A lawsuit over record selections in music appears to be ongoing. Usually, the reason for them is usually related to the sampled work being incorrectly recognized. However, the case with Declan Colgan Music Ltd (DCM) is not related to a sample of King Crimson's "21st Century Schizoid Man" on his 2010 song "Power."
Due to payment issues with West's "Power," DCM (which owns the mechanical rights to the King Crimson song) is suing Universal Music Group (UMG) for streaming royalties. DCM is also looking for all amounts due along with interest.
DCM and UMG agreed to pay a 5.33 percent royalty on each copy of "Power" sold or "otherwise exploited" after sampling the song without a license.
According to the lawsuit, UMG "has failed and continues to fail to comply with its royalty accounting obligations in respect of one mode of exploitation, namely the provision of the Power [r]ecording to consumers through so-called'streaming' services."
DCM claims that UMG should pay streaming royalties based on what the sums would be if these streams had not been physical CD sales, according to the royalty agreement. Instead, UMG has been paying a lower amount, which is the percentage of what they actually receive per stream.