It never ends.
Originally posted on Gigaom:
The National Music Publishers Association (NMPA) filed a lawsuit against popular YouTube (s GOOG) network Fullscreen on Tuesday, alleging that Fullscreen uses music for its videos without proper licensing agreements. The NMPA also said that it has reached an agreement with Fullscreen competitor Maker Studios to settle a similar dispute.
Fullscreen is one of a number of so-called multi-channel networks on YouTube, meaning that it combines a number of YouTube channels under a corporate umbrella to better market and monetize their videos. The company’s YouTube properties attract more than 2.5 billion monthly views. Fullscreen raised a reported $30 million Series A from the Chernin Group, Comcast Ventures and others in June.
The NMPA’s accusations against Fullscreen and other multi-channel networks aren’t new, and come down to one key issue: YouTube has struck a direct deal with the organization to compensate songwriters and publishers for the use of their music in amateur and viral videos. However, videos that are monetized by their publishers through YouTube’s partner program aren’t covered by this agreement. NMPA board member Matt Pincus put it this way in an op-ed he wrote for Billboard earlier this year: