the masses isn’t the only thing that the super couple has been working on as of late. The power pair has been seen lending their support to President Obama’s re-election campaign.

Hans Rosling's Insights on Ending Poverty

Hans Rosling, doctor and researcher, seeks to change perceptions about the developing world and dispel myths and common misperceptions. In his latest TED Talk, Rosling shows trends in health and economics, ultimately seeking to explain how countries are pulling themselves out of poverty. The dimensions of development, or the tools necessary to move away from poverty, include human rights, environment, governance, economic growth, education, health and culture. He asserts that economic growth is the most important means to achieve development, but should not necessarily be the most important goal. The primary goals should be the promotion of culture and human rights.

As the world changed over time, most developing countries moved towards being the developed countries and demonstrated trends of low fertility rates and high life expectancy. The only real exception to this trend has been Africa, which still exhibits large families and low life expectancy due to the HIV epidemic.  The trends of child mortality rates and GDP per capita show that the countries in the world slowly grew richer and by the 20th century, for the first time, more than ninety-percent of children survived the first year of life. 

Compared to the U.S. and Sweden overtime, it becomes apparent that countries in Asia, Latin America, and the Middle East have achieved advances in health, education, and the possession of human resources faster than developed countries of the West. In the emerging economies of the world, health progress is preceding economic progress.

 Rosling then moves on to discuss poverty, how to get out of poverty, and finally how to move away from poverty to reach permanent development. When an individual is in poverty, everything is about yields—it is about survival and having access to food. To get out of poverty, technology becomes essential. However, for a country to permanently develop, there is a need for a market and human resources specifically schools, health, infrastructure, credits, and information.

Drought is a function of nature.  Famine is man-made.

Rise In Music Sales Since 2004

Great news, U.S. album sales have risen for the first time since 2004.   According to figures published by Nielsen and Billboard total album sales have increased and digital sales have defeated physical music sales for the first time in units. 

Digital music  sales have beat physical music sales, accounting for 50.3% of all music purchases, in units, in 2011.  According to Billboard total album sales hit 330.6 million units, compared to 326.2 million in 2010. That’s an increase of 1.3%. That may seem small but considering how sales have been since 2004, any improvement is a big deal.

As expected, British singer Adele's "21" was the top-selling album in the United States last year at 5.82 million copies, the highest annual tally since Usher's "Confessions" sold 7.98 million copies in 2004.  Adele's "Rolling in the Deep" was also the best-selling U.S. single of 2011 at 5.81 million downloads.

The small increase in the world's biggest music market will be welcome news to the record industry after years of declining revenues.  The information for the report was collected from the Nielsen SoundScan, a data system that tracks all music sales, downloads, and streams.  The information also includes hard copy sales from major retailers such as Amazon.com. 

The music industry has a long way to go towards recovery.  This increase is due to the Internet and the online music culture which has made it easier for listeners to find and purchase music.  Grooveshark, Pandora, and Spotify are streaming services used to offer legal ways to get music. 

Music will always live on, people continue to search for new music and support their favorites no matter how dire the industries circumstances.  The music industry has a long way to go.  

Sniderman, Z. (2012). Retrieved from: http://mashable.com/2012/01/06/music-2011-nielsen-soundscan-report/