(Hypebot) — UMG sues Tunecore and Believe for what it says is “industrial-scale copyright infringement” worth at least $500 million in damages. Concord Music Group and ABKCO Music & Records are also plaintiffs
UMG sues Tunecore and Believe
Tunecore and Believes’ “illegal practices are not limited to cheating artists on major labels but artists on independent labels as well-including artists on the independent labels within the trade bodies of which Believe is itself a member,” according to a UMG spokesperson.
“overrun with fraudulent artists and pirate record labels”
UMG’s lawsuit alleges that TuneCore and Believe illegally distributed songs under different artist names as well as remixed and sped-up versions.
Tracks from Kendrick Lamar, Ariana Grande, Justin Bieber and Lady Gaga were allegedly distributed by Believe under names like “Kendrik Laamar,” “Arriana Gramde,” “Jutin Bieber,” and “Llady Gaga.”
“Believe’s client list is overrun with fraudulent artists and pirate record labels who rely on Believe and its distribution network to seed infringing copies of popular sound recordings throughout the digital music ecosystem,” the suit alleges.
Believe “lacked the resources, creative talent and business acumen necessary to sign and develop top-level artists”
“From its inception, Believe recognized that it lacked the resources, creative talent and business acumen necessary to sign and develop top-level artists and create a catalog that could compete fairly with Plaintiffs,” continues the filing. “Believe therefore made the affirmative business decision to enter into distribution contracts with anyone willing to sign one of its basic form agreements.”
Why target TuneCore and Believe?
UMG may have targeted Tunecore and Believe over other potentially infringing distributors because of its outspoken opposition to a Universal backed shift to “value sharing artist-centric” streaming royalties. Believe called the plan an “unfair ‘reverse Robin Hood’ system that is centered around taking compensation from rising artists to allocate it to top and established artists.”
“It’s no wonder that Believe has been outspoken against the streaming reform principles for which so many major and independent labels have been advocating,” said the UMG spokesperson. “Why? Because such reforms would undermine and expose their system of building scale and market presence by distributing music for which they have no rights and illegally collecting royalties to enrich themselves and their co-conspirators.”
Read the full court filing here.
Spotify questioned TuneCore’s infringement efforts
Spotify also found TuneCore’s efforts to curb infringement insufficient. The streamer awarded Preferred status to fourteen Artist Distributors meeting their “highest standards for quality metadata and anti-infringement measures.”
DistroKid, CD Baby and oneRPM made the list. TuneCore did not, though parent Believe was awarded the status as a Label Distributor.
In a statement to Variety, a spokesperson for Believe said: “Believe and TuneCore do not comment on pending litigation,” the spokesperson said. “As companies that work with artists and labels around the world, we take the respect of copyright very seriously. We strongly refute these claims, and the statements made by Universal Music Group and will fight them. We have developed robust tools and processes to tackle this industrywide challenge, working collaboratively with partners and peers and will continue to do so. We have been at the forefront of the digital music ecosystem for nearly 20 years, supporting the development of independent artists and labels, and have been awarded Tier 1 status and included in the Preferred Partner Program across all music stores.”
Bruce Houghton is the Founder and Editor of Hypebot, a Senior Advisor at Bandsintown, President of the Skyline Artists Agency, and a Berklee College Of Music professor.
