Industry News

As expected, the RIAA today filed a notice of appeal in the the U.S. Court
of Appeals in the District of Columbia asking the court to review the
Copyright Royalty Judges' order on the final determination for mechanical and digital phonorecord delivery rates and terms.

While the notice of appeal doesn't get into specifics it says the CRB order
is ?contrary to law, clearly erroneous, arbitrary and capricious, an abuse
of discretion, and not supported by substantial evidence.?

Sources say that the RIAA plans to specifically question the legality of both the 1.5% penalty imposed on late royalty payments and the process of how the CRB determined the mastertone royalty rate when it files the appeal, which is expected to occur in the next four to six weeks.

Executives of the RIAA and the National Music Publishers Assn. were
unavailable to comment.