Unlicensed Music Fines for Small Business
Real Cases & What They Cost
Playing unlicensed music in your business is a federal copyright violation. The fine starts at $750 per song. It can reach $30,000 per song — or $150,000 if a court decides the infringement was willful.
This page compiles real enforcement cases from bars, restaurants, breweries, and other small businesses across the United States. These are documented lawsuits filed in federal court, reported by local news outlets, and confirmed by public records. The risk is real. Learn more below.
These Businesses Ignored the Letters. Here's What It Cost Them.
| Business | Location | PRO | Alleged Violation | Outcome / Exposure |
|---|---|---|---|---|
| Pirate's Den | Cincinnati, OH | ASCAP | Played "Rock With You" (Michael Jackson) despite having a BMI license — but not ASCAP | $90,000 lawsuit |
| Franklin Steakhouse & Tavern | Fairfield, NJ | ASCAP | 4 songs during karaoke night | Federal lawsuit, up to $30,000/song |
| Piece Brewery & Pizzeria | Chicago, IL | BMI / Sony | Live karaoke covers (Willie Nelson, Red Hot Chili Peppers, Weezer) | Federal lawsuit, statutory damages |
| Willoughby Brewing Co. | Willoughby, OH | ASCAP | Live performances of 3 songs after license was terminated | Federal lawsuit |
| Jimmy B's Sports Bar & Grill | Cincinnati, OH | ASCAP | Cover band played 3 songs (Styx, Peter Frampton) | Lawsuit, up to $30,000/song |
| Five Dimes Brewery | Westwood, NJ | ASCAP | Cover band played 3 songs during live event | Federal lawsuit filed |
| Baseline Social | Oceanport, NJ | ASCAP | DJ played 6 songs including 50 Cent, Michael Jackson | Lawsuit, up to $30,000/song |
| Vazzy's Cucina | Shelton, CT | BMI | 9 songs played — owner believed Muzak & cable subscriptions provided coverage | $18,000 settlement |
| Chicago Drive Pub and Grill | Grandville, MI | ASCAP | Unauthorized performance of copyrighted works | Federal lawsuit filed |
| Port Angeles bar | Port Angeles, WA | ASCAP | Karaoke music | $8,500 settlement |
| Marriott International | Nationwide | Sony Music | 931 unlicensed songs in social media posts across hotel properties — Beyoncé, Michael Jackson, Harry Styles, others | Settled Oct 2024 — up to $140M exposure |
Sources: court filings, local news outlets, and public records. Full citations below. Data compiled by MusicForBusinessFinder.com.
How Music for Business Enforcement Works
ASCAP and BMI don’t wait for you to call them. They send investigators — real people who walk into your business, listen to the music playing, and log every song. If those songs are in their catalog and you don’t have a license, you have committed federal copyright infringement.
Before filing a lawsuit, both organizations typically send letters and make phone calls — sometimes dozens of them, over months or years. In nearly every case below, the business received multiple warnings before legal action was taken. In nearly every case, the business owner ignored them.
That’s the pattern. The lawsuit isn’t the surprise. The lawsuit is what happens after the warnings are ignored.
Federal copyright law (17 U.S.C. § 504) sets the damages:
- Minimum: $750 per infringed work
- Maximum: $30,000 per infringed work
- Willful infringement maximum: $150,000 per infringed work
Each song counts as a separate infringement. A cover band playing a two-hour set can rack up dozens of violations in a single night.
For more on the research behind why businesses choose to play music — and what it’s actually worth — see our Music for Business Research & Statistics page.
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Restaurant & Bar Enforcement Cases
The Pirate’s Den — Cincinnati, Ohio — $90,000 Lawsuit
The Pirate’s Den in Cincinnati had a music license. The problem: it was a BMI license, not an ASCAP license. When the bar played Michael Jackson’s “Rock With You” — an ASCAP-licensed song — it was unprotected.
ASCAP sent letters and phone calls more than 40 times over five years. The bar didn’t respond. ASCAP filed a lawsuit seeking $90,000 in damages.
The lesson here is one of the most important on this page: one license does not cover everything. BMI and ASCAP represent different catalogs. A business that has one but not the other is still exposed to infringement claims from the other.
Source: Austin Area Chamber of Commerce
Franklin Steakhouse & Tavern — Fairfield, New Jersey — Karaoke Night
In 2017, ASCAP filed nine separate copyright infringement actions against bars and restaurants across the United States. One of them was the Franklin Steakhouse & Tavern in Fairfield, New Jersey.
