1

ylS 2

3 t' 4 Df 5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

o

26

27 Mitchell 28

Silberberg &

DAVID A. STEINBERG (SBN 130593) das@,msk.com ANt5REW C. SPITSER (SBN 255917) mem@,msk.com MITCflELL SILBERBERG & KNUPP LLP 11377 West Olympic Boulevard Los Angeles, California 90064-1683 Telephone: (310) 312-2000 FacsImile: (310) 312-3100

Attorn~s for Plaintiff Island Def Jam Music Group

UNITED STATES DISTRICT COURT

CENTRAL DISTRICT OF CALIFORNIA

~ \ \

',- ~ ." ;.;.

~ :,..c:. \ ~ ~

." ..-0 ,

~ (~ "

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27 Mitchell 28

Silberberg & Knu

6068804.8

Plaintiff Island Def Jam Music Group, a division ofUMG Recordings, Inc.

('''IDJ''), alleges as follows:

PRELIMINARY STATEMENT

1. This is an Interpleader action brought by IDJ, which seeks to deposit

with the Court the license fees already agreed upon by both of two competing

claimants to the ownership of the copyrights in the musical composition and

master recording entitled "'Rapper Dapper Snapper." The license agreed upon

relates to the use of a portion, or "sample," of the composition and master

recording of "Rapper Dapper Snapper" in a third sound recording to be released on

an album by one of IDJ's recording artists. Defendants VMG Sal soul LLC and

Edwin Birdsong, an individual doing business as Edwin Birdsong Productions and

Edwin Birdsong Music (collectively, "Defendants"), have claimed that they own all right, title, and interest in the respective copyrights to "Rapper Dapper

Snapper." Moreover, both parties are currently engaged in pending litigation in

this district to determine the true holder of those rights. Because both Defendants

have already agreed upon the terms of the license, all that is left is for the Court to

hold in escrow the agreed upon license fees, which IDJ will deposit, until

resolution of the pending litigation and determination of the proper recipient of

those fees.

JURISDICTION AND VENUE

2. This Court has jurisdiction over this action pursuant to 28 U.S.C. 1335 because diversity exists between Defendants VMG Salsoul LLC (a citizen

2 COMPLAINT IN INTERPLEADER

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27 Mitchell 28

Silberberg & Knu

6068804.8

of New York) and Edwin Birdsong (a citizen of California), the two claimants to the property at issue in this Complaint, which is worth over $500 in value.

3. This Court is the proper venue for this action pursuant to 28 U.S.C.

1391 and 1397 because Defendant Edwin Birdsong is a resident of this judicial district. Likewise, this Court is the proper venue for this action pursuant to 28

U.S.C. 1391 and 1397 because Defendant VMG Salsoul LLC is subject to general jurisdiction in the Courts of this district and therefore "resides" in this district pursuant to Section 1397(c)(2).

THE PARTIES

4. PlaintiffIDJ is a division ofUMG Recordings, Inc. ("UMG"), a corporation organized under the laws of the State of Delaware, having its principal

place of business in Santa Monica, California. IDJ is engaged in the business of,

inter alia, the production of musical sound recordings for sale and distribution.

5. IDJ is informed and believes, and on that basis alleges, that Defendant

VMG Sal soul LLC ("VMG") is a limited liability corporation organized under the laws of the State of Delaware, having its principal place of business in New York,

New York. VMG may also operate under the name and/or conduct business as

"Verse Music Group." Plaintiff is informed and believes, and on that basis alleges,

that VMG is a music publisher, which acquires, owns, and licenses music

publishing rights, master copyrights, writer royalty streams, and other brand related

assets.

3 COMPLAINT IN INTERPLEADER

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27 Mitchell 28

Silberberg & Knu

6068804.8

6. IDJ is informed and believes, and on that basis alleges, that Defendant

Edwin Birdsong, both in his individual capacity and doing business as Edwin

Birdsong Productions and Edwin Birdsong Music (collectively, "Birdsong"), is an individual residing in Los Angeles, California, who has in the past worked as a

songwriter and performing artist.

7. The true names and capacities, whether individual, corporate,

associate, or otherwise, of defendants sued herein as Does 1 through 5, inclusive,

are unknown to IDJ, which sues said defendants by such fictitious names (the "Doe Defendants"). If necessary, IDJ will seek leave to amend this complaint to state their true names and capacities. IDJ is informed and believes, and on that basis

alleges, that the Doe Defendants claim an interest in the Rights (as defined hereinafter) and/or entitlement to the License Fees (as defined hereinafter) that are the subject of this Complaint in Interpleader.

FACTS APPLICABLE TO ALL CLAIMS

8. IDJ is informed and believes, and on that basis alleges, that in or

around 1981, Salsoul Records released an album entitled Funtaztik, embodying

songs both written and performed by Edwin Birdsong, including, inter alia, a song

entitled "Rapper Dapper Snapper" (the "Song").

