Following the news that Scooter Braun’s Ithaca Holdings acquired Scott Borchetta’s Big Machine Label Group, Taylor Swift wrote a blog post in which she lamented the sale. She was upset that she was not given the chance to own her masters, writing, “For years I asked, pleaded for a chance to own my work. Instead I was given an opportunity to sign back up to Big Machine Records and ‘earn’ one album back at a time, one for every new one I turned in. I walked away because I knew once I signed that contract, Scott Borchetta would sell the label, thereby selling me and my future. I had to make the excruciating choice to leave behind my past.”
That said, Big Machine sees things differently. Following Swift’s post, Borchetta wrote a post of his own on the Big Machine Website, titled, “So, It’s Time For Some Truth…” In the post, Borchetta wrote about the deal he proposed to Swift to stay with Big Machine before she signed elsewhere, and he said that under the new agreement, Swift would have owned all her master recordings, as well as “every video, photograph, everything associated to her career”:
“100% of all Taylor Swift assets were to be transferred to her immediately upon signing the new agreement. We were working together on a new type of deal for our new streaming world that was not necessarily tied to ‘albums’ but more of a length of time.
We are an independent record company. We do not have tens of thousands of artists and recordings. My offer to Taylor, for the size of our company, was extraordinary. But it was also all I could offer as I am responsible for dozens of artists’ careers and over 120 executives and their families.
Taylor and I remained on very good terms when she told me she wanted to speak with other record companies and see what was out there for her. I never got in her way and wished her well.
The morning that the new Taylor/UMG announcement was going to be made, she texted me shortly before letting me know that the announcement was coming in a few minutes.
As we both posted on our socials, we saluted each other and cheered each other on.
Taylor had every chance in the world to own not just her master recordings, but every video, photograph, everything associated to her career. She chose to leave. “
Borchetta also said he was surprised by Swift’s claim that she only heard about the sale when it was made public, saying that her father (who was a shareholder in Big Machine) was made aware of the sale days in advance, and that he texted Swift about the sale before the news broke:
“Taylor’s dad, Scott Swift, was a shareholder in Big Machine Records, LLC. We first alerted all of the shareholders on Thursday, June 20th for an official shareholder’s call scheduled for Tuesday, June 25th. On the 6/25 call the shareholders were made aware of the pending deal with Ithaca Holdings and had 3 days to go over all of the details of the proposed transaction. We then had a final call on Friday, June 28th in which the transaction passed with a majority vote and 3 of the 5 shareholders voting ‘yes’ with 92% of the shareholder’s vote.
Out of courtesy, I personally texted Taylor at 9:06pm, Saturday, June 29th to inform her prior to the story breaking on the morning of Sunday, June 30th so she could hear it directly from me.
I guess it might somehow be possible that her dad Scott, 13 Management lawyer Jay Schaudies (who represented Scott Swift on the shareholder calls) or 13 Management executive and Big Machine LLC shareholder Frank Bell (who was on the shareholder calls) didn’t say anything to Taylor over the prior 5 days. I guess it’s possible that she might not have seen my text. But, I truly doubt that she ‘woke up to the news when everyone else did.'”
Read Borchetta’s full post here.