Reservoir sues Suno and Anthropic over music and lyrics in $340 million claim

The scope of the lawsuits

Music publisher Reservoir has filed two separate lawsuits against the AI companies Suno and Anthropic. The complaints, filed on October 21, 2026, in a California federal court, seek nearly $340 million in potential statutory damages. These damages represent the maximum penalties available for the alleged copyright violations.

The litigation targets the way these companies built their AI systems. Reservoir accuses Suno of using 1,050 musical compositions and Anthropic of using lyrics from 853 different compositions. The publisher claims these works were used without authorization to train the models that now generate music and text.

Specifically, the lawsuits identify iconic works by high-profile artists. These include Madonna's "Papa Don't Preach," Johnny Cash's "Ring of Fire," and Joni Mitchell's "Both Sides Now." Reservoir is seeking court orders to stop further infringement and to destroy any unauthorized copies of the material.

How the AI models were trained

The complaint against Suno focuses on how the company developed its music generation service. Reservoir alleges that Suno scraped material from various online music platforms, including YouTube Music. This data was reportedly used to create a product that can produce full songs from simple user prompts.

The publisher argues that Suno built a commercial product using music it never licensed. By using these datasets, the company was able to develop a tool that competes directly with the original songwriters. Reservoir contends that Suno is attempting to avoid the standard licensing costs that usually accompany the use of copyrighted music.

The case against Anthropic is more focused on the text side of AI. It alleges that the company behind the Claude chatbot obtained protected song lyrics without permission. Reservoir claims that Anthropic's models can now reproduce substantial portions of these copyrighted songs when users interact with the assistant.

Legal arguments and fair use

A central point of contention in these cases is the legal doctrine of fair use. This doctrine allows for the use of protected works without permission depending on the purpose and effect the use has on the market. Suno has previously argued that training AI systems on copyrighted material qualifies as fair use.

Reservoir challenges this stance by pointing to Suno's recent business moves. The company has recently entered into licensing agreements with Warner Music Group, BMG, and Believe. The publisher argues that these deals prove a commercial market exists for licensing music for AI training purposes.

Reservoir's attorney, Richard Busch, suggests that Suno is following a specific strategy. He argues the company is copying music first to establish a market position and then negotiating licenses later. The publisher claims this approach allows the company to bypass the costs of obtaining permission upfront.

Technological and copyright violations

Beyond standard copyright infringement, the lawsuits include claims under the Digital Millennium Copyright Act (DMCA). These claims suggest that the AI companies circumvented technological restrictions meant to control access to protected material. They are also accused of removing or altering copyright management information, such as songwriter credits.

The DMCA claims account for a portion of the total damages Reservoir is pursuing. These penalties are triggered when companies bypass the digital locks that identify owners and manage rights. The publisher argues that the defendants actively removed these identifiers during their data collection processes.

Anthropic has stated that it intends to defend the lawsuit vigorously. Meanwhile, the broader legal landscape remains uncertain as other courts hear similar arguments. A separate case involving Claude's use of lyrics is currently awaiting a ruling from a judge regarding the impact on licensing markets.

The impact on the music industry

The litigation highlights a growing tension between technological development and the rights of creators. Reservoir founder and CEO Golnar Khosrowshahi stated that the company supports technology but intends to protect the rights of songwriters and artists. The publisher wants to ensure that creators are compensated when their work is used to build new products.

Suno is currently facing multiple other lawsuits from major record labels and independent publishers. These entities are concerned about how AI-generated substitutes might affect the livelihood of human musicians. The industry is watching closely to see if the courts will favor the developers or the rights holders.

The outcome of these cases could redefine how music is licensed in the digital age. If the courts rule against the AI companies, it could force a new standard for data permissions. If the companies win, it may create a path for AI to use massive amounts of data with minimal oversight.