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PERFORMING RIGHT SOCIETY (PRS for Music) WRITER MEMBERS MAY BE AFFECTED BY A LEGAL CLAIM
LONDON, July 31, 2024 /PRNewswire/ — A deadline to object to the CPO proceedings or class representative has been set for the collective proceedings order application (“Application”) to be heard by the Competition Appeal Tribunal (the “Hearing“) for a claim to recover damages from the Performing Right Society Limited and PRS for Music Limited (“PRS“) on behalf of PRS writer members between 9 March 2017 to 28 February 2024. The proposed claim is being brought by Mr David Rowntree, a PRS writer member himself.
The claim was launched on behalf of PRS writer members on 28 February 2024 who it is alleged have received lower so-called ‘Black Box’ income than they should have (the “Claim“).
Claim Summary
The Claim alleges that PRS pays, or allows to be paid, excessive amounts of ‘Black Box’ royalties to its publisher members when the majority of the ‘Black Box’ royalties should be paid to its writer members.
It further alleges that ‘Black Box’ royalties are royalties which have not been matched to the correct writer or publisher member for a variety of reasons, including missing or incorrect data.
The Claim alleges that the majority of ‘Black Box’ income represents royalties that have not been distributed to the writer members to which they relate. When, however, PRS distributes (or permits to be distributed) ‘Black Box’ to the membership, it pays to publishers a significant portion of the ‘Black Box’ income owed to writers. The Claim seeks to recoup the difference between the ‘Black Box’ income the writer members should have been paid out and what they actually were paid.
The Claim alleges that PRS is in breach of competition rules in the Competition Act 1998 and the Treaty on the Functioning of the European Union by transferring writers’ royalties to publishers when administering performing right royalties in the UK.
The Class
The claim automatically includes all individuals who are domiciled in the United Kingdom on 28 February 2024 and were PRS writer members at any time since 9 March 2017. Any writer member who is domiciled outside the United Kingdom on 28 February 2024 may choose to be included in the Claim.
Financial Arrangements
This legal action is being funded by LCM Funding UK Limited, a highly experienced third-party litigation funder. Exton Advisors provided advice and brokerage services on the funding and insurance. Insurance is in place to cover adverse fees or costs up to £10,000,000.
Non-confidential versions of the Application for the Collective Proceedings Order, the litigation funding agreement, and the insurance policies are available upon request.
Class Member Options
PRS writer members domiciled in the United Kingdom will be automatically included in the claim unless they request to be excluded. Any PRS writer members domiciled outside the United Kingdom will not be automatically included in the claim unless they request to be included.
Any proposed class member may object to the Application or the authorisation of Mr Rowntree as class representative. They may also ask to speak at the Hearing. Any third party with an interest, that is not a member of the proposed class, may apply to the Tribunal for permission to make written and/or oral submissions at the Hearing. Objections and Tribunal appearance requests must be received by the Tribunal by 4pm on 27 September 2024 by post or fax to the following address:
The Registrar
Competition Appeal Tribunal
Salisbury Square House
8 Salisbury Square
London EC4Y 8AP
Fax: 020 7979 7978
When writing to the Tribunal, they must include the reference “Rowntree v PRS Collective Action” and Case No.1634/7/7/24.
To learn more about the claim and Application, visit the dedicated PRS Claims Website at www.PRSsongwriterclaim.co.uk or the Tribunal’s website at www.catribunal.org.uk/cases.
Media Contact: Richard Elsen 07886 757307; Stephen Lock 07721 302577
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