ROYCE INTERNATIONAL BROADCASTING for nonpayment of music royalties

[Frequency1]

U.S. District Judge JESUS G BERNAL has appointed LARRY PATRICK as receiver for three stations owned by ED STOLZ's ROYCE INTERNATIONAL BROADCASTING for nonpayment of music royalties to ASCAP publishers.

The order, issued and entered on JUNE 6th, puts Top 40 KREV-F (92.7 REV THE REVOLUTION)/ALAMEDA-SAN FRANCISCO, Top 40 KRCK/MECCA-PALM SPRINGS, CA, and Top 40 KFRH (104.3 NOW FM)/NORTH LAS VEGAS, NV into receivership, following a 2018 jury determination that STOLZ's stations played 11 musical works without paying royalties and the award of $330,000 in statutory damages ($30,000 per infringement), plus $864,278.75 in attorney's fees, $43,333.34 in non-taxable costs, and $11,951.37 in additional taxed costs, plus interest.

Plaintiffs in the case included WB MUSIC CORP., BUT FATHER, I JUST WANT TO SING MUSIC, HUNTERBORO MUSIC, UNIVERSAL POLYGRAM INTERNATIONAL PUBLISHING, INC., SONY/ATV TUNES LLC, OBVERSE CREATION MUSIC, NICE HAIR PUBLISHING, PARTY ROCK MUSIC, YEAH BABY MUSIC, ESKAYWHY PUBLISHING, UH OH ENTERTAINMENT, DIVINE MILL MUSIC, FINGAZ GOAL MUSIC, EMI APRIL MUSIC INC., HI MOM I DID IT, CHEBRA MUSIC, and UNIVERSAL MUSIC CORP. Defendants besides STOLZ and ROYCE included PLAYA DEL SOL BROADCASTERS, SILVER STATE BROADCASTING, LLC, and GOLDEN STATE BROADCASTING, LLC.

 

[frankberry]

I'm wondering what the FCC has to say about this?

 

[landtuna]

Don't damages have to resemble, in some fashion, the damage(s) done?

 

[Frequency1]

Don't damages have to resemble, in some fashion, the damage(s) done?

The FCC has nothing to say until an application is filed to assign the licenses.

More on this from Talkers.com.

Judge Puts Three Ed Stolz Stations into Receivership; Larry Patrick to Sell Them

The result of a 2016 complaint against Ed Stolz’s Royce International Broadcasting Group by Warner Music Group and other music companies alleging KREV, San Francisco; KFRH, Las Vegas; and KRCK, Palm Springs played music for which it did not have the rights, was a $1.2 million award for the plaintiffs in the copyright infringement portion of the complaint. Stolz appealed that decision, to no avail, and later agreed to sell the stations to pay the award. However, after it appeared to the plaintiffs that Stolz was not really trying to sell the stations, they asked the court to appoint a receiver to sell the stations in order to receive their award. The court agreed and moved to put the stations into receivership to force the matter. Larry Patrick of media brokerage firm Patrick Communications – who is charged with operating the stations and selling them – estimates that the three stations are worth a somewhat less than half of the jury’s $1.2 million award.

 

[davideduardo]

Don't damages have to resemble, in some fashion, the damage(s) done?

The incredible thing is the nearly one million dollar legal fee charge!

 

[CTListener]

All this over 11 songs! I looked up a few of the publishers involved -- most are heavy hitters, publishing music by Coldplay and other superstar acts.

 

[TheBigA]

All this over 11 songs! I looked up a few of the publishers involved -- most are heavy hitters, publishing music by Coldplay and other superstar acts.

The part of this that's curious to me is how a station gets into this kind of trouble. Typically a radio station does a licensing deal with the RMLC, the Radio Music Licensing Committee. They do deals with ASCAP, BMI, and SESAC. You pay dues to RMLC, and you're covered. The odd group out now is Global Music Rights, which is run by Irving Azoff. He has the licensing on The Eagles, Springsteen, Petty, and more. They're not covered by RMLC. Some stations are trying to avoid that fourth PRO. That doesn't appear to be what happened here.

