Spotify has won a significant legal battle against Eight Mile Style, the co-publisher of 242 Eminem tracks, in a mechanical licensing lawsuit that began in 2019.

The case revealed several key findings:

• Spotify lacked proper mechanical licenses for the tracks but still prevailed
• Eight Mile Style was found to have engaged in "scheming" to maximize potential payments
• Kobalt Music Group, not Spotify, will be responsible for attorney fees and expenses
• The lawsuit highlighted the complexities of music rights administration

The dispute centered on Eight Mile Style's claim that Spotify streamed their catalog without proper licensing, despite receiving royalty payments through the Harry Fox Agency (HFA). Notably, Eminem himself was unaware of the lawsuit until after its filing.

A crucial factor in the case was the transfer of licensing rights from Kobalt to Bridgeport in 2009, which wasn't properly communicated to involved parties. Judge Aleta A. Trauger noted that industry practices made it "surprisingly plausible" for Spotify to be confused about its rights.

The ruling effectively protects Spotify from copyright infringement damages, with Kobalt bearing responsibility for legal fees due to their role in the administrative confusion.

This case illustrates the complex nature of music rights management and the importance of clear communication in licensing agreements. While Spotify technically lacked proper licensing, the court found Eight Mile Style's attempts to exploit this situation for financial gain ultimately undermined their case.

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