Broadcasting Telecasting (Oct-Dec 1957)

BROADCASTING THE BUSINESS WEEKLY OF TELEVISION AND RADIO Vol. 53, No. 26 DECEMBER 23, 1957 FOUR -YEAR TV RENEWAL FOR ASCAP? • But proposals still must clear ASCAP board and broadcasters ® Broadcasters want, but can't get, protection from lawsuits The ticklish job of negotiating new ASCAP music performance licenses for television appeared late last week to be getting closer to the end. ASCAP, the three tv networks and a majority of the 15-man committee negotiating for local contracts were all reported in tentative agreement on renewal of the current contracts for four years. Plans were afoot in the local-contract committee to poll — possibly today (Monday), by letter — the approximately 250 stations underwriting the committee's work. ASCAP representatives were said to have started the wheels turning by indicating, after months of intermittent sessions with the broadcast groups, that they were willing to relay to the ASCAP board of directors a proposal that current licenses be extended. But the ASCAP committeemen also stipulated, it was understood, that they would go along with such a deal only if the networks and at least 85% of the stations accepted it. Current tv licenses expire Dec. 31. Providing for blanket use of ASCAP music, they call for stations to pay 2.05% of time sales involving ASCAP music, plus a sustaining fee equal to the stations' highest quarter-hour card rate per month. Networks pay 2.5% of time sales and their sustaining fee is 110% of the highest halfhour rate per month. The broadcasters' local contract committee, headed by Irving Rosenhaus of WATV (TV) Newark, N. J., and network authorities have been negotiating separately with ASCAP. All three networks were reported to be inclined to go along with extension of present network contracts, while the latest known vote among local-contract committeemen was said to favor extension of the local contracts by 12 to 2, one member not voting. The 15th vote subsequently came in but its nature was not learned immediately. There were indications late Thursday that some switches might yet occur, however. Chairman Rosenhaus and former Judge Simon H. Rifkind, counsel to the committee, talked with committeemen by conference call last Wednesday. First vote was 8 in favor of extending current contracts, 4 opposed and 2 "passing." Later it became 9 to 5 and when the non-voting member's choice came in, the count stood 10 to 5. Later the "ayes" raised to 12 and the "nays" dropped to 2. Chief opposition to the plan throughout most of the discussion of the past few days, it was understood, was directed not so much at the terms involved but at the lack of any sort of guarantee on ASCAP's part that the broadcasters would not be subjected to further lawsuits by ASCAP songwriters. Actually, since one can hardly "guarantee" against lawsuits in any field, what the committee wanted was a statement by ASCAP that it was entering into the contract legally and without pressure, so that pressure and antitrust violations might not be alleged in future suits. Broadcasters have in mind especially the suit filed more than four years ago — and still pending — in which a group of songwriters, all of them ASCAP members, are seeking to divorce Broadcast Music Inc. from its broadcast ownership, dissolve NARTB and collect $150 million in damages. It is the view of some opponents that since a voluntary agreement presumably will not give such protection, the better course is to let the courts fix the fees — a procedure available under a 1950 agreement to the consent decree ASCAP signed in the early 1940's. At one point in the negotiations, it was understood, there were proposals for a longterm new contract of, say, 10 years. But the consent decree limits contracts to five years, and four years was finally decided upon. A voluntary agreement between broadcasters and ASCAP, merely extending the present agreements, would not have to be submitted for court approval. But some committeemen feel any deal should be submitted to the courts anyway, as a legal deterrent to further songwriter suits. Among those favoring extension of pres NEGOTIATORS FOR THE INDUSTRY Irving Rosenhaus WATV (TV) Newark Charles Britt WL0S-TV Asheville Roger W. Clipp WFIL-TV Philadelphia Sam Cook Digges WCBS-TV New York F. E. Fitzsimonds . Dak. Broadcasting Elisha Goldfarb RK0 Teleradio Nathan Lord WAVE-TV Louisville Dwight Martin WAFB-TV Baton Rouge John McCoy Storer Broadcasting Clair McCollough WGAL-TV Lancaster John T. Murphy Crosley Broadcasting WSVA-TV Harrisonburg WKJG-TV Fort Wayne WRCV-TV ABC-TV's Omar Elder, also on the committee, was not available for Broadcasting's photographer. Broadcasting December 23, 1957 • Page 31