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Streaming Royalties, Social Media, and the Legal Gray Zones in Music
Universal Music has won three lawsuits over streaming royalties in the Netherlands, with a court ruling that older artist contracts don’t guarantee higher payouts for digital plays. Across the ocean, Lizzo is facing a lawsuit of a very different kind — not for releasing a song, but for posting a short clip that allegedly sampled a 1970s track without permission. Together, these stories show how even legacy deals and viral posts can become legal flashpoints in the evolving music economy.
Hi there,
This week’s newsletter digs into two cases where older frameworks are colliding with newer realities — from the contracts that never anticipated Spotify to the copyright risks hidden in a single Instagram post.
In the Netherlands, three artists tried to argue that their royalty rates for streams should be higher under the "licensing" clauses of CD-era contracts. The court disagreed, siding with Universal and emphasizing that digital-specific clauses in their agreements still apply — even decades later.
Meanwhile in the U.S., Lizzo is being sued for sampling a 1970s soul track — not in a commercial release, but in a short video that went viral on social media. The song’s rights holders argue that’s enough to count as infringement and are seeking damages, despite the post never being monetized.
Both cases raise serious questions about how copyright and contract law need to adapt — or be interpreted — in a digital-first music landscape.
Universal Music Beats Three Artists in Dutch Streaming Royalty Lawsuits
Three Dutch artists took Universal Music to court, claiming they were owed 50% royalties on streaming income based on the "licensing" terms in their old contracts. But the Amsterdam District Court disagreed, ruling that the contracts contained specific provisions for digital use and that Universal had not misapplied them. While this isn’t a ruling on how all record labels should handle streaming royalties, it’s a strong win for the majors and a warning for artists hoping to reinterpret old deals for the streaming era.
Lizzo Sued Over Sample in Unreleased Social Media Clip
Lizzo is facing a copyright lawsuit over a song that’s never been commercially released. The track, which allegedly sampled Sam Dees’ 1970s composition Win Or Lose (We Tried), appeared in a viral Instagram clip tied to a denim ad controversy. The rights holders argue that even though the clip wasn’t monetized, its viral spread caused financial damage — and that’s enough to sue. U.S. law allows for statutory damages even without showing actual loss, making this a potentially costly case rooted entirely in one social media post.
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Universal Music beats artists in three separate streaming royalty lawsuits | Lizzo is being sued over an uncleared sample - on a track she never released |
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