Warner Music and Crumbl Settle $24M TikTok Copyright Dispute

Warner Music and Crumbl reach settlement in $24M copyright infringement lawsuit over TikTok posts

May 27, 2026 By Mandy Dalugdug

Warner Music Group and cookie chain Crumbl have reached an agreement in principle to settle their copyright infringement lawsuit.

The settlement was confirmed in a joint court filing on Friday (May 22), in which the parties told a Utah federal court that they “have reached an agreement in principle and are in the process of finalizing a settlement agreement between them.”

The parties said they expect to resolve their dispute on or before June 15, 2026 , according to the latest filing, which you can read here .

The filing requested a stay of all proceedings “pending completion of the Parties’ settlement agreement.”

If the parties are unable to finalize their agreement, they will file a joint status report on or before June 19, 2026 , “or as otherwise ordered by the Court,” the filing stated.

The court granted the stay on Tuesday (May 26).

Financial terms of the settlement have not been disclosed.

The case dates back to April 2025, when WMG sued the Utah-based dessert chain , alleging that it “achieved its success by infringing Plaintiffs’ copyrighted sound recordings and musical compositions on a massive scale in promotional content posted on social media platforms.”

Warner Music ‘s complaint, filed on April 22, 2025, claimed Crumbl used at least 159 of WMG’s recordings and compositions in promotional videos posted to TikTok and Instagram , where the cookie company has 9.8 million and 6.1 million followers, respectively.

WMG alleged that those works included recordings or compositions from artists and songwriters including Dua Lipa , Bruno Mars , Lizzo , Taylor Swift , Mariah Carey , Ariana Grande , and Beyoncé .

The complaint described the Crumbl Videos as central to the company’s marketing strategy, noting that they “frequently feature unauthorized use of Plaintiffs’ sound recordings and musical compositions – usually featuring chart-topping and award-winning artists – as a principal and indispensable element of the Crumbl Videos.”

“Indeed, there is typically no speaking or sound other than the music integrated into the video,” the complaint added.

The music company had sought up to $150,000 in statutory damages per infringed work – which could potentially have resulted in damages of up to $23.85 million if the court had granted the maximum penalty for each of the 159 works cited.

WMG also sought a permanent injunction prohibiting Crumbl from further infringement.

“Defendants have misappropriated at least 159 of the most popular and valuable sound recordings and musical compositions in the market, using those creative works to build Defendants’ brand profile and drive massive sales to Defendants without any compensation to Plaintiffs,” the complaint stated.

“Defendants not only failed to pay for the use of the Plaintiffs’ Musical Works, but by including these works in their promotional materials without Plaintiffs’ consent, Defendants deprived Plaintiffs, their recording artists, and their songwriters of the ability to control how and where their musical works are used.”

WMG ‘s complaint cited a Wall Street Journal interview in which Crumbl co-founder and CEO Jason McGowan stated: “Our strategy right from the beginning was social media.”

The lawsuit alleged that Crumbl ‘s infringement was “clearly willful,” noting that the company continued to post infringing content months after WMG sent a cease-and-desist letter in August 2023 .

“Months after receiving the cease-and-desist letter, Crumbl not only continued to exploit many of the infringing Crumbl Videos, but also posted new infringing Crumbl Videos,” the complaint stated.

The lawsuit cited one January 2024 TikTok video in which Crumbl itself said: “We were gonna make a funny video to promote Mystery Cookie, but legal said we can’t use any trending audios.”

WMG ‘s complaint called this an admission that demonstrated the company’s “willfulness.”

The complaint also noted that Crumbl “is not unfamiliar with intellectual property laws and enforces its own intellectual property rights by filing lawsuits against companies that allegedly infringe Crumbl’s intellectual property.”

At the time the lawsuit was filed, Crumbl said in a statement: “Crumbl is aware of the legal action initiated by Warner Music Group and is actively reviewing the matter.

“Crumbl respects the rights of artists and creators and will respond appropriately through the legal process.”

The settlement comes amid a wave of copyright infringement cases brought by the major music companies against businesses over the unauthorized use of music in social media posts.

Warner Music Group has also filed copyright infringement lawsuits against shoe retailer DSW Designer Shoe Warehouse over the alleged infringement of over 200 works and against fashion retailer PacSun over the alleged infringement of over 290 works in TikTok and Instagram posts.

In April, Universal Music Group and Concord Music Group sued fashion brand Quince over what they called “rampant and brazen infringement” in TikTok posts.

Sony Music Entertainment has brought similar cases against Marriott Hotels , the University of Southern California , and DSW .

Several of those cases have also resulted in settlements. Sony Music settled its lawsuit against Marriott in October 2024, and settled its case against USC in March of this year.

The pattern dates back to energy drink company Bang Energy , which was sued by Sony Music in 2021 and by Warner Music Group in 2022 over the unauthorized use of music in social media posts.

Courts found Bang Energy liable for direct copyright infringement, and those rulings have been cited as precedent in subsequent cases.

Crumbl was co-founded by Jason McGowan and Sawyer Hemsley in 2017 with a single store in Logan, Utah.

The company has since grown to more than 1,000 locations, with more than 29,000 employees, according to its website .

In May 2025, private equity firm TSG Consumer Partners made a minority investment in Crumbl .

The plaintiffs in the case were represented by Sidley Austin and Workman Nydegger .

Crumbl was represented by Wilson Sonsini Goodrich & Rosati . Music Business Worldwide

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_Originally reported by [Music Business Worldwide](https://www.musicbusinessworldwide.com/warner-music-and-crumbl-reach-settlement-in-24m-copyright-infringement-lawsuit-over-tiktok-posts/)._