Grooveshark may have to pay $736 million in damages

Music streaming service Grooveshark may have to pay $736 million in damages to the US music industry after a judge ruled that the company “knowingly” offered nearly 5,000 songs illegally.

That reports Reuters news agency. Before the final verdict is pronounced, Judge Thomas Griesa has told the jury that they can award the maximum compensation of $150,000 per song. It concerns music by Eminem, Green Day and Madonna, among others. If the jury chooses this option, Grooveshark will have to pay approximately $736 million.

Grooveshark has been sued by nine record labels, including Sony Music Entertainment, Arista Music and Warner Bros. Records. According to the companies, the two music streaming service founders instructed their staff to offer copyrighted tracks through Grooveshark without permission from the rights holders. The judge ruled in September that this was a violation of the law.

Grooveshark’s lawyers are trying to limit the amount of damages by alleging that the company has actively sought to enter into agreements with the music industry. The company also says it will respond to all takedown requests.