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Copyright Royalty Judges Affirm, Ding SiriusXM on Pre-72 Royalty Calculations

SiriusXM properly interpreted gross revenue exclusions that satellite radio service can use when calculating royalty payments owed to SoundExchange to apply to pre-1972 sound recordings but improperly excluded certain revenue from its gross revenue royalty base, the Copyright Royalty Judges said in a regulatory interpretation published in Thursday's Federal Register. The interpretation was in response to a referral by the U.S. District Court for the District of Columbia. CRJ judges also deferred to the court to determine whether SiriusXM had "a consistent, transparent, reasonable methodology" for valuing the exclusions applied to pre-'72 sound recordings.