Universal and Warner Dig In: AI Money Ain't Union Money (Yet)

Universal and Warner just filed back in court arguing that their AI agreements don't trigger the union's "new use" clause — the part of the AFM Sound Recording Labor Agreement that's supposed to get session musicians paid when their work gets used in fresh ways.

The American Federation of Musicians sued both labels in June, claiming the "new use" language clearly covers AI deals and the majors should be cutting checks to union members. But the labels are pushing hard the opposite way: they say the clause is straightforward, and AI training and generation don't qualify.

This is still early in the fight — both sides are trying to win on paper before a judge even gets the full picture. What's really at stake is whether the AFM can force the majors to share what they're making off AI, or if those deals fall into a gray zone the old contracts never anticipated.

The court will have to decide if "new use" in a 1990s-era agreement covers tech that didn't exist back then. Either way, this sets the template for how unions negotiate with the majors over AI going forward.

Read the full story at CMU → https://completemusicupdate.com/universal-and-warner-tell-judge-new-use-clause-in-afm-agreement-is-clear-and-unambiguous-and-does-not-apply-to-their-ai-deals/