# UMG asks court to dismiss US musicians’ union lawsuit over Udio AI deal

- URL: https://talkfuse.com/story/umg-asks-court-to-dismiss-us-musicians-union-lawsuit-over-udio-ai-deal/
- Published: 2026-08-05T19:31:24+00:00
- Updated: 2026-08-25T04:45:02+00:00
- Original publisher: Music Business Worldwide
- Original article: https://www.musicbusinessworldwide.com/umg-asks-court-to-dismiss-us-musicians-union-lawsuit-over-udio-ai-deal/
- Topics: AI, Americas, Entertainment, Music, Technology, World

## Key points

- UMG seeks dismissal of AFM lawsuit over Udio AI licensing deal
- UMG says its union contract sets no rate for AI training use
- Judge compared the dispute to how rap sampling was resolved

## Summary

Universal Music Group has filed a motion asking a US federal court to dismiss a lawsuit brought by the American Federation of Musicians (AFM) over UMG's licensing of members' recordings to AI music platform Udio. UMG argues that the union's collective bargaining agreement sets no fixed rate for using recordings to train generative AI, meaning the claim fails as a matter of law. The case is significant because it tests how existing music industry labour agreements apply to the fast-growing area of AI-generated music, and could shape how artists are compensated for this new use of their work.

The AFM sued UMG and Warner Music in June, alleging recordings were licensed to AI firms Udio and Suno without compensation or credit; UMG has since settled with Udio, while Warner has settled with both Udio and Suno. The dispute centres on Article 21(a) of the Sound Recording Labor Agreement, covering "new uses" of recordings, with UMG arguing that the clause requires a separate agreement setting a rate before payment is owed, and no such AI-specific agreement exists. At a pre-motion hearing, Judge Edgardo Ramos questioned why UMG shouldn't pay artists given it benefits from the AI licensing deals, comparing the situation to how rap sampling disputes were eventually resolved through negotiation.

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Summarised by TalkFuse (https://talkfuse.com/). Quote the original publisher for the reporting and link this page for the summary and discussion.