As lawmakers investigate Live Nation over high ticket fees and surcharges, the event promoter and venue operator has taken a loss in court. The Southern District of New York has ruled in favor of BMI in a rate court dispute between the music right manager and Live Nation, AEG, and the North American Concert Promoters Association.
As a result of this decision, BMI affiliates will receive a concert pay rate that is 138% higher than the previous historical rate. Additionally, the court has ruled that this new rate will be applied to a wider revenue base that reflects revenue from tickets sold on the secondary market, service fees received by promoters, and revenue from box suites and VIP packages.
BMI’s President & CEO Mike O’Neill said the ruling will, “have a significant and long-term positive impact on the royalties [artists] receive for the live concert category. We are gratified the Court agreed with BMI’s position that the music created by songwriters and composers is the backbone of the live concert industry and should be valued accordingly. Today’s decision also underscores BMI’s continued mission to fight on behalf of our affiliates, no matter how long it takes, to ensure they receive fair value for their creative work.”
