The lawsuit filed on March 31st and first published by Radar Online, spells out how Sony has been using fuzzy accounting to underpay Paisley. A similar lawsuit was also filed by Paisley in December of 2011, only to find out that a clause in Paisley’s contract precluded the performer from being able to see the complete accounting records for songs he had written between 2002 and 2006. The amended lawsuit submitted by Attorney Andrew Coffman to the Supreme Court of the State of New York says in part,
Throughout the course of this litigation Paisley has learned the details of the matter in which Defendant violated Paisley’s rights under the terms of the agreements of the two parties. For instance, the proposed Amended Complaint sets forth specific areas of underpayment which were previously unknown to Paisley including, but not limited to underpayments based on improper retail to wholesale price conversions, improper use of wholesale prices to calculate royalties, improper calculations of returns, improper calculations of when escalation royalties should have applied, the improper deduction of free goods from Paisley’s royalties, and failure to report all sales on Paisley’s royalty statements.
Brad Paisley signed his first contract in 1997 with EMI, which eventually became and Arista Nashville contract—a wholly-owned subsidiary of Sony. In February of 2002, Paisley’s contract was extended. In 2006, an accounting firm hired by Paisley found that the accounting for Paisley’s royalties between September 1st, 2001, and December 31st, 2005 by Sony “were not accurate.” When the accounting firm asked for additional records from Sony to complete the third-party investigation, Sony first said they would comply, but then after a prolonged, 3-year delay, refused to turn over certain records needed for the audit. Additionally the Paisley lawsuit says he objects to “each and every royalty statement issued by Sony for the royalty periods from January 1, 2010 through the present.”
Brad Paisley is not alone in suing Sony over underpayed royalties. In late February of 2014, 19 Recordings, the company behind the contracts of all of the American Idol winners, including Brad Paisley’s long-time CMA Awards co-host Carrie Underwood, also sued Sony for $10 million, claiming once again that the way the company calculated its royalties was unethical, and against the artist’s standing contracts.
Despite Paisley’s standing feud with Sony, it hasn’t put a dent in his album output. He recently released a new song “River Bank” that is the first single from a currently-untitled upcoming album.