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ARTIST ROYALTIES/DIGITAL DOWNLOADS
The U.S. District Court for the Central District of California decided that the “net receipts” Aftermath Records owes rapper Eminem's early producers ' for the licensing of the artist's sound recordings for permanent digital downloads and ringtone masters ' are to be calculated after the label deducts its mechanical royalty costs for use of the underlying songs and its recording distribution fees. But the district court further found Aftermath's owners couldn't deduct “new medium” and “container” charges when it comes to digital music sales. F.B.T. Productions LLC v. Aftermath Records, 07-3314.
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