Posted by: cinnamonlaw | October 22, 2009

Performance Rights Act Moves On

As discussed previously, the Senate Judiciary Committee was considering passage of the Performance Rights Act which, if passed and signed into law, would require radio stations to pay a fee to artists whose music they played in addition to the ASCAP, BMI and SESAC fees that stations already pay. The Judiciary Committee voted to send the bill forward. In this economy, that’s NOT good news for small market music radio stations especially. The smallest annual fee would be $500, with medium market stations paying $5,000 and costs rising from there.

Supporters of the bill claim its the just payment that radio owes the artists, because without music from the artists, radio stations would not make the “billions of dollars” in profit they have over the year. NAB, on behalf of radio stations, says that artists would not sell anywhere near the amount of product they do without the promotional power radio stations provide through airplay (anyone else old enough to remember “payola”?) Check out this LA Times article for a quick summary of both sides.

What side are you on and why? Leave a comment because this bill gains more and more traction each year.


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s


%d bloggers like this: