SoundCloud has been in the center of a whirlwind of speculation for several months, but one of the first instances of concrete legal trouble came to a head when UK performing rights society, PRS for Music, announced in a statement that the society was suing SoundCloud. Another UK association, the British Academy of Songwriters, Composers, and Authors (BASCA), has now delivered a second strike by backing PRS’ legal decision. BASCA’s CEO Vick Bain issued a statement similar to PRS’ to its members, outlining the ways that SoundCloud’s business model is “financially damaging” to its members.
Read the full statement below:
As an organisation that works to protect our members’ rights we fully support PRS For Music’s decision to commence legal proceedings against SoundCloud. We acknowledge that streaming is a fantastic means of listening to and enjoying music but SoundCloud’s intransigence in refusing to be licensed through PRS For Music means their model financially damages our members. We encourage all online services to establish frameworks that will fairly compensate songwriters, composers and authors – the PRS For Music online licence is the best way that this can be achieved. SoundCloud has had five years to respond to PRS’s request and should not be allowed to continue to hide behind safe harbour as a reason to deny our members the royalties they’re rightly entitled to.
H/T: Fact Mag