Simply Red Sues EMI

Manchester pop band Simply Red is suing EMI for at least £300,000 that it says it’s owed on sales of its Greatest Hits album.

The act says the U.K.-based label is responsible for the money lost when music distributor Entertainment UK – the Woolworths network – went down owing money from the sales of nearly 52,000 copies of the album.

According to a writ filed at the High Court, Simply Red appointed EMI as exclusive distributor and reseller of the album last September. It’s also reported that one clause in the contract says that, in the case of a third-party going under and leaving unpaid debts, EMI would make up the shortfall.

The record company agreed to pay Simply Red an advance of £750,000 plus a share of net sales, once the advance had been recouped.

“We’re doing everything we can to recover the money that Entertainment UK owes us in connection with Simply Red and are fully committed to sharing the proceeds with them,” an EMI spokeswoman told the Daily Mail.