Home Login RADIO ONLINE RSS Facebook
Advertisement

U.S. Department of Justice Sides With Global Music Rights


In a victory for songwriters, the U.S. Department of Justice today weighed in on behalf of Global Music Rights (GMR) in its lawsuit against the Radio Music Licensing Committee (RMLC) and urged a federal court to reject RMLC's attempts to misconstrue the laws that prohibit its illegal, price-fixing, cartel behavior.

In a starkly worded filing, the Department of Justice's Antitrust Division stated that "Competitors' naked agreements to fix prices" - such as the cartel operated by the RMLC - "are one of the most pernicious forms of anticompetitive restraints that violate Section 1 of the Sherman Act." DOJ methodically dismantled the RMLC's attempt to justify decades of illegal collusion to pay songwriters below-market rates. Justice also called on the court to reject the core RMLC arguments in the litigation.

"The court filing by the Department of Justice reaffirms the legal position of GMR and vindicates the rights of artists and songwriters to be free from illegal price-fixing by radio stations," said Daniel Petrocelli, lead counsel for Global Music Rights.

Today's statement of interest from the nation's chief antitrust enforcer is a setback for the RMLC - a 78-year-old cartel that dominates the $22 billion terrestrial radio industry - and a significant win for GMR and all songwriters. GMR has consistently maintained that members of the RMLC illegally collude with one another to suppress rates paid to songwriters and composers for the public performance of their work.

"Today is a great day for artists, who have been bullied by the RMLC since the dawn of the modern radio industry," said GMR founder Irving Azoff. "Advocating on behalf of artists is our founding principle, and we refused to allow this unfair status quo to continue. We believe the days of this brazen, long-running cartel are now numbered. GMR has never been prouder to stand with songwriters to fight back."

Founded in 2013, GMR is the newest and most innovative player in the stagnant industry of performance rights licensing. GMR takes a fresh approach to licensing the performances of songs written by a small roster of popular songwriters, such as Drake, Bruce Springsteen, Bruno Mars, the Eagles, and Smokey Robinson. The work of these artists drives radio stations' revenue and profit, but due to decades of artificial price suppression by the RMLC cartel, songwriters receive just a tiny slice of the revenue they create for radio stations.

For over half a century, the RMLC has been the vehicle that the radio industry's horizontal competitors have used to illegally collude and fix prices to the detriment of songwriters. GMR filed suit against the RMLC in 2016 to challenge their stranglehold over the $22 billion radio industry.

Advertisement

Latest Radio Stories

Chase Daniels Named VP of Programming for Cleveland
Chase Daniels
Chase Daniels
Audacy promotes Chase Daniels to Vice President of Programming for its Cleveland market, recognizing his three years of leadership, team development, and brand growth across the cluster's four stations. In a note to staff, SVP and Market Manager Jeff Miller praised Daniels for his focus, coaching, and More

Connoisseur Media Makes Key Portland Leadership Moves
Connoisseur Media
Connoisseur Media
Connoisseur Media has unveiled a slate of promotions and new appointments across its Portland, OR cluster. Grant McHill has been elevated to Program Director for NewsRadio 101.1 FM KXL. McHill, who has spent the past decade at the station and most recently served as News Director, said the promotion reflects More

SiriusXM Appoints Zac Coughlin as Chief Financial Officer
Zac Coughlin
Zac Coughlin
SiriusXM Holdings appoints Zac Coughlin as its next Chief Financial Officer (CFO), effective January 1, 2026. He'll succeed Tom Barry, who is stepping down after leading the company's finance organization through a period of renewed strategic focus. Coughlin joins SiriusXM with nearly three decades of More
Advertisement

FCC Sets Dates for 2022 Quadrennial Review Comments
Federal Communications Commission
Federal Communications Commission
The FCC's Media Bureau has officially set the filing deadlines for public input on the Commission's 2022 Quadrennial Review of broadcast ownership rules, following publication of its Notice of Proposed Rulemaking (NPRM) in the Federal Register on November 17. Comments on the proceeding (MB Docket No. More

Hope Media Group Expands and Promotes Digital Team
Hope Media Group
Hope Media Group
Hope Media Group (HMG) has announced a series of promotions and new hires as part of the continued expansion of its Digital Team. Moises Vergara, who joined HMG two years ago, is elevated to Manager of Video. Rebecca Malonson, a six-year team member, has been promoted to Manager More

105.3 The Goat Host Chris Bratcher Dies Suddenly at 49
Chris Bratcher
Chris Bratcher
Classic Rock WPTQ-FM (105.3 The Goat) in Glasgow (Bowling Green), KY is mourning the sudden passing of longtime midday host Chris Bratcher, a beloved voice in South Central Kentucky radio for nearly three decades. Bratcher, whose career became synonymous with community-driven broadcasting, was remembered More

Return to Menu

Advertisement

Subscribe to our Newsletter
Radio news and headlines delivered right to your e-mail box -- and it's free.

Advertisement

Advertisement