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ASCAP Seeks $’s For 30 Second Song Clips

Legal
DiMA & NARM SAYS CLIPS ARE FAIR USE

Just as more and more sites are adding full song streams, ASCAP and BMI are trying to get paid for 30 second song samples.  The Digital Media Association (DiMA) filed an amicus brief today in the case of ASCAP vs. AT&T Mobile asking the federal district court to rule that 30-second music preview clips are “fair use” and do not justify public performance royalties as demanded by songwriter and music publisher representatives. 

“DiMA supports fair compensation for copyright owners,” stated Jonathan Potter, Executive Director of DiMA.  “DiMA members pay tens of millions of dollars in royalties to songwriters and publishers for online music sales.  But the performing rights organizations (ASCAP, BMI and SESAC) who represent songwriters and publishers demand additional payment for the preview clips that facilitate these online sales.”

Courts have consistently found…

that using copyrighted content to provide product information. DiMA and NARM’s amicus brief filed today
supports an underlying case in which AT&T Wireless has asked the
court to extend that protection to 30-second samples that promote the
sale of ringtones and ring-back tones.  DiMA and NARM ask
that the court consider the importance of 30-second preview clips for
all Internet retailers.

“Internet retailers sell an extraordinary percentage of all recorded
music,” continued Potter.  "The iTunes Store is America’s largest music
retailer, and Amazon.com, Best Buy and other DiMA members use 30-second
clips to sell both CDs and digital downloads.  If ASCAP succeeds in
pressing its demand for a new payment for these previews, Internet
music retailers would be disadvantaged simply because they are selling
online, and songwriters and music publishers would be getting a royalty
for the preview on top of the appropriate and well-deserved royalty
that is paid when the music itself is sold.”

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4 Comments

  1. A favorable ASCAP ruling would be ludicrous. As Potter mentions, they need to understand the future benefits for these 30-second clips. Charging those who are promoting their material is not fair in my book.

  2. I don’t understand the fuss. Clips are being used in order to sell a product — the recordings of the music (whether in digital or physical format). It’s like a listening station at a record store (except potential buyers can’t hear the whole song, just 30 seconds of it), and is providing a way for the consumer to decide if they want to purchase the product (song and/or full CD).

  3. I don’t understand the music business organizations. You have companies out here giving you FREE PROMOTION for your artists, songwriters, and publishers yet you want to charge them for that FREE promotion?????!!! I’m a BMI writer and publisher…this is ridiculous, even from my perspective. I don’t care to benefit SHORT TERM by charging retailers for the use of 30 second song clips. It’s the listening stations and song clips that help sell our music!
    ASCAP is wrong, and so is BMI and SESAC, on this one.

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