U.S., EU to discuss compensation in music dispute

BRUSSELS, (Reuters) - The United States will discuss with the European Union (news - web sites) how to compensate the European music industry for losses i t has suffered due to a U.S. copyright law, the European Union said Wednesday. World Trade Organization (news - web sites) experts ruled last year that the U.S. Copyright Act broke a global intellectual property agreement by exempting most bars, restaurants and shops from paying royalties to performers if they play music on radio or television. The EU and the United States have agreed to look for ways to compensate European performers and composers for the economic losses they suffer until the U.S. Copyright Act is amended, the EU said. Independent arbitrators will determine the exact amount of the compensation, it said. Welcoming the accord, EU Trade Commissioner Pascal Lamy said: ``This agre ement is in line with our determination to manage trade disputes in a professional and efficient manner. Instead of adopting a confrontational approach, we have started a constructive dialogue with a view to compensating European musicians until such time as the U.S. Copyright Act is amended.'' The case was sparked by the Irish Music Rights Organization, which complained about the U.S. law under which bars, shops and restaurants under a certain size may play radio and television music without paying any royalty fees to collecting societies. Reuters/Variety REUTERS