MOOT COURT SOCIETY, CAMPUS LAW CENTRE, UNIVERSITY OF DELHI

FRESHERS’ INDUCTION MOOT- OCTOBER, 2023

MOOT COMPROMIS

1. Sindhia is a progressive country known globally for its rich culture, traditions, and
heritage. The government actively invests in and promotes art, music, films and other
literary works as its cultural economy contributes significantly to the economic
development of the country. The people of Sindhia have an ardent association with
music which has often helped in building a sense of solidarity among its citizens.
Multiple Sindhian artists have gone on to bag the prestigious “Brammy Awards” as
well.

2. In the last few years, the country has seen the rise and popularity of a particular genre
of music called, “Trad-Pop”, a fusion of the country’s traditional music and pop
music, which has gained wide popularity and traction not only in Sidhia but is also
loved and appreciated by music lovers across the globe. In the last 5 years, many
foreigners have travelled to Sindhia to attend concerts performed by artists
specialising in this genre of music.

3. Hussain is a young, trained classical singer, hailing from the State of Sennai. Due to
his financial conditions, he could not complete his schooling and has been working
part time to provide for him and his family. Hussain’s niche is Trad-pop. He has been
writing and singing songs of this genre for more than 10 years and has been
performing gigs in cafes and posting his songs on social media platforms. Although
his style of music and stage presence have often garnered great appreciation, the same
has failed to reflect in his popularity. During the lockdown, he began doing a lot of
YouTube live videos to connect with his Instagram fans that have now grown to
20,000 in number, most of whom have often expressed their desire to see him perform
live in a concert. Despite his talent, his lack of financial resources or connections in
the music industry have led to him being turned down for one reason or the other by
even the smallest of music labels.

4. SVS Entertainment Limited, incorporated in Sennai is a pioneer in Sindhian Music

Industry and a leading Record Label-cum-Production House specialising in managing
 individual artists and organising International Music festivals and concerts in off-beat
locations across the country. They have been in the industry for the past 50 years and
have been associated with numerous world renowned artists. SVS Limited prides itself
in hosting concerts promptly, efficiently and to the utmost satisfaction of the
attendees.

5. Mr Indravadhan Sarabhai, the Chief Marketing Officer and the face of the Production
House, happened to come across one of Hussain's viral videos and contacted him.
Impressed by his audition, his passion for music, and his ability to engage and connect
with music lovers, Mr. Sarabhai and Hussain exchanged a lot of informal
conversations over the phone about music, ambition, dreams etc in which Hussain
repeatedly thanked the former for noticing him and appreciating his work. On
30.5.2021, there’s a communication between the two (Annexure A) after which a
contract was executed on the very same date between SVS Limited and Hussain.
(Annexure B).

6. Owing to the goodwill of the production house and heavy marketing done by them,
coupled with Hussain’s talent, skill and expertise in Trad-pop showcased through his
youtube videos led to his popularity being quadrupled, reflecting in his followers
increasing to a staggering 10 million by October 2021. The production house did not
renew its contract with most of the other artists and instead invested in promoting
Hussain as the lead showstopper of the production house for all its concerts and as the
“Budding artist of the Century”.

7. The first of the 5 concerts that were to be hosted in offbeat islands across Sindhia was
to be held on 15.08.2022 which was to be followed by back-to-back concerts every
15 days in 5 different locations. 20000 tickets priced at INR 3000 were put on sale on
20.07.2022 and were completely sold out in just 8 hours. Both the concerts that took
place on 15.08.2022 and 30.08.2022 as per schedule, received critical and commercial
acclaim, making Hussain a social media sensation. After these two concerts, he started
receiving lucrative offers from various music labels and production houses promising
huge profits to him.

8. Post the second concert, to the utter dismay of SVS Lmt, a rival music label posted a
picture with Hussain on their social media handle indicating a collaboration for a
 world tour. The post was deleted within seconds creating a great frenzy among fans
and the organisers. Neither the artist nor the rival label chose to make any statements
against the collaboration and the matter was unofficially shrugged off by Hussain in
a promotional interview before the third concert. Four days before the third concert
was scheduled to take place, on 10.09.2023, Hussain developed a severe throat
infection caused by a virus he contracted during his performance in the Second
concert, making it difficult for him to speak even a word. He visited a doctor who
recommended that he take rest for a month.

9. He communicated to the production house via a correspondence on 10.09.2023 that he

will not be able to perform in the 2 subsequent concerts due to his medical condition
and was backing out of the tour. On 11.09.2023, he posted a video of him singing two
lines on his Instagram page with the heartfelt caption that read “Isn’t it unfair?The
Mammoths in the music industry taking undue advantage of the small, budding
independent artists under the garb of giving them a platform and voice, promising
them fame and money… while all they do is make them dance to their tunes by binding
them to an unfair contract, curtailing their freedom all the while completely
disregarding their physical and mental health. It’s depressing. Will there be an end
to this?” He deleted the posts within a few minutes. However this along with the
news of the cancellation spread like wildfire and created an uproar amongst the loyal
fans of Hussain who began an online hate campaign against SVS Lmt with #boycott
trending on all social media pages. The fans began attributing his poor health
condition to the rigorous training sessions and slave-like treatment accorded to him
by the production house. Hussain remained silent as the media went into a frenzy and
fans outpoured their agitation. 6000 agitated purchasers of the tickets demanded
refunds and big sponsors withdrew their sponsorships. The share price also started
dwindling resulting in both economic as well as reputational loss to the production
house.

