ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Monday, September 23, 1996 TAG: 9609230007
SECTION: EDITORIAL PAGE: A4 EDITION: METRO
SOURCE: L. GERALD CARTER
AMERICANS were appalled to learn that Girl Scout troops around the country were being "shaken down" - forced to pay music copyright fees when they sing songs like "This Land is Your Land" around the campfire (Aug. 28 article, ``Girl Scouts won't be charged for campfire songs'').
"They buy paper, twine and glue for their crafts - they can pay for the music, too," grumbled the American Society of Composers, Authors and Publishers, which holds the copyrights to almost four million songs. And if the little campers kept it up, ASCAP promised to "sue them if necessary."
Does ASCAP understand how ridiculous this sounds? What's next? Will ASCAP send a bill to my chef every time he walks through the restaurant whistling a classic ditty?
Under a flood of protests from the public and its songwriters, ASCAP has since turned tail and said the scouts don't have to pay their bill. I'm happy the Girl Scouts slew their musical Goliath, but this doesn't erase the rap sheet on ASCAP.
People need to realize that there are thousands of small-business owners who suffer under the same harassment and arbitrary enforcement every day. Erratic pricing, heavy-handed collection and no effective system for filing grievances have been standard operating procedures at ASCAP and its counterparts, including Broadcast Music Inc., for decades.
The law allows these groups to collect fees for "public performances" of their songs. But the societies have taken their mandate to ludicrous ends - demanding, for example, that a Massachusetts sports-bar owner pay a licensing fee when he turned up the sound on his television while the national anthem was played during the World Series.
The Girl Scout fiasco pointed to another major flaw in ASCAP and BMI's business practices - arbitrary enforcement and pricing. In fact, it's the most one-sided relationship I've seen in my 18 years of business. Here's how the racket works:
ASCAP and BMI put a contract in front of you. They tell you to sign it and pay their annual fee. Period. You have no idea how their rates are set. But you quickly learn that if you question anything, a lawsuit threat isn't far behind.
More than 60 percent of National Restaurant Association members surveyed say they have been threatened with a lawsuit or other pressure tactics to sign a contract - even though the society had no idea whether the restaurant was playing copyrighted songs. To challenge a fee, business owners have only one recourse: to file suit in one federal court in New York City.
State legislatures were the first to understand the depth of the problem. In only two years, 19 states have passed legislation cracking down on certain abuses by ASCAP and BMI. Now it's Congress' turn to address the larger picture of licensing fees and arbitration. The National Restaurant Association has brought together a coalition of more than 30 groups - representing everyone from dentists to hairdressers - to lobby for changes in federal music-licensing laws.
The Senate Judiciary Committee is now considering a compromise bill that solves some of the concerns of small businesses while still allowing music societies to get paid for legitimate performances of copyrighted music.
We aren't asking for charity or special treatment. We're small-business owners who pay our own way. All we want is a fair way to do business.
ASCAP's hardball tactics against the Girl Scouts are not the reason to change music-licensing law. Rather, that case is more like a warning light on the dashboard alerting you that the entire system is broken and needs to be fixed. For the sake of small businesses, Congress should pass reform legislation before it adjourns.
L. Gerald Carter is general manager for Holiday Inn-Tanglewood.
LENGTH: Medium: 70 linesby CNB