PRS for Music sues platform behind record-breaking Dua Lipa livestream for alleged lack of licenses
UK Collectors’ Association PRS for Music is suing a live streaming platform called LIVENow for allegedly lacking the correct licenses for various streamed events.
An advertiser or event producer who wants to live stream a UK concert or one of the PRS‘ administered territory (Malta, Cyprus, Gibraltar, Bahamas or Bermuda), require license do like that.
LIVENOW’s parent company is based in London Aser joint venturewas founded by businessman Andrea Radrizzani in 2015 with a portfolio that includes Premier League football club Leeds United.
In a lawsuit filed in December, PRS for Music alleges that LIVENow concerts lack the proper licenses, including the Dua Lipa “Studio 2054” online event taking place in November 2020,
Event sold 285,000 tickets and attracted 5 million viewers.
Gavin Larkins, Sales and Commercial Development Manager, PRS for Music, told MBW in a statement that, “no PRS members were paid for the use of their songs during this event or other concerts organized by LIVENow”.
He added: “Litigations have been filed to ensure we can collect royalties from LIVENow and its parent company Aser Ventures. We hope to solve this problem so that music creators can finally get paid for the use of their works.”
There has been a lot of debate in the UK around the licensing of events to be streamed in 2020 during the pandemic when live shows are banned.
Following the streaming boom that year, by the end of 2020, PRS for Music proposed a tax of between 8% and 17% of total revenue on ticketed or sponsored live streaming events.
At that time, more than 50 music managers including representatives of British stars such as Dua Lipa, Arctic Monkeys, Biffy Clyro and Liam Gallagher, as well as artists by the Featured Artists’ Union (FAC). representatives signed a joint letter to PRS for Music urging this. to review the proposed live event tariff.
Current rates for regular “live” live performances are charged at 4.2% of gross sales.
this price list effective in May 2018, after a 1% increase was approved by the Copyright Court after three years of consultations among PRS members, licensees, stakeholders and direct industry bodies.
According to the PRS for Music website, currently, if the revenue from an online concert is more than £1,500, it is possible to get a license at a ‘temporary discount rate’ for online concerts online.
The cost of that licenseaccording to PRS “will be more than 3p every 5 minutes of the song (or part of the song) and 10% of event revenue + VAT”.
PRS also show Live Concerts Online license for small-scale live-streaming gigs in January 2021, which the organization said at the time was created “in response to a large increase in concerts being streamed live as a result of the coronavirus pandemic.”
Ticketed online events held in the UK with a turnover of less than £250 subject to a fixed license fee £25 + VAT, while organizers of live events with revenue between £500 and £1,000 pay up to £75 + VAT.
Further commenting on the LIVENow lawsuit, Gavin Larkins, Director of Sales and Commercial Development, PRS for Music, said that the organization “has been actively engaged in licensing negotiations with LIVENow” for over 18 months .
He added that these discussions “remain unresolved” and as such, the PRS said it was “acting to protect the rights of our members and the musicians of other associations.
Larkins added: “The role of PRS for Music is to ensure musicians and composers, in the UK and around the world, get paid when their music is used. We take this responsibility very seriously.
“We license businesses that offer ticketed online concerts and have licensed multiple users under this program. LIVENow chose not to apply for this license prior to launching its online concert program, including the Dua Lipa ‘Studio 2054’ online event to be streamed globally in November 2020 – live concert most viewed worldwide.
“No PRS member is paid for the use of their songs in this event or other concerts hosted by LIVENow.”Global Music Business
