Music Modernization Act: Mechanical Licensing | Music Publishing | Songwriting | Copyright Law

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In this video, Berklee Online instructor Eric Beall continues talking about the Music Modernization Act, a bill passed to law in 2018 that updates Section 115 of the US Copyright Act to help bring copyright laws into the digital age of streaming. He explains how this new law affects mechanical licenses in music, and in this edition of this series he goes into mechanical licenses in some depth. Many Digital Service Providers (DSPs), such as Spotify and Apple Music, have been failing to properly distribute mechanical royalties to songwriters and publishers. Beall explains the Music Modernization Act’s plan to resolve these issues, but he also poses questions on its viability due to continued turmoil in the industry.

Right now, in order to put any song on their site, services like Spotify or Apple are required to obtain what are called mechanical licenses from all of the music publishers involved in that song and then to pay a royalty out to those publishers. Failure to obtain the license or to pay the royalty to the correct people means the service is infringing the copyright. That makes the service liable for big financial penalties. In 2018, Spotify paid $112 million to settle a class action suit for having used certain songs without a mechanical license in place, and having not paid the royalties that would have been owed.

Watch all of the videos in this series:
What is the Music Modernization Act    • What is the Music Modernization Act? | Mus...  
Music Modernization Act: Performing Rights    • Music Modernization Act: Performing Rights...  
Music Modernization Act: Improving Pay    • Music Modernization Act: Improving Pay | S...  

About Eric Beall:
Eric Beall is the author of “Making Music Make Money (An Insider’s Guide to Becoming Your Own Music Publisher)” and a respected music industry veteran, having held senior creative posts at Zomba Music, Jive Records, and Sony/ATV Music. Currently, he handles A&R for Shapiro Bernstein, one of the industry’s most venerable and respected independent music publishers. In his role as a music publishing executive, Eric has signed and developed top writers like Stargate, Steve Robson, Billy Mann, Steve Diamond, Richard Julian, and many others. At the same time, in his role at Jive Records and Zomba Music, he has coordinated and directed Zomba writers in the development of material for Jive Records superstars like Backstreet Boys, *NSYNC, and Britney Spears.

Prior to joining the executive ranks, Eric wrote and produced the pop hits “Nothin’ My Love Can’t Fix” for Joey Lawrence (Top Ten Billboard Hot 100) and “Carry On” for Martha Wash (No. 1 Billboard Dance Chart), as well as songs for Diana Ross, the Jacksons, Safire, Samantha Fox, Brenda K. Starr, and many others. He also co-founded Class-X Recordings, an independent dance label in New York.

About Berklee Online:
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Berklee Online | Music Modernization Act | Berklee College of Music | Music Business | Eric Beall | Songwriting | Mechanical Royalties | Mechanical Licensing | Blanket License | Music Publishing | Music Law | Making Music Make Money | Sony/ATV Music | Jive Records | Britney Spears | Diana Ross