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Related Topics Tech » Music » Media » By Jonathan Stempel Thu Jan 5, 2012 10:31pm EST (Reuters) - Grooveshark has been sued by the large record company EMI Group Ltd, which accused the popular digital music service of paying no royalties since entering a licensing agreement to stream music nearly three years ago. EMI, which brought the world such acts as the Beatles and Coldplay and is now being sold by Citigroup Inc, filed its complaint against Grooveshark's parent, Escape Media Group Inc, on Wednesday in a New York state court. The filing came less than a month after three other major record companies - Vivendi SA's UniversalMusic Group, Sony Corp and Warner Music Group - filed a federal copyright lawsuit accusing Grooveshark of pirating thousands of songs. Grooveshark spokeswoman Kristin Harris said in an email: "This is a contract dispute that we expect to resolve." The lawsuit was reported earlier by The New York Times. In its complaint, EMI said Grooveshark has acknowledged in writing or orally owing royalties, but has neither paid anything nor provided any accounting statements. EMI said Grooveshark has "continued to exploit" its works while ignoring repeated demands for an accounting and payment. The complaint refers to alleged written and oral estimates by Grooveshark that it owes at least $150,000, but EMI said it believes the actual sum "greatly exceeds" such estimates. Grooveshark calls itself "the world's largest on-demand and music discovery service," with 30 million monthly active users, more than 15 million songs, and 14 billion streams a year. It said its policy is to honor copyright holders' "takedown" requests that comply with the Digital Millennium Copyright Act and other applicable intellectual property laws. In November, Universal agreed at auction to buy EMI's recorded music division for $1.9 billion, while Sony won the bidding for EMI's music publishing operations for $2.2 billion. Both purchases require regulatory approval. Last May, operators of once popular but now defunct file-sharing service LimeWire, agreed to pay record companies $105 million to end a federal copyright infringement trial. Grooveshark has offices in Gainesville, Florida. The cases are EMI Entertainment World Inc v. Escape Media Group Inc, New York State Supreme Court, New York County, No. 650013/2012; and UMG Recording Inc et al v. Escape Media Group Inc et al, U.S. District Court, Southern District of New York, No. 11-08407. (Reporting by Jonathan Stempel in New York; editing by Bernard Orr and Andre Grenon Tech Music Media Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (1) billt568 wrote: Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Advertise With Us Connect with Reuters Twitter Facebook LinkedIn RSS Podcast Newsletters Mobile About Privacy Policy Terms of Use Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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