DOJ's ASCAP Settlement Shows Consent Decrees Shouldn't Be Relaxed, DiMA Says
The Digital Media Association said DOJ’s proposed settlement with the American Society for Composers, Authors and Publishers to end the department’s investigation into whether ASCAP was violating its 1941 consent decree by signing about 150 exclusive contracts shows why DOJ…
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shouldn’t relax its consent decrees with ASCAP or Broadcast Music Inc. DOJ is reviewing its consent decrees with both performing rights organizations (PROs). DOJ’s Thursday settlement with ASCAP requires the PRO to pay a $1.75 million fine and to refrain from signing any further exclusive contracts with songwriters and music publishers (see 1605120049). Though there has been “an extensive lobbying campaign designed to convince department officials to relax the current set of rules governing the collective licensing of music performance rights, today’s announcement is strong evidence that the existing consent decrees, if anything, should be strengthened -- and certainly not weakened,” DiMA said in a Thursday statement. “With these issues resolved, we continue our focus on leading the way towards a more efficient, effective and transparent music licensing system and advocating for key reforms to the laws that govern music creator compensation.”