Scarinci Hollenbeck, LLC
The Firm
201-896-4100 info@sh-law.comFirm Insights
Author: Scarinci Hollenbeck, LLC
Date: March 30, 2015
The Firm
201-896-4100 info@sh-law.comThe Beastie Boys’ landmark 1989 album Paul’s Boutique made pretty heavy use of samples, and did so without permission. While the music from the album is considered revolutionary, the methods used to create it are fairly illegal. These days even the smallest samples need permission before they enter the public sphere, and the New York rappers’ classic Paul’s Boutique was constructed primarily by sampling. It’s fair to say someone was bound to get upset over it.
TufAmerica is fairly aggressive when it comes to legal action over sampling, and so its no surprise that the label eventually decided to take on the Beastie Boy’s album – the company filed a lawsuit in 2012, one day before the death of Adam Yauch, one of the group’s three members. Last Tuesday U.S. district judge Alison Nathan granted the musicians’ summary judgment, and not because of the importance of Paul’s Boutique or how much each sample was used, but rather because of a mistake on TufAmerica’s part.
The sample in question was of a song by Trouble Funk, composed of group members Robert Reed, Tony Fisher and James Avery. The 1980s R&B and funk group had a deal with Island records that eventually terminated, after which TufAmerica struck a deal with Reed and Fisher and bought up the rights to administer the groups copyrights. Avery was not included in the agreement. Because he wasn’t part of the deal, the license provided to TufAmerica was non-exclusive. This means that the label could only sue on the artists’ behalf, and not on its own terms.
TufAmerica even anticipated that this may happen in the future, and included a clause pertaining to Avery’s absence from the deal within it’s pages, “[t]o the extent that exclusive licenses of any of Avery’s copyrights in the Trouble Funk Copyrights… are necessary for ‘standing’ or similar reasons in connection with filing and maintaining a Trouble Funk Infringement Action, Avery hereby exclusively licenses such copyrights to Tuff City Records for the purpose of filing and maintaining Trouble Funk Infringement Actions.”
However, Nathan noted that just because TufAmerica included the word exclusive in it’s deal with Trouble Funk, does not mean that the company has exclusive rights to sue over use of the group’s music. She noted that TufAmerica’s 2012 filing did not, in fact, have any legal standing, since the label could only sue on the artists’ behalf. Contracts between labels and artists should include clear distinctions between the right to sue on a musician’s behalf, and the exclusive right to sue, to prevent cases like this in the future.
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.

Every lawsuit comes with a cost, and knowing when to settle a lawsuit is one of the most consequential decisions a business owner will face. Experienced litigators understand how to minimize cost and obtain certainty for their clients. For many business owners, the decision is viewed almost entirely through a financial lens: What will it cost […]
Author: Sean M. Pena

Few situations create more uncertainty than learning that an employee has filed a whistleblower complaint. Questions arise immediately: Is the allegation legitimate? Should the employee be placed on leave? Do we need to notify our insurance carrier? Are we now prevented from disciplining the employee if there are unrelated ongoing work related issues? There is […]
Author: Sean M. Pena

When a business reaches the point where it can no longer service its debts or otherwise resolve its liabilities, management is often faced with a difficult question: is a bankruptcy filing necessary or is there another way to perform an orderly liquidation or sale of the business assets? While Chapters 7 and 11 of the […]
Author: John D. Giampolo

For many years, the New Jersey Mansion Tax has been a significant consideration in high-value real estate transactions. Recent legislative changes, however, have substantially altered how the tax operates, including who is responsible for paying it and the amount owed in certain transactions. Whether you are purchasing, selling, or investing in New Jersey real estate, […]
Author: George McGowan

As our personal and financial lives increasingly move online, estate planning must evolve to address a new category of property: digital assets. From email accounts and social media profiles to cryptocurrency and cloud-stored business records, these assets often carry both financial and sentimental value. Yet, without proper planning, they can become inaccessible—or even lost—upon incapacity […]
Author: Marc J. Comer

In today’s mergers and acquisitions market, representation and warranty (R&W) insurance has become a common feature of deal negotiations. Once used primarily in larger transactions, R&W insurance is now frequently incorporated into middle-market deals as buyers and sellers look for efficient ways to allocate risk and close deals. When structured properly, R&W insurance can help […]
Author: George McGowan
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.
Let`s get in touch!
Sign up to get the latest from the Scarinci Hollenbeck, LLC attorneys!