RMLC, ASCAP Reach Temporary Fee Agreement for 2010

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RMLC, ASCAP Reach Temporary Fee Agreement for 2010

Dec 21, 2009 2:53 PM

Dec 21, 2009 - The Radio Music License Committee and ASCAP have come to an agreement on temporary fees to be paid by radio stations to begin Jan. 1, 2010. The RMLC says the fee schedule is a temporary discount equal to 7 percent less than fees paid in 2009. The revised fees will appear in January ASCAP billing.

If the two entities cannot come to terms on a new long-term agreement, the U.S. District Court in New York will set interim and permanent rates for the new contract period, which would begin in 2Q2010. Once the court sets the fees, they will be retroactive to Jan. 1, 2010.

The two groups have been unable to reach a compromise on final fees, hence the provisional fees and likely subsequent court intervention.

The RMLC has plans to negotiate similarly with BMI. The RMLC/BMI licenses expire at the end of 2009.

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