Is payola legal in the US?
Concerns about contemporary forms of payola in the US prompted an investigation during which the FCC established firmly that the "loophole" was still a violation of the law. In 2007, four companies (CBS Radio, Citadel, Clear Channel, and Entercom) settled on paying $12.
Why was payola illegal in the 1950s?
Early attempts to stop payola were met with silence by publishers. Prosecution for payola in the 1950s was in part a reaction of the traditional music establishment against newcomers. The emergence of hit radio had become a threat to the wages of song-pluggers and publisher's revenue streams.
What is payola and why is it bad?
Payola is no longer the local DJ receiving a couple dollars for airplay; it is now an organized corporate crime that supports the lack of balanced content and demeaning imagery with no consequences.
How did labels deal with the payola scandal?
Labels could circumvent payola allegations by utilizing independent third parties (see below). In 1976, inner-city urban soul DJ Frankie Crocker was indicted in a payola scandal, causing him to leave New York radio, where his influence was greatest. The charges were later dropped and he returned to New York, hosting MTV 's video jukebox.
Why did payola become illegal?
Payola is banned in radio because the airwaves are publicly licensed, which makes them subject to government regulation in a way supermarket shelves are not. After the 1950s payola scandals, government decided that radio stations should be as independent as possible from their suppliers (the music industry).
What is an example of payola?
If you bribe your local disc jockey to feature your latest hip hop track on her morning show, it's payola. Any media exposure that's secretly paid for is considered payola, although it's most common in the music industry.
What is payola and why is it problematic?
Payola is the word used to describe the act of a record label or other interested party paying a radio station to play a certain artist (either in cash or in goods). The practice has obvious implications: when money changes hands in exchange for radio play, certain artists get more exposure than others.
Is payola a crime?
Payola, in the music industry, is the illegal practice of paying a commercial radio station to play a song without the station disclosing the payment. Under US law, a radio station must disclose songs they were paid to play on the air as sponsored airtime.
What exactly does payola mean?
Definition of payola : undercover or indirect payment (as to a disc jockey) for a commercial favor (as for promoting a particular recording)
What celebrities use payola?
Cardi B, Nicki Minaj, and the Music Industry's Longstanding Penchant for Payola.
Is paying for radio play illegal?
Laws Prohibiting Payola Payola, also known as pay-for-play, is the illegal practice of paying commercial radio stations to broadcast particular recordings without disclosure to listeners of the pay-for-play, at the time of the broadcast.
When did payola become illegal?
Payola was officially outlawed in 1960 when Congress amended the Federal Communications Act to outlaw “under-the-table payments and require broadcasters to disclose if airplay for a song has been purchased.” Payola became a misdemeanor charge.
What is payola and Plugola?
Plugola exists when someone responsible for program selection promotes (or "plugs") on the air goods or services in which he or she has a financial interest. Plugola is similar to payola, except that it need not involve an outside party or payment of any kind. It can be accomplished by a single station employee.
What is the punishment for payola?
Failure to disclose such payment or the providing of services or other consideration, or promise to provide them, is commonly referred to as ``payola'' and is punishable by a fine of not more than $10,000 or imprisonment for not more than one year or both.
Is Spotify a payola?
Now, Spotify has devised a new way for musicians to access coveted and lucrative spots on its playlists. Artists can accept less money in royalties from the platform. Spotify calls it “Discovery Mode.” We call it reverse payola.
What is payola twitter?
Dictionary.com on Twitter: "Payola: A secret or private payment in return for the promotion of a product, service, etc., through the abuse of one's position, influence, or facilities.
What is Payola music?
Payola, also known as “pay to play” is the practice of either bribing or paying someone to play or listen to your songs. For example, you can pay curators to add your songs to their playlists or you can pay radio hosts to play your songs on their channel.
Is it illegal to pay for Spotify?
Even if it means paying people to showcase your songs. But what you might not know is that paying for this kind of service is actually illegal. This act is what is called payola.
Is Payola still used?
Unfortunately, payola is still a practice today. It has been around since the 1900s, and although it has been illegal since the 1960s, the practice is still widespread within the music industry, even among popular and famous artists. Of course, there are times that following the payola method can and has worked.
What is Payola hearing?
What exactly was Payola? During the hearings conducted by Congressman Oren Harris (D-Arkansas) and his powerful Subcommittee on Legislative Oversight—fresh off its inquiry into quiz-show rigging—the term was sometimes used as a blanket reference to a range of corrupt practices in the radio and recording industries.
When did the Payola scandal start?
The Payola scandal reaches a new level of public prominence and legal gravity on February 11, 1960 , when President Eisenhower called it an issue of public morality and the FCC proposed a new law making involvement in Payola a criminal act.

Overview
Payola, in the music industry, is the illegal practice of paying a commercial radio station to play a song without the station disclosing the payment. Under US law, a radio station must disclose songs they were paid to play on the air as sponsored airtime. The number of times the songs are played can influence the perceived popularity of a song, and payola may be used to influence these meters. The Federal Communications Commission (FCC) treats payola as a violation of th…
History
Prior to the 1930s, there was little public scrutiny of the reasoning behind a song's popularity. The advertising agencies which sponsored NBC's radio/TV show Your Hit Parade refused to reveal the specific methods that were used to determine top hits. Only general and vague statements were offered; that determining top hits was based on "readings of radio requests, sheet music sales, dance hall favorites and jukebox tabulations". Early attempts to stop payola were met with silenc…
Modus operandi
Payola is used by record labels to promote their artists, and can be in the form of monetary rewards or other types of reimbursement. This can include purchasing advertising, requiring bands to play station-sponsored concerts, or paying stations to hold "meet the band" contests. In exchange, the band gains a place on a station's playlist or a lesser-known band of the label may gain air time.
Criticism
On 25 September 2007, the U.S. Congress held a hearing on hip hop music entitled From Imus to Industry: The Business of Stereotypes and Degrading Images. In her testimony, Lisa Fager Bediako, co-founder and President of media watchdog group Industry Ears, argued that misogynistic and racist stereotypes permeate hip hop music because record labels, radio stations, and music video channels profit from allowing such material to air while censoring other materi…
Criticism of US laws
The FCC and the Communications Act of 1934 both have strict requirements and rules regarding payola. These demand that:
employees of broadcast stations, program producers, program suppliers and others who, in exchange for airing material, have accepted or agreed to receive payments, services or other valuable consideration must disclose this fact. Disclosure of compensation provides broadcast…
See also
• Frankie Crocker
• Tommy Smalls
• Radio promotion
• Telling Lies in America
• Cash for comment scandal
Further reading
• "Dick Clark survives the Payola Scandal". history.com.
• "Payola: Can Pay for Play be Practically Enforced" (PDF). testwww.stjohns.edu. Archived from the original (PDF) on 18 August 2010. Retrieved 4 March 2013.
• Manly, Lorne (31 July 2005). "NY Times, How Payola Went Corporate". nytimes.com.