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The Music Modernization Act Is Signed Into Law
October 11, 2018 at 12:18 PM (PT)
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It's official, as PRESIDENT TRUMP has signed the ORRIN G. HATCH-BOB GOODLATTE MUSIC MODERNIZATION ACT. THE VERGE reports, "The bill, heralded by labels, musicians, and politicians, unanimously passed through both the House and Senate before going to the President. The bill revamps Section 115 of the U.S. Copyright Act and aims to bring copyright law up to speed for the streaming era. These are the act’s three main pieces of legislation:
- The MUSIC MODERNIZATION ACT, which streamlines the music-licensing process to make it easier for rights holders to get paid when their music is streamed online
- The Compensating Legacy Artists for their Songs, Service, & Important Contributions to Society (CLASSICS) Act for pre-1972 recordings
- The Allocation for Music Producers (AMP) Act, which improves royalty payouts for producers and engineers from SoundExchange when their recordings are used on satellite and online radio (Notably, this is the first time producers have ever been mentioned in copyright law.)"
The Reaction
NAB Pres./CEO GORDON SMITH said: "NAB is grateful for PRESIDENT TRUMP’s signature on the ORRIN G. HATCH-BOB GOODLATTE MUSIC MODERNIZATION ACT, thus culminating a years-long process to find consensus solutions to music licensing issues. This important legislation will benefit songwriters, legacy recording artists, producers, digital streaming services, and music listeners.
“We appreciate the bipartisan process that resulted in passage of this landmark legislation. Sen. HATCH and Chairman GOODLATTE deserve credit for their diligent work on copyright issues over the years, and NAB commends their leadership alongside Chairman GRASSLEY and Ranking Members NADLER and FEINSTEIN –- along with Reps COLLINS and JEFFRIES and Sens WHITEHOUSE, ALEXANDER and COONS -– to skillfully guide this legislation through CONGRESS.”
MIC Coalition
MIC COALITION reacted, "Today, President DONALD J. TRUMP signed into law the most important piece of music legislation in a generation, the ORRIN G. HATCH-BOB GOODLATTE Music Modernization Act. This bipartisan legislation is proof that consensus is achievable among all music industry stakeholders — songwriters, recording artists, digital music companies, broadcasters and consumers. This critical reform — which includes important provisions to ensure Congressional oversight as the Department of Justice continues with its ongoing review of the ASCAP and BMI consent decrees — should serve as a model to address other longstanding music licensing issues, including the pursuit of transparency and efficiency in the multi-billion dollar performing rights licensing industry. We look forward to working alongside stakeholders in the music licensing community to ensure that this legislation is implemented in a way that continues to support a vibrant music marketplace for all."
A2IM
A2IM CEO RICHARD JAMES BURGESS released the following statement upon the signing of the MMA act into a law. "The signing of the Music Modernization Act into law, by the President, is the culmination of a gargantuan struggle that was resolved by an unparalleled alliance between all music industry stakeholders and the relevant tech companies. In this digital age, more music is enjoyed by more people than at any time in the history of humankind. The signing of this bill represents a significant step towards better lives for music creators and those that support them. A standing ovation is greatly deserved for all involved in this historic achievement."
musicFIRST Coalition
The MUSICFIRST COALITION Exec. Dir. CHRIS ISRAEL said, “Today is a momentous day for the entire music community as the MUSIC MODERNIZATION ACT is signed into law. This achievement has been years in the making and only possible thanks to powerful advocacy from every facet of the music community. It was a movement that rose above politics and partisanship and resulted in a more effective and efficient legal framework for digital music services. Its incredible what the music community can do when we are united in voice and cause.
“The MMA is significant for many reasons, and especially because it finally put an end to one of the most egregious injustices in the industry. Music pioneers who recorded songs before FEBRUARY 15th, 1972 -– and until now have been locked out from receiving royalties when their works are played on digital and satellite radio –- will finally be compensated like younger artists. It was a form of legal discrimination that with the stroke of a pen, today came to an end.
“The MMA has pushed us into a new era, but we still have strides to make when it comes to ensuring fair compensation for music creators wherever their work is played. That means terrestrial AM/FM radio.
“Members of the MUSICFIRST COALITION are in discussions with the NATIONAL ASSOCIATION OF BROADCASTERS (NAB) to try to achieve this goal. And we must. The music environment is changing fast and its high time terrestrial radio in the U.S. joins nearly every country and begins compensating artists as equals and partners.
“So, while we celebrate this moment, our work is not done. Together, we will continue to work to harness the same enthusiasm that led to the MMA to strengthen the environment for music creators well into the future.”
