SESAC COMMENCES RATE ARBITRATION PROCEEDING
The RMLC’s license with SESAC expired at the end of 2022. The industry is currently on an interim license with SESAC at the rate that was in place at the end of 2022 (0.2557% of net revenue). The RMLC and SESAC have been engaged in negotiations for a new, four-year agreement for the license period 2023-2026. After several months of back and forth, SESAC continues to seek a very substantial rate increase over the prior license rate – which increase RMLC believes to be unwarranted. RMLC having refused to agree to SESAC’s demand, SESAC commenced an arbitration proceeding on April 3, 2023, that is now in its very early stages.