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