The Irish Music Rights Organisation (IMRO) has brought court proceedings against POD Concerts seeking more than €432,000 in alleged outstanding royalties related to a series of music festivals going back four years, including the Electric Picnic concerts.
If the monies are not paid, IMRO may proceed with an application to restrain future live music events run by POD Concerts, including this summer's Electric Picnic festival, Mr Justice Peter Kelly was told today.
The judge has adjourned the dispute for three weeks to see if it can be resolved through mediation.
Brian O'Moore SC, for IMRO, said the dispute dated back to 2004 and his side had in correspondence heard a range of excuses from Mr Reynolds for the failure to return either the income details from the concerts in question and the payments themselves.
It was repeatedly stated Mr Reynolds would deal with the matter "tomorrow" but "tomorrow never comes", counsel said. Instead, IMRO were told Mr Reynolds was busy or out of the country or, on one occasion, had a heavy cold.
POD Concerts had suggested at some point it might challenge the tariff imposed by IMRO but no challenge had been brought to date, he added.
In the proceedings, IMRO says it had sought some €180,000 for the three Electric Picnic events of 2004, 2005 and 2006 but had only received on February 29th last two post-dated cheques, dated April 11th, 2008, for a total sum of about €80,000. IMRO said it was not prepared to accept cheques on that basis and had returned them on March 13th, 2008.
POD Concerts had also delayed until February last in providing income returns for Garden Party 2006 and 2007, Love Box 2007 and Eletric Picnic 2007, IMRO claims. On foot of those returns, IMRO sought total payments of about €246,844 but none of those monies were paid, it said.
IMRO says it cannot continue to allow POD Concerts operate in this manner as it had been in "persistent breach" of the licence requirements since the running of Electric Picnic in 2004. POD Concerts were clearly intending to run Electric Picnic again but had no entitlement to do so, Mr O'Moore said.
The company were written to in late April asking to pay the monies due by May 15th last or IMRO would be left with no option but to refuse to licence POD's concert events "going forward". However, POD Concerts, in a letter from its solicitors on May 19th last, had refused to give the undetrakings sought. The legal proceedings were then initiated and include claims for damages.
Martin Hayden SC, for POD Concerts, said his side acknowledged there was an issue between the parties and were not seeking to avoid it. They were prepared to lodge the total amount of disputed funds and let the matter go to mediation.
Mr Hayden said Mr Reynolds had never refused to engage with the matter but there was no agreement on the amount of royalties and there was a difference in how events in Ireland and England were treated. There were two sides to this story, counsel said.
Mr Justice Kelly said there were always two sides to every story but his concern was to have the mater determined as speedily and in as cost effective a manner as possible.
He admitted the case to the Commercial Court list and directed that the total disputed amount of €432,741 be lodged in court and that POD Concerts lodge their defence to the claim within seven days. The judge added he would adjourn the matter for three weeks to see if a resolution could be achieved in mediation.