We all know Stolz to be pretty litigious, constantly challenging Entercom's license. One would expect he wouldn't screw something like this up unless he has some reason. What I found is this story from 2018 that refers to his battle with ASCAP:

http://www.insideradio.com/free/ed-...cle_b5ecbc68-580f-11e8-a0c0-4702d63bcd55.html

 

[davideduardo]

The part of this that's curious to me is how a station gets into this kind of trouble.

The owner here is an attorney, and he uses the courts as a personal Nintendo. He sues over bad weather...

Nothing surprises me about him.

I know several broadcasters who were offered one of his stations, and they took a pass just to avoid dealing with that guy.

Of course, he will probably send me a Cease & Desist Order for even talking about him. But I'm talking about Felix the Cat, not a real broadcaster...

 

[TheBigA]

The owner here is an attorney, and he uses the courts as a personal Nintendo. He sues over bad weather...

Here's one line from the linked story: "The performance rights organization earlier filed lawsuits against him in 1981, 1986, and 2003—all of which were eventually settled."

I guess they just got tired of the runaround.

 

[Y2kTheNewOldies]

The part of this that's curious to me is how a station gets into this kind of trouble. Typically a radio station does a licensing deal with the RMLC, the Radio Music Licensing Committee. They do deals with ASCAP, BMI, and SESAC. You pay dues to RMLC, and you're covered. The odd group out now is Global Music Rights, which is run by Irving Azoff. He has the licensing on The Eagles, Springsteen, Petty, and more. They're not covered by RMLC. Some stations are trying to avoid that fourth PRO. That doesn't appear to be what happened here.

We all know Stolz to be pretty litigious, constantly challenging Entercom's license. One would expect he wouldn't screw something like this up unless he has some reason. What I found is this story from 2018 that refers to his battle with ASCAP:

http://www.insideradio.com/free/ed-...cle_b5ecbc68-580f-11e8-a0c0-4702d63bcd55.html

I swear I had no idea that Stolz would be on the Defendants seat that soon. Every time I hear about Stolz he would be on the Plaintiffs seat over suing Entercom and their Sacramento area cluster though. KDND-FM was the target station Stolz wanted until Entercom handed over KDND-FM's license to the FCC prior to Entercom taking over CBS Radio.

 

[Y2kTheNewOldies]

The owner here is an attorney, and he uses the courts as a personal Nintendo. He sues over bad weather...

Nothing surprises me about him.

I know several broadcasters who were offered one of his stations, and they took a pass just to avoid dealing with that guy.

Of course, he will probably send me a Cease & Desist Order for even talking about him. But I'm talking about Felix the Cat, not a real broadcaster...

Ed Stolz always claim he was fighting for the "Public Interest" whenever he was suing Entercom over their Sacramento area clusters. But apparently he got called out for having a black kettle this time around.

 

[EricStein]

The FCC has nothing to say until an application is filed to assign the licenses.

More on this from Talkers.com.

Judge Puts Three Ed Stolz Stations into Receivership; Larry Patrick to Sell Them

The result of a 2016 complaint against Ed Stolz’s Royce International Broadcasting Group by Warner Music Group and other music companies alleging KREV, San Francisco; KFRH, Las Vegas; and KRCK, Palm Springs played music for which it did not have the rights, was a $1.2 million award for the plaintiffs in the copyright infringement portion of the complaint. Stolz appealed that decision, to no avail, and later agreed to sell the stations to pay the award. However, after it appeared to the plaintiffs that Stolz was not really trying to sell the stations, they asked the court to appoint a receiver to sell the stations in order to receive their award. The court agreed and moved to put the stations into receivership to force the matter. Larry Patrick of media brokerage firm Patrick Communications – who is charged with operating the stations and selling them – estimates that the three stations are worth a somewhat less than half of the jury’s $1.2 million award.

The Vegas station is EMF bait.

 

[Michael Rivers Kramer]

The owner here is an attorney, and he uses the courts as a personal Nintendo. He sues over bad weather...

Nothing surprises me about him.

I know several broadcasters who were offered one of his stations, and they took a pass just to avoid dealing with that guy.

