Antitrust Law Daily Wrap Up, FRANCHISING & DISTRIBUTION NEWS: Warner accuses the Crumbl cookie franchise of copyright infringement, (Apr 28, 2025)
Law Firms Mentioned:Sidley Austin LLP | Workman Nydegger
Organizations Mentioned:Atlantic Recording Corp. | Atlantic Records | Atlantic Records Group LLC | Bad Boy Records LLC | Big Beat Records Inc. | Big Beat Records, Inc. | Crumbl, LLC | Elektra Entertainment Group Inc. | Elektra Entertainment Group, Inc. | Elektra Entertainment LLC | Rhino Entertainment LLC | Sidley Austin, LLP | Unichappell Music Inc. | Unichappell Music, Inc. | W Chappell Music Corp. | Warner Chappell Music, Inc. | Warner Music International | Warner Music International Services Limited | Warner Records Inc. | Warner Records, Inc. | Warner-Tamerlane Publishing Corp. | Warner/Chappell Music, Inc.
By Matthew Hersh, J.D.
The fast-growing cookie chain allegedly used unlicensed music in its social media ad campaign.
A leading gourmet cookie business purloined sound recordings or musical compositions performed by Dua Lipa, Bruno Mars, Lizzo, Taylor Swift, Mariah Carey, Ariana Grande, Beyoncé, and dozens of other top artists, a new federal complaint alleges. The lawsuit, brought by Warner Music Group and several of its music publishing and recorded music affiliates, accuses the fast-growing cookie franchise of encouraging its users to create videos on TikTok and other social media that use the music without license (Atlantic Recording Corp. v. Crumbl, LLC, No. 2:25-cv-00316-HCN (D. Utah filed Apr. 22, 2025)).
The lawsuit takes aim at the company behind the Crumbl cookie franchise, the Utah-based company that since its inception in 2017 has now expanded to over 1000 bakeries worldwide. Crumbl has largely eschewed traditional advertising, the complaint asserts, “relying instead upon promotion of Crumbl’s products and brand through social media sites, most notably on TikTok and Instagram.” Crumbl also expands its marketing reach, the complaint alleges, by partnering with social media influencers who create videos promoting the company’s brand. Many of these videos, the complaint alleges, are then reposted on Crumbl’s own social media sites.
But these videos, the complaint asserts, frequently feature unauthorized use of Warner’s sound recordings and musical compositions as their central element. In many cases, Warner claims, these so-called “Crumbl videos” often incorporate sound recordings and musical compositions that are specifically tied to the Crumbl product being promoted in the video. For example, the complaint alleges, one video promoting Crumbl’s blueberry cheesecake features the use of the Warner-owned musical composition “Blueberry Faygo,” performed by Lil Mosey. In another example cited by the music giant, Crumbl’s social media account featured a video promoting Crumbl’s yellow sugar cookie while Coldplay’s Yellow played in the background. In total, the complaint alleges, at least 159 Warner musical compositions or sound recordings were used in these unauthorized videos.
The lawsuit also alleges that the cookie franchise acted willfully in infringing Warner’s copyrights. For example, the complaint alleges, Crumbl in some cases described videos as containing “original sounds” in to circumvent social media platform prohibitions on the use of unlicensed music. Moreover, the complaint asserts, Crumbl failed to take effective steps to remedy alleged copyright infringement after receiving cease and desist letters from Warner in 2023.
The lawsuit brings claims of direct, contributory, and vicarious copyright infringement and seeks statutory damages of up to $150,000 per infringed work—or in the alternative, actual damages and disgorgement of profits—from the cookie franchise.
The Case is No. 2:25-cv-00316-HCN.
Judge: Nielson, Jr., H.
Attorneys: Ryan C. Morris (Workman Nydegger) and Rollin Ransom (Sidley Austin LLP) for Atlantic Recording Corp., Atlantic Records Group LLC, Bad Boy Records LLC, Big Beat Records Inc., Elektra Entertainment Group Inc., Elektra Entertainment LLC, Rhino Entertainment LLC, Warner Music International Services Limited, Warner Records Inc., Unichappell Music Inc., W Chappell Music Corp., Warner Chappell Music, Inc., and Warner-Tamerlane Publishing Corp.
Companies: Crumbl, LLC; Atlantic Recording Corp.; Atlantic Records Group LLC; Bad Boy Records LLC; Big Beat Records Inc.; Elektra Entertainment Group Inc.; Elektra Entertainment LLC; Rhino Entertainment LLC; Warner Music International Services Limited; Warner Records Inc.; Unichappell Music Inc.; W Chappell Music Corp.; Warner Chappell Music, Inc.; Warner-Tamerlane Publishing Corp.
News: FranchisingDistribution UtahNews