BMI
BMI Pres./CEO MIKE O’NEILL said, “This is truly a historic moment for the music industry, especially for the American songwriters and composers at its core, who will see significant and deserved benefit from this legislation. Passage of the ORRIN G. HATCH-BOB GOODLATTE MUSIC MODERNIZATION ACT was a hard-fought process that hinged on tremendous collaboration and unprecedented support among diverse stakeholders who ultimately united to safeguard the future of music. We are gratified by this extraordinary outcome that recognizes the essential contributions of creators and streamlines the use of their music across businesses. While BMI will keep advocating to protect the livelihood of music creators in the digital age, we thank Congress and the President for taking this important step in implementing the most meaningful music licensing reform in decades."
ASCAP
ASCAP CEO ELIZABETH MATTHEWS said, "Thanks to the unrelenting efforts of our ASCAP music creator and publisher members, industry partners and champions in Congress, a more sustainable future for songwriters is finally within reach. The MMA's unanimous passage in the House and Senate proves that the power of music is a great unifier. ASCAP is gratified to have stood alongside creators, music publishers, and many more to make this dream a reality.” –
ASCAP Chairman of the Board/Pres./songwriter PAUL WILLIAMS added, “A young songwriter once wrote, ‘You give a little love and it all comes back to you; You’re gonna be remembered for the things that you say and do.’ Decades later, this could not be more true. Songwriters across this country now and in the future will remember those who fought so hard for the MUSIC MODERNIZATION ACT -- both in CONGRESS and across the music industry. On behalf of the music community, we are so thankful for the love and will return the favor with music for generations to come.”
SESAC
SESAC Chairman/CEO JOHN JOSEPHSON commented, “Today, President TRUMP signed the bipartisan HATCH-GOODLATTE Music Modernization Act (The MMA), which will finally bring music copyright laws into the digital age. We applaud everyone’s hard work and tireless efforts on this legislation, especially the Senators who worked diligently to get the bill passed then adopted by the House. We’re grateful for our committed songwriting and publishing community whose focus and passion have strengthened our industry for generations to come.”
AIMP
ASSOCIATION OF INDEPENDENT MUSIC PUBLISHERS (AIMP) Pres. MICHAEL EAMES, AIMP/NY Exec. Dir. ALISA COLEMAN, and AIMP/NASHVILLE Exec. Dir. JOHN OZIER issued the joint statement: “Today marks a historic step forward for independent music publishers, songwriters, and the entire music industry, as Pres. TRUMP has signed the HATCH GOODLATTE MUSIC MODERNIZATION ACT (MMA) into law. This marks the first significant federal legislation since 1998’s DIGITAL MILLENNIUM COPYRIGHT ACT (DMCA) to address the needs of rights-holders in today’s online age. We can look forward to a variety of long-overdue reforms that will make it easier to negotiate for and collect fair royalty rates while also establishing once and for all that digital services must pay for the use of pre-1972 recordings.
"In addition, it ensures independent publishers and songwriters a seat at the table for the new mechanical licensing collective. The AIMP is committed to ensuring that the independent publishing community and songwriters are represented fairly in the implementation and enforcement of the MMA, and we look forward to working with our partners across the music and technology industries as we move ahead in this new era. We offer our sincere gratitude to DAVID ISRAELITE and his team at NMPA, to the NSAI and SONA, to Senator ORRIN HATCH and Congressmen BOB GOODLATTE and DOUG COLLINS, and to all parties from all sides who fought to provide a balanced outcome for all involved.”
NMPA
NMPA Pres./CEO DAVID ISRAELITE said, “THE MUSIC MODERNIZATION ACT is finally the law of the land. We are incredibly grateful for the members of Congress who passed the MMA and the President for signing it. Songwriters have for too long labored without seeing fair rates and receiving all that they deserve, and for the first time in history, the music industry has partnered with the tech industry to fix these systemic problems. As we embark on supporting and helping build the critical structures within the MMA, we are humbled by the extraordinary progress propelled by compromise and the unprecedented political involvement of music creators. Today is about their future and this bill stands as a great statement on what can be done when we work together.
Sound Royalties
SOUND ROYALTIES Founder/CEO ALEX HEICHE said: “For years, music professionals have been stuck in an archaic, broken system that made it extremely difficult for music services to locate and pay creatives. This should never happen in any industry, especially not one as centric to our lives as music.
“But today’s landmark passage of the MUSIC MODERNIZATION ACT is an enormous step in the right direction to correct this wrong and ensure that creatives are fairly compensated for their work. This was a long-awaited and hard-fought victory, and Sound Royalties salutes all those who battled tirelessly to make this dream a reality.
“The passage of the MUSIC MODERNIZATION ACT today marks a historic win for songwriters, music publishers, artists, record labels, producers, streaming services and the entire industry that services them.
“Music is intrinsic to every part of our lives, and this law will help ensure that the music can play on by creating a path to fair compensation for the creatives behind the songs we all know and love, both the classics recorded before 1972 and the new.”