WASHINGTON D.C. (CelebrityAccess) — The Mechanical Licensing Collective, the organization empowered by the Music Modernization Act to collect royalties under the compulsory blanket license for music streaming platforms, announced plans for a major audit.
According to the MLC, they have notified streaming platforms that the planned audit includes usage under the blanket license that occurred between January 1, 2021, and December 31, 2023, the first three years of The MLC’s full operations.
“Ensuring DSPs have reported royalties accurately is one of The MLC’s statutory responsibilities under the MMA,” says Kris Ahrend, Chief Executive Officer of The MLC. “The MLC has tapped music industry audit veteran, Jane Bushmaker, a member of The MLC’s Analytics & Automation team, to oversee DSP audits, which will be conducted by experienced outside audit firms,” Ahrend added.
According to the MLC, members will not be on the hook for the costs of conducting the audit, which will be covered by the MLC’s operating budget. Should an audit reveal an underpayment of any amount, The MLC will distribute the full amount of any recovery to the impacted rightsholders, without deducting any audit costs or fees.
The MLC is conducting the audit under the authority granted to the organization under the terms of the Music Modernization Act (MMA), which was passed to address royalty issues in music streaming in 2018.
The MLC has noticed audits of the following DSPs:
· Amazon Media Venture LLC (AMP)
· Amazon.com Services LLC (Amazon Music)
· Anghami FZ LLC (Anghami)
· Appcompanist, LLC (Appcompanist)
· Apple Inc. (Apple Music)
· Artist Technology Group DBA PANTHR Music (PANTHR Music)
· Audiomack Inc. (Audiomack)
· Avail LLC (The Cover Foundry)
· Beatport LLC (Beatport)
· Bill Graham Archives, LLC (Wolfgang’s Music)
· Boxine GmbH (Tonies)
· Choral Tracks LLC (Choral Tracks)
· Classical Archives, LLC (Classical Archives)
· Da Capo Music, LLC (Yes! Fitness Music)
· Deezer S.A. (Deezer)
· Fan Label, LLC (FanLabel)
· Global Tel*Link Corporation (GTL)
· Google, LLC (Google Play Music/YouTube)
· GrooveFox Inc. (GrooveFox)
· IDAGIO GmbH (Idagio)
· iHeartMedia + Entertainment, Inc. (iHeart Radio)
· JPay LLC (JPay)
· M&M Media, Inc. (Trebel)
· Midwest Tape, LLC (hoopla)
· Mixcloud Ltd (Mixcloud)
· MONKINGME S.L. (MonkingMe)
· Music Choice (Music Choice)
· Napster Group PLC (Napster)
· Naxos Digital Services US Inc. (NAXOS)
· Nugs.net Enterprises, Inc. (Nugs.net)
· Pacemaker Music AB (Pacemaker)
· Pandora Media, LLC (Pandora)
· PianoTrax LLC (PianoTrax)
· Power Music, Inc. (Power Music)
· PRIMEPHONIC B.V. (Primephonic)
· Recisio SAS (Karaoke Version)
· Saavn Media Limited (Jiosaavn)
· Securus Technologies, LLC (Securus)
· Slacker, Inc. (Slacker/LiveXLive)
· Smithsonian Institution (Smithsonian Folkways Recordings)
· Sonos, Inc. (Sonos)
· SoundCloud Operations Inc. (Soundcloud)
· Spotify USA Inc. (Spotify)
· TIDAL Music AS (Tidal)
· Transsnet Music Limited (Boomplay)
· TRIBL, LLC (Tribl)
· Ultimate Guitar USA LLC (GuitarBackingTrack.com)
· Weav Music, Inc. (Weav Run)
· XANDRIE USA (QOBUZ)
· Yoto Ltd (Yoto)
