Full Disclosure. I am a sitting board member of the AMLC, an entity submitting to be designated as the MLC.
In my opinion, one of the more salient points as to why the NMPA is attempting to have its entity be the MLC with a governing body of its own members that control US market share is found in the following section of the Music Modernization Act. The cut and paste of the language is
“(11) LEGAL PROTECTIONS FOR LICENSING ACTIVITIES.—
“(E) PREEMPTION OF STATE PROPERTY LAWS.—The holding and distribution of funds by the mechanical licensing collective in accordance with this subsection shall supersede and preempt any State law (including common law) concerning escheatment or abandoned property, or any analogous provision, that might otherwise apply.
This language is not needed, not required and serves only one purpose. To make it legal to take people’s money and redistribute it to others with no consequence.
The accrued but unpaid royalties could have been held indefinitely or board recommendations could have been provided to the appropriate oversite committee at some time in the future with it going towards charities, health care funds for musicians etc.
This language combined with a board of music publishers that are all NMPA members, control the most market share, that will not be using the MLC if direct licensed (which they currently are) that can recommend other people's money be liquidated and then they receive the lion share of it speak volumes as to the intent of the MMA
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Redistribution of Songwriter Money
Full Disclosure. I am a sitting board member of the AMLC, an entity submitting to be designated as the MLC.
In my opinion, one of the more salient points as to why the NMPA is attempting to have its entity be the MLC with a governing body of its own members that control US market share is found in the following section of the Music Modernization Act. The cut and paste of the language is
“(11) LEGAL PROTECTIONS FOR LICENSING ACTIVITIES.—
“(E) PREEMPTION OF STATE PROPERTY LAWS.—The holding and distribution of funds by the mechanical licensing collective in accordance with this subsection shall supersede and preempt any State law (including common law) concerning escheatment or abandoned property, or any analogous provision, that might otherwise apply.
This language is not needed, not required and serves only one purpose. To make it legal to take people’s money and redistribute it to others with no consequence.
The accrued but unpaid royalties could have been held indefinitely or board recommendations could have been provided to the appropriate oversite committee at some time in the future with it going towards charities, health care funds for musicians etc.
This language combined with a board of music publishers that are all NMPA members, control the most market share, that will not be using the MLC if direct licensed (which they currently are) that can recommend other people's money be liquidated and then they receive the lion share of it speak volumes as to the intent of the MMA
Techdirt has not posted any stories submitted by Jeff Price.
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