News archive items listed by month below (click here).
UK TRADE MARK CASE MAY HELP TOUR MERCHANDISERS AGAINST COPYCAT PRODUCT 27/10/06
A UK trade mark case may prove to be very helpful to artists and merchandisers in the fight against 'look alike' products. In the case of L’Oreal v Bellure (4th October 2006) the High Court found that that a 'look-alike' perfume packaging infringed L'Oreal’s trade mark rights. For years, 'look-alike' products including perfumes have become more common and have more closely mimicked the style of leading brands. The Court held that a registered trade mark holder can prove infringement under section 10 (3) of the Trade Marks Act 1994 where similar packaging takes unfair advantage of the reputation of an existing brand, without the need to establish the likelihood that consumers would confuse the products. Whilst this case onpy applies to registered trade marks the principles set out will also be applicable in other industries where replica goods take advantage of the reputation of established brands.see http://www.mondaq.com/news.asp?e=1&a=43492
ALLOFMP3 HIT AGAIN 27/10/06
After the news that both Mastercard and Visa were no longer servicing payments to Russian downloadsite Allofmp3.com (which has 14% of the UK's download market) the IFPI were further cheered up by the news that a Danish Court in Copenhagen had ordered internet service providers Tele2 to block subscriber access to the site. Chair of the IFPI John Kennedy said "This judgment is one more step along the road to getting this rogue site closed down. Allofmp3.com illegally offers for sale copies of music that it has no right to reproduce or distribute. It provides unfair competition to the nearly 400 legal sites worldwide that respect the rights of composers, artists and record producers”. The IFPI say that the site is illegal because whilst Allofmp3.com claims to be licensed by a Russian-based society ROMS, ROMS has no mandate from international rights owners to license the site in or outside Russia and under the copyright laws of virtually every country in the world, including Russia, it is illegal to distribute recordings without the permission of the rights owners.
US TOUR GROSS UP BUT ATTENDANCE DOWN 27/10/06
Touring revenues in the first nine months of the year in North America topped $1.8B - which is up 10.5% from the same period 2005. Attendance, however, was down 1.2% and the number of shows (9,994) was down by 3% according to Billboard Boxscore numbers:
http://www.billboard.biz/bb/biz/newsroom/touring_venues/article_display.jsp?vnu_content_id=1003315420
ITUNES UNLOCKED 27/10/06
'DVD Jon' Johansen (The Norwegian hacker who famously cracked DVD encryption while still a teenager) said that he has found a way to unlock Apple's DRM. says that his new software enables file formats other than MP3 and Apple's proprietary AAC files to be
played on an iPod. Currently, of course, Apple restrict the kinds of files that will work with its portable music players, forcing people to buy music from iTunes or to rip tracks from CDs.
His 'reverse engineering' identified a way into fooling an iPod that music brought from other online music stores was in fact from iTunes and fools a MP3 player that music from iTunes can be played. Apple willno doubt be aghast and drafting writs as we speak but many will see Jon as providing a much needed service. The lack of interoperability between Apple and other platforms has raised the ire of many consumer groups - the French Government almost banned Apple's DRM and consumer regulators in Scandanavia are considering action against Apple on the issue of the lack of interoperability.
TICKETING IN THE NEWS AGAIN 27/10/06
For a link to an interesting article on ticketing - ticket thicket - cant see the forest for the fees see the the Philadephia Daily at http://www.philly.com/mld/dailynews/news/local/15851034.htm
ELMF CALLS FOR WITHHHOLDING TAX TO BE SCRAPPED 21/10/06
After the recent European Court decision forcing Germany to liberalise its rigid witholding tax provisions for foriegn artists and the Dutch Government's announcement that it was scrapping withholding tax in the Netherlands altogether, The European Live Music Forum (ELMF) has sent personal letters to all ministers of finance, trade and culture in EU member states urging them to follow the Dutch initiative and abolish the practice of at-source or withholding taxation of non-resident artists.In order to place this issue firmly on the agenda the ELMF has call on all members and concerned parties in the live music industry to assist in bringing this matter to the attention of national media. Pointing out that the tax is a direct barrier to cross- European cultural initiatves which are promoted by different parts of the EU, ELMF Board member Hans Hjorth said “The implementation of equal principles of taxation for the cultural sector as for other legitimate transnational business activities is long overdue. The Dutch initiative indicates that a solution, at least within the framework of the European Union, could be very quickly established".
