Eswatini Court Rules in Favour of Musician Sands in Royalty Dispute

The High Court of Eswatini has ruled in favour of award-winning musician Sandziso Matsebula, popularly known as Sands, in a copyright dispute involving his debut album, Sands of Time. The court dismissed an application by ICON PB (Pty) Ltd, a company associated with entertainment promoter Phila Dlamini, which sought to be declared the owner of the album's master recordings. The application was dismissed with costs.

According to the High Court judgment, ICON PB had entered into a distribution agreement with Content Connect Africa to distribute Sands' debut album. Under the agreement, Content Connect Africa collected E483 953.80 in gross revenue from the distribution of the album and paid ICON PB E72 900, representing approximately 15.1 per cent of the gross revenue. The remaining E411 053.80 became the subject of a payment dispute between the two companies.

ICON PB instituted proceedings in the Johannesburg High Court in 2019, seeking payment of the outstanding amount, interest, and legal costs. However, Content Connect Africa disputed ICON PB's entitlement to the money, citing questions over the ownership of the album's intellectual property rights and ICON PB's lawful authority to claim licensing fees.

The Eswatini High Court judgment, delivered by Judge Cyril Maphanga, found that ICON PB had failed to establish a lawful claim to the copyright in the recordings, despite relying on an alleged agreement reached during the early stages of Sands' career. The court also noted that ICON PB had not demonstrated that Sands had transferred the relevant copyright to the company through a written agreement signed by him or his authorised agent.

Sands was represented by Bahle Nkonyane of Magagula and Hlophe Attorneys in the Eswatini High Court. The judgment brought to an end the High Court application arising from a dispute over the ownership of recordings produced during Sands' early career. However, the judgment did not determine whether the outstanding royalties were payable to ICON PB, Sands, or another party.

The dispute over the ownership of the album's intellectual property rights and the payment of royalties has significant implications for the music industry in South Africa and Eswatini. The judgment highlights the importance of clear agreements and written contracts in the transfer of copyright and intellectual property rights.

The E411 053.80 in outstanding royalties remains the amount claimed in the South African litigation, and the final outcome of the Johannesburg proceedings is still pending. Sands' victory in the Eswatini High Court is a significant development in the dispute, but the issue of royalty payments remains unresolved.

Key points

• The High Court of Eswatini has ruled in favour of musician Sands in a copyright dispute involving his debut album, Sands of Time.
• ICON PB's application to be declared the owner of the album's master recordings was dismissed with costs.
• The dispute over E411 053.80 in outstanding royalties remains unresolved, with the amount still claimed in the South African litigation.