RIAA To Web Sites: Start Paying Digital Royalties

A letter sent by the RIAA to webcasters has escalated the debate over the implications of the Digital Performance Right In Sound Recordings Act. As interpreted by the RIAA, the act, which was passed in 1995, makes all webcasters responsible for paying an additional licensing fee to owners of sound recordings, along with the licensing fees paid to publishers and songwriters by traditional broadcasters. The letter, authored by RIAA VP and deputy general counsel Steven Marks, updates webcasters on the RIAA's plans to establish a system whereby it would act as clearinghouse for the additional licenses.

Webcasters, however, are resistant to complying to the act, essentially claiming that they should be viewed as traditional broadcasters. "I'd say we're going to take a wait-and-see attitude, just like everyone else," says Mark Kotlinski, executive producer of music-and-talk Web site 88hiphop.com. "Right now we're licensed by ASCAP and BMI, and that's all we can do."
Still, Marks says the policy has been a long time coming: "Obviously, [the letter] has been misinterpreted as the RIAA drawing its line in the sand, but this isn't a new policy. Discussions have been taking place over the past year with webcasters and other Internet services about their obligation to get licenses."

Additionally, Marks says that DiMA, the new consortium made up of companies involved in the streaming and downloading of music, is attempting to sidestep its obligations under the Digital Performance Right In Sound Recordings Act by gaining exemption through pending WIPO legislation.

For details, see the June 27 issue of Billboard.

--Doug Reece, L.A.


Ken Levitan Back In Management Biz

Ken Levitan, who closed his Nashville-based Vector Manage-ment a few years ago to head Universal-owned country imprint Rising Tide, has reopened Vector following the dissolution of the label. The move reunites him with Lyle Lovett, who he had managed prior to his label venture. Lovett is working on his newest Curb/MCA album, "Step Inside This House," which features Lovett remaking 21 tunes written by fellow Texas songwriters. The album is tentatively slated for a late-September release.

--Melinda Newman, N.Y.


U.K.'s Carlton Buys CD Maker Nimbus

U.K. media giant Carlton Communi-cations--which owns film and videotape supplier Technicolor--has agreed to acquire CD replicator Nimbus CD International of Charlottesville, Va., in a deal valued at $246 million. Nimbus has an annual capacity of approximately 260 million discs, according to Carlton.

--Paul Verna, N.Y.


Living Music Pacts With Windham Hill

Living Music, the label owned and operated by soprano saxophonist Paul Winter, has signed a pressing and distribution deal with BMG's Wind-ham Hill label that in-cludes the entire Living Music output, as well as new releases by Winter. Upcoming titles include "Brazilian Days," a collaboration between Winter and Brazilian guitar virtuoso Oscar Castro-Neves.

--Paul Verna, N.Y.


Jack McFadden Dead At 71

Longtime Nashville manager Jack McFadden died June 16 at home of liver cirrhosis. He was 71. McFadden managed Buck Owens for 30 years and launched Billy Ray Cyrus' career after every Nashville label turned Cyrus down. He also handled Merle Haggard, the late Keith Whitley, Lorrie Morgan, David Frizzell & Shelly West, Sonny James, and Eddy Raven. He was also talent coordinator for the TV show "Hee Haw."

--Chet Flippo, Nashville


Uni Germany In Booya Deal

Universal Music Germany has signed a worldwide label deal with Booya Music, the company owned by hit producers Buelent Aris and Toni Cottura. The duo, who won the 1997 Echo award for best production team, have had chart success with productions for the Backstreet Boys, 'N Sync, and A.K.S.W.I.F.T., as well as platinum records for Booya artist Nana. They have collaborated with Universal since June 1997, with recent projects including Pappa Bear's single "Cherish," which charted in 12 countries. Future productions under the deal will include artists such as Alex Prince featuring Mazaya, Jonestown, Jan van der Toorn, Pappa Bear and, as of 1999, Nana. "This agreement represents a major step forward in the development of our local product to meet international standards," says Hans Canibol, Universal Music Germany CEO.

--Wolfgang Spahr, Hamburg


artist Developments

Warner Classics tenor Jose Bura will headline an Opera Gala at London's Guildhall on July 6. The event benefits breast cancer charity Cancerkin.



VH1, Epic Pair For All-Star 'Divas Live' Album Release

VH1 and Epic are partnering to release this fall a "VH1: Divas Live" album, based on the concert that VH1 televised April 14 from New York's Beacon Theatre. The concert featured Celine Dion, Aretha Franklin, Gloria Estefan, Shania Twain, and Mariah Carey, with special guest Carole King. During its first six airings, the show drew 20 million viewers, according to VH1 president John Sykes, making it the network's most-watched program.

The release will feature the concert almost in its entirety, according to Sykes, plus a portion of the finale that didn't air because of time constraints. The only songs from the evening that will not be on the album are two Franklin tracks from her new "A Rose Is Still A Rose" album. "VH1: Divas Live" will also be released on videocassette and DVD.

For details, see the June 27 issue of Billboard.

--Melinda Newman, N.Y.



Kirk Franklin Has Taste For Food Biz

Gospel artist Kirk Franklin has signed a deal to own and operate 15 Churchs Chicken restaurants. The first three will be opened by year's end in the Dallas/Fort Worth area, where Franklin resides; the rest will open over the next five years. Franklin will further his association with the chain by creating original music for commercials, being a spokesman for many of its community service programs, and possibly appearing in commercials.

--Carrie Bell, L.A.


Mercury To Record Arlen/Mercer Show

PolyGram's Mercury label unit will record the cast album of "St. Louis Woman," starring Vanessa Williams. The rarely seen 1946 Harold Arlen and Johnny Mercer musical was mounted for five performances in May by the Encores! series at New York's City Center. The album will be produced by Hugh Fordin through his DRG Prod-uctions. Fordin has done similar work for his own label, DRG Records, for such Encores! shows as "Call Me Madam," "Out Of This World," "Pal Joey," and "The Boys From Syracuse." The best-known song from "St. Louis Woman" is "Come Rain Or Come Shine." Recording sessions are planned for July 2 at New York's Edison Studios. Look for an early fall release.

--Irv Lichtman, N.Y.


WIPO Delayed In House?

A House vote on the Digital Millenium Copyright Act, the pending bill that would implement the international digital-age copyright treaties adopted in 1996 by the World Intellectual Property Organization (WIPO), may not happen until after the upcoming May recess, say Hill insiders, despite passage of the WIPO bill by the Senate May 14 and House Judiciary Committee April 1.
Now the chairmen of the House Commerce Committee and the Ways and Means Committee, claiming jurisdictional privileges, want to review House bill compromise language that limits contributory infringement and liability of on-line service providers.

--Bill Holland, Washington, D.C.


Lyric Lands New VP

Dale Turner is named VP of promotion at Lyric Street Records in Nashville. He had been serving as a consultant to the company and reports to senior VP of promotion Carson Schrieber.
--Chet Flippo, Nashville


DMX Off Road After Arrest

Rapper DMX has canceled his upcoming concert appearances, following his arrest Wednesday in New York on charges of rape, sodomy, and unlawful imprisonment. DMX has denied the charges, which relate to an alleged incident Sunday with an exotic dancer.

DMX, who was released after posting $10,000 bail, was to be part of the Survival of the Illest tour with Onyx and Def Squad.

Def Jam representatives did not return calls for comment.

--Carla Hay, N.Y.


Kantarian Departs Radio City Post

Arlen Kantarian has resigned as president/CEO of New York-based concert promotion company Radio City Productions, which handles events for Radio City Music Hall. No reason was given for the resignation.