Judge Halts Spotify's Damages Claim Against Kobalt in Eminem Copyright Case

Judge Halts Spotify's Damages Claim Against Kobalt in Eminem Copyright Case

By Marcus Bennett

December 16, 2024 at 03:53 AM

A federal judge has temporarily halted Spotify's pursuit of damages from Kobalt in the ongoing litigation fallout from the Eminem royalties dispute. Judge Aleta A. Trauger's order comes after Kobalt requested reconsideration of the underlying judgment or a pause on damages pending appeal.

Wooden gavel on marble surface

Wooden gavel on marble surface

Key Developments:

  • The case originated from Eight Mile Style's infringement complaint against Spotify, with Harry Fox Agency later added as a second defendant
  • Spotify brought Kobalt in as a third-party defendant in 2020, arguing they should be responsible for any royalties and damages
  • In August 2024, the judge partially granted Spotify's motion for summary judgment, including its push for indemnification from Kobalt
  • Spotify filed a sealed motion seeking substantial attorney's fees

Central Legal Question: The dispute centers on whether Kobalt must indemnify Spotify for compositions where Kobalt lacked U.S. mechanical licensing authority but maintained other administrative rights (including non-U.S. mechanical licensing and worldwide synch licensing).

Current Status: The judge has:

  • Granted Kobalt's request for appeal consideration
  • Ordered official judgment entry on all claims except those favoring Spotify against Kobalt
  • Paused the damages determination pending appeal

This development marks a significant turn in the complex legal battle over streaming royalties and mechanical licensing rights, with potential industry-wide implications for music publishing agreements and streaming platforms' liability exposure.

Eminem wearing gray hoodie, close-up

Eminem wearing gray hoodie, close-up

Eminem performing on stage

Eminem performing on stage

Related Articles

Previous Articles