Of course, he will probably send me a Cease & Desist Order for even talking about him. But I'm talking about Felix the Cat, not a real broadcaster...

He also does his own engineering work or at least he did when he owned KWOD (Now KUDL).

 

[SomeRadioGuy]

He also does his own engineering work or at least he did when he owned KWOD (Now KUDL).

Stolz has been a pox on radio for 20 plus years and nothing ends well for him. Why does he keep trying?

 

[Y2kTheNewOldies]

Stolz has been a pox on radio for 20 plus years and nothing ends well for him. Why does he keep trying?

When Ed Stolz had an Ax to grind against the former CBS Radio and Entercom he was ranting over "I'm doing this for the Public Interest" when he was fighting entercom to take over the Sacramento cluster though. Note some of the Divested Entercom Stations in Sacramento and San Francisco later went to Bonneville Media prior to Entercom Taking over the former CBS Radio.

 

[Frequency1]

When Ed Stolz had an Ax to grind against the former CBS Radio and Entercom he was ranting over "I'm doing this for the Public Interest" when he was fighting entercom to take over the Sacramento cluster though. Note some of the Divested Entercom Stations in Sacramento and San Francisco later went to Bonneville Media prior to Entercom Taking over the former CBS Radio.

A federal judge in Los Angeles has rejected an attempt by California station owner Ed Stolz to have a court-ordered receiver put in control of four of his stations dismissed as part of an effort to prevent the FMs from being sold. U.S. District Court Judge Jesus Bernal rejected Stolz’s argument that the all-cash offer from a still unidentified buyer amounts to a “fire sale” and said any harm the longtime owner would experience “would be self-inflicted” and the result of his “repeated stonewalling and non-compliance” with court orders.

The receivership stems from a complaint filed in 2016 by several music companies, including Sony/ATV, Universal Music Group, and Warner Music Group, that alleged Stolz-owned CHRs “92.7 The Revolution” KREV San Francisco, “104.3 Now” KFRH Las Vegas, and “Hot Hits 97.7” KRCK-FM Palm Springs, CA failed to secure the rights to the music it aired. A jury agreed, but Stolz has repeatedly failed to comply with the court order that he pay $1.3 million in copyright damages to the labels. That led Bernal to put the stations under control of veteran broker Larry Patrick, serving as a receiver, in July.

Patrick soon had an all-cash offer from a buyer. But last month Stolz asked the court to hold off on approving the sale to the buyer, and instead allow him to pay the money he owed to the record labels and reclaim control of the stations. Stolz also sought Patrick’s dismissal, saying a receiver is no longer required.

But Bernal has not been swayed, pointing out Stolz’s history of creating delays, including taking three weeks to respond to Patrick’s notification that he had a buyer lined up. “If defendants wish to attempt to prevent the sale of the radio stations,” said Bernal in a four-page order, “they are welcome to do so.” But the judge said he would not terminate the receivership until Stolz had evidence that he had actually paid the record companies the damages they are owed.

In the meantime, a sale looks increasingly likely. Bernal earlier cleared Patrick to accept the offer for the four FMs so unless Stolz makes good on his offer to pay up, the stations are destined for new owners.

Stolz’s Royce International Broadcasting owns one other station that is not affected by the receivership: “790 Talk Now” KBET Las Vegas.

 

[Delete My Account]

The "all cash" offer suggests it's EMF, in my opinion.

 

[Michael Rivers Kramer]

Stolz has been a pox on radio for 20 plus years and nothing ends well for him. Why does he keep trying?

To anyone who worked in Sacramento radio, he's been a pox for about 40 plus years.

 

[davideduardo]

The "all cash" offer suggests it's EMF, in my opinion.

Nearly all station sales are "all cash". Very, very few sellers today self-finance the buyer. The buyer has the money, either on their own or via a loan, and pays for the station. The last thing any seller today wants is to depend on the new owner running the station well enough to pay for it.

 

[Delete My Account]

Understood, but who has plenty of cash for those sized markets and needs coverage there? If I'm gambling (which I don't..) EMF is a likely buyer.