Tit For Tat In Hawthorne Heights-Victory Records Legal Dispute

Victory Records has filed a countersuit against Hawthorne Heights in relation to the lawsuit launched against the label last month by the unhappy emo-punk band.
The group accused Victory of fraudulent accounting practices that have denied them royalty payments and said that bullying tactics used by label CEO Tony Brummel had damaged their reputation and relationship with their fans. They also sought to terminate their contract with the Chicago-based label.
Victory's countersuit, which was filed last Friday, accuses Hawthorne Heights of breach of contract and libel for the "manifesto" that the group posted on their website. The post was highly critical of Victory and the way it does business.
The countersuit denies claims that Brummel told Victory's street promotion teams to visit stores and hide copies of Ne-Yo's In My Own Words album as part of an unsuccessful effort to try and push HH's If Only You Were Lonely to #1 on the U.S. sales chart in its first week of release. It also counters claims that the group have been undercompensated for their sales and that HH own the rights to their master recordings.
"The case filed by the plaintiffs in this action is really about greed, despite the unfounded and spurious laundry list of allegations made concerning Victory Records... and its founder and owner, Anthony Brummel, who are responsible for putting the group on the map," says the countersuit.
"The plaintiffs are now willing to say anything — no matter how untrue or defamatory — as a strategy designed to free themselves from their legal obligations to the independent record label that made them famous, in favor of the 'greener pastures' and financial inducements offered by so-called 'major' record distribution companies. Unfortunately, it is a common story in the music business."
Victory signed Hawthorne Heights in 2003 and claims that the band have earned $4 million U.S. on concert ticket and merchandise sales, which the label didn't receive any of, since then. It says that the group have been actively seeking a major label deal despite owing Victory two more albums. The label also claims that it owns the master rights to the two albums that HH have recorded for it, as well as the trademark on the band name.
The suit says that the group's "manifesto" has damaged its reputation in the music industry and demoralized Victory's staff. It doesn't specify the amount of damages that the label is seeking.
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