The US Copyright Office has chosen the Mechanical Licensing Collective as the designated licensee coordinator under the Music Modernization Act.
The legalisation, which was signed into law by president Donald Trump in October, requires the Music Licensing Collective to be responsible for collecting and distributing royalty payments starting in 2021.
The Copyright Office said in an official release it is “honoured to help implement this historic legislation, which will benefit the music marketplace”.
The Music Modernization Act introduces royalty payments for songs recorded prior to 1972, which currently aren’t subject to royalty requirements.
The US Copyright office is responsible for designating the Mechanical Licensing Collective to administer the new compulsory licensing system.
Karyn Temple, the register of copyrights, commented: “The Music Modernization Act is the most significant piece of copyright legislation in decades.”
“Music plays an important role in creating our common culture and history. This law will help ensure musical work owners are paid when their work is used.”
“Designating the mechanical licensing collective and the digital licensee coordinator will help make that happen. We look forward to working with the entire music community to further implement and conduct outreach on this historic law.”
The blanket licence will be available on 1 January 2021. Before then, the Office will continue to work on implementing the act.