As we’ve covered in
recent months here at the R Street Institute, the U.S. Justice Department is in the midst of its review (and possible modification) of the agreements (called “consent decrees”) that govern the operation of the nation’s two leading performance rights organizations (PROs).
These groups – the American Society of Composers and Publishers (ASCAP) and Broadcast Music Inc. (BMI) – are responsible for collecting and distributing royalties from the performance of musical compositions under copyright.
The agreements place restrictions – originating from antitrust concerns, on the one hand, and fear of heavy-handed regulation, on the other – on the two entities’ operations, through which the vast majority of our nation’s musical works are licensed. While no one would describe this system as an inherently good or logical one, it’s important to weigh how any modifications would affect the tenuous balance currently in place.
Source: R Street