Use of Sample in Rap song Held Fair Use by Second Circuit

Estate of James Smith v. Graham, No. 19-28, 2020 WL 522013 (2d Cir. Feb. 3, 2020).

On February 3, 2020, the Second Circuit issued a summary order affirming a finding by the Southern District of New York that Drake and Jay-Z’s sampling of the jazz song “Jimmy Smith Rap” in their song “Pound Cake” was fair use. The court found three of the four fair use factors weighed in favor of fair use. As to factor one, the court found that the use was transformative because “Pound Cake” sent a message that was counter to that of “Jimmy Smith Rap,” and “Pound Cake” is a seven-minute song featuring only thirty-five seconds of “Jimmy Smith Rap” in its beginning. As to factor two, the court stated that it is of “limited usefulness” where the use is transformative.  The court also found the third factor weighed in favor of fair use because the amount used by Drake and Jay-Z was reasonable in sending their transformative message. Finally, the court deemed that “Pound Cake” did not usurp the market for “Jimmy Smith Rap” because there is no evidence that an active market for it exists. As a result, the sampling was fair use.

Labels Participate in Judicial Forum, Waive Arbitration

Lockett v. Tuff City Records, No. 602900/08, NYLJ 9/25/2009 "Decision of Interest" (Sup. Ct., N.Y. Co. Sep. 21, 2009)

Defendants, record labels and their principals, waived right to arbitration by actively participating in judicial forum. Plaintiffs' action sough monies allegedly owed for royalties. Defendants answered, but did not plead arbitration as an affirmative defense. Moreover, the arbitration demand was made nearly eight months into the litigation, after Defendants had made discovery demands. Additionally, defendants failed to establish that plaintiffs' claims were subject to the alleged arbitration clause in a 1986 recording contract because the songs at issue were recorded prior to 1986. Thus, Plaintiffs' motion to permanently stay arbitration granted.

The Court also denied defendants' motion to dismiss for misjoinder of plaintiffs; instead, the court severed the individual plaintiff's claims and ordered them to obtain a no-fee index number and serve their own complaint within 30 days.

Lastly, the Court denied defendants' motion to remove the action to Small Claims court; and denied both plaintiffs' and defendants' motions for sanctions.

Fees Denied in Hip-Hop Bankruptcy

Anthony Lin, "Criticizing Firm, Judge Denies Fees in Hip-Hop Bankruptcy", 4/15/08 N.Y.L.J. at p. 1. ("A Bankruptcy judge has slammed a New York law firm for putting its own desire to be paid above the interests of its client [Source Enterprises Inc.] in a Chapter 11 proceeding.").

In re Source Enterprises Inc., No. 06-11707, 4/17/08 N.Y.L.J. "Decision of Interest" (Bkrcy. S.D.N.Y. Mar. 27, 2008).

There's Something About Remy - Which Might Cost Her Millions!

Violence in the world of hip-hop made its way to the Federal District Court, Southern District of New York with the filing of a $20 million lawsuit against Bronx-NY artist Remy Ma (and various other parties, including her label Universal). The suit alleges that defendants aided and abetted a violent promotion of the artist, leading to a violent attack (including a gun shot wound) to the plaintiff. Thereafter, defendants allegedly defamed plaintiff by accusing her of committing a crime leading to the violent/shooting incident.

Background information on the shooting-incident is available here (Wiki) and here (MTV).

The suit is mysteriously absent from Remy Ma's MySpace page - though, you can shoot her an e-mail and book her for an up-coming Bar Mitzvah...

[Makeda Barnes-Joseph v. Remy Smith pka Remy Ma; Remy K Smith pka Remy Martin; Remynisce Music Inc.; New Era Entertainment Inc.; Joseph Sherman aka Joseph Sherman; Jennifer Turner; Sure Shot Recordings Inc. aka Sure Shot Records; Chris Landry; Reach Global Inc.; Michael Closter; Street Records Corp. aka SRC; Steve Rifkind; Universal Music Group Inc.; Universal Music Investments Inc.; Universal Music Group Distribution Corp.; Douglas Morris; Universal Music Canada; Padell Nadell Fine & Wienberger LLP; Pop 3 LLC dba Pizza Bar; The Pizza Bar Inc.; Sasha Tcherekoff; Does 1-3. Filed 12/21/2007; case CV-11464 .]

Flashing Bling

Damon Dash, co-founder of Roc-A-Fella records with Jay-Z, was sued in New York Supreme Court (N.Y. Co;) for allegedly flashing his "bling" (i.e., genitalia) at a club in Miami, Florida...and, allegedly trying to make plaintiff perform oral sex. Due to his high-profile -- which includes Rocawear clothing ventures, work with Posh Spice, and a reality TV show-- should bring some attention in the gossip tabloids.

Oh, and did we mention that he is married? And, has a daughter with his wife, fashion designer Rachel Roy? Try explaining THAT ONE to your kids after work...

[Jamie Roberts v. Damon Dash; filed 12/17/2007; case 07-116694]