A record label is an organization that discovers an artist, gets the best song writers, best producers, records and promotes the artist so that he becomes a success and a star, but most importantly, makes money for the label.
The Artists in some cases are paid a sign on fee, it is of import to note that the record label bares all expense and is expected to make its money back from the success of the artists revenue thru percentages AFTER all expenses on the artists have been paid for
In recent times, record labels have dragged their artistes to police stations and even to courts over breach of contract.
We presents 10 artistes that have had issues with their record labels.
1. Runtown And Ericmany Entertainment
Douglas Jack Agu, better known by his stage name, Runtown, shot into limelight with his hit song, Gallardo, featuring Davido, which garnered about 418,000 views on VeVo in two months. This probably impressed the management of Ericmany Records because they signed him onto the record label shortly after in 2014. Runtown terminated his deal with Ericmany Entertainment in May, 2016. Runtown was sued in the Federal High Court by Ericmany on allegations that he signs up, concludes and attends musical shows without the knowledge of the label. On his own part Runtown cited money problems, threat to life and gross disrespect from his label CEO, Prince Okwudili Umenyiora aka Dilly.