History
Larry Sherman was originally a collector of vintage jukeboxes, and, frustrated with the limited range of records began operations in 1983 by purchasing Musical Products, a pressing plant in Bridgeport, Illinois.Though it is frequently said that Jesse Saunders and Vince Lawrence were co-founders there is no proof via corporations or any type of genuine documentation to prove it. There is no legal documentation what so ever to back Vince Lawrence Claim of label design or Trademark. Legal exhibits need to be included to verify this information. The initial artist signings were done by Vince Lawrence. The first release was "Wanna Dance/Certainly" by Le Noiz (a pseudonym of Jesse Saunders), TX-101 (matrix number 85 indicated the year of release).
Trax Records was an important outlet for house music in its early days, releasing many classics including "No Way Back" by Adonis (1986), Jamie Principle & Frankie Knuckles's "Your Love" (1988), Larry Heard's "Can You Feel It" (1986), and Marshall Jefferson's "The House Music Anthem (Move Your Body)" in the same year.[1] This latter tune gave a massive boost to house music, extending recognition of the genre outside of Chicago.[citation needed]
In 1991, Trax declared bankruptcy when distributors owing Trax 4.5 million dollars went out of business.[2]
In 1995 Rachael Cain married the founder, Larry Sherman. In 2007, Cain divorced Sherman and received 50% of the Trax Records library. Cain started a new company which is not connected to old catalogue material and released music under the alias Screamin Rachael. Some of the current artists she has been releasing include Saytek, Late Nite Dub Addict, Irene Michaels, DJ THADX, along with productions and music by Chicago House legend Joe Smooth.
In 2002, Trax Records formed a joint venture with Casablanca Media in Canada. Litigation started in 2004. By 2005 all of the classic materials ownership was awarded to Casablanca in Canada. Lawyers for the Creative Arts took Sherman & Cain’s case Pro- Bono, as they proved to have no funds, or be making any income from Casablanca who became the catalogue owners. They were represented by Rick Darke of the Duane Morris law firm. Many years of litigation finally ended on January 1, 2022. Royalty systems are being put in place by infinite Catalogue. There is also an amount of money held specifically in a trust for the artists who sign off from the exclusive Demon Records deal that Casablanca instituted.
Sherman was criticised for poor-quality vinyl pressings (partially due to the use of recycled vinyl), missing royalty payments, and a lack of interaction with the artists on his roster. DJ Pierre of Phuture once claimed “Trax never paid me royalties”, and Jamie Principle, who sang "Your Love", alleged he was not properly signed to the label, saying they “literally just stole my stuff”.[citation needed] Frankie Knuckles publicly criticized reissues of his former material, and distanced himself from the label.[3] However the Knuckles estate and their Attorney Jeffrey Becker along with TRAX are working to preserve Knuckles writing, productions and master recordings. Monies are currently on hold for the titles Knuckles did with Trax. Jamie Principle, disputes Frankie Knuckles had any involvement. There are two judgements in favor of Knuckles credibility both in the United States and the UK.
In a 2014 statement, the label's former creative director Jorge Cruz acknowledged the numerous disputes, saying: "The reality is that the Trax Records name is making money but much of the money is not reaching the label or the artists. We cannot change the past or the legal battles that are tied to it."[4]
In June 2020, Robert Owens and Larry Heard filed lawsuits against Trax claiming : as “musicians hungry for their first break,” Owens and Heard “were lulled into a business relationship with an unscrupulous record company,” per the text.[citation needed] The plaintiffs “signed away valuable rights to their music” for inadequate compensation, the filing proceeds, and Trax Records nevertheless failed to pay the owed royalties and wages.[citation needed] Trax asserts and Heard admits that he signed a contract assigning the copyright in the music for his three biggest hits, Can You Feel It, Washing Machine and Beyond the Clouds.
Heard closed four contracts with the brand around 1985–1987, and though the lawsuit describes various issues and omissions with each (including missing signatures and not covering copyrights specifically), they centered mainly on his transferring the rights to hit songs for $3,000 apiece and, in a portion of the deals, a guarantee of 15 percent of sales revenue. More broadly, the label allegedly “exploited the artists’ other musical works” without permission (contractual or otherwise) throughout the last four or so decades, including by releasing unauthorized vinyl records and failing to turn over royalty payments. The lawsuit also describes the plight of different musicians who have allegedly been denied their due royalties from Trax Records, including Adonis, a pioneering acid house artist. The Chicago native's much-publicized quest to collect 34 years worth of back pay from Trax, writing that he still hasn't “received one word from that shameless label.[5]
In November 2020, Trax filed to dismiss seven of the eight counts raised in Owens & Heard's complaint.[6] In September 2022, Resident Advisor released an article on Trax Records response to the royalties scandals and lawsuits.[5]
