US Musicians Union Sues Universal and Warner Over AI Licensing Deals
On July 24, the American Federation of Musicians (AFM) submitted a revised complaint against Universal Music Group and Warner Music Group, accusing them of breaching contract terms by not compensating musicians for recordings licensed to AI firms Suno and Udio. The allegations cite breaches of the 'new use' clause in the Sound Recording Labor Agreement (SRLA). Named defendants include Atlantic Recording Corp., Warner Records, Inc., and Universal Music Group, Inc. The AFM's original lawsuit was filed on June 5. The matter pertains to Article 21 of the SRLA, which mandates payment for new uses. Warner and Universal reached settlements with Suno and Udio in late 2025. Both labels aim to have the case dismissed, contending that Article 21 does not constitute an indefinite royalty provision. Judge Edgardo Ramos has established briefing deadlines extending to September 11. Sony Music is not a party to the case.
Key facts
- American Federation of Musicians filed amended complaint against Universal Music Group and Warner Music Group on July 24, 2025
- Union accuses majors of breaching union contract by failing to pay musicians for recordings licensed to AI companies Suno and Udio
- Case filed in US District Court for the Southern District of New York
- Defendants include Warner Records, Inc., Atlantic Recording Corp., and Universal Music Group, Inc.
- Union argues Article 21 of Sound Recording Labor Agreement requires payment for new uses like AI training
- Universal settled copyright case with Udio in October 2025; Warner settled with Udio in November 2025 and with Suno days later
- Warner's Suno deal included acquisition of Songkick platform
- Udio's forthcoming licensed service reportedly called Starstruck
- Both majors seek dismissal; Judge Edgardo Ramos set briefing schedule through September 11, 2025
- Sony Music is not a party to the AFM case
- AFM and labels are negotiating next SRLA with AI at center
Entities
Institutions
- American Federation of Musicians
- Universal Music Group
- Warner Music Group
- Suno
- Udio
- Warner Records, Inc.
- Atlantic Recording Corp.
- Universal Music Group, Inc.
- US District Court for the Southern District of New York
- Songkick
- RIAA
- Sony Music
- Music Business Worldwide
- American Federation of Musicians (AFM)
- Universal Music Group (UMG)
- Warner Music Group (WMG)
- Sony Music Entertainment
- Billboard
Locations
- New York
- United States