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Triller ordered to pay Merlin more than $3.2M in default judgment over unpaid licensing fees
A US federal court has ordered Triller Group Inc. to pay music licensing body Merlin more than $3.2 million after failing to respond to a lawsuit over unpaid fees. Judge Jeannette A. Vargas of the Southern District of New York issued the default judgment on 9 July after Triller did not oppose Merlin's motion, adding to a lengthening list of legal and financial troubles for the beleaguered social video platform.
The judgment comprises $2,550,000 in the original claim, $667,636.36 in pre-judgment interest, and $717.05 in costs, plus post-judgment interest still to accrue. Merlin, which represents independent labels and distributors, had alleged Triller breached a 2020 licensing deal's "most favoured nation" clause by giving another company, reportedly Sony Music, better rates without compensating Merlin accordingly. The case follows a string of setbacks for Triller, including lawsuits from Universal Music Group and a Yorkville Advisors-controlled hedge fund, a 2024 SEC filing disclosing over $23 million in unpaid licensing fees, a Nasdaq trading suspension later overturned, a 1-for-10 reverse stock split, and a reported $174.5 million net loss for 2025.
In short
- Triller must pay Merlin over $3.2m after ignoring the lawsuit
- Dispute centred on a breached "most favoured nation" licensing clause
- Adds to Triller's mounting legal, financial and Nasdaq troubles
Explained simply
Triller is a social video platform that allows users to create and share short videos, similar to other apps in the same category. Like other such platforms, Triller must licence music from rights holders to allow users to include songs in their content.
Merlin is an organisation that represents independent record labels and music distributors, licensing their music to platforms like Triller. The dispute concerns unpaid fees under a 2020 licensing agreement; Merlin claims Triller paid lower fees to another music company for its music without reducing what it pays Merlin, breaching a contract clause meant to ensure comparable treatment.
Triller has faced mounting financial and legal difficulties in recent years, including other lawsuits from major record labels over unpaid licensing fees and significant reported losses. This judgment adds to a broader pattern of financial strain on the platform.