10. The production house instituted a suit for breach of contract against Hussain in the
high court of Sennai. It asserted that the agreement dated 30.5.2021 was a validly
executed contract that was freely consented to and duly signed by Hussain with full
knowledge of the terms and conditions. The production house has claimed damages
to the tune of Rs. 25 crore for the non-performance of the contract and the subsequent
 economic and reputational losses caused to them and further prayed to the Court for
compelling specific performance of the contractual obligations by Hussain.

11. In response to the claims, the legal representatives of Hussain have contended that the
refusal to perform was due to reasons which were beyond his powers. Further, they
contended that the agreement entered into by their client was grossly unfair and
unconscionable, he was induced to enter into the contract due to undue influence
exerted on him and that the agreement was unenforceable in the eyes of law.

NOTE :

● The case is due to be heard next on 21.10.2023.

● The laws of Sindhiya are pari materia to that of India.
● The laws of the State of Sennai are in pari materia to the laws of Delhi.
 ANNEXURE A

WHATSAPP CONVERSATIONS BETWEEN MR. SARABHAI AND HUSSAIN

25.04.2021 16:00 PM - Mr Sarabhai : Hi Rockstar! Hope you’re doing well. Just wanted to
give you an update. I had a word with the officials in the production house and we want to
give you a chance. We see talent, potential and future of music in you. I hope you are all set
to win hearts across the globe?
25.04.2021 16:02 PM - Hussain: OMG! Sir, Is this real or is it just a dream? Is it a prank? I
cannot believe my ears. I can’t believe that a production house like yours would ever
associate with a small artist like me.

25.05.2021 16:10 PM - Mr Sarabhai: Yes, you must have received the copy of the
agreement from the official mail address of the production house. We are going to give you
rigorous training for a year and then take you out to the world to perform in one of a kind
concerts. We’ll also heavily promote you to ensure that your voice reaches every corner of
the country and even around the globe. After all, you are born to perform.Go over it and get
back in 15 minutes so that we can finalise everything and get started with your training from
tomorrow.
25.04.2021 16: 12 PM Hussain: Sir, I have no words. My heart is filled with gratitude. I
can’t thank you enough for your belief and confidence in me. I’ll immediately sign the
contract and I am extremely excited to be on board. Once again, thank you sir.
25.04.2021 16: 14 PM Hussain: I’ve sent it sir.
 ANNEXURE B

This Agreement is executed on this 30th of May, 2021 by and between Hussain hereinafter
referred to as the "Artist"), party of the first part and SVS Entertainment Ltd. (hereinafter
referred to as the "production house"), party of the second part.
IT IS HEREBY UNDERSTOOD
a. Production house is an organisation, which specialises in the management, recording,
recording distribution and representation of musical artists;
b. Production house is familiar with the musical abilities of Artist and has the expertise,
ability, industry contacts and resources to assist Artist in the furtherance of his/her career.

c. Production house and Artist wish to enter into this Agreement to provide for the production
and distribution of the Recording.
IT IS, THEREFORE, AGREED AS FOLLOWS:

1. Purpose and Objectives

The production house expresses a strong interest in extensively training and promoting the
growth of Artist as a music professional, and undertakes to train the Artist for ONE YEAR by
providing successive opportunities for the display of skill by way of live performances in
multiple venues, across the country. These locations shall be chosen by the production
house as per their availability.

2. Royalties and Profits

The production house shall be entitled to receive 60% of the royalties and 70% of the profits
earned by Artist through concerts for promoting and organising future events for the Artist
during the term of this Agreement.

3. Duration

The duration of this Agreement shall be for a period of 15 years.

4. Breach of Contract

4.1 In the event of a breach of this Agreement by the Artist, the Artist shall be liable
to pay compensation to the production house in the amount of Rs.10,00,00,000.

4.2 Additionally, in case of breach, the Artist shall be compelled to perform their
obligations under this Agreement, including but not limited to participating in
promotional activities and event organisation as agreed upon.
5.Governing Law

This Agreement shall be governed by and construed in accordance with the laws of Sindhia.
Any disputes arising under or in connection with this Agreement shall be resolved in the
courts of Sennai.

6. Ownership and Rights

6.1 All intellectual property rights related to the music created during this engagement
shall be owned by the Artist, unless otherwise agreed in writing.

6.2 The production house may use the Artist's musical works only for the purposes
outlined in this Agreement.

7.Copyright
The production house and parties authorised by the production house will have the right to
secure copyright in the production house's name as owner and author on any and all
Recordings made under this Agreement and to renew such copyright in the production
house's name in perpetuity.

a.Distribution
The production house will have the exclusive rights to and control over distribution,
promotion and use of the Recordings. Production house will have exclusive control
over all matters regarding the media and press releases.

b.Warrants and Representations of the Artist

The Artist warrants and represents that:

i) The Artist is under no obligation or prohibition that would prevent entering this
Agreement;

ii)The Artist is not affected or hindered in any way by any disability that would prevent
full performance.

8. This Agreement constitutes the entire understanding between the parties and supersedes
all prior agreements, understandings, and representations, whether written or oral.