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Spotify Sued by Mechanical Licensing Collective Over Bundled Music-Audiobooks Subscription Plans, Which Result in Lower Royalties
The Mechanical Licensing Collective has filed legal action against Spotify over its subscription offers that bundle music and audiobooks.
The publishing industry’s offensive against Spotify continues as the Mechanical Licensing Collective has filed legal action against the streaming giant’s U.S. division over its recent subscription offers that bundle music and audiobooks, resulting in a lower royalty. The MLC is taking legal action to enforce these obligations and ensure that Spotify pays all royalties due from its use of songs on Premium plans.” In response, a rep for Spotify sent the following statement: “The lawsuit concerns terms that publishers and streaming services agreed to and celebrated years ago under the Phono IV agreement.
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