Bit Parts

Artist Consultant/Unfair-Competition Claim

The California Court of Appeal granted an anti-SLAPP motion by long-time artist-rights consultant Thomas A. White to strike an unfair-competition suit filed against him by a law firm in the state. Gray & Associates P.C. v. White, B194898. White's stationery describes him as 'Consultant, Record and Music Pub-lishing Industries, Creative, Business and Legal Aspects.' The anti-SLAPP statute, Calif. Civ. Code Proc. Sec. 425.16, allows a party to strike a lawsuit that arises from the exercise of free speech. White, who isn't a lawyer, claimed exercise of free speech in speaking at entertainment-industry seminars. The court of appeal noted in its unpublished opinion: 'Indeed the majority of the allegations in Gray's complaint relate to White's speech in public forums on the issue of artists' intellectual property rights. ' Gray introduced no evidence to show that White furnishes advice to his clients or to the participants in seminars on subjects involving 'difficult or doubtful legal questions' whose resolution 'demand[s] the application of a trained legal mind.' Gray offered no testimony from any of White's clients describing advice they received from White. It offered no transcripts or notes from any of White's seminars reflecting the type of advice he gave there. And, it
failed to present testimony from any seminar participant who was led to believe by White's statements that he was licensed to practice law.'

Insurance/Intra-Band Litigation

The U.S. Court of Appeals for the Ninth Circuit decided that keyboardist Ray Manzarek and Doors Touring Inc. (DTI) could proceed with their breach-of-contract claim against their insurer for failure to defend them against suits brought by Doors drummer John Densmore and the estates of lead singer Jim Morrison and his girlfriend Pamela Courson. Manzarek v. St. Paul Fire & Marine Insurance Co., 06-55936. Densmore and the estates filed trademark-infringement actions over use of 'The Doors' name in conjunction with proposed tours by Manzarek and group guitarist Robby Krieger. St. Paul Fire had declined to defend the suits by citing a 'Field of Entertainment Limitation Endorsement' in Manzarek's and DTI's commercial general liability policies with the insurer. But in the suit by Manzarek and DTI against St. Paul, the appeals court found in part: '[T]he Underlying Lawsuits allege that Manzarek and DTI marketed products and merchandise at their concerts and on The Doors official Web site. The Underlying Lawsuits, however, are silent about what type of products and merchandise that Manzarek and DTI produced and marketed. For all St. Paul knew when it denied coverage, the products marketed by Manzarek and DTI included guitars, t-shirts, and perhaps (although we realize it is not likely) salad dressing bottles with The Doors logo and/or Morrison's likeness affixed to them. These allegations raised a potential for coverage under the Policies [advertising injury portions].'

Royalty Complaint/Ringtone and Download Licenses

The U.S. District Court for the Southern District of New York allowed The Youngbloods to amend their class-action complaint, which seeks 50% of net income ' rather than a 5% royalty rate for retail sales ' that BMG Music receives from ringtone and download licenses it issues for the 1960s band's sound recordings. The Youngbloods v. BMG Music, 07 CV 2394 (GBD). The amended complaint will allege that the digital licenses are on the flat-fee or cent-rate basis covered by the 50% provision in the band's BMG contract. However, the district court dismissed the plaintiffs' claim for breach of implied covenant of good faith, finding it duplicated the lawsuit's breach-of-contract claim.

TV-Affiliation Agreements/Promotional Payments

The U.S. District Court for the Western District of North Carolina, Charlotte Division, held that CBS Broadcasting was obligated to continue making $400,000 annual promotional payments under affiliation agreements with two TV stations, after the stations' parent company merged with another company. Lincoln Financial Media Co. v. CBS Broadcasting Inc., 3:07cv062. The affiliation agreement between CBS and the stations stated of the promotional-payments provision: 'This paragraph shall be of no further force and effect in the event that Jefferson-Pilot [Communications Co. (JPCC)] assigns or transfers any interest in either Station.' CBS argued that JPCC ceased to exist after its parent, Jefferson Pilot Corp., merged with Lincoln National Corp. But the district court noted: 'The Plan of Merger anticipated that both Jefferson-Pilot Communications/ WBTV, Inc. and WCSC, Inc. would retain their 100% ownership interests in their respective television stations and would remain the licensees for the stations. ' In April 2006, following the JP/Lincoln National merger, JPCC continued to exist as a subsidiary of the Merger Sub [holding company]. JPCC then filed an Amendment to its Articles of Incorp- oration to reflect its name change to Lincoln Financial Media Company. ' The undisputed facts further establish that the entity known as Lincoln Financial Media Company (Plaintiff) did not exist as a division or subsidiary of Lincoln National prior to the merger, nor was it created out of the merger. ' Rather, Lincoln Financial Media Company was merely the new name selected for the entity known as JPCC Company prior to the merger.'

