Chris Castle writes a high level summary of the new rules regarding statutory damages for pre-72 recordings.
WASHINGTON, DC – September 18, 2018 – The SoundExchange family of music creators today applauded the long-awaited passage of the comprehensive Music Modernization Act by the U.S. Senate. SoundExchange issued the following statement from President and CEO Michael Huppe:
“The future of the music industry got brighter today. Creators of music moved one step closer to getting paid more fairly. And industry forces that fought to maintain an unfair and harmful status quo were rebuffed. Now, SoundExchange’s 170,000-member community has just one word for the House of Representatives: Encore.”
“The Music Modernization Act proves what can happen when constructive industry leaders work together towards a greater good. The SoundExchange community joined a historic coalition of artists, labels, songwriters, music publishers, streaming services, performance rights organizations, producers, engineers and unions. The outcome of this collaboration is a law that sets a new framework to guide the future of the music industry. There are still issues regarding creator fairness that we need to address, but today we celebrate a new era of cooperation and progress across the industry.”
SoundExchange will monitor the progress of the Music Modernization Act. Follow updates on our Twitter handle @SoundExchange.
[Editor Charlie sez: Failing to pay pre-72 artists the digital royalties they are entitled to is another example of how Big Tech forces wasteful lawsuits–and cons the industry into false choices on “omnibus” legislation!]
A veritable supergroup’s worth of sixties musicians on Friday (Jan. 12) filed an amicus brief in a California lawsuit against Pandora for its use of sound recordings made before 1972, and thus not covered by federal law. Although the issue in the case — originally brought by Flo & Eddie, Inc., which owns the Turtlesrecordings, and currently before the California Supreme Court — is fairly obscure, the artists are anything but. The amici artists include Carole King, Melissa Etheridge and Doors drummer John Densmore; the estates of Hank Williams and Judy Garland; and companies like the Beatles’ Apple Corps., Grateful Dead Productions and Experience Hendrix.
At stake is whether, and how, non-interactive streaming services like Pandora need to compensate performers and labels for their use of older recordings that are still covered by state law. The music industry has also been lobbying for a legislative answer to the question, and the recently introduced CLASSICS Act (Compensating Legacy Artists for their Songs, Service, & Important Contributions to Society Act) would require digital services to pay for the use of recordings made before 1972. On Jan. 26, the Friday before the Grammy Awards, the House Judiciary Committee will hold a “field hearing” in New York on this and other copyright issues, according to multiple sources.
MUSICFIRST Executive Director CHRIS ISRAEL commented yesterday regarding current copyright laws on pre-1972 music.
He said, “Consumers’ preferences for how they access music have changed dramatically in recent years. Sadly, our copyright system hasn’t kept pace. Our antiquated laws treat artists’ works differently depending on the platform we’re using to listen to their recordings. While the inadequacies of our system are evident every day, TODAY (2/15) marks the 44th anniversary of one of our system’s most egregious flaws.
Thanks to a quirk in U.S. law, songs recorded before this date in 1972 do not have federal copyright protection, and that is a huge problem. Up to 15% of all the music on some digital radio services was recorded before FEBRUARY 15, 1972. Streaming, satellite and FM radio have entire channels dedicated to this iconic music, yet this anomaly in U.S. law allows them to use pre-72 music without requiring them to compensate the artists whose recordings they play on the air.
Many older artists have been forced to pursue fair compensation in a variety of state courts. This is extremely inefficient, unfair and unnecessary. Simple legislation will address this clear problem.
[The NAB royalty deadbeats had no comment.]