NoCopyrightSounds Limited v AEI Music Limited & Anor

Facts

The claimant, NoCopyrightSounds Limited ("NCS"), holds rights in a catalogue of music and sound recordings and carries on business as a YouTube channel, music publisher and record label. The defendants, AEI Music Limited and Featherstone Music Limited, were authorised to exploit those rights in return for paying NCS a percentage of the revenue; their parent, AEI Ventures Ltd, remains a 25.25% shareholder in NCS. The contractual position was, as the parties put it, "messy": NCS relied on a Distribution Agreement and a YouTube Agreement with AEI and a Publishing Agreement with Featherstone made between February and June 2017, while the defendants contended that a Heads of Agreement dated 26 July 2017 replaced those "placeholder agreements". It was common ground that the defendants had to account for exploitation of the Catalogue, and AEI admitted on several occasions between August 2024 and September 2025 that substantial sums were outstanding. NCS gave notice of termination in September 2025 and obtained an injunction in January 2026 restraining further exploitation until trial. By a claim form dated 20 November 2025 NCS sought the unpaid balance and damages for copyright infringement; the defendants counterclaimed for breach of contract and unjust enrichment, and pleaded waiver and estoppel. NCS applied for interim accounts and an interim payment of £3 million.