The trigger? A four-song set during a Wednesday night karaoke event. ASCAP alleged that those performances violated its members’ copyrights — and filed a federal lawsuit seeking up to $30,000 per violation.
Most people assume karaoke is harmless. It isn’t. Karaoke performances of copyrighted songs are public performances. The venue is responsible for holding a license that covers them, regardless of whether a professional band or a customer is doing the singing.
Source: NJ Patch
Piece Brewery & Pizzeria — Chicago, Illinois — BMI & Sony Lawsuit
Piece Brewery and Pizzeria in Chicago’s Wicker Park neighborhood hosted a live karaoke night every Saturday. A BMI representative visited the venue on August 23, 2015 and documented three songs performed by the live house band: “Crazy” by Willie Nelson, “Give It Away” by the Red Hot Chili Peppers, and “Say It Ain’t So” by Weezer.
BMI filed a federal copyright infringement lawsuit against Piece and its owner in February 2016. Sony was also listed as a plaintiff. BMI said it had reached out to Piece more than 70 times since May 2014 before filing suit.
The annual license Piece could have purchased cost approximately $300. The lawsuit sought statutory damages and a permanent injunction barring Piece from playing BMI-licensed music without permission.
Sources: Chicago Sun-Times · Chicago Tribune
Willoughby Brewing Company — Willoughby, Ohio — ASCAP Lawsuit
Willoughby Brewing Company had paid ASCAP fees for years. Then it stopped. ASCAP contacted the brewery dozens of times over several years to resolve the issue. The brewery’s license was terminated in May 2016.
In December 2016, ASCAP sent an investigator to the venue and documented live performances of three songs: “I Will Survive,” “Just What I Needed,” and “Play That Funky Music White Boy.” ASCAP filed a federal lawsuit in 2017 as part of a nine-venue enforcement sweep.
This case illustrates a second common pattern: letting a license lapse. A business that once had a license but stopped paying is in exactly the same legal position as one that never had one.
Sources: Cleveland Scene · Good Beer Hunting
Jimmy B’s Sports Bar & Grill — Cincinnati, Ohio — $30,000 Per Song Exposure
ASCAP filed a lawsuit against Jimmy B’s Sports Bar & Grill in Union Township, Ohio in 2020. The complaint alleged that on November 9, 2019, a cover band performed three songs at the venue without authorization: Styx’s “Fooling Yourself (The Angry Young Man),” Peter Frampton’s “Show Me the Way,” and Head East’s “Never Been Any Reason.”
ASCAP said it had made more than 60 attempts to contact the owners and offer a license since 2016. The lawsuit sought statutory damages of up to $30,000 per violation.
Source: Cincinnati CityBeat
Five Dimes Brewery — Westwood, New Jersey — Federal Lawsuit
In 2025, ASCAP announced it had filed 10 separate copyright infringement actions against establishments nationwide. One was Five Dimes Brewery in Westwood, New Jersey — a venue that routinely featured live bands and open mic nights.
The lawsuit alleged that a cover band performed three songs at the venue on June 28 without authorization: “Are You Gonna Be My Girl,” “I Will Survive,” and “Shut Up And Dance.”
Five Dimes had two other locations in Red Bank and Point Pleasant — neither was included in the suit.
Source: NJ Patch
Baseline Social — Oceanport, New Jersey — DJ Night Lawsuit
ASCAP filed a lawsuit against Baseline Social, an upscale bar in Oceanport, New Jersey, after a DJ played six unlicensed songs at the venue. The songs included “In da Club” and “Party Up (Up In Here)” — both with copyrights held by ASCAP members including Swizz Beatz.
ASCAP said it had spent three years trying to get the bar to purchase a blanket license, which costs approximately $750 per year for venues of that size. The bar refused. ASCAP then sent an undercover investigator who documented the violations in person.
The lawsuit sought an immediate injunction and damages of up to $30,000 per song.
An important note from this case: the venue is responsible, not the DJ. Even if an outside performer or employee causes the infringement, the business owner is the liable party.
Source: NJ Patch
Vazzy’s Cucina — Shelton, Connecticut — $18,000 Settlement
Nine songs were played inside Vazzy’s Cucina restaurant. A BMI agent was present, documented the performances, and sued owners John Vazzano and Vincent Noce for copyright infringement.
