George Clinton Files $1.1M Royalty Lawsuit Against UMG

Parliament-Funkadelic legend George Clinton is suing Universal Music Group (UMG), alleging the major has improperly withheld more than $1.1 million in royalties over several years. The case was filed in Michigan and accuses UMG of breach of contract.

Backstory:

• The issue stems from a 2022 lawsuit filed by the estate of Parliament-Funkadelic keyboardist Bernie Worrell.

• The estate claimed 50% ownership rights in certain recordings tied to a 1976 agreement.

• UMG was originally named in the lawsuit but removed in 2023, while the Worrell estate later lost in court and is now appealing the decision.

Royalty freeze:

• Key to Clinton’s dispute with UMG is a 1980 agreement that allows the major to withhold from royalties “such amount as may be reasonably necessary, in Company’s judgment, to protect Company and as are related to the potential liability in issue.”

• Clinton’s complaint says that UMG faces no “potential liability” in the Worrell litigation as it was dismissed as a defendant.

• It also alleges that Worrell’s claim was to a 50% co-ownership interest in recordings during the year 1976, yet UMG is withholding 100% of royalties spanning Clinton’s entire career.

• This includes royalties from recordings unrelated to the Worrell dispute, such as Clinton’s production work with the Red Hot Chili Peppers.

Damages:

• Clinton is seeking more than $1.1 million in unpaid royalties, interest and profits allegedly earned on the withheld funds, and an injunction preventing UMG from continuing to withhold royalties.