DC Circuit hands out orders in Internet Radio Appeals

Almost three months after the Cyberlaw Clinic filed emergency motions to stay collection of webcasting royalties from Internet radio stations, the US Court of Appeals has denied all motions for stay. The Court found CBI without standing to seek a stay.
While these motions were pending, however, Congress legislatively imposed a stay of payment through June 2003 for noncommercial stations and gave commercial stations until December 15 to enter into settlements with RIAA/SoundExchange.

The Court of Appeals also deferred to the merits panel the Librarian's Motions to Dismiss 18 commercial webcasters in the IoMedia Group appeal because they did not participate in the CARP proceeding that led to the Librarian's Order setting royalties. This means that these webcasters are allowed to participate in the appeal and have their day in court, (unless they have agreed in settlement to drop out) even though when the Court rules on whether the Librarian's decision should stand or be vacated or changed, it may still "dismiss" these appeals. As a practical matter, however, a reversal will change the default royalty rates for everyone.

The Court gave all parties in the case 30 days to submit proposals for a briefing format. "The parties are strongly urged to submit a joint proposal and are reminded that the court looks with extreme disfavor on repetitious submissions and will, where appropriate, require a joint brief of aligned parties with total words not to exceed the standard allotment for a single brief." The Librarian's request for a scheduling conference was denied, but the Court may reconsider if it is not happy with the parties' proposals for briefing arrangements.

No date has been set yet for briefs on the merits of the appeals to be filed or for oral argument. The ioMedia Group petitioners who the Librarian sought to dismiss, but which as of now still have live appeals unless they have settled with RIAA, are ioMedia Partners Inc, Beethoven.com LLC, Chatmaster Streaming Network, ClassicalMusicDetroit.com, Digitally Imported Radio, Flaresound, IM Networks, Inetprogramming Incorporated, Internet Radio Hawaii, Internet Radio, Inc., Pacific Internet Broadcast Services, Radio Paradise, SomaFM LLC, Ultimate-80s, Virgin Audio Holdings, LLC, Wherever Radio, Wolf FM and 3WK, Inc. Live365 is also part of this group but was never the subject of a motion to dismiss by the Librarian.

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