January 19, 2010

By By Cortney Harding, N.Y.

Metal label Prosthetic Records has filed suit against Razor & Tie in the U.S. District Court in the Southern District of New York. The suit centers on a disagreement regarding the expiration date of Prosthetic's contract with Razor & Tie, and alleges Razor & Tie breached its distribution agreement with Prosthetic.

In the suit, Prosthetic claims that its distribution agreement with Razor & Tie expired on Jan. 1, 2010, and is of no further force and effect, other than those obligations that run from Razor & Tie to Prosthetic following the expiration of the term of the Distribution Agreement, and is not binding on Prosthetic. According to the complaint filed by Prosthetic, Razor & Tie claims the agreement has not expired.

Prosthetic also claims that Razor & Tie failed to comply with the distribution agreement, alleging it did not deliver 10 out of 12 releases to digital outlets in a timely manner, and did not release the band Skeletonwitch's album to Canadian retailers and iTunes Canada.

The suit also alleges Razor & Tie failed to render proper and accurate accountings to Prosthetic, including, but not limited to, failing to properly account for Bulk CDs, digital revenue and reserves; and distributed digital copies to foreign territories outside the authorized territory of the Distribution Agreement. Prosthetic is seeking release from its contract, as well as damages of no less than $100,000 plus interest.

In an e-mail, a representative from Razor & Tie wrote, "Razor & Tie does not comment on pending litigation."

Subscribe to Billboard magazine today!