Contact info@elmf.eu for more details.
T-IN-THE-PARK TOP UK FESTIVAL AWARDS 20/10/06
T-in-the-Park won best major festival at the 2006 UK Festival Awards at a ceremony held at the Islington Carling Academy. Bestival won best medium fetsival and the Summer Sundae Weekender picked up best small festival. The Family festival award went to Guilfest and the best one day festtival to Monsters of Rock. The Shelter award for social responsibility was won by the Sunrise Summer Solstice Celebration who have compost toilets, organic site-wide policy on food and alcohol, permaculture area and education, horsedrawn transport and rickshaws, visit by local schoolchildren to encourage environmental awareness, campaigns area and everything was powered by renewable sources. Picking up the best festival award DF concert's Geoff Ellis gave a special thanks to the Levellers who had performed live at the awards along with Nizlopi. Muse were the fans's undoubted favourite at UK festivals in 2006 and the Kooks picked up best breakthrough act. Melvin Benn was presented with a much deserved special award for his outstanding contribution to the UK's festival scene. Virgin Radio's Steve Harris hosted the awards and Radio 1's Rob da Bank spun the discs at the aftershow party. The event was sponsored by Virtual Festivals.
YORKE - I MIGHT TOUR BY TRAIN 18/10/06
Thom Yorke has heavily criticised the environmental impact of touring saying that '"the way tours are structured are a ridiculous consumption of energy" adding that he might travel to Japan by rail if he were to perform there again. Speaking as part of a climate change initiative from Friends of the Earth - www.thebigask.com - Yorke professed to be wary of carbon neutral schemes adopted by other acts such as Coldplay and The Rolling Stones where artists 'offset' their carbon emissions by paying to plant trees. The Radiohead frontman said 'touring is part of what I do do but the consequences are unacceptable .... 80,000 peple at a gig sitting in a traffic jam for five orn six hours with their engines running ..... is completly daft". Also pointing out the ongoing environmental damage from air tavel, Yorke urged the UK government to introduce climate change legislation.
RECORD LABELS TARGET FILE SWAPPERS AGAIN 18/10/06
The IFPI has said that legal actions against thousands of music file-sharers across the world have been announced as the recording industry stepped up its campaign to deter copyright theft and promote legitimate use of music on the internet. Over 8,000 new cases in 17 countries are being announced today, including the first ever cases against illegal file-sharing in the two biggest markets of South America and in Eastern Europe. A total of more than 13,000 legal actions have now been taken outside the United States. Legal actions are being extended to Brazil, where more than one billion music tracks were illegally downloaded last year and a country where record company revenues have nearly halved since 2000. Mexico and Poland are also seeing actions for the first time – while a further 14 countries are launching fresh actions against illegal file-sharing.
ASIAN MARKET TO BLOOM 18/10/06
In-Stat projects that Asian mobile users could spend over $9B a year on ringtones and music downloads by 2010 (jumping almost threefold from $3.3M last year). Japan will be the key market ($3.4B) in the region, but China ($2.8B) and India will also be major drivers. Jupiter adds that Asia will account for 40% of global mobile music sales by 2011, but is less optimistic in its forecasts than In-Stat. It suggests that global music sales will reach $14B by 2011 and sales in Asia will make up $5.6B of this.
