Mechanical Licensing Collective gets go-ahead from U.S. Copyright

MLC will oversee collection of digital royalties for songwriters

By Preshias Harris

U.S.-based songwriters have a new champion in their corner. In July, the U.S. Copyright Office chose the industry-consensus Mechanical Licensing Collective, or MLC, to be the new agency to oversee licensing of digital mechanical royalties for American songwriters.

“The cost of collecting our royalties is, for the first time, paid for by the streaming companies instead of being deducted from our songwriter earnings.” – Steve Bogard, President, NSAI

As digital distribution of music grows and CD sales decline, songwriters have found it increasingly difficult to track royalties that are rightfully theirs.  The Music Modernization Act (MMA) became law in October 2018 and set in motion the process to appoint an entity to oversee licensing of digital royalties.

Prior to the adoption of the Music Modernization Act, streaming services such as Spotify and Apple Music themselves were responsible for identifying copyright owners and paying royalties.  However, in many instances, streaming companies were using songs without proper licenses.  In such cases, music publishers and songwriters had to resort to costly lawsuits or simply give up the fight. Now, the MLC will be charged with identifying songwriters and copyright owners and paying them royalties when their songs are played on a music streaming service.

Strong approval from songwriters

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