It could well end up being music for the radio industry’s ears. In a judgment delivered on 27 July 2011, the Bombay High court stated that leading FM player Radio City would now have to only deal with Phonographic Performances Limited for obtaining a licence to play music on its stations, and the Indian Performing Rights Society (IPRS) cannot claim or demand royalty or license fees for playing recorded music from it.
Music Broadcast Private Limited (MBPL) – the company behind Radio City – has been fighting the case against Indian Performing Right Society since 2006. It had all along stated that it has been paying IPRS royalties for broadcast of sound recordings under a mistaken belief of law for nearly a decade. MBPL has demanded a refund of Rs 12.7 million which it has forked out as royalty/ license fees to the IPRS from 1 August, 2003 to 31 July, 2006.