Antitrust & Competition Policy Blog

Editor: D. Daniel Sokol
University of Florida
Levin College of Law

Sunday, January 9, 2005

Proposed antitrust exemption for RIAA and MPAA

The Enhancing Federal Obscenity Reporting and Copyright Enforcement Act of 2003 (EnFORCE Act), co-sponsored by Senator Orrin Hatch, contains a provision granting antitrust immunity to the RIAA and the MPAA.  See an article discussing the provision here.

Whether your allegiences are to a red state or a blue state, this type of legislation is bad policy in my opinion and should be challenged.

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I don't understand -- both the MPAA and RIAA are trade associations, which I assume are nonprofits. How can a nonprofit be granted antitrust immunity? If this means granting immunity to their constituents, that does not seem to make much sense either. The MPAA represents 7 studios and the RIAA represents 992 different record labels -- not nearly as concentrated as some of other industries (the 5 cell phone companies just to mind.)

Posted by: Jon Crawford | Jan 10, 2005 6:28:42 PM

I checked this with Hatch's office and they deny it. May be an antitrust urban legend.


Posted by: Bob Moore | Jan 15, 2005 8:21:31 AM

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