Chopped and Screwed: How the SoundExchange v. Sirius XM Decision Remixes Section 114 of the Copyright Act

In SoundExchange, Inc. v. Sirius XM Radio Inc. (S.D.N.Y. 2025), the court held that SoundExchange—the congressionally designated nonprofit that collects and distributes statutory digital performance royalties under 17 U.S.C. § 114—lacks authority to bring suit to recover alleged underpayments. That ruling creates an enforcement paradox at the center of the section 114 statutory-license ecosystem: SoundExchange is the entity built to receive royalty reports, audit compliance, and distribute payme