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

Mark Adams to Retire from WXTU After 26-Year Run
Mark ''Razz'' Adams
Mark ''Razz'' Adams
Beasley Media Group announced that longtime radio personality and programmer Mark "Razz" Adams will retire from WXTU-FM, with his final day set for May 22. Razz has spent more than two decades with the company, including over 16 years on-air at WXTU, where he most recently hosted middays. He's also served as More

Borrell: Digital Ad Growth Slows, Share Battle Rises
Borrell
Borrell
Local digital advertising is entering a slower growth phase after two decades of rapid expansion, according to the Borrell 2026 Annual Digital Benchmarking Report. The report finds year-over-year growth has dropped to low single digits and is expected to fall below 3% by 2029, marking the slowest More

Radio Mercury Awards Reveal 2026 Finalists
Radio Mercury Awards
Radio Mercury Awards
The Radio Mercury Awards, produced by Radio Advertising Bureau (RAB), has announced finalists for its 2026 competition, recognizing excellence in radio and audio advertising. Now in its 35th year, the awards honor creative work across broadcast radio, streaming audio, podcasts, More
Advertisement

Entravision Q1 Revenue Jumps on Ad Tech Growth
Entravision Communications Corporation
Entravision Communications Corporation
Entravision Communications Corporation reported first quarter 2026 results showing strong overall revenue growth driven by its advertising technology business. Consolidated net revenue rose 114% year-over-year to $196.9 million, fueled by a 204% increase in its Advertising Technology & Services (ATS) More

Townsquare, Broadway Media Form Digital Ad Deal
Townsquare Media
Townsquare Media
Townsquare Media has announced a digital advertising partnership with Broadway Media aimed at expanding data-driven marketing capabilities and revenue opportunities. Under the agreement, Townsquare's digital division, Townsquare Ignite, will provide Broadway Media with More

Bob Heymann to Speak at MFM Financial Forum
MFM Financial Forum
MFM Financial Forum
Media Services Group Managing Director Bob Heymann will speak at the Media Financial Management Financial Leaders Forum in San Antonio on May 18. Heymann will participate in a session titled "Let's Make a Deal...or Not!" presented by the Washington, DC-based firm Bond & Pecaro. The session will be moderated 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