A Compromise Has Been Reached with SESAC on the Music Modernization Act
BY CATHERINE CHOJNOWSKI
Following public protest of SESAC's proposed amendment to the Music Modernization Act (MMA) from many artists and songwriters, the performance rights organization has managed to reach a compromise with songwriter groups.
The agreement transforms the Mechanical Licensing Collective from a monopoly-like group to a more competitive organization. SESAC, along with various songwriter groups including Nashville Songwriters Association International, the National Music Publishers' Association, and Songwriters of North America published a joint press release on August 2nd stating:
The National Music Publishers’ Association (NMPA), which represents major publishing groups such as Warner/Chappell Music, Universal Music Publishing Group, and Sony/ATV Music Publishing, explained that under the new agreement the Mechanical Licensing Collective will not have the power to administer licenses for synch, performance, or other rights. In a public statement, the NMPA also clarified that the Mechanical Licensing Collective was never intended to be the exclusive mechanical rights licensing administrator for streaming under the MMA and was always designed with the intention to compete with other mechanical licensing groups.
With this compromise, songwriter groups released statements following the decision:
Although many other details of the compromise have not been disclosed to the public, the Music Modernization Act is sure to receive a lot of attention as it moves through the legislative process.
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