Universal Music Sues Chili's Parent Company Over Social Media Copyright, Adding to Beastie Boys Legal Battle
Universal Music Group (UMG) has filed a copyright infringement lawsuit against Brinker International, the parent company of Chili's restaurants, over unauthorized use of protected music in social media promotional content. This lawsuit follows an ongoing legal battle with the Beastie Boys over similar allegations.
Key Details of the Lawsuit:
- UMG claims Brinker used multiple copyrighted songs without permission or payment
- Affected artists include Justin Bieber, ABBA, Mariah Carey, Snoop Dogg, and Frank Sinatra
- Alleged infringement occurred primarily on TikTok and Instagram
- Some promotional content has already been removed from social platforms
Chili's restaurant exterior, red brick facade
Important Legal Points:
- UMG alleges Brinker lacks effective copyright compliance procedures
- Previous licensing agreements existed but were reportedly exceeded in scope
- The lawsuit seeks damages for vicarious and contributory infringement
- A permanent injunction against further infringement is being pursued
Market Impact: Brinker International's stock (NYSE: EAT) declined 2% to $82.96 following the news, though it remains up 97% since the start of 2024 and 178% since October 2023.
This case highlights the ongoing challenges businesses face in navigating social media music licensing, particularly regarding commercial usage rights versus personal use permissions on platforms like TikTok and Instagram.
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