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BMI Beats Pandora: Courts Says Pandora Must Raise Payments To Songwriters 43%

courtThe laws governing digital music are a mess and getting messier. Recently, the FCC approved Pandora's purchase of a radio station that would lower payments to rightsholders, and an ASCAP attempt to retroactively raise their rates was defeated in court.  Yesterday, however, BMI scored a major victory vs. Pandora for songwriters.

image from angelstreetcapital.comPandora lost an important legal battle with  BMI yesterday. The ruling would raise Pandora's payments to to songwriters to 2.5% of revenue, up  from the current 1.75%. 

"Today’s decision is an enormous victory for the more than 650,000 songwriters, composers and publishers that BMI has the privilege to represent," BMI said in a statement. "This is an important step forward in valuing music in the digital age."

Pandora says it will appeal the decision.  Last week Pandora won a decision in a similar case with ASCAP.

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