NORWALK, CT, September 09, 2026 /24-7PressRelease/ — Mark M. Kratter’s proposed Third Amended Complaint adds three new counts including two federal Lanham Act claims alleging systemic misrouting, phantom identities, metadata failures, and physically impossible reporting outputs that divert earnings toward major‑label catalogs.
Independent artist and attorney Mark M. Kratter has filed a Motion for Leave to File a Third Amended Complaint in federal court, seeking permission to expand the case to nine counts addressing what the filing describes as systemic misrouting, misattribution, and false designation of origin within Spotify’s ingestion and routing systems. The case is pending in the United States District Court for the District of Connecticut, Case No. 3:26‑cv‑01055.
“Spotify has refused to fix its ingestion and routing errors or address misattribution. Independent artists deserve transparency, and the public deserves to know these issues remain unresolved.”
Three New Counts Added in the Proposed Third Amended Complaint
Kratter’s proposed Third Amended Complaint adds three new counts:
Count 6 — CUTPA Stream Suppression and Undisclosed Filtering
Alleging that Spotify’s March 2026 rule change suppressed legitimate streams, failed to count key engagement signals, and diverted algorithmic discovery away from independent artists.
Count 7 — False Designation of Origin (Lanham Act)
Alleging that Spotify’s ingestion pipeline misinterprets standard metadata, generating phantom identities such as “Mark Kratter Band · Mark M. Kratter · Mark M. Kratter,” fragmenting catalogs and misrouting listeners.
Count 8 — False Advertising (Lanham Act)
Alleging that Spotify publicly represents its reporting data as accurate while generating physically impossible outputs — including saves without listeners, duplicate saves, and save counts exceeding stream counts.
Together, Counts 7 and 8 expand the case into federal false‑origin and false‑advertising territory, addressing platform‑level conduct that affects independent artists across the industry.
Count 6: Systemic Misrouting and Diversion of Earnings
Count 6 alleges that Spotify’s ingestion and identity‑mapping systems have caused:
• misrouting of streams
• misattribution of plays
• improper identity merges and splits
• phantom identities absorbing traffic
• diversion of visibility away from independent artists
These failures have resulted in material loss of earnings, suppressed visibility, and false origin attribution for independent artists whose catalogs rely on accurate routing and attribution.
Industry‑Wide Impact: The 1,000‑Stream Rule
The filing highlights broader industry concerns, including Spotify’s 1,000‑stream threshold, under which 82% of artists receive no payout. Public reporting indicates the rule results in approximately $47 million per year in earnings withheld from independent artists.
“The 1,000‑stream threshold disproportionately impacts independent artists, diverting earnings away from non‑major catalogs and toward major‑label catalogs. The withheld funds represent revenue that would otherwise be distributed to independent artists” — because it is the independent artist who earned the money.
A Call for Transparency
“Independent artists are small businesses. They rely on accurate attribution, fair routing, and transparent payout structures. The proposed Third Amended Complaint seeks accountability, transparency, and remedies for the systemic issues that have harmed independent artists for years.”
Invitation to Independent Artists
Independent artists who have experienced misrouting, misattribution, or data irregularities are encouraged to reach out if they wish to share documentation or learn how to organize their materials. Kratter’s goal is to help independent creators understand these systemic issues and present accurate, well‑structured information.
About the Plaintiff
Mark M. Kratter is a Connecticut recording artist, attorney, and founder of a six‑band creative ecosystem inspired by Chabad values, Jewish identity, and a commitment to producing clean, uplifting, family‑safe music across multiple genres. Across more than 2,000 original songs and 140 releases, Kratter’s catalog contains no profanity, no sexual content, no explicit themes, and no degrading language — making his work uniquely positioned in a digital landscape dominated by explicit material.
His six artist identities include:
Mark Kratter Band — flagship rock/spiritual project
Mark Kratter Band Singles — single‑track releases
Menachem Kratter Band — Chabad‑inspired children’s music
RapsterKratter — clean rap with ethical storytelling
KratterVision — cinematic, female‑vocal spiritual imagery
Mark Michaels Messiah Band — rock/orchestral spiritual themes
Across all identities, Kratter’s mission is to create spiritually aligned, family‑safe music that uplifts listeners without compromising values.
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