case study

BUS216 – Final Paper – Case Study: The Rock Group
You are a first year, inexperienced attorney representing a rock group. Recently the group has told you that it wants to get out of its present recording contract in order to take advantage of a much better offer. The group’s contract is a “new kid” agreement common in the recording industry. The group complains, and you agree, that the terms of the contract heavily favor the recording company. For example, although the contract calls for the group to make eight records, the company can drop the group at any time. In contrast, however, under the contract, your client (the rock group) cannot terminate the agreement at will (i.e. whenever it wants to), but instead must stay with the recording company and make all eight recordings. However, these could take twelve years to produce.
The rock group entered into the contract, before you represented them, at a time when the members were all just out high school. In your opinion, had you been there to represent them, you probably could not have secured a much better deal. The above kinds of contractual terms are standard throughout the recording industry. In this regard, record companies say they have to rely upon “new kid” contracts to balance the financial risks of signing and producing many new artists, most of whom do not pan out.
A lawsuit requesting a court to release the group from its contract could go on for years. You know about another legal strategy, however, that could generate the same result much sooner — declaring bankruptcy. Under federal bankruptcy law, the courts may free debtors from contracts the court views as burdensome. You realize, although you have not yet shared this with the rock group, that it might be able to get out of the contract if the group members all rapidly accumulated large debts that might convince a judge they are financially bankrupt.

Assignment:: Write a minimum two-page, maximum five page, double spaced paper addressing this case study. Your paper should summarize the problem, layout the legal issues, and address any ethical considerations. Analyze the situation based on the knowledge you have gained in this class (hint: review contracts and bankruptcy). Be sure to give a well-thought out introduction, body and conclusion or recommendation to the situation. It should also include a title and page numbers. Improper grammar, sentence structure, spelling, and punctuation will affect your grade. Cite any resources you use.

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This is your chance to show me what you have learned. I suggest you spend some time thinking about this case and doing some reading in your text. You can even utilize the internet to help you analyze the case, but don’t forget to cite any resources your use. You might even find papers about this case on the internet. I am not interested in other’s work. I am interested in yours! Plagiarism will result in an ‘F’ for the paper, a 50 point deduction in your overall grade and report to the Dean of Student Affairs. I will run all papers through Turnitin, a plagiarism software tool. This tool maintains a database of any papers on the internet and papers submitted from any previous classes. My requirements for this paper are clearly outlined and I grade accordingly. This is not a unit assignment and therefore my expectation for your work is higher.

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