The new music law has accelerated the $1.6 billion lawsuit.

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The new music law has accelerated the $1.6 billion lawsuit.

When it comes to Spotify reports and tensions between the company and songwriters and publishers, it sounds like a broken system. But the possible solution is.

Two days before The New Year’s eve, music publishing company Wixen manages by Neil Young and Rage Against The Machine of artists, they filed a lawsuit to The company, because it does not permit these works properly, can be used for streaming.

This new procedure is not the first (or second or third) in view of the world’s most popular combination of streaming media services, and were not associated with these services with the record on the law, requires a separate license (” machine “). Wixen action, in fact, is directly related to the new six months ago to a pile of basically the same agreed a $forty-three million settlement, hope it can be a further blow to the court battle.

“Unfortunately, Ferrick solution”, Wixen complain that in last year said the deal “to the behavior of the company as well as procedural injustice, songwriter and publisher of the compensation is still not enough”. It seeks “a statutory aggregate reward of at least $1.6 billion”. The language is closely linked to another lawsuit filed a month later by the Ferrick settlement on Spotify.

For Spotify, the timing of the suit is not timely. On Wednesday, the securities and Exchange commission was reported to have listed on the New York Stock Exchange in the first half of this year.

Although the cause of the lawsuit is not new, the reason for the listing is still there. If settlement is not completely protect company like Wixen (songwriter and publishers can choose to leave Ferrick trading) litigation and the will of a new law – it is the company services after out of the reason now.

On December 21, 2017, Georgia rep. Doug Collins (Doug Coll Collins) introduced a new bipartisan legislation, it thoroughly changed the twists and turns and high-tech companies in many of the songs of the author’s labyrinth licensing. It could also prevent lawsuits such as Wixen’s.

“This is the music modernization act, and its deadline imposed on us, forcing our customer hand”, is responsible for dealing with visa cases Donahue Fitzgerald law firm that Daniel Schacht told NPR on December 29, filing.

“We’re working on this now for more than four and a half years,” Collins told NPR on Dec. 20. We are trying to provide a way to make the digital services can provide the music they want, there is a safe haven, where they can match the royalties, song writers can also benefit from it – they can get the fair compensation, this is actually a product of the consensus of many efforts. Admit that there were several times during the journey – I just raised my hands and didn’t find the answer. ”

The music modernization act established the many other technology companies, song writers and publishers need but failed to create a central database for a period of time, the database to determine which songwriter and/or publishers control which combination. (R, Wis. A bill introduced last summer by Jim Sensenbrenner, who was introduced last summer, also tried to address the database problem, but was not taken seriously by interested parties involved.

This database, though long needed, has never been created, or even really close – primarily because of its costs and differences in controlling proprietary information.

Collins said: “it allows digital service providers have a central place, not only can pay royalties, but also can protect the songs, the authors use the things they should not be used at the same time can also provide a song author they may believe that they will be compensated. ”

To do this, tech companies will pay for their creations in exchange for a blanket license to cover their content and help them pay for the songwriters who control the work.

Digital services “will basically be compensated, where they will not be prosecuted, and this is the song of authors and publishers have to give them something – all these things, all this is exchange,” association chairman Michael Eames, independent music publishing house told NPR. Eames says organizations like him, representing small music publishers, could benefit from the bill. “We have to monitor and monitor our databases through multiple vendors to get paid. It’s hard, to say the least.

The bill is after consultation with industry groups involved in major stakeholders to draft, including the national music publishers association, digital media association (service) on behalf of the company, ASCAP and BMI (two main which organization) and Nashville songwriter international association, etc. They all support it.

However, Rick Carnes, the President of the American songwriters association, issued a letter on the day of the act, detailing the group’s scepticism about the new law. What he was worried about was:

…… To establish licensing collective suggestion program related serious fairness, transparency and practical problems, on the basis of market allocation of undetermined amount, and in this regard need to better protect the economic rights of music creators, any withdrawal mechanism, from the legal liability for damages, intentionally the infringer, the scope of works of music database (including lyricist/composer information), the provisions of the relevant collective gap and other financing, a lack of direct collective composer royalties, and a composer distribution by the collective choice of the fuzziness of audit activities and the apparent conflict of interest problems caused by the complexity and the complexity of other problems.

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