AGREENERFESTIVAL TAKES OFF 14/10/06
The ILMC supported green advice website www.agreenerfestival.com has reported a fantastic response to its launch ten days ago. One of the site's founders, Ben Challis, told ILMC News "in the first ten days we have had contacts from Festivals in Finland, Russia, Portugal, Australia and New Zealand and really postive input from the Bonnaroo Festival in the US and from a number of UK festivals including Bestival and Electric Gardens. One of the most impressive responses was from the Peats Rridge Festival in Australia (http://www.peatsridgefestival.com.au) who have a really comprehensive environmental policy and some great idas which they are happy to share. They are building up a 'model event' policy to help promoters and organisers improve their environmental efficiency". Challis went on to add that the website was being continuously updated to build up its role as a resource for improving environmental efficiency at Festivals. Agreenerfestival.com have also been named as a sponsor of the 2006 UK Festival Awards (see below).
SCORPIO WIN PARTIAL TAX VICTORY IN EUROPEAN COURT 14/10/06
The European Court of Justice have handed down an important decision on German withholding tax law in Scorpio Konzerproduktion's thirteen year battle against the German Tax Authorities [ECJ C290-04]. The case, which dates back to 1993 involved a challenge under articles 59 and 60 of the EC Treaty which prohibits obstacles which prevent the free movement of services within the European Community - here based on the issue that non resident artists were treated less advantageously than resident artists (or companies). Whilst the Court held that the German withholding procedure itself was justifiable on the grounds of fiscal efficiency and that withholding tax itself was not illegal as such, the ECJ found that it was illegal to have (German or other) legislation which does not allow a recipient of services who is the debtor of the payment made to a non-resident provider of services to deduct, when making the retention of tax at source, the business expenses which that service provider has reported to him and which are directly linked to his activity in the Member State in which the services are provided. The Court held that such legislation is precluded by EC law. In effect German promoters can take into account expenses when calculating what wittholding tax deduction to make. This case builds the ECJ decision the Arnoud Gerriste case [C-234/01] which held that the EC Treaty preclude a national provision which, as a general rule, takes into account gross income when taxing non-residents, without deducting business expenses, whereas residents are taxed on their net income, after deduction of those expenses. The two decisions together with other recent decisions in the ECJ such as the decision in Centro di Musicologia Walter Stauffer [ECJ C386-04] and the Advocate General's opinion in Centro Equestro de Leziria Grande Lda [ECJ C345-04] will hopefully make for a far more attractive touring environment in Europe regarding tax law and a clear result of the long term hard work put in by Harald Grams and All Arts' Dick Molnenaar and the ILMC Tax Group.
See the November issue of www.musiclawupdates.com and the next IQ magazine for more details.
DIGITAL GROWTH STILL NOT COMPENSATING FOR ILLEGAL DOWNLOADING 14/10/06
The International Federation of Phonographic Industry (IFPI) numbers for the first half of 2006 show continued and phenomenal growth in digital sales. They grew 106% from the same period last year to generate $945M in revenue. Overall, digital makes up 11% of sales globally. In the US, it now accounts for 18% of sales while in the UK it's 8%. In South Korea, however, digital is now the dominant format, making up an eye-popping 51% of sales. Now for the band news. Physical sales were down 10% which meant that overall sales dropped 4% (to $13.7B in retail value). The IFPI reported recently that 20B songs were illegally downloaded last year despite the actions of the Recording Industry Association of America (RIAA), British Phonograph Industries and other IFPI members.
KEANE JOIN LIVE CD BOOM 11/10/06
Keane are the latest band to sign up to Concert Live and will make 1,000 CDs of each of their imminent UK shows available to buy (or even 'pre-order online') within "five minutes of walking off stage". http://www.concertlive.co.uk/
STREISLAND BREAKS BOX OFFICE RECORDS 11/10/06
Barbra Streisand's show at the Wachovia Center in Philadelphia grossed $5.3M (the biggest gross in the venue's 10-year history). Fans spent an average of $12.41 on merchandise.
