Nigerian Eye
Court orders Runtown to return to Eric Many, pay N319m for contract breach
A high court in Abuja has ruled that Douglas Jack Agu, the
singer better known as Runtown, remains bound by his 2016 recording agreement
with Eric Many Limited.
Un an enrolment order dated July 16, 2026, O.A. Musa, the
presiding judge, held that the recording agreement executed between the singer
and the label in June 2016 remains valid and has not been lawfully terminated.
The court declared that Runtown breached several provisions
of the agreement after unilaterally opting out of the label’s management and
allowing his company Sparrow Media, headed by Obianife Onyi Agu, also known as
Jack Sparrow, to manage his bookings during the subsistence of the contract.
Musa also stated that the singer violated the agreement by
collaborating with foreign artistes on the songs ‘Call Me’ and ‘Weekend’
without notifying the label, and by attempting to register his professional
names as trademarks despite assigning the licensing rights to Eric Many under
the contract.
The court issued a perpetual injunction restraining Runtown,
his agents and representatives from recording music, performing at concerts or
undertaking any commercial musical activities outside the claimant’s management
until he fulfils his contractual obligations.
The court further ordered the singer to specifically perform
the recording agreement by delivering master recordings sufficient for one
album to Eric Many in line with the contract.
Musa also directed Runtown to pay Eric Many Limited
N266,694,755.08, being the outstanding balance of the label’s investment and
expenses yet to be recouped under the agreement.
The court awarded an additional N50 million as general
damages for breach of contract, N3 million as the cost of the suit and ordered
that the judgment sums attract 10 percent annual post-judgment interest until
fully liquidated.
“A declaration is made that the 1st defendant is in breach
of clause 8 of the recording agreement dated 22nd June, 2016 when he
unilaterally opted out of the claimant’s management and allowed the 2nd
defendant to hold himself out, with his organization “Sparrow Media”, as the
person in charge of the 1st defendant’s management and bookings during the
subsistence of the contract between the claimant and the 1st defendant,” the
order reads.
“A declaration is made that the 1st defendant is in breach
of clause 4.4.1 of the recording agreement dated 22nd June, 2016 when he,
without proper advance notification to the claimant to enable it enter into
protective agreement with the relevant third parties, collaborated and recorded
two musical videos ‘Call Me’ and ‘Weekend’ with two foreign musical artists.
“A declaration is made that the 1st defendant is in breach
of clause 9.5.2 of the recording agreement dated 22nd June, 2016, when he
applied to the 3rd defendant to register his professional names as trademarks,
in breach of parties’ contract licensing the said names to the claimant during
the subsistence of parties’ contract and three years thereafter.
“A perpetual injunction is issued restraining the 1st
defendant (whether by himself or by his agents including the 2nd defendant)
from further breaches of the recording agreement, by performing at any musical
show or concert or by recording or producing musical works whether in a live
show or concert, or produced in any format be it CDs, VCDs, DVDs, or
transmitted via any media be it television, radio, iTunes, YouTube, Twitter,
Instagram or other new media, without doing so under the claimant’s management
until the 1st defendant has discharged all his obligations to the claimant
under parties’ contract.
“Specific performance is ordered of the recording services
clause (clause 4) of the recording agreement dated 22nd June, 2016 against the
1st defendant, to wit, the 1st defendant is to record and deliver to the
claimant, master recordings to constitute one (1) album, and the obligation to
be performed in line with the provisions of clauses 4.1.2, 4.1.3, 4.2 and 4.3
of the contract.
“Specific performance is ordered of the recoupment clause
(clause 12) of the recording agreement dated 22nd June, 2016 against the 1st
defendant, to wit, payment by the 1st defendant of the sum of ₦266,694,755.08
to the claimant in bulk forthwith, or through the means specified in parties’
contract, being the outstanding balance from the claimant’s investment and
expenses on the contract, which is yet to be recouped by the claimant.
“I award ₦50,000,000 only as general damages against the 1st
defendant in favour of the claimant for breach of contract. I assess the cost
of the suit at ₦3,000,000 only in favour of the claimant against the 1st
defendant. I award post-judgment interest on the judgment sums at the rate of
10% per annum from the date of this judgment until final liquidation.”
The dispute between Runtown and Eric Many, owned by
businessman Okwudili ‘Dilly’ Umenyiora, dates back to 2016 after the singer
sought to exit the contract.
Eric Many had accused the artiste of accepting performance
bookings, releasing music and planning international tours without the label’s
approval, triggering multiple legal proceedings in Nigeria and the United
States.
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