Artist Consultant/Unfair-Competition Claim

The California Court of Appeal granted an anti-SLAPP motion by long-time artist-rights consultant Thomas A. White to strike an unfair-competition suit filed against him by a law firm in the state. Gray & Associates P.C. v. White, B194898. White's stationery describes him as 'Consultant, Record and Music Pub-lishing Industries, Creative, Business and Legal Aspects.' The anti-SLAPP statute, Calif. Civ. Code Proc. Sec. 425.16, allows a party to strike a lawsuit that arises from the exercise of free speech. White, who isn't a lawyer, claimed exercise of free speech in speaking at entertainment-industry seminars. The court of appeal noted in its unpublished opinion: 'Indeed the majority of the allegations in Gray's complaint relate to White's speech in public forums on the issue of artists' intellectual property rights. ' Gray introduced no evidence to show that White furnishes advice to his clients or to the participants in seminars on subjects involving 'difficult or doubtful legal questions' whose resolution 'demand[s] the application of a trained legal mind.' Gray offered no testimony from any of White's clients describing advice they received from White. It offered no transcripts or notes from any of White's seminars reflecting the type of advice he gave there. And, it
failed to present testimony from any seminar participant who was led to believe by White's statements that he was licensed to practice law.'

Insurance/Intra-Band Litigation

The U.S. Court of Appeals for the Ninth Circuit decided that keyboardist Ray Manzarek and Doors Touring Inc. (DTI) could proceed with their breach-of-contract claim against their insurer for failure to defend them against suits brought by Doors drummer John Densmore and the estates of lead singer Jim Morrison and his girlfriend Pamela Courson. Manzarek v. St. Paul Fire & Marine Insurance Co., 06-55936. Densmore and the estates filed trademark-infringement actions over use of 'The Doors' name in conjunction with proposed tours by Manzarek and group guitarist Robby Krieger. St. Paul Fire had declined to defend the suits by citing a 'Field of Entertainment Limitation Endorsement' in Manzarek's and DTI's commercial general liability policies with the insurer. But in the suit by Manzarek and DTI against St. Paul, the appeals court found in part: '[T]he Underlying Lawsuits allege that Manzarek and DTI marketed products and merchandise at their concerts and on The Doors official Web site. The Underlying Lawsuits, however, are silent about what type of products and merchandise that Manzarek and DTI produced and marketed. For all St. Paul knew when it denied coverage, the products marketed by Manzarek and DTI included guitars, t-shirts, and perhaps (although we realize it is not likely) salad dressing bottles with The Doors logo and/or Morrison's likeness affixed to them. These allegations raised a potential for coverage under the Policies [advertising injury portions].'

Royalty Complaint/Ringtone and Download Licenses

The U.S. District Court for the Southern District of New York allowed The Youngbloods to amend their class-action complaint, which seeks 50% of net income ' rather than a 5% royalty rate for retail sales ' that BMG Music receives from ringtone and download licenses it issues for the 1960s band's sound recordings. The Youngbloods v. BMG Music, 07 CV 2394 (GBD). The amended complaint will allege that the digital licenses are on the flat-fee or cent-rate basis covered by the 50% provision in the band's BMG contract. However, the district court dismissed the plaintiffs' claim for breach of implied covenant of good faith, finding it duplicated the lawsuit's breach-of-contract claim.

TV-Affiliation Agreements/Promotional Payments

The U.S. District Court for the Western District of North Carolina, Charlotte Division, held that CBS Broadcasting was obligated to continue making $400,000 annual promotional payments under affiliation agreements with two TV stations, after the stations' parent company merged with another company. Lincoln Financial Media Co. v. CBS Broadcasting Inc., 3:07cv062. The affiliation agreement between CBS and the stations stated of the promotional-payments provision: 'This paragraph shall be of no further force and effect in the event that Jefferson-Pilot [Communications Co. (JPCC)] assigns or transfers any interest in either Station.' CBS argued that JPCC ceased to exist after its parent, Jefferson Pilot Corp., merged with Lincoln National Corp. But the district court noted: 'The Plan of Merger anticipated that both Jefferson-Pilot Communications/ WBTV, Inc. and WCSC, Inc. would retain their 100% ownership interests in their respective television stations and would remain the licensees for the stations. ' In April 2006, following the JP/Lincoln National merger, JPCC continued to exist as a subsidiary of the Merger Sub [holding company]. JPCC then filed an Amendment to its Articles of Incorp- oration to reflect its name change to Lincoln Financial Media Company. ' The undisputed facts further establish that the entity known as Lincoln Financial Media Company (Plaintiff) did not exist as a division or subsidiary of Lincoln National prior to the merger, nor was it created out of the merger. ' Rather, Lincoln Financial Media Company was merely the new name selected for the entity known as JPCC Company prior to the merger.'