SoundExchange’s lawsuit against Slacker has secured $9.7M back in unpaid royalties. In breach of contract, the digital media company, Slacker claims SoundExchange after it stopped paying statutory royalties to creators whose recordings were used in 2017. In addition, the court permanently barred Slacker and LiveOne from using the statutory license. The lawsuit was filed in June 2022.
“The statutory license allows non-interactive digital music streaming services to play music in return for monthly payments at the statutory rate determined by the Copyright Royalty Board. SoundExchange collects statutory payments from more than 3,600 services and distributes monthly royalties to copyright owners, featured recording artists, and non-featured musicians and vocalists.”
“SoundExchange takes our role in defending fair compensation for creators seriously. Despite a prior agreement, multiple promises, and repeated negotiations, Slacker and LiveOne failed to pay properly for the music – on which the companies built their business model,” stated Michael Huppe, President and CEO of SoundExchange. “It is regrettable that this step became necessary, but we will not back down when it comes to protecting creators and ensuring they are well-represented and properly paid under the law. We are grateful for the court’s recognition of the value proposition and this judgment in our favor.”
– Excerpt from an article for PRNewsWire. Read the full article here.
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