1 00:00:07,740 --> 00:00:11,260 You might have heard about the Music Modernization Act of 2018 2 00:00:11,260 --> 00:00:12,840 or 'MMA" for short. 3 00:00:12,840 --> 00:00:14,500 But what does this law actually do 4 00:00:14,500 --> 00:00:17,060 and how will it impact the music industry? 5 00:00:17,060 --> 00:00:19,080 The MMA updates U.S. copyright law 6 00:00:19,080 --> 00:00:20,830 to make music licensing fairer 7 00:00:20,830 --> 00:00:23,780 for creators and more efficient for music providers. 8 00:00:23,780 --> 00:00:26,140 It changes the way interactive streaming services 9 00:00:26,150 --> 00:00:28,859 and digital download providers get licenses 10 00:00:28,859 --> 00:00:30,869 for musical works and how songwriters 11 00:00:30,869 --> 00:00:34,640 are paid when their music is used or sold on those services. 12 00:00:34,640 --> 00:00:37,820 It also brings pre-1972 sound recordings, 13 00:00:37,820 --> 00:00:39,460 which were previously not protected 14 00:00:39,470 --> 00:00:40,900 by federal copyright law, 15 00:00:40,900 --> 00:00:43,239 partially into the federal copyright system 16 00:00:43,239 --> 00:00:45,970 and provides a way for these rights holders to enforce 17 00:00:45,970 --> 00:00:48,200 their rights when their works are infringed. 18 00:00:48,480 --> 00:00:51,519 Finally, it allows music producers, mixers, 19 00:00:51,520 --> 00:00:54,300 and sound engineers to directly receive royalties, 20 00:00:54,300 --> 00:00:56,450 through the use of a "letter of direction" 21 00:00:56,450 --> 00:00:59,250 sent to SoundExchange, a non -profit organization 22 00:00:59,250 --> 00:01:00,970 that administers royalty payments 23 00:01:00,970 --> 00:01:03,790 for certain digital uses of sound recordings. 24 00:01:03,790 --> 00:01:05,890 The MMA updates music licensing 25 00:01:05,890 --> 00:01:07,550 for the digital age in many ways, 26 00:01:07,550 --> 00:01:10,440 but perhaps the most important change is the creation of 27 00:01:10,440 --> 00:01:13,180 the Mechanical Licensing Collective or "MLC", 28 00:01:13,180 --> 00:01:16,280 a government-designated non-profit that will collect 29 00:01:16,290 --> 00:01:18,859 and distribute royalties when music is used on 30 00:01:18,859 --> 00:01:21,830 interactive streaming or digital download services pursuant 31 00:01:21,830 --> 00:01:23,320 to a statutory license. 32 00:01:23,320 --> 00:01:25,500 These royalties are different than those paid 33 00:01:25,510 --> 00:01:28,350 by performing rights organizations, like ASCAP 34 00:01:28,350 --> 00:01:31,789 or BMI, and are also different from sound recording royalties 35 00:01:31,789 --> 00:01:33,560 paid through SoundExchange. 36 00:01:33,560 --> 00:01:36,429 The MLC collects royalties for the right to reproduce 37 00:01:36,429 --> 00:01:38,000 and distribute musical works, 38 00:01:38,000 --> 00:01:39,679 not for performance rights. 39 00:01:39,679 --> 00:01:41,920 How can you make sure you get paid? 40 00:01:41,920 --> 00:01:45,009 Starting in 2021, copyright owners' musical works 41 00:01:45,009 --> 00:01:47,469 should be correctly identified and matched 42 00:01:47,469 --> 00:01:49,920 in the MLC's database to be paid. 43 00:01:49,920 --> 00:01:52,160 For more information on identifying and matching 44 00:01:52,170 --> 00:01:56,210 your works in the MLC's database, visit theMLC.com. 45 00:01:56,210 --> 00:01:58,469 Remember though, registration of your works 46 00:01:58,469 --> 00:02:01,659 with the MLC is not a stand-in for your registration 47 00:02:01,660 --> 00:02:03,180 with the Copyright Office, 48 00:02:03,180 --> 00:02:04,780 which makes you eligible to recover 49 00:02:04,780 --> 00:02:09,039 statutory damages, attorneys' fees, and court costs. 50 00:02:09,039 --> 00:02:11,039 You can learn more about the MMA at 51 00:02:11,040 --> 00:02:15,660 copyright.gov/ music-modernization. 52 00:02:15,660 --> 00:02:19,240 There you'll find educational materials, FAQs, and more. 53 00:02:19,240 --> 00:02:20,380 Thank you for watching!