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Sirius XM's Losses In Suits on Pre-'72 Sound Recordings

By Lisa Shuchman
November 30, 2014

For the third time in as many months, Sirius XM lost a court ruling over the issue of pre-1972 sound recordings. In a decision that further upsets the status quo for the music and copyright worlds, a federal judge in New York ruled that the owners of pre-1972 sound recordings have performance rights to their records, and that Sirius XM therefore infringed copyrights held by the two founding members of the 1960s rock band The Turtles. Flo & Eddie Inc. v. Sirius XM Radio Inc., 13-5784 (S.D.N.Y. 2014.)

The members of the band, which sang hits like “Happy Together,” sued Sirius through their company Flo & Eddie last year, alleging that Sirius had infringed on the group's rights under state law by playing its recordings without permission.

Sirius argued in a motion for summary judgment that New York law doesn't cover performance rights for pre-1972 sound recordings, and said its broadcasts of the Turtles' recordings constituted fair use. But U.S. District Judge Colleen McMahon in Manhattan firmly rejected Sirius' arguments and gave the company until December 5 to advise the court of any remaining disputes of fact that would require a trial. Otherwise, District Judge McMahon wrote, Sirius would be held liable for infringement and she would proceed to determine damages.

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