Jimi Hendrix was one of the biggest artists of the 1960s
The bass player with the Jimi Hendrix Experience is planning to sue the Hendrix estate over royalties.
Noel Redding's manager, Ian Grant, says Mr Redding deserves up to $5m (£3.26m) for his part in Jimi Hendrix Experience recordings, and also for ongoing royalties.
Mr Redding, 57, played on the band's studio albums including Are You Experienced and Electric Ladyland.
Jimi Hendrix died in 1970 after accidentally overdosing on painkillers.
Mr Grant is to send out a "demand letter" asking for royalties for Redding next week, the first step in a possible law suit.
"They can either tell us they're not interested, and that will mean we will sue them.
"Or they can make a settlement," he said.
He is suing Experience Hendrix, the company that oversees the estate of the dead guitarist. It is run by Janey Hendrix, the step-sister of Jimi.
The estate is thought to be worth $380m (£248m)
Mr Grant said Redding "doesn't receive a single pence for the use of his image or performance".
"I see a lot of people making money out of Noel, but I don't see Noel getting any of it," he said.
The non-payment of royalties stemmed from a contract Redding signed in the 1970s to help pay a legal bill, Mr Grant said.
Redding received a one-off payment of $100,000 after he was told there would be no more releases of Jimi Hendrix Experience material.
But this was before CDs and DVDs had been invented. The band's catalogue has since been re-mastered and re-released on the new formats, selling millions of copies.
Paul Greengrass will retell Hendrix's last days
Mr Grant said there were many precedents for artists winning back royalties despite signing their rights away.
"Led Zeppelin signed a similar deal with Atlantic in the 1970s, but they won their catalogue back in the 1980s," Mr Grant added.
The Jimi Hendrix Experience's music has also been recently featured in several television advertisements in the UK. Mr Grant says the licensing would cost "six figure sums".
The possible lawsuit comes a week after the announcement of a movie based on Hendrix's last days made by the director of the controversial Granada film Bloody Sunday.
Paul Greengrass will make Cross Town Traffic with the help of £94,000 in lottery funding from the UK Film Council's Development Fund.
The film will concentrate on Hendrix's last days in London before his death in September 1970.
Greengrass's Bloody Sunday tackled the subject of the shooting of 13 civilians in Londonderry in 1972.
The film, which starred Cold Feet's James Nesbitt, won the coveted Golden Bear Award at the Berlin Film Festival in 2002 as well as the World Cinema Audience Award at the Sundance Film Festival.