It has also been accused of assisting subscribers to pirate content by offering high-speed Internet packages.
In a report by Ars Technica, the music labels say they "advised Charter of its subscribers' blatant and systematic use of Charter's Internet service to illegally download, copy, and distribute copyrighted music through BitTorrent and other online file-sharing services".
"In its consumer marketing material, Charter has touted how its service enables subscribers to download and upload large amounts of content at blazing-fast Internet speeds," added the music labels.
Charter is also said to have profited directly from those who pirated content on their platform, due to these users purchasing their more expensive, high-speed Internet products.
In response, Charter Communications told Ars Technica that it will defend against the "baseless allegations."