Group of internet radio stations threatens to sue RIAA

GristyMcFisty used our news submit to tell us
that a group of about 300 internet radio stations has made public that they have
send a letter to the RIAA, threatening to sue them for anti-trust activities.
The group with over 300 members consists of internet radio stations that do not
agree with the terms the RIAA has set for internet radio stations to broadcast
music owned by RIAA members.

The Las Vegas-based Webcaster Alliance will send a letter today to the RIAA, threatening to sue the group for violations of the Sherman Antitrust Act unless the RIAA agrees to reopen negotiations over the royalty rates webcasters must fork over to artists and record labels, Webcaster Alliance attorney Perry Narancic said. "We're trying to negotiate with these people, but with a big stick," Narancic said. The existing royalty rates structure would force as many as 90 percent of small commercial Internet radio stations to close if left unchanged, Narancic said.

Earlier the RIAA reached an agreement with another radio stations group.
However according to the articles this was only a group of 15 stations. Read the
entire story here.

Source: Washingtonpost.com