RIAA Math: Sell 1 Million Albums, Still Owe $500k

An anonymous reader writes "For all the complaints from the RIAA about 'pirates,' who are the real pirates in this scenario? Through a variety of contractual tricks, it's nearly impossible for artists signed to major labels to get paid. The article and video detail how an artist who thinks he's getting a 10% royalty is actually getting closer to 2.5% through various tricks placed in the contract. The labels, then, end up with 97.5% of the gross revenue, and anything they 'spend' on the artist continues to come out of the royalties, not the labels' cut."

Comments

Re:Shysters all

[hairyfeet]

Everybody here seems to be missing a big factor....THEY ARE A CARTEL and as such control the gateway to the airwaves!

The little 5 piece I was playing with was quite popular in the region, and had been asked several times by local DJs to come onto their shows and play. But they couldn't play our albums, not a single track, why? "Because we are only allowed to play what is on the list and that is passed down from corporate" which is why they'd have to invite bands they liked to play live, as it was the only loophole that let them keep their jobs.

And it is THAT, that right there, that gives them the power to fuck kids over on contracts. I actually held one of those contracts in my hand and not even being a lawyer could smell the stench. We hired a lawyer who was like "Yeah...if you don't mind not owning any of your songs, having zero control of anything, and probably owing them money when its all done? Go right ahead" so needless to say we walked away. our opening act signed, what happened to them? They had to break up to get out of their contract after the label decided to "change direction" before the first album was even released, they got left holding the bag to the tune of $100,000 for an album they had paid to record themselves for "various promotion expenses" which believe me, they didn't get shit for promo.

So yeah its a scam, but they own the radio, they own the TV, and the fact that they do NOT own the Internet is why they want to shut it down. These are the same pricks that claimed with a straight face that Bat Out Of Hell I, an album that actually set a world's record for length on the top 200, didn't make a cent. Meatloaf ended up filing for bankruptcy while fighting them because he didn't get shit.

So please, rip them off. Copy your asses off, don't pay for shit, because they certainly aren't! Why they aren't busted for RICO is only because of the bags of money they pay congress critters.