SoundExchange Sues AccuRadio Over Unpaid Digital Streaming Royalties and Seeks Injunction

SoundExchange Sues AccuRadio Over Unpaid Digital Streaming Royalties and Seeks Injunction

By Marcus Hartley

December 2, 2024 at 08:53 AM

SoundExchange has filed a lawsuit against Chicago-based internet radio platform AccuRadio over allegedly unpaid royalties. The suit, filed in an Illinois federal court, details a complex history of payment issues dating back to 2016.

SoundExchange logo on black background

SoundExchange logo on black background

Key Details of the Lawsuit:

  • AccuRadio made required royalty payments until 2016, though some were "untimely"
  • Payments reportedly slowed and stopped completely in 2018
  • An early 2020 agreement to resolve missing payments failed
  • A June 2023 forbearance agreement was established, set to run until April 2027
  • AccuRadio allegedly stopped monthly payments after just three months

SoundExchange's Demands:

  • Payment of missing statutory and forbearance-agreement royalties
  • Full accounting from June 2021 onward
  • Preliminary injunction to prevent AccuRadio from using statutory license without paying royalties
  • Rights to collect "all personal property" of AccuRadio as collateral

Current Status: AccuRadio has paid its statutory minimum fees for 2024 and continues to use the statutory license. The company maintains its stations are "absolutely 100% free" for listeners.

Stage with performance lighting and mics

Stage with performance lighting and mics

This case joins other ongoing unpaid-royalties litigation by SoundExchange against major platforms like SiriusXM. AccuRadio has described the lawsuit as a "surprise" in a statement to Digital Music News.

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