Today, (Oct 15, 2009), the Senate Judiciary Committee passed their version of the Performance Rights Act of 2009 in voice vote. This is an important step in ensuring that performers and sound copyright owners (usually the labels) are compensated when their music is played (or “performed”) on over-the-air radio.

Currently, when you hear a song on over-the-air broadcast radio in the US, the composer/songwriter/publisher are compensated for that “public performance” via ASCAP/BMI/SESAC, but the performer and record label are not. Meaning, if you hear Aretha Franklin’s classic version of “Respect” on the radio, the songwriter (in this case, Otis Redding’s estate) and the publisher receive payment; the Queen of Soul (and her label) do not receive any performance royalties. Nearly every other industrialized nation compensates songwriters and performers for the over-air broadcast of their work — notable exceptions include Iran and North Korea. read more