Industry News

BMI has prevailed over the U.S. Department of Justice (DOJ) and has won the consent decree battle




I have incredible and important news to share as we head into the holidays. BMI has prevailed over the U.S. Department of Justice (DOJ) and has won the consent decree battle.

Today, the Court of Appeals for the Second Circuit ruled against the DOJ and affirmed BMI’s consent decree victory. The Second Circuit agreed with Judge Louis L. Stanton’s September 16, 2016 decision that the BMI consent decree allows for the practice of fractional licensing.

As you know, this has been a lengthy process during which BMI vigorously defended Judge Stanton’s original ruling, which we maintained was the correct interpretation of our consent decree from the start. Today’s decision means that BMI can continue to license as it always has – giving our licensees whatever interest (full-work or fractional) has been given to us by our affiliates. Other than the possibility of a request by the DOJ to appeal to the U.S. Supreme Court, acceptance of which by the Supreme Court is statistically highly unlikely, this brings this litigation to a close.

We are extremely proud to have achieved this win on your behalf and to have eliminated the chaos that would have ensued in the marketplace under a 100% licensing model. We thank you for your support throughout this process and we are sharply focused on our original goals of modernizing music licensing for the 21st century and ensuring fair compensation for the use of your creative works in today’s marketplace.

Below is the press statement that was issued today:

“This is a massive victory for songwriters, composers, music publishers and the entire industry. We have said from the very beginning that BMI’s consent decree allowed for fractional licensing, and we are incredibly gratified that Judge Stanton and the Second Circuit agreed with our position. We thank all the songwriters, composers, publishers and organizations who supported us throughout this process, which unfortunately, has been a nearly two-year distraction from our original intent which was to update our outdated consent decree and modernize music licensing. We look forward to our continued efforts to protect and grow the value of music.”

Best regards,

Mike O’Neill
President & CEO
BMI
7 World Trade Center
250 Greenwich Street
30th Floor
New York, NY 10007




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