In a major legal development, Limp Bizkit, fronted by Fred Durst, along with Flawless Records, has initiated a lawsuit against Universal Music Group (UMG) seeking over $200 million in unpaid royalties. This legal action was filed in the U.S. District Court for the Central District of California and alleges that the band has not received any streaming royalties from nearly half a billion streams since their recent surge in popularity.
Durst aims to terminate all contracts with UMG on behalf of Limp Bizkit and Flawless Records. The lawsuit alleges breach of contract, fraudulent concealment, copyright infringement, and other serious claims. The complaint highlights a significant rise in Limp Bizkit’s value, reportedly growing 30-40% annually since 2017, with a surge of approximately 68% in the past year, despite no new music releases. The lawsuit states, “Despite this tremendous comeback, the band had still not been paid a single cent by UMG in any royalties until taking action against UMG.” It further accuses UMG of designing royalty systems that conceal artists’ royalties while retaining profits, impacting potentially hundreds of other artists whose royalties have also been withheld.
In April 2024, following the hiring of new legal representation, Durst disclosed that UMG had withheld royalties to recuperate an alleged $43 million spent on the band over the years. The situation raised further concerns when the former owner of Flip Records alerted Durst that substantial payments had been received from Limp Bizkit’s assets via UMG.
The lawsuit details discrepancies in UMG’s accounting practices, claiming the company failed to provide a thorough accounting of recoupment costs, stating that no royalty statements had been issued for several key years, particularly during the peak of Limp Bizkit’s career from 1997 to 2004.
Furthermore, UMG’s statements revealed that the band’s 2005 album, Greatest Hitz, yielded no royalties due to unrecouped losses, a situation that continued as recently as late 2022. The legal action includes claims regarding the lack of royalty statements for the band’s fourth album and several music videos during critical periods of their career.
