House Passes Webcaster Legislation

The House on Tuesday passed legislation under suspension of the rules that would allow royalty negotiations between the music and Internet industries to continue while delaying full implementation of a controversial rate-setting for webcasters imposed by the Copyright Royalty Board. The legislation is sponsored by Rep Jay Inslee (D-WA) with support from Judiciary Chairman John Conyers (D-MI), Telecom Subcommittee Chairman Rick Boucher (D-VA) and California Democrats Zoe Lofgren and Anna Eshoo. It would replace a Feb. 15, 2009 deadline that was part of legislation that passed the 110th Congress, with a 30-day window from the date of enactment for a deal to be reached between digital royalty collector SoundExchange, which is negotiating on behalf of copyright owners and performers, and Internet radio services represented by the Digital Media Association and others. Sen. Ron Wyden (D-OR) introduced a companion measure with Sen. Sam Brownback (R-Kansas) last month and the bill has been referred to the Judiciary Committee.