TLDR: The Munich Regional Court is presiding over a groundbreaking lawsuit filed by GEMA, the German music collecting society, against OpenAI. The case, initiated in November 2024, alleges that OpenAI’s ChatGPT utilized copyrighted song lyrics from GEMA’s 95,000 members for training without proper licenses or compensation. This legal challenge, considered the first of its kind globally by a collecting society against an AI provider, is set to significantly influence the future of AI content licensing and creator remuneration. A ruling is anticipated on November 11.
Munich, Germany – In a pivotal legal development with global implications for the burgeoning field of artificial intelligence, the Munich Regional Court today, September 29, 2025, commenced hearings for a landmark lawsuit brought by GEMA, the German music collecting society, against AI giant OpenAI. This case, identified as 42 O 14139/24, is reportedly the first worldwide legal challenge by a collecting society against an AI provider for the unlicensed use of protected musical works. The 42nd Civil Chamber of the Regional Court, under the leadership of presiding judge Elke Schwager, alongside judges Anna Mattes and Hahn, is tasked with navigating the complex intersection of copyright law and generative AI technology.
GEMA’s core accusation, initially filed on November 13, 2024, centers on OpenAI’s popular chatbot, ChatGPT. The collecting society alleges that ChatGPT was extensively trained using copyrighted song lyrics from its vast repertoire, which represents approximately 95,000 GEMA members, without any prior licensing agreements or financial compensation to the creators. Furthermore, GEMA claims that ChatGPT is capable of reproducing these original song lyrics when prompted, demonstrating a direct exploitation of copyrighted material.
This lawsuit carries immense weight, as its outcome is expected to redefine the legal framework for how AI-generated content is licensed and how creators are remunerated in the digital age. GEMA has adopted a firm stance, asserting that creative works are not ‘free raw material’ for AI business models. Dr. Tobias Holzmüller, CEO of GEMA, emphasized this position, stating, “Our members’ songs are not free raw material for generative AI systems providers’ business models. Anyone who wants to use these songs must acquire a license and remunerate the authors fairly. We have developed a license model for this. We are taking and will always take legal action against unlicensed use.”
Kai Welp, GEMA’s General Counsel, who was present at today’s hearing, highlighted the critical nature of the proceedings. He remarked, “Today’s proceedings clearly demonstrated that the various processes in AI systems are also subject to copyright law,” adding that the ruling would have “vital implications” for the remuneration of artists. Welp further noted, “This is why what happened today is such an important step toward resolving legal uncertainties — uncertainties that currently provide AI service providers with a pretext for evading their obligations.”
OpenAI, in its defense, denies any copyright infringement. The company contends that its AI models are not specifically designed to reproduce protected texts and asserts that robust safeguards are in place to prevent the generation of copyrighted lyrics. Despite these claims, GEMA’s legal action underscores a growing tension between technological innovation and the protection of intellectual property rights.
The financial stakes are considerable. OpenAI, a leading provider in generative AI, reported annual sales exceeding two billion dollars and was projected to reach up to five billion dollars in sales in 2024, according to information from November 2024. The outcome of this case could significantly impact the operational models and profitability of AI companies globally.
Also Read:
- German AI Innovator Black Forest Labs Targets $4 Billion Valuation in New Funding Round
- The Potential Worthlessness of Generative AI: A Silver Lining for the Future of Technology
This legal battle is not an isolated incident for GEMA. In a related move, the collecting society filed a similar lawsuit against another AI music company, Suno Inc., in January 2025. That case also alleges systematic use of copyrighted works for AI training without compensation, further demonstrating GEMA’s strategic and comprehensive approach to enforcing creator rights in the evolving AI landscape. The Munich Regional Court is expected to deliver its ruling in the GEMA vs. OpenAI case on November 11.
