Ian Pai always felt, he said, that he had played a core role in the success of Blue Man Group, an avant-garde performance ensemble whose members appear as bright blue characters and use unorthodox instruments to create raw percussive music.

He had worked with the ensemble in its early days, he said, serving as its music director for shows in several cities and helping to compose some of its music, build sets and create the group’s distinctive instruments, constructed from PVC pipe.

But years after the group’s ascendance, which included an Off Broadway run of more than 20 years, a Grammy-nominated album and annual revenue often estimated at $100 million, Mr. Pai said he had determined that the payments he was receiving for what he termed his contributions of “musical compositions and creative work” were not what he deserved.

So he sued in 2016, saying he felt betrayed by the group’s founders.

Court records indicate that the suit has now been settled with an agreement in which Blue Man Group will pay Mr. Pai more than $3 million to resolve his claims. As is common in lawsuit settlements, neither side would discuss the specific monetary figure or other terms of the agreement that was reached in April to end the case in New York State Supreme Court.