European Commission blows out collection societies

16:42 | Wednesday November 19, 2008

The EC ruled in the summer that the European collecting societies were acting in concert and were not allowing songwriters to choose which society they wanted to join. 22 of the 24 European societies, including the MCPS-PRS Alliance, have appealed this decision.

But, at the end of September France’s Sacem, Germany’s Gema and the collection societies of Poland, Finland then applied for the EC ruling to be lifted while the case is heard because the length of time it will take could cause “irreparable harm” to their businesses.

ZAiKS, the Polish collection society, for example, based its action on the EC making a “defective appraisal” on the consequences of a potential alteration of the system

But, the five bodies failed to convince the European Court of First Instance in Luxembourg to lift the EC decision.

A source close to the moves says that third parties, including Governments, could now intervene in the process.