International Trade Today is a Warren News publication.
‘Hotline’ Process Expiring

Sens. Wyden, Coons Deliver Another Last-Minute Amendment to Music Copyright Bill

Sens. Ron Wyden, D-Ore., and Chris Coons, D-Del., crafted another last-minute compromise on music copyright legislation that could clear the way for fast-track unanimous consent consideration (see 1809170050). They will introduce a bill to be included in the final version of the Music Modernization Act, replacing the Classics Act portion Wyden opposed. That's according to documents we obtained.

Sign up for a free preview to unlock the rest of this article

If your job depends on informed compliance, you need International Trade Today. Delivered every business day and available any time online, only International Trade Today helps you stay current on the increasingly complex international trade regulatory environment.

The Senate initiated a “hotline” process Monday for the bill, which was significantly altered in the upper chamber after unanimous House passage (see 1804250078). Senate offices are allowed 24 hours to object to a “hotlined” bill. If there are no objections, the bill is eligible for “unanimous consent” consideration. Without a formal roll call vote, lawmakers are allowed one more chance to object. Wyden was considered one of the last potential holdouts.

There was no update on when the Senate might try to move the bill through unanimous consent. Majority Leader Mitch McConnell, R-Ky., scheduled two votes for Monday, signaling the Senate might not return to session until next week, after the Yom Kippur break. Nashville Songwriters Association International Executive Director Bart Herbison told us senators were tying together “loose ends.”

​​​​​​​Asked about the likelihood of reaching unanimous consent, Wyden told us he will issue a formal statement with Coons soon. McConnell didn’t comment. Sen. Johnny Isakson, R-Ga., an original co-sponsor, told us he's hoping for an update this week, saying he received calls about the bill Monday. Minority Leader Chuck Schumer, D-N.Y., became the bill’s 79th co-sponsor the same day.

​​​​​​​Herbison said from a songwriter group’s perspective, there are no remaining issues, but he noted SiriusXM has objections to the Classics Act portion and what it perceives as a discrepancy between royalty payment obligations from satellite and terrestrial radio. Variety reported that Paul McCartney, Don Henley, Carole King and Katy Perry were among some 150 artists asking Sirius to drop its opposition and get on the “right side of history.” SiriusXM backed uniform royalty payments from radio (see 1808240029) and questioned music industry backlash over “three simple amendments” it offered, Variety reported. SiriusXM didn’t comment.

​​​​​​​RIAA President Mitch Glazier told us unanimous consent is “definitely the best and most appropriate way for a bill with this kind of support,” but even if a lawmaker objects, there are options. With this many cosponsors, it’s possible to have a short time agreement to pass it before lawmakers leave without having unanimous consent, or it could be attached to a larger bill later, he said. With the hotline process, if the objection can be worked through, the 24-hour clock can be started again. If the Senate passes the bill, the legislation would return to the House for final approval before being sent to the president.

A one-page summary shows that the compromise bill from Wyden and Coons, the Classics Protection and Access Act, grants full federalization to pre-1972 recordings, providing the same rights and obligations as post-72 recordings and excepting the public performance right for terrestrial radio, which is subject to ongoing litigation at the state level. Classics provided a federal right to digital transmissions, leaving reproduction, distribution and other public performance rights under state law. The compromise bill provides 95 years of federal term, with transition periods of no more than 15 years, while Classics provided up to 144 years of federal term, protecting all sound recordings until 2067.

​​​​​​​The Classics Protection and Access Act allows expanded use​​​​​​​ of pre-72 sound recordings, including orphan works. The bill would allow any person -- educators and scholars, for example -- to make noncommercial use of sound recordings that aren't being commercially exploited after filing with the Copyright Office, unless the copyright owner objects.