Fair Play Fair Pay Act Re-introduced In Congress

Capitol Hill (shutterstock)

Ranking Member of the House Judiciary Subcommittee on Courts, Intellectual Property, and the Internet Congressman JERROLD NADLER (D-NY); Chair of the Energy and Commerce Subcommittee on Communications and Technology Congressman MARSHA BLACKBURN (R-TN); Judiciary Committee Ranking Member JOHN CONYERS, JR. (D-MI); Chairman of the House Judiciary Subcommittee on Courts, Intellectual Property, and the Internet Congressman DARRELL ISSA (R-CA); Judiciary Committee Member Congressman TED DEUTCH (D-FL); and Congressman TOM ROONEY (R-FL) have re-introduced the FAIR PLAY FAIR PAY ACT, a bipartisan bill to create a modern and uniform system of rules governing music licensing for digital and terrestrial radio broadcasts.

The FAIR PLAY FAIR PAY ACT would:

• Create a terrestrial performance right so that AM/FM radio competes on equal footing with its Internet and satellite competitors who already pay performance royalties.
• Bring true platform parity to radio so that all forms of radio, regardless of the technology they use, pay fair market value for music performances.
• Ensure terrestrial royalties are affordable capping royalties for stations with less than $1 million in annual revenue at $500 per year (and at $100 a year for non-commercial stations), while protecting religious and incidental uses of music from having to pay any royalties at all.
• Make a clear statement that pre-1972 recordings have value and those who are profiting from them must pay appropriate royalties for their use, while we closely monitor the litigation developments on this issue.
• Protect songwriters and publishers by clearly stating that nothing in this bill can be used to lower songwriting royalties.
• Codify industry practices streamlining the allocation of royalty payments to music producers.
• Ensure that artists receive their fair share from direct licensing of all performances eligible for the statutory license.

“Our current music licensing laws are antiquated and unfair, which is why we need a system that ensures all radio services play by the same rules and all artists are fairly compensated,” Reps NADLER, BLACKBURN, CONYERS, ISSA, DEUTCH and ROONEY said. “Our laws should reward innovation, spur economic diversity and uphold the constitutional rights of creators. That is what the FAIR PLAY FAIR PAY ACT sets out to accomplish: fixing a system that for too long has disadvantaged music creators and pitted technologies against each other by allowing certain services to get away with paying little or nothing to artists.”

Creative Parties Endorse The Move...

Applauding the bill's re-introduction were CONTENT CREATORS COALITION (c3) Pres. MELVIN GIBBS and Exec. Dir./General Counsel JEFFREY BOXER, who released the following statement:

“For decades, artists have been forced to let their music generate billions of dollars of advertising profit to the corporate investors of radio companies while not being paid one cent for their art. It is past time for CONGRESS to right this wrong.  

“The CONTENT CREATORS COALITION (c3) applauds Representatives JERRY NADLER, MARSHA BLACKBURN, JOHN CONYERS, DARRELL ISSA, TED DEUTCH, and TOM ROONEY for standing up against this injustice with the reintroduction of the FAIR PLAY, FAIR PAY ACT.

“This bill sets the stage for the AM/FM performance right to be included in any copyright licensing reform. Big corporate radio’s hollow arguments and POTEMKIN resolutions have worn thin –- and failed to stem the tide of progress.

“After dozens of hearings and Chairman GOODLATTE’s rigorous multi-year copyright review process, it is time for Congress to act.  We are heartened that Chairman GOODLATTE is preparing to cement his legacy by moving forward with legislation creating an AM/FM performance right. We also are hopeful that this legislation will reform the DMCA to restore the balance Congress had intended.

“We are at a decisive moment for music creators and c3’s grassroots army of musicians and fans stands ready to mobilize in support of the FAIR PLAY FAIR PAY ACT and other reforms to ensure the next generation of artists don’t disappear.”

musicFIRST Exec. Dir. CHRIS ISRAEL issued the following statement:

“We applaud Reps. NADLER, BLACKBURN, CONYERS, ISSA, DEUTCH and ROONEY’s bipartisan introduction of the FAIR PLAY FAIR PAY ACT, an important bill that protects the rights of music creators and benefits the consumers who listen to their songs. Thanks to their leadership we are one step closer to fixing the deeply-flawed system that fails to justly compensate American artists for their hard work.

“This bipartisan legislation, together with recent developments that demonstrate strong support for the performance rights of artists, shows clear momentum for reaching a solution to copyright reform that establishes free market pay for all music creators and technology-neutral rules for music services. The musicFIRST coalition looks forward to engaging with Congress in support of this legislation and on other efforts to level the playing field for artists across music platforms."

THE RECORDING ACADEMY Chief Industry, Government & Member Relations Officer DARYL FRIEDMAN concurred in the following statement:

“As momentum builds for congressional copyright reform, the FAIR PLAY FAIR PAY ACT is a core issue. Radio is the only business in America that can use another’s property without permission or compensation. The bill protects small stations and only asks corporate radio to do what Internet and satellite radio already do: compensate the creators who record the music that drives their business. We applaud Representatives NADLER, BLACKBURN, CONYERS, ISSA, DEUTCH and ROONEY for their leadership in resolving this decades-long injustice.”

... While The NAB Opposes...

Dissenting to the bill was NAB Pres./CEO GORDON SMITH, who stated:

“NAB respectfully opposes the legislation re-introduced by Rep. NADLER that would impose a job-killing performance royalty on AMERICA's hometown radio stations. NAB remains committed to working with CONGRESS on balanced music licensing proposals that help grow the entire music ecosystem, promote innovation, and recognize the benefit of our free locally-focused platform to both artists and listeners. We’re thankful to 165 House Members and 21 Senators who back the LOCAL RADIO FREEDOM ACT that acknowledges broadcast radio's indispensable role in breaking new artists and promoting record sales."

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