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Rules Set for Possible Fight Over Digital Music Collective Costs

July 8, 2019, 10:15 PM

The U.S. Copyright Royalty Board finalized a framework for figuring out how much digital music streamers like Spotify Technology SA must pay to cover the expenses of a new music collective.

The July 8 action sets the ground rules for litigating a dispute over the collective’s budget between two nonprofits: the Music Licensing Collective, which will take in royalties and data from streamers and attempt to distribute it to copyright holders, and the Digital Licensing Coordinator, which represents streamers that have to fund the MLC.

Under the Music Modernization Act of 2018, enacted in October to bring copyright protections in...

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