FOUR of Britain’s biggest karaoke firms face hurt after being sued for infringing copyright in the US.
They must cough up hundreds of millions in damages after unwell to compensate royalties on versions of hits by acts including The Beatles and Oasis.
UK firms SBI Global, Mr Entertainer, Zoom Entertainments and Music Factory re-create hits but the vocals and sell them on.
But while they paid royalties on sales in the UK and Europe they did not have permission to sell in the US, a justice ruled.
They sole many of their tunes in the States around the now-closed Canada-based website TriceraSoft.
But a judge in Nashville, Tennessee, has now systematic the 4 Brit firms and TriceraSoft to compensate a sum of £527million in damages to record labels Sony and EMI — along with £870,000 in costs between them.
Insiders pronounced the case, which began in 2015, could broke the firms. Last night Mr Entertainer boss Gary Oates, 34, from Guildford, Surrey, called the decision “farcical”.
But he refused to contend anything else and plans to appeal.