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May 26, 2005
Bizarre Settlement Possible in Music Club Infringement Case
Posted by Ernest Miller
The LA Times (reg. req.) provides a report about a class-action lawsuit against two music clubs that may result in a mind-boggling settlement (Static Builds Over Music Club Accord). What the heck is going on here? All this talk about licensing difficulties for the internet and podcasts and suddenly some record clubs have the right to license at lower than the statutory right as long as the artist doesn't object?
What has really caused a fuss, however, is how the proposed settlement would change the permissions process. Instead of contacting a songwriter directly, the clubs would list the songs they intend to distribute and the rate they intend to pay on a website for 30 days. Hearing no objections, clubs would automatically receive a one-year license. [emphasis added]
The music clubs could set whatever rate they want and it is up to the artists to object. Geez.
via FurdLog
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