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BMI Asks Court to Maintain Most Recent Rate

Asks for royalty rate hold while negotiations continue

Performance rights organization Broadcast Music Inc. has filed an action in Federal Rate Court to set interim fees for radio stations represented by the Radio Music License Committee. BMI is asking the court to maintain its most recent rate while new terms are negotiated.

Last week, the RMLC announced an interim rate plan for some radio stations that BMI says is unacceptable because the proposed rate is “well below BMI’s previous deal.” Additionally, BMI says “RMLC has justified its proposed rate based upon incomplete and incorrect information regarding BMI’s radio performances.”

BMI and RMLC are in the midst of negotiations for a new five-year deal, effective later this year.

“We attempted to negotiate in good faith with the RMLC for many months, and just before the end of the year, the RMLC presented an interim rate that significantly undervalues the work of BMI’s songwriters,” said BMI Senior Vice President of Licensing for BMI Mike Steinberg.