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UK musicians may see US radio payout at last.

Music Week

| January 12, 2008 | COPYRIGHT 2008 UBM Information Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Closing a loophole in the law could bring the US in line with other nations

A landmark bill presented to the US Congress and Senate could spell a bonanza royalties payout for UK musicians.

The Performance Rights Act is aimed at ending the strange anomaly that currently sees writers and publishers paid for records played on US over-the-air radio, but not artists and record companies.

If passed, the bill would mean the US radio industry would have to stump up a performance royalty to artists and musicians featured on any record. And, if successful, the bill could also mean that thousands of UK musicians and artists, whose records are played on US AM and FM radio, will shortly be picking up millions of pounds worth of royalties from airplay.

US broadcasters and their powerful political lobby have resisted the move for decades, insisting that radio already provides free promo for artists and that a change would constitute a "tax" on their business.

Currently the US is only one of a handful of countries in the world, including North Korea and China, which does not pay this performance royalty, although more recent legislation has seen the $20bn (#10.1bn) US radio industry pay the royalty on records played on satellite radio, cable and webcast.

The new bill, introduced on December 18 by Senators Patrick Leahy and Orrin Hatch and Representatives Howard Berman and Darrell Issa, enjoys bipartisan support and follows recent testimony at a Senate Judiciary Hearing from Lyle Lovett in support of the Performance Rights Act.

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