NEW YORK'S CGBGs FINALLY CLOSES ITS DOORS 11/10/06
Legendary NY club CBGBs is finally closing its doors this week. Some famous faces will be popping in to pay their final respects including Bad Brains on Tuesday, The Dictators on Friday and Saturday along with an acoustic show from Blondie's Debbie Harry and Chris Stein also play an acoustic show on Saturday. The legend that is Patti Smith headlines on Sunday.
UK RURAL OPERA HOUSE WINS MAJOR TAX VICTORY 10/10/06
Despite having a Government that professes to support the creative industries in the UK, the Treasury doesn't seem to have read the script - and have been up to their necks in somewhat aggressive and unwarranted - and what seems to be illegal - behaviour. The Court of Appeal has now found that UK Customes & Revenue were completly wrong to strip the Gloucestershire based Longborough Festival Opera of its cultural purposes exemption f- rom VAT on ticket sales. Why were the Revenue so adamant that the Opera Company should be stripped of its exemption? Well - because it was because founding trustee, Martin Graham, unilaterally agreed to underwrite any losses from staging Wagner's Ring Cycle in 2002 and 2003. This meant that the Company was no longer run 'voluntarily' according to the Revenue - Mr Graham had a financial interest - even though he was only prpared to cover losses - and didnt want a share of any profits. The Court, thankfully, said that the Revenue were wrong. However, it wasnt all doom and gloom for the Revenue - in another case they managed to get a court to agree that rhe Bournemouth Symphony Orchestra should be stripped of its cultural exemption for VAT on ticket sales - because a salaried MD sat on the board of trustees in what must be seen as a wholly unsatisfactory decision for the cultural and creative industries and indeed the live music industry in the UK.
GOOGLE STUMP UP $1.65 BILLION AS YOUTUBE STARTS TO LEIGITIMISE CONTENT 10/10/06
As Video-sharing Web site YouTube Inc announced that it had struck content deals with Universal Music Group, Sony BMG Music Entertainment and CBS, Google announced, after several days of rumours of a pre-emptive strike to that it would buy YouTube for $1.65 billion. Google say the two companies will, for the time being at least, continue to operate independently - but Google also added that it had also directly dealt with Sony BMG and Warner Music for Google music video content. Vivendi's Universal Music Group said Monday it agreed to give YouTube viewers access to thousands of music videos. The company said it and its artists will be compensated not just for the official videos, but also for user-generated content that incorporates Universal's music. Universal Music Group said it will also use technology to filter out copyrighted content not authorized to appear on the YouTube site. Sony BMG has it will make video content available on YouTube - and will also let YouTube users include some catalogue songs in their own amateur video uploads. Warner Music had alreday said it had an agreement with the site. Sony BMG said it will share advertising revenue with YouTube for all music videos that incorporate audio or video works from the Sony BMG library. So three out of four of the majors seem to have adopted a new business model for online video content - just EMI needs to say what it wants to do.
MORE ONLINE COMPANIES SETTLE WITH MCPS-PRS 10/10/06
Digital music providers Napster and MusicNet have both reached settlements with publishing collection society MCPS-PRS regarding the rate of payment of digital royalties for publishers and songwriters. The two download firms were part of that consortium of companies, which included most of the main digital music and mobile firms, as well as the
major UK record labels, who took MCPS-PRS to the UK Copyright Tribunal - after they failed to reach an agreement with the collection society over what percentage of digital music sales should go to publishers and songwriters. The majority of companies in the consortium
reached a last minute settlement with MCPS-PRS and so the court case was postponed. Napster and MusicNet were not among those companies, but yesterday they reached a similar arrangement with MCPS-PRS - an agreement which will see them pay a royalty of 8%. There are still four digital music companies yet to reach settlement with MCPS-PRS and, unless resolved, the Tribunal will hear the case in November 2006.
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