To the surprise of no one, rock band Garbage filed suit for declaratory relief against the Universal Music Group in Los Angeles Superior Court on Monday (Jan. 29), accusing the record label conglomerate of using "wrongful, monopolistic, and strong-arm tactics" in its dealing with the band.
In 1994, when Garbage signed with Almo Sounds, a "key-man clause" was included in the contract to allow the band an out if Almo's chairman, Jerry Moss, were ever to leave the label. Upon Moss' recent departure and UMG's recent acquisition of a controlling interest in Almo Sounds, the band attempted to terminate the Almo agreement per its key-man clause.
According to the suit, not only did UMG and Almo deny that Moss had left the label, but UMG claimed that it can force Garbage to record for one of its own contracted labels, including enforcing a seven-year-old contract in which Garbage singer Shirley Manson was under at Radioactive Records for her pre-Garbage work with her former band, Angelfish.
"By so doing, UMG is effectively holding Shirley Manson as ransom for the band's continued performance for UMG against their will and without the benefit of Mr. Moss and an independent label," said the suit.
In an interesting twist, however, Radioactive Records collected 25 percent of the net profits from the band's last album, Version 2.0 -- none of which found its way into Manson's bank account, according to a spokesperson for the band at Q Prime (also, in 1999, Radioactive sued Australian record label Mushroom and BMG Entertainment International over the foreign distribution of Version 2.0)
Garbage, whose members -- Manson, Butch Vig, Steve Marker, and Doug Erikson -- were all well-connected within the recording industry before forming Garbage, claim they specifically sought out Moss and Almo as the independent label for which they wanted to record. The suit reads, in part, the band "had confidence in the talents of Mr. Moss and his independent company Almo Sounds and specifically selected them to market and distribute their music and in this fashion to promote their careers."
As of Oct. 25, 2000, Garbage gave written notice to Almo that its contract with the band was terminated per the key-man clause. In addition to Almo and UMG, the band has named Radioactive Records, MCA Records, UMG Recordings, Inc., Universal Music and Video Distribution, Inc., and MCA Records Canada in the suit, which seeks declaratory relief and "certainty regarding the unsettled affairs, particularly regarding UMG's improper actions in claiming that Garbage's agreement with Almo Sounds is still valid and that Ms. Manson's 1993 agreement with Radioactive Records is also still valid -- all in an effort to force [Garbage] to negotiate a new contract with UMG on terms unjust to [Garbage]."
Garbage To Universal: No Moss, No Contract
Rockers filed lawsuit Monday against
Universal Music Group, claiming Almo Sounds contract became invalid when founder left
after conglomerate took over.
Apparently, Garbage are only happy when Jerry Moss reigns.
The Madison, Wisconsin, rockers sued Universal Music Group on Monday, claiming, their 1994 contract with Almo Sounds became invalid when Moss, the label's founder, left after the massive record company conglomerate bought it last fall.
According to the lawsuit, which was filed in the California Superior Court for Los Angeles County, Garbage — a project made up mostly of music industry veterans — specifically bargained for a "key man" clause, "because they wanted to make sure that they contracted with an independent label that was operated by [someone] whom they trusted to help promote the band's career."
The lawsuit claims UMG is "effectively holding [singer] Shirley Manson as ransom" by threatening to uphold stipulations in a contract she signed as Angelfish with Radioactive Records (which now is also owned by UMG) — stipulations the suit says have been ignored since Garbage came to fame in 1994.
Radioactive has the option to demand a second Angelfish album (the first was a commercial dud) but has instead collected royalties from Garbage's multiplatinum self-titled and Version 2.0 albums.
Los Angeles lawyer Marc Marmaro, Garbage and the bandmembers — who include Doug Erikson, Steve Marker and Butch Vig — filed the lawsuit, which names UMG, Almo, Radioactive, MCA Records and three other affiliated companies.
The band claims it was forced to take action as a result of "the wrongful, monopolistic and strong-arm tactics" of UMG. It's asking the court to void Garbage's current contract, as well as Manson's Angelfish contract with Radioactive.
A spokesperson at UMG said the company feels the case is meritless. Gayle Fine, a spokesperson for Q Prime, Garbage's management company, said the group did not wish to discuss the case.
Garbage are in Madison recording their third album. According to postings by Manson on the group's official Web site, drummer Matt Chamberlain (Tori Amos and Fiona Apple) worked with the band in the studio last week on a track called "Over a Cup of Coffee."