Legal Question in Business Law in Utah

Say I sell box of music CD's to my friends that I created, and he goes and sells them door to door claiming the money goes to charity, then gets caught. Can I get in trouble?" PS i'm getting a $5 cut out of each CD


Asked on 5/12/12, 6:18 pm

1 Answer from Attorneys

Nancy Delain Delain Law Office, PLLC

First, we look at copyright. If you did not write the music and perform the music yourself, you need to have licenses from the copyright holders to put the music onto CDs and sell them. Without the appropriate licensing in place, you're easily looking at $100,000 or more in civil fines and attorneys' fees.

Second, by telling a buyer that the money s/he spends on the CD is going to charity and then pocketing the funds, your friend would be selling under false pretenses and giving you a piece of the action. That's fraud: potential jail time. Because the money leads straight to you (you produced the CDs and are getting a "cut"), the fraud leads straight to you.

THIS POST CONTAINS GENERAL INFORMATION AND IS INTENDED FOR ENTERTAINMENT PURPOSES ONLY. IT DOES NOT CONSTITUTE LEGAL ADVICE, NOR DOES IT CREATE ANY ATTORNEY-CLIENT RELATIONSHIP. FOR LEGAL ADVICE ON YOUR PARTICULAR MATTER, CONSULT YOUR ATTORNEY.

Read more
Answered on 5/12/12, 6:52 pm


Related Questions & Answers

More Business Law questions and answers in Utah