Pandora Signs Deal with Music Reports to Avoid Royalty Lawsuits

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Since seeing Spotify get sued by infuriated artists over missing royalty payments, Pandora has taken no chances.

Pandora, the internet music radio company, has reached a deal with rights administration platform Music Reports. They will be managing the royalty administration and the mechanical licensing, for their soon to be released ‘on-demand’ streaming service.

The deal struck with the Woodland-Hills based Music Reports, looks to avoid royalty lawsuits similar to which have affected Spotify. The Swedish music streaming company have been hit by two $150m+ class action lawsuits over the last year, over missing or incorrect royalty payments to songwriters.

Founder and CEO at Pandora, Tim Westergren has stated: “As we expand the listening experience on Pandora, it’s important that we continue to ensure music makers are not only accurately and fairly compensated, but also have more control and greater transparency around the use of their art.

“That’s why Music Reports’ opt-in licensing and full reporting infrastructure is so important. I’m thrilled to be working with another partner that puts artists’ interests first.”

VP and general counsel of Music Reports, Bill Colitre added: “Pandora and Music Reports share a commitment to comprehensive licensing solutions so that royalties properly flow to publishers and songwriters.

“Music Reports is in a unique position to reach every active publisher in the market, ensuring Pandora can offer them all the opportunity to participate in these new services, on the same terms. This is another huge step forward for music licensing in the United States.”

With music streaming getting ever more popular and with even more money being made within this industry, lawsuits, and deals to prevent these, will become much more common.

Whether this is good or bad news, the music streaming world is changing, for better or worse we will see.

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