Karaoke Forums

One of our clubs.... a restaurant actually.... has been forced to go to court with BMI over their licensing rates since the performance rights group has refused to answer their phone or discuss the matter.

The club's BMI licensing rate had previously been increased to just over $400 per year, (pretty much in line with typical ASCAP rates for the "average" club) but has taken another jump to over $1,000.00 in a year. That's a 250% rate increase.

When the bill first arrived, BMI explained the increase as a simple increase "based on the consumer price index." The restaurant hasn't expanded, added more seating or anything that would typically signal a rate increase since most performance societies base their rates on the seating capacity as well as other factors.

The owner wonders where BMI gets their figures since the economic downturn, it seems unbelievable that anything could have an increase in value of 250% in a single year. Especially the Consumer Price Index.

Are you getting paid twice as much as last year? Did your home double in value in the last year? Are Americans going out to restaurants twice as much? Has there been some type of miraculous recovery that for some unknown reason we missed the news announcement and the effect?

Since the initial billing, it appears that BMI has refused to discuss the issue and the owner has stated that they aren't answering their phone, so he'll be seeing them in court.

Interesting that here's a case of the owner going after BMI instead of the other way around.

Both BMI & ASCAP have been doing this for a year or more. I know of a few bars that have been in business over 30 years that are about to close the doors.

Do you have a link for that establishment?

_________________
Join The Karaokle Singers Social Network. Upload Your Music!!