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SoundExchange has filed suit in the United States District Court for the Central District of California against Slacker and its parent company LiveOne. SoundExcahnge seeks to recover unpaid royalties owed to performers and rights owners.
“By refusing to pay royalties for the use of protected sound recordings, Slacker and LiveOne have directly harmed creators over the years,” said Michael Huppe, President and CEO of SoundExchange. “Today, SoundExchange is taking a stand through necessary legal action to protect the value of music and ensure creators are compensated fairly for their work. We hope Slacker and LiveOne will promptly reverse course and pay what they owe for the use of recordings that drive the value of their service.”
In 2017, Slacker stopped paying statutory royalties to creators whose recordings it was using. SoundExchange has been in negotiations with Slacker since that time to resolve their outstanding balance, but Slacker has failed to meet the terms to which the parties agreed.