Hipgnosis Songs Fund Dispute

Hipgnosis Songs Fund is in the midst of a dispute with its founder Merck Mercuriadis and his Blackstone-backed investment adviser, Hipgnosis Songs Management Limited. The London-listed song catalog fund, known for owning rights to tracks by artists like Shakira and the Red Hot Chili Peppers, is pursuing full indemnity from the founder and adviser against liabilities.

Refusal of Indemnity Sparks Concern

Despite the ongoing legal battle, the adviser and founder have declined to provide indemnity against liabilities that may arise from Mercuriadis' alleged misconduct. As a result, Hipgnosis Songs Fund finds itself in a challenging position without insurance coverage for these potential costs. Consequently, the fund is preparing to take legal action to secure full indemnity through the court system.

Defending Claims of Misconduct

Both Mercuriadis and the investment adviser have reassured Hipgnosis Songs Fund that the claims against them are baseless, with plans to vigorously defend their positions. However, the fund remains firm in its pursuit of indemnity to safeguard against any potential financial ramifications.