Tremendous victory for music creators as U.S. frozen mechanical rates are rejected

Music Creators North America is delighted and proud to report that the US Copyright Royalty Board has rejected the proposal by corporate giants in the record and music publishing industry (supported by a lone, outlier songwriter group) to freeze mechanical and download royalty rates.

The judge’s conclusion included the following statement.

… the Judges find that the proposed settlement does not provide a reasonable basis for setting statutory rates and terms. Furthermore, the Judges find a paucity of evidence regarding the terms, conditions, and effects of the MOU. Based on the record, the Judges also find they are unable to determine the value of consideration offered and accepted by each side in the MOU. These unknown factors, as highlighted in the record comments, provide the Judges with additional cause to conclude that the proposed settlement does not provide a reasonable basis for setting statutory rates and terms.”

This tremendous victory for songwriters and composers is the result of huge amount of work by the Songwriters Guild of America, the Society of Composers and Lyricists, MCNA, CIAM, Charles Sanders, Chris Castle, and individual songwriters including George Johnson.

This decision is proof that individual creators can fight successfully to protect their rights against the multinational conglomerates that prioritize shareholder interests over protecting their own creators”.

Charles Sanders, SGA Legal Counsel and MCNA board member

We thank the US Copyright Royalty Board for their decision. More information is available at Chris Castle’s Music Technology Policy blog.

Image: Carol M. Highsmith, Public domain, via Wikimedia Commons

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