Vazzano said he believed his Muzak subscription and cable TV service already protected him from any liability. They didn’t. Neither Muzak nor cable TV subscriptions cover the public performance rights required by BMI. He settled the case for $18,000. After settling, he purchased a BMI license for approximately $4,500 per year.
This case captures one of the most common — and costly — assumptions in small business music licensing: that some other subscription you’re already paying for has you covered. It almost certainly doesn’t.
Source: Hartford Business Journal
Chicago Drive Pub and Grill — Grandville, Michigan — Part of 10-Venue Sweep
ASCAP filed 10 separate copyright infringement lawsuits as part of a 2017 enforcement sweep. One of the venues named was Chicago Drive Pub and Grill in Grandville, Michigan. The bar declined to comment on the lawsuit.
ASCAP’s blanket license for a venue of that type averages less than $2 per day, according to ASCAP representatives quoted in local coverage of the case.
Source: Crain’s Grand Rapids Business
Rum Runners — Northeast Ohio — Federal Lawsuit
ASCAP filed a federal copyright infringement suit against Rum Runners, a bar in Northeast Ohio, after making more than 80 calls and emails to the owners without response. The lawsuit named the owners individually and alleged multiple unauthorized performances of ASCAP-licensed songs.
The filing was part of a broader enforcement action in which ASCAP simultaneously sued 15 bars and restaurants in the region.
Source: Cleveland Scene
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Brewery Music Enforcement Example
King of Clubs — Columbus, Ohio — Up to $90,000 in Exposure
ASCAP filed a lawsuit against King of Clubs, a multi-tiered concert venue in Columbus, Ohio, after an investigator documented three songs being performed without authorization on May 10: “Pony,” “Jump Around,” and “All the Small Things.”
ASCAP said it made more than 70 attempts to offer the venue a license before filing suit. The lawsuit was one of 13 copyright infringement cases ASCAP filed simultaneously against bars and restaurants across the United States.
Potential damages: up to $30,000 per violation — or $90,000 total for the three songs named in the complaint.
Source: Kohl & Cook Law Firm
Hotels & Hospitality Social Media: A New Enforcement Front
Music copyright enforcement isn’t limited to speakers on the wall. Hotels and hospitality businesses can be targeted for unlicensed music in a place most owners never think about: their social media accounts.
Marriott International — Nationwide — Sony Music Lawsuit — Settled 2024
In May 2024, Sony Music Entertainment filed a federal copyright infringement lawsuit against Marriott International — the world’s largest hotel chain — in the U.S. District Court for Delaware.
Sony documented 931 instances of unauthorized use of its music across social media posts from Marriott-owned, managed, and franchised hotel properties. The posts appeared on Instagram and TikTok and featured songs by Beyoncé, Michael Jackson, Harry Styles, Britney Spears, Miley Cyrus, and Mariah Carey, among others.
Sony said it had first notified Marriott of the infringements in January 2020. Notices continued for more than four years. Marriott kept posting. Sony filed suit.
Under U.S. copyright law, the 931 infringements exposed Marriott to up to $140 million in statutory damages. The case settled in October 2024 and was dismissed with prejudice. Settlement terms were not disclosed.
Why this matters for small hospitality businesses:
Marriott’s infringement wasn’t happening in a ballroom or a hotel bar. It was happening in 15-second Instagram reels and TikTok promotional videos — the exact same content that independent hotels, bed and breakfasts, and boutique properties post every week. Using a popular song as background audio in a promotional video is a public performance of that work. It requires a license. The social media platform’s built-in music library does not grant commercial use rights.
Sony’s legal team accumulated evidence for four years before filing. The absence of a cease-and-desist doesn’t mean you’re in the clear — it may mean the clock is still running.
Sources: Music Business Worldwide · Akerman LLP · Distinguished Programs
The Pattern Across Every Case
Reading through these cases, one pattern emerges over and over:
- The business plays music — live bands, DJs, karaoke, or background streaming — without a license.
- ASCAP or BMI sends letters and makes phone calls. Many times. Over months or years.
- The business ignores them.
- An investigator visits and documents violations in person.
- A federal lawsuit is filed.
The businesses that end up in court are rarely caught off guard. They were warned. They chose not to respond.
The annual cost of a blanket license from ASCAP or BMI ranges from roughly $300 to $750 for a typical small venue. A licensed commercial music service like Soundtrack Your Brand, SoundMachine, or Rockbot bundles all licensing into a single monthly fee — typically $19 to $35 per month — and handles ASCAP, BMI, SESAC, and GMR on your behalf. You play music. They handle the legal side.
That’s a straightforward trade-off. The research shows that background music increases revenue for restaurants, retail stores, and spas. Getting that benefit legally costs less per month than most people spend on coffee.
For businesses running multiple locations, licensed services also solve the multi-site licensing complexity — each location is covered under one account.
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Unlicensed Music Fines: What Small Business Owners Ask Most
Q: How does ASCAP or BMI find out that my business is playing unlicensed music?
A: Both organizations use several methods. The most common is a field investigator — a real person who walks into your business, listens to the music, and identifies the songs being played. They also monitor social media, where videos of live performances or events can clearly show a cover band playing a copyrighted song. Increasingly, AI-powered audio monitoring tools are being used to scan public-facing content for unlicensed use. Once they’ve documented violations, they have what they need to file a federal lawsuit.
Q: Can I get fined for karaoke?
A: Yes. Karaoke performances are public performances under U.S. copyright law. The venue is responsible for holding a license that covers them — even if the person doing the singing is a customer, not an employee. The Franklin Steakhouse case (four songs during karaoke night) and the Piece Brewery case (live karaoke band) are both real examples of enforcement actions triggered specifically by karaoke events.
Q: What’s the difference between ASCAP and BMI? Do I need both?
A: Yes — and this is one of the most common mistakes businesses make. ASCAP and BMI represent different catalogs of songwriters and compositions. Having one license does not protect you from infringement claims by the other. The Pirate’s Den case in Cincinnati is the clearest example: the bar had a BMI license but played an ASCAP-licensed song and faced a $90,000 lawsuit. A licensed commercial music service handles all the PROs for you as part of a single subscription — ASCAP, BMI, SESAC, and GMR. That’s the simplest way to stay fully covered.
Q: Is Spotify or Apple Music legal for business use?
A: No. Spotify’s terms of service explicitly limit use to personal, non-commercial purposes. Playing Spotify in a business setting violates both Spotify’s terms and U.S. copyright law. Spotify has no business license to offer. The same applies to Apple Music, YouTube, and any other personal streaming service. Using them commercially exposes you to infringement claims from ASCAP, BMI, SESAC, and GMR — all at once — for every song played. To be clear, there is no Spotify for Business, Apple Music for Business or Amazon Music for Business.
Q: What happens if I just ignore the letters from ASCAP or BMI?
A: In every case documented on this page, ignoring the letters led to a federal lawsuit. ASCAP and BMI are not making empty threats. They have a legal right — and an organizational obligation to their members — to pursue unpaid licensing fees. Once they’ve sent investigators, documented violations, and filed suit, the process moves into federal court. Court costs, attorney fees, and statutory damages compound quickly. There is no benefit to ignoring the letters.
Q: Can ASCAP fine me for music that’s played on a TV in my business?
A: Yes. If a television in your business is playing a channel or program that includes licensed music, and you haven’t arranged for the appropriate licensing, you may be exposed. Background music on a TV broadcast is still a public performance. This is a gray area that depends on screen size, the number of devices, your square footage, and other factors — but it’s not safe to assume you’re automatically exempt.
Q: How much does a business music license actually cost?
A: A blanket license from ASCAP alone starts at roughly $300–$730 per year for small venues, depending on size and use. BMI rates for eating and drinking establishments start at around $378 per year. SESAC adds additional cost. And because you need all three (plus GMR for complete coverage), the total annual cost of going direct to the PROs can run $1,000–$1,500 per year — and requires managing multiple separate agreements. A licensed commercial music service typically costs $19–$35 per month and handles all PRO licensing in a single subscription. Compare providers to see current pricing.
Q: Does having a cover band or DJ perform at my business change my licensing obligations?
A: No — it increases them. When a cover band or DJ performs at your business, you are the responsible party for ensuring the music is licensed. The Baseline Social case in New Jersey is a clear example: the unlicensed songs were played by a DJ, but the bar was the defendant. Venue owners cannot transfer liability to the performers. If you host live music regularly, your licensing obligations are the same as if you were playing a recorded playlist — you need coverage from all major PROs.
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By John Boyle
John is a music for business expert and the founder of MusicforBusinessFinder.com which has been featured on BigIdeasforSmallBusiness.com, Noobpreneur and YFS Magazine. He focuses on helping small business owners navigate the confusing world of commercial music licensing, improve sales, and protect their businesses. By providing clear, independent analysis of top audio platforms, he ensures owners can make informed choices with confidence. He also loves rooting for the Mariners and his daughter’s soccer team.