Sony has initiated legal action, asserting that the popular streaming platform LiveOne and its subsidiary Slacker Radio are in breach of contract by failing to pay a staggering .6 million in overdue licensing fees. Despite this, they continue to broadcast tracks from renowned artists such as Beyoncé, Miley Cyrus, and Tate McRae, raising serious concerns about copyright compliance and financial accountability in the music industry.
The serious allegations are detailed in a federal lawsuit that Sony filed on Friday, June 6, against LiveOne and its subsidiary Slacker, which LiveOne incorporated into its streaming app after acquiring it in 2017. This lawsuit highlights the ongoing tensions between major music labels and streaming services, particularly regarding fair compensation for artists and rights holders.
According to the lawsuit documentation, Sony and Slacker have maintained a business relationship since 2007 under a content distribution agreement. However, Sony’s legal team alleges that LiveOne and Slacker ceased their regular monthly license payments starting in August 2024, resulting in an outstanding balance of $2.6 million. This situation underscores the importance of contractual obligations in the music streaming landscape.
“In recent months, Slacker has publicly celebrated its growing commercial success, claiming a notable increase in the usage of the LiveOne app and a significant year-over-year rise in content consumption,” the attorneys representing Sony stated. “Despite this claimed growth, Slacker has defaulted on its licensing payments to Sony Music as stipulated in their agreement, while its parent company, LiveOne, has similarly failed to honor its commitments.”
In light of these breaches, Sony formally informed LiveOne and Slacker in March of their decision to terminate the content distribution agreement. The lawsuit asserts that Sony explicitly warned the defendants that any further use of their music would be considered a violation of copyright law, a serious legal infraction that could result in substantial penalties.
Despite the termination notice, Sony’s legal representatives claim that the LiveOne app continues to stream over 200 songs from their catalog, including hits from artists such as Doja Cat, Harry Styles, Justin Timberlake, and Khalid. This ongoing use of copyrighted material without proper licensing raises serious concerns about copyright enforcement and the responsibility of streaming platforms.
“The actions of Slacker have resulted in significant and ongoing harm to Sony Music and its artists, while unjustly benefiting the defendants at the expense of Sony Music and its affiliated artists,” the legal team for Sony contended. “Through this legal action, Sony Music is seeking compensation for Slacker and LiveOne‘s violations of the agreement as well as for their willful infringement of Sony Music‘s copyrights since the termination of the agreement on March 15, 2025.”
As of now, representatives from Slacker have not responded to requests from Billboard for comments regarding the allegations. This lack of response raises questions about the company’s stance and future actions amid the ongoing legal dispute.
This lawsuit surfaces three years after Slacker and LiveOne encountered a separate legal challenge concerning unpaid fees owed to SoundExchange, a nonprofit organization dedicated to collecting and distributing royalties to record labels and artists. A federal judge previously ordered the streaming companies to pay nearly $10 million in overdue royalties, highlighting the ongoing financial challenges that streaming platforms face in meeting their obligations to content creators.
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