Latest news with #HipgnosisSongsFund
The Independent
28-02-2025
- Business
- The Independent
Part of claim against Barry Manilow to be paused in England, judge rules
Part of a claim against Barry Manilow over unpaid royalties and a bonus to the singer should be paused in England while similar legal action in the US is ongoing, a High Court judge has ruled. Hipgnosis Songs Fund has had an agreement with Manilow since 2020 where the US singer would provide his worldwide earnings in return for a 1.5 million dollar (£1.19 million) bonus if Hipgnosis met two performance targets. The first was that the cash income from its share of the assets increased by 10% year-on-year for three years, after which the first half of the bonus would be paid. The second half would be paid if this target was hit for a fourth year running. Manilow claims these conditions have been met and is seeking the money through the courts in Los Angeles. Hipgnosis said it has not met these targets and, therefore, does not need to pay out. The company is bringing legal action at the High Court in London saying Manilow had not paid royalties he owed and wanted the other part of the claim, referred to as the purchase price claim, to be heard in England as well. But Mr Justice Marcus Smith ruled on Thursday that the English proceedings for the purchase price should be paused while the part of the claim relating to royalties can continue. In a written judgment he said this was 'the appropriate order to make', adding: 'I conclude that the defendant is entitled to a stay as of right, but if I am wrong on this, I consider that this court should not exercise any jurisdiction which it may have.' Lawyers at a previous hearing at the High Court each claimed that the opposing side was trying to impede the other by pushing for alternative jurisdictions. Edmund Cullen KC, for Hipgnosis, described the US legal action as a 'tactical measure' while Andrew Sutcliffe KC, for Manilow, said having the full case heard in London would 'spike the guns' of his client.
Reuters
27-02-2025
- Business
- Reuters
Hipgnosis' UK lawsuit against Barry Manilow over $1.5 mln cannot proceed, court rules
LONDON, Feb 27 (Reuters) - Music investor Hipgnosis Songs Fund cannot sue singer Barry Manilow in Britain in a dispute about a $1.5 million bonus payment, London's High Court ruled on Thursday, but the fund can continue its case for some allegedly unpaid royalties. Hipgnosis last year brought a lawsuit in London against Manilow, 81, who just over two weeks later brought a separate case against Hipgnosis in Los Angeles, California. The dispute centres on a $7.5 million deal signed in 2020 for Hipgnosis to buy the rights to Manilow's music catalogue, which includes hits such as "Mandy" and "Copacabana". Under the agreement, Manilow was entitled to a further $750,000 if the revenue Hipgnosis received increased by 10% year-on-year for the first three years, with another $750,000 due if the increase was sustained over four years. Hipgnosis sought a ruling in London that Manilow was not entitled to the $1.5 million and also for the payment of royalties paid by Sony Records to Manilow or his companies. Manilow, however, argued the dispute over the $1.5 million should be heard in California, as his agreement with Hipgnosis allowed him to choose to sue in the U.S. about that issue. Judge Marcus Smith ruled on Thursday that Hipgnosis and Manilow's deal gave Manilow the choice whether to sue in Britain or the U.S. about the additional $1.5 million. He put Hipgnosis' case about the additional payments on hold, but allowed the parts of its lawsuit about allegedly unpaid royalties to continue in London. Hipgnosis said the case concerned "a routine commercial matter concerning the interpretation of certain clauses in a contract regarding bonus payments". A spokesperson said: "While we regret that this couldn't be resolved directly between the parties, we continue to hold Barry and his music in the highest possible regard, and we are confident that this can be resolved in a fair and reasonable way." Manilow was not available for comment. Hipgnosis, which owns the rights to music by artists such as Shakira and Red Hot Chili Peppers, was co-founded by music industry veteran Merck Mercuriadis, who has managed Elton John and Beyonce, and Chic's Nile Rodgers. It was bought by Blackstone, the world's largest private equity firm, for nearly $1.6 billion last year.
