Eligible DSPs began operating under the blanket license administered by The MLC as early as January 1, 2021. Those DSPs electing to operate under the blanket license are required to send mechanical royalty payments and usage reports for their services on a monthly basis. DSPs have the option of sending their payments and usage reports within 15 days after the end of a month if they would like The MLC to send them an invoice showing the amount in royalties owed. Alternatively, DSPs that choose not to receive an invoice must calculate the royalties owed themselves and submit both their payment and usage report to The MLC by the 45th day after the end of the usage period.
The MLC also distributes royalties to Members on a monthly basis, approximately 75 days after the end of each monthly period. For example, for those DSPs that send The MLC usage reports and payments for January, The MLC will send royalty statements and payments to Members in mid to late April.
Here are some key dates of The MLC’s distribution cycle. The example below shows these key dates for the distribution cycle that would cover the activity reported to The MLC by DSPs for the January reporting period.