9. IDJ sought to obtain a "sample" license for both the copyrighted

composition of the Song and the copyrighted sound recording embodying the Song

(collectively, the "Rights"), for use in one ofIDJ's artist's upcoming album releases.

4 COMPLAfNT IN INTERPLEADER

1

2

3

4

5

6

7

8

9

10

11

12

13

14

15

16

17

18

19

20

21

22

23

24

25

26

27 Mitchell 28

Silberberg & Knu

6068804.8

10. On December 21,2011, VMG filed a Complaint in United States

District Court for the Central District of California, Case No. CV 11-10559 RGK

(VBKx), against Edwin Birdsong, an individual d/b/a Edwin Birdsong Music (the "Copyright Suit"). VMG brought claims for copyright infringement and breach of contract arising out of a dispute over ownership of the Rights to the Song.

11. IDJ is informed and believes, and on that basis alleges, that Defendant

VMG is the successor in interest to Salsoul Records.

12. In the Copyright Suit, both VMG and Birdsong claim ownership of

the Rights to the Song. The Copyright Suit is currently pending.

13. IDJ has reached an agreement with both VMG and Birdsong

regarding the material terms of its license of the Rights to the Song (the "License"). Specifically, both Defendants expressly agreed to a one-time "buyout" fee of$75,000 for the license of the sound recording of the Song, plus, in consideration for licensing the copyright to the musical composition of the Song,

the parties have agreed to a 25% interest in the copyright to the reSUlting musical

composition to be created using the sample of the Song (the "License Fees"). On that basis, IDJ has advised the Defendants that it is proceeding with its album

release in good faith reliance on their mutual consent to the License.

14. However, despite each Defendant's agreement to grant the License,

and to its material financial terms, VMG and Birdsong still both claim ownership

of the Rights in the Song, and dispute the other's authority to grant the License.

Moreover, although Birdsong is amenable to having the License Fees held in

escrow by either IDJ or a third party until the Copyright Suit is resolved, VMG has

5 COMPLAINT IN INTERPLEADER

1 been unwilling to agree to such an arrangement, and has demanded payment of the

2 License Fees directly from IDJ. IDJ is in no position to determine the actual owner 3 of the Rights, nor which of the Defendants is, in fact, the proper licensor, as that is 4 precisely the ultimate issue to be determined by the Court in the Copyright Suit.

5

6 FIRST CAUSE OF ACTION FOR INTERPLEADER

7 [By IDJ Against All Defendants] 8

9 15. IDJ repeats and incorporates by reference each and every allegation 10 contained in paragraphs 1 through 14, inclusive.

11

12 16. IDJ has in its possession the License Fees, which have been agreed to 13 by both VMG and Birdsong. 14

15 17. VMG and Birdsong have made conflicting demands for payment of 16 the License Fees. By reason of the conflicting claims ofVMG and Birdsong, IDJ 17 does not know which Defendant is entitled to receive the License Fees, or to which 18 Defendant it should pay the License Fees.

19 20 18. IDJ does not claim any entitlement to retain any part of the License

21 Fees.

22

23 19. Accordingly, concurrent with the filing of this Complaint, IDJ is 24 submitting $75,000 to be so deposited in the registry of this Court. In addition, 25 upon order of the Court determining the owner of the copyright in the musical 26 . composition "Rapper Dapper Snapper," IDJ will execute and submit appropriate

27 Mitchell 28

Silberberg & 6 Knu~~ __ +-____________________________ ~~ __________________________ __

COMPLAINT IN INTERPLEADER 6068804.8

1 documentation reflecting that said party owns a 25% interest in the musical

2 composition identified in the License that contains the sample of the Song.

3

4 WHEREFORE, IDJ prays for judgment against Defendants, and each of 5 them, jointly and severally, as follows: 6

7 1. That Defendants be required to interplead and settle between

8 themselves their rights to the License Fees, including but not limited to in the

9 pending Copyright Suit;

10

11 2. That IDJ be discharged from all liability to Defendants with respect to 12 the License Fees;

13

14 3. That IDJ be discharged from all liability to Defendants with respect to 15 the Rights in the Song, except to the party whom the court shall adjudge to be 16 entitled to the License Fees;

17

18 4. That each of the Defendants be restrained from instituting or

19 prosecuting any action against IDJ for the recovery of the License Fees; 20 21 5. F or costs of suit incurred herein, including attorneys' fees to the 22 extent applicable; and

23

24

25

26 27

II II II II

Mitchell 28 Silberberg & 7 Knupp-'-'-"--_+-___________ ----'-----------------

COMPLAINT IN INTERPLEADER 6068804.8

1 2 3 4 5 6 7 8 9

10 11

12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27

Mitchell 28 Silberberg & Knu

6068804.8

6. proper.

F or such other and further relief as this Court may deem just and

MITCHELL SILBERBERG & KNUPP LLP DAVID A. STEINBERG ANDREW C. ITSER

""-_ .. ,r/-

By:~ __________ ~+-__________ __ David A. Steinber Attorneys for Plaintiff Island Def Jam Music Groun

8 COMPLAINT IN INTERPLEADER