Royalties

19 Recordings, the entity that enters into record deals with the recording artists who win American Idol, has sued Sony Music for allegedly stealing millions of dollars after underpaying the company in terms of royalties. The 33-page complaint, available after the jump, opens with a list of American Idol success stories and then documents in detail how Sony Music reportedly stole millions from them. 

According to the suit, Sony misclassified streaming music sales to pay 19 Recordings less than what the company was owed.  Another claim is that Sony was supposed to obtain approval from 19 Recordings after a certain ceiling cost for advertising was reached, but Sony failed to seek that approval before spending 19 Recordings’ royalties without its consent. The remaining allegations similarly claimed underpayment for royalties, improper passing of expenses on 19 Recordings, not allowing 19 Recordings to audit all of Sony’s books, and claims related to royalties for individual artists.

Interestingly, 19 Recordings filed in federal court. 19 Recordings is the little guy in this action — with the backing of name brand stars — and it seems that the company might fare better in state court.  The suit comes just after Season 13 of the show premiered on Fox.  The suit seeks $7 million in damages and $3 million in prejudgment interest.

Keep reading to see the complaint…

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Edward Snowden

* Edward Snowden, the computer technician who leaked details on the programs the NSA didn’t want you to know about, sacrificed his life to save your privacy’s soul. Thanks a bunch, Technology Jesus! [CNN]

* While we wait for Fisher, DOMA, and Prop 8, if you’d like some background info on the people behind the most controversial and talked about SCOTUS cases of the term, give this one a read. [NBC News]

* If a justice claims he’s never met a homosexual and he’s got a gay law clerk, telling him to “look around [his] chambers” to find one is the NKI. My, how times have changed since the mid-80s. [New York Times]

* In 2012, Justice Sotomayor earned $1.9 million in royalties from her memoir, My Beloved World (affiliate link). Yeah, her world is probably so beloved because she’s rolling around in money. [Blog of Legal Times]

* Howrey going to make use of this empty wall space? If you’re in the market for some art, this bankrupt firm’s decor will be up for auction in D.C. later this week. [Bankruptcy Beat / Wall Street Journal]

* When you’re dealing with the most beautiful people in Biglaw, the price for pretty is high: Davis Polk was slapped with a million-dollar lawsuit over a recruiter’s fee. [Thomson Reuters News & Insight]

* Gerald Shargel, criminal defense attorney to the Mafia stars, is retiring his shingle to join Winston & Strawn. Biglaw better keep him entertained — he gets bored easily. [DealBook / New York Times]

* Cory Booker, one of everyone’s favorite Yale Law School grads, announced his candidacy for a New Jersey Senate seat over the weekend. Best of luck in the special election! [The Note / ABC News]

* The feds are seeking a four-year sentence for former Rep. Jesse Jackson Jr. in his campaign funds misuse case. No MJ memorabilia is worth prison time, no matter how big a fan you are. [The Hill]

* “[I]f you ever call me on my cellphone again, I’ll strangle you.” Yikes. Looks like this Kentucky judge won’t have the chance to wring his hands around lawyers’ necks any time soon. [Courier-Journal]