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Bertelsmann Reaches Accord With 'N Sync

CALIFORNIA | BRIEFLY / COMPANY TOWN ANNEX

December 30, 1999|Chuck Philips

Bertelsmann Music Group confirmed that it has resolved its legal clash with 'N Sync and will allow the pop group to release its next album on Zomba Group's Jive Records. Three months ago, the German entertainment conglomerate sued Zomba chief Clive Calder, accusing him of trying to poach 'N Sync from the BMG-owned RCA label with an improper contract offer. The dispute threatened to rupture BMG's distribution deal with Zomba, which was set to run out in January. But after a court rejected an attempt by BMG to bar 'N Sync from performing under its own name and from releasing its next album on Zomba, the corporation relented. BMG dropped its suit and hammered out a deal allowing Calder to keep 'N Sync in exchange for a one-year extension of Zomba's distribution pact with BMG, sources say.

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