Posts Tagged: "mechanical royalties"

Compromise on Music Modernization Act Leads to Unconditional Support From Music Industry Organizations

A collection of trade organizations representing music publishers and songwriters recently released a joint statement in which all announced unconditional support for S.2823, the Music Modernization Act (MMA). These organizations include SESAC, the National Music Publishers’ Association (NMPA), the Nashville Songwriters Association International (NSAI) and the Songwriters of North America (SONA). The support of the bill from these collective entities comes after an amendment to the act designed to improve private competition in the market for music licensing after a contentious period of negotiating that amendment.

Spotify reaches $43.5M settlement over class action suit on unpaid royalties for copyrighted songs

The $43.5 million from the recent Spotify settlement will reportedly go towards a separate fund to compensate publishers and songwriters. Such payments made by Spotify and other streaming services to copyright owners are known as mechanical royalties. Mechanical royalties are usually paid when a copy of a song is made, such as when a music publisher creates a CD containing copyright-protected songs. Although Spotify doesn’t sell or distribute physical media, it does owe mechanical royalties when it streams a copy of a song to a user.