Sting Faces Bandmates Lawsuit, Missy Elliott Settles Copyright Fight, and SoundExchange Targets Napster
How The Music Business Works - Issue #26
August 28, 2025
Welcome back to How The Music Business Works!
This week’s roundup spans high-profile legal battles and settlements shaking up music and tech.
From Sting being sued by his former Police bandmates over alleged unpaid royalties, to Missy Elliott resolving a five-year copyright fight just before trial, legacy disputes are back in the spotlight.
Meanwhile, SoundExchange pushes forward against Napster and Sonos in its latest royalty clash, and the Ninth Circuit revives a royalties case among Supertramp members.
On the AI front, Anthropic’s surprise settlement with authors could influence the broader copyright wars looming between creators and tech giants.
Here’s what’s making headlines.

Sting Sued by Police Bandmates Over Missing Royalties
Sting is facing a new lawsuit from his former Police bandmates Andy Summers and Stewart Copeland, who have filed a claim in London’s High Court seeking “millions of pounds” in alleged unpaid royalties. The dispute follows years of legal battles between the trio, with reports suggesting out-of-court settlement talks collapsed. Sting, who sold his solo and Police catalog to Universal Music Publishing in 2022 for a reported $300+ million, continues to earn heavily from hits like “Every Breath You Take,” though his team denies the case is tied to that song. The Police, formed in 1977, split in 1984 after years of internal tensions but reunited for a lucrative 2007–08 world tour.

Missy Elliott Settles Five-Year Copyright Lawsuit
Missy Elliott has settled a five-year copyright lawsuit just moments before it was set to go to trial in Philadelphia. Producer Terry Williams claimed he co-wrote songs on Elliott’s early work with R&B group SISTA and sought royalties dating back to 1994. Elliott denied the claims, insisting Williams never contributed lyrics or music. While settlement terms weren’t disclosed, her attorney said no money was paid toward Williams’ claims, aside from a small sum for beats he had previously sold. The case ends Elliott’s part in the dispute, though related claims against Timbaland, Elektra, Atlantic, Warner, and Reservoir Media remain pending.

SoundExchange Moves for Default Judgement Against Napster
SoundExchange’s $3.4 million royalty lawsuit against Sonos and Napster is escalating, with the rights group now seeking a default judgment against Napster while Sonos pushes for dismissal. The case, filed in June, accuses both companies of failing to pay royalties owed since 2022. Napster, recently rebranded under new ownership, missed its August deadline to respond, prompting SoundExchange’s default request. Meanwhile, Sonos is leveraging a recent court ruling in SiriusXM’s favor to challenge SoundExchange’s legal standing, with a dismissal hearing set for November. The dispute comes as Napster also faces a separate $9.2 million lawsuit from Sony Music over unpaid royalties.

Supertramp Songwriter Must Continue to Share Publishing Royalties With Bandmates
The US Ninth Circuit Court of Appeals has revived a royalties dispute among former Supertramp members, overturning a 2023 ruling that allowed Roger Hodgson to stop sharing publishing royalties with bandmates John Helliwell, Robert Siebenberg, and Douglas Thomson. The lower court had found Hodgson could end a 1977 royalty-sharing agreement after a “reasonable time,” but the appeals judges disagreed, ruling the deal implicitly lasts until the copyrights expire. That means Hodgson must continue splitting royalties under the original agreement as long as the songs generate income. The case stems from Hodgson halting payments in 2018, after decades of honoring the arrangement.

Anthropic Settles Authors’ Copyright Lawsuit After Piracy Claims
Anthropic has reached a preliminary settlement with authors who accused the AI company of copyright infringement, just weeks after their lawsuit was granted class action status. Terms haven’t been disclosed, but the deal could shape similar disputes, including Anthropic’s ongoing battle with music publishers. The case had loomed large after Judge William Alsup ruled AI training can qualify as fair use if content is legitimately sourced. However, Anthropic was found to have downloaded millions of pirated ebooks, exposing it to potentially “doomsday” statutory damages. By settling, Anthropic avoids massive legal risk while rightsholders gain leverage in pushing AI firms toward payouts.