10th July 2020, Kuala Lumpur – Music Authors’ Copyright Protection (MACP) Berhad (MACP), Public Performance Malaysia Sdn. Bhd. (PPM) and Recording Performers Malaysia Berhad (RPM) (“Licensing Bodies”) have today announced the dissolution of Music Rights Malaysia Berhad (MRM).

MRM was incorporated by the Licensing Bodies as a joint venture non-profit company to carry out collective music licensing effective 1 January 2017 after receiving the requisite declaration by the Intellectual Property Corporation of Malaysia (MyIPO). Unfortunately, MRM was unable to function effectively as a collective music licensing body due to the insurmountable challenges in getting a consensus between the Licensing Bodies on material operational matters resulting in MRM not being able to move forward. After long extended negotiations and deliberations, the Licensing Bodies came to the conclusion that it would be in the best interest of all rightsholders to dissolve MRM and for the Licensing Bodies to license music users independently as before. Music licensees can also expect a better level of service from the 3 Licensing Bodies with this new arrangement. As a result of this dissolution, MRM will be terminating its operations and returning its licensing mandate back to its constituent Licensing Bodies. This intention was conveyed to MyIPO and The Ministry of Domestic Trade and Consumer Affairs.

In this regard, music users are advised that all existing licensing contracts currently signed with MRM will be terminated, and the Licensing Bodies will resume as the new contractual parties, according to the mandate granted by their respective members. The targeted start date of this new licensing arrangement is 1 May 2020.

With the new licensing arrangement, each Licensing Body will set its own tariffs, and our friendly licensing officers and authorized agents will be going to the ground to reach out to our valued licensees and the public to further explain on this new licensing arrangement.

We will ensure that this new arrangement will be carried out smoothly in compliance with any law and regulation.

Once this arrangement is in place, MACP, PPM and RPM can resume their roles of independently collecting fair remuneration for the use of music on behalf of their respective rightsholders while at the same time better serving the needs of commercial music users.