SoundExchange Sues AccuRadio Over Unpaid Digital Streaming Royalties and Missed Payments
SoundExchange has initiated legal action against AccuRadio, seeking unpaid royalties for non-interactive digital streaming. The lawsuit, filed in an Illinois federal court, alleges a pattern of missed payments dating back to 2016.
SoundExchange logo on black background
Key Details of the Case:
- AccuRadio made required royalty payments until 2016, with some being "untimely"
- Payments reportedly slowed and stopped entirely in 2018
- An initial settlement agreement was reached in early 2020
- A forbearance agreement was established in June 2023, extending to April 2027
- AccuRadio allegedly stopped monthly payments after the first three months
SoundExchange's Demands:
- Payment of missing statutory royalties
- Payment of forbearance-agreement royalties
- Accounting from June 2021 onward
- Preliminary injunction to prevent AccuRadio from using the statutory license
- 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 while the case proceeds. They have described the lawsuit as a "surprise" in their statement to Digital Music News.
Stage with performance lighting and mics
Recent Development: AccuRadio has agreed to pay $210,000 monthly in temporary payments while the litigation continues, demonstrating an effort to address the situation while legal proceedings unfold.