The BCD Music Group sets the records straight on Atlantic Records lawsuit

Yo, in a bit of insider news, I got this written statement from the peoples over at the BCD Music Group, Inc concerning their side of the story on the lawsuit that the Atlantic Recording Corporation or you might refer to as Atlantic Records, filed against them and Mixtrap.com (see here) for the release of 2 mixtapes featuring Gucci Mane & Plies. I think this is an interesting read because this is a reputable organization. For all you copy cat, so-called mixtape-only DJs that sell or post unsanctioned tracks beware! The BCD Music group writes:

BCD Disputes Atlantic’s Claims
BCD is a reputable Texas-based independent music and video distributor engaged in the distribution of finished master sound recordings. BCD has an excellent reputation in the independent marketplace and is well-respected in the world of independent retail. BCD has over 500 titles in its catalog ranging from urban, to rock and alternative, to classical, to country, to comedy, and to children’s titles.

BCD legitimately believes that it had proper authorization from the respective artists’ representatives as well as employees of Atlantic’s marketing department to distribute the Plies “Real Definitions” mixtape and the Gucci Manes “No Pad No Pencil” mixtape. However, promptly after receiving notice from Atlantic’s legal department (and prior to the legal action being commenced) BCD stopped selling both mixtapes – and BCD advised Atlantic that it would cooperate to resolve the dispute without the need for litigation. Even so, Atlantic maliciously filed suit against BCD in Federal Court in the Southern District of New York alleging copyright infringement.

Although BCD cooperated in removing the mixtapes from the distribution chain, BCD vigorously disputes Atlantic’s position in the case. BCD believes that the marketing people at Atlantic condone the sale of mixtapes to build awareness of a particular artist’s forthcoming studio album but, in a classic case of the right hand not knowing what the left hand is doing, the Atlantic legal department then comes to court with “unclean hands” and tries to punish BCD for doing precisely what Atlantic authorized it to do.

BCD fully expects to prevail in the event that Atlantic pursues the case any further.

How the Record Business Marketplace Works
Four “major” record company distributors, Universal Music Group, EMI/Capitol, SONY/BMG and Warner Music (of which plaintiff, Atlantic Records, is a subsidiary) generally control the marketplace for recorded music in a near monopolistic fashion.

Despite the ongoing efforts of these major record labels to control the marketplace and eliminate the smaller independent competitors, there is still a small, niche market in which independent distributors, such as BCD, thrive and survive.

How the Mixtape Marketplace Works
BCD sometimes distributes what are commonly known in the record industry as “mixtapes” which are usually sold in small quantities prior to the formal release by a major record company of a hip-hop recording artist’s studio-made album.

The mixtape format has become increasingly popular as a way of generating awareness and publicity for urban hip-hop artists. An unsigned artist might release several mixtapes to generate a grassroots groundswell of interest (or what is know in the industry as a “buzz”), leading to interest in that artist from the major record labels. An artist already signed to a major record label might release a mixtape album with full knowledge and support of the major label to promote a future studio album, relying on word of mouth about that mixtape to increase the artist’s credibility (or “street cred”) with the artist’s fans. The personnel in the marketing and promotion departments of the major record labels often encourage this behavior while the label executives and legal department look the other way since it benefits the artist’s public profile and leads to increased awareness and, therefore, increased sales of the forthcoming studio album and increased revenues for the major record companies. That is precisely what happened in this case.

Often each individual song recorded (referred to individually as a “track”) on a promotional hip-hop mixtape will feature a particular artist and contain numerous collaborations, remixes, freestyles and voice-overs, often arranged in a specific flowing fashion by a particular remix DJ (who may also add verbal flourishes or “shout outs” between and during the various tracks naming the artist and maybe even its record label so the artist’s fans build awareness of the forthcoming studio album). Most hip-hop mixtapes are professionally packaged with a pressed CD and artwork, Hip-hop mixtapes are usually given out at the artist’s live shows, or sold on the street, through independent record dealers or by mail order. Many mixtapes are also sold or given away for free in Mp3 format over the internet.

In a recent documentary film entitled “Mixtape, Inc.” the filmmakers attempted to show the importance of the practice and how it relates to the growing popularity of this music genre. Hip-hop mixtapes have been instrumental in supplementing the marketing and promotional endeavors of the major record labels, and are generally utilized by major recording acts with the implicit support of their major record labels. In some cases there are even provisions in an artist’s recording contract that acknowledge and permit such activities.

For further information contact:
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