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In this week’s Legal Beat, a response to a billion-dollar copyright lawsuit, a court-ordered auction for Damon Dash, Cardi B files for divorce, and much more.
THE BIG STORY: “A Threat to Their Market Share”
The first “answer” to a lawsuit is typically a pretty sparse document. An accused defendant admits or denies each claim and offers up a list of every possible defense they might use, but that’s about it. The real arguments are usually saved for later filings, like a motion to dismiss the case.
That’s what made the answers filed last week by AI music firms Suno and Udio so fascinating. Facing sprawling copyright lawsuits from the music industry, the two companies went well beyond boilerplate denials – offering extended arguments that attempted to frame the narrative of a multi-billion dollar legal battle that could take years to resolve.
In doing so, they admitted to using copyrighted songs to train their models, and they argued that doing so was clearly a form of legal “fair use.” And they blasted the major labels (Universal Music Group, Warner Music Group and Sony Music Entertainment) that filed the case, accusing them of abusing copyright law to maintain that power.
“What the major record labels really don’t want is competition,” Suno wrote in its filing. “Where Suno sees musicians, teachers and everyday people using a new tool to create original music, the labels see a threat to their market share.”
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