MBUS Final

Spotify performance royalty (Streaming mechanical) money flow

% of total payout to rights holders minus payment to PROs > Publisher > Songwriter

If there is no copyright registration, then...

-Cannot collect compulsory license mechanical royalties -Cannot file an infringement suit until registered -Lost presumption of validity if registration is not done within 5 years of creation -No recovery of attorney's fees -No collection for damages

What happens if you win an infringement lawsuit?

-Fair Market Value/Infringer's profits -Injunction -Statutory damages -Destruction or seizure -Court costs -If willful, violator may be subject to criminal charges

The statutory rate increases ??? cents per ???? after the song exceeds ??? minutes

1.8, minute, 5

Spotify pays ?% of gross revenues

70%

Current statutory rate

9.1 cents per song

Mechanical royalty rate (US)

9.1 cents per song

Copyright duration for anonymous works

95 years from publication, 120 years from creation

Parties to whom MUST a copyright holder issue a license once certain conditions are met

Cable TV rebroadcast, PBS, jukeboxes, digital performance, phonorecords

You can/cannot get a compulsory license for a sample because...

Cannot, it is a fundamental change

Blurred Lines case

Changed definition of musical copyright infringement (can now charge for having the same group/vibes)

Bright Tunes vs. Harrison

Claimed that Harrison infringed with his song for having the same lyrics/melody

Which publishing deal does the publisher and writer share the publishing share?

Co-publishing

Publisher role: Administration

Collect mechanical royalties, register copyright, issue license, collect money, pay writers and co-publishers

What makes a piece of music a work for hire

Commissioned, created under a written agreement, created for use in a motion picture, or other audio-visual; collective work; compilation; translation of a foreign work; supplementary work

Sync license is wording used for composition/recording

Composition

The loophole for pirated records was..

Compulsory license

Who receives the statutory rate?

Copyright holder (publisher/writer)

From whom must one obtain a license to use a sample?

Copyright holder of composition, owner of master recording

In mechanical royalties, monies are paid to who for what?

Copyright holders, manufacture/distribution of recordings

What can you copyright?

A creative work that is original and of sufficient materiality

Which publishing deal has expenses like copyright registration, demos, and lead sheets?

Administration

Joint composition if one person writes the melody and another writes the lyrics

All co-writers earn a percentage of entire work, rather than just their composition

Major PRO's: ASCAP

American Society of Composers Authors and Publishers

Who controls a joint composition?

Any co-writer may license use as long as all co-writers get paid properly

Controlled composition

Any song in which the recording artist has a writing interest

Sync licensing

Anything with moving picture

What is a re-play?

Artist copies a melodic idea from another songwriter and plays it as their own

A sound recording royalty (streaming) is equivalent to...

Artist royalty from the sale of a download/physical copy

What is a phonorecord?

Audio-only recording

Publisher role: Creative

Deal with songwriters, provide creative input, match writers with co-writers

DPD

Digital phonorecord delivery

In a co-publishing deal, the writer does/does not get the writer's share

Does

In an administration deal, the publisher does/does not own copyright

Does not

A DPD is also known as a...

Download

When should you use a re-play?

For the composition, not for the recording

In movie theaters, public performance royalties are paid in foreign countries/US, but NOT foreign countries/US

Foreign countries, US

Foreign PRO for Germany

GEMA

Major PRO's: GMR

Global Music Rights

Gilbert O'Sullivan vs. Biz Markie

Intentional infringement (if jury decides it is willful) can lead to criminal charges

Purpose of Harry Fox and CMRRA

Issue mechanical licenses to users on behalf of publishers

Mechanical royalty money flow- Co-write with 2 publishers

Label < Publisher 1/Publisher 2 < Writer 1/Writer 2

Mechanical royalty money flow- Harry Fox

Label > Harry Fox > Publisher > Writer

Mechanical royalty money flow

Label > Publisher > Writer

Spotify pays the ??? for ???, who then pays the ???

Label, master use, artist

Who does Sound Exchange pay and how much?

Labels (50%), artists (45%), American Federation of Musicians (5%)

What is the (current) duration of a copyright?

Life + 70 years

Definition of copyright

Limited duration monopoly

Compulsory mechanicals are paid on all copies made/sold

Made

In a sound recording royalty (streaming), the streaming service pays who?

Master recording owner (label)

A streaming mechanical is equivalent to...

Mechanical royalties paid to publishers (and then writers) from the sales of recording of a song

How do publishers make money?

Mechanical royalties, performance royalties, streaming mechanicals, sync licensing, sheet music

Statutory rate

Monies paid using a song on a phonorecord for sale or distribution

How often does Sound Exchange pay? (As of January 2014)

Monthly

There was no copyright protection for sound recordings until which act during what year?

Music Modernization Act of 1972

Do PRO's pay through Harry Fox?

No

5 Conditions for Compulsory License

Non-dramatic work, previously recorded, previous phonorecord release and distribution, no fundamental changes, phonorecord only

Spotify pays the ??? a ??? royalty, who then pays the ???

PRO, performance, publisher/writer

Foreign PRO for UK

PRS

What is a mechanical royalty?

Payments for devices serving to mechanically reproduce sound

Controlled composition clause sets a caps on...

Payouts of mechanical royalties from label to writer/artist

How is Sound Exchange different form other PROs?

Pays for use of master recordings, not compositions

In a sound recording royalty (streaming), the ??? an artist is paid varies according to...

Percentage, record deal

Types of streaming royalties

Performance royalties, sound recording royalties, streaming mechanical

What are the two types of copyright?

Performing arts (C), Sound Recording (P)

What does a sound recording copyright attack?

Pirated records

Purpose of copyright

Promote progress of "the useful arts" by giving creators exclusive right to their work for a finite period of time

Publisher role: Song plugger

Promote song to labels (relationships on both sides)

Performance royalties

Public performance of a songwriter's composition

In an administration deal, who gets the higher rate and what is it for?

Publisher, cover songs obtained by publishers

Spotify pays the ??? a ??? ??? royalty, who then pays the ???

Publisher, streaming mechanical, writer

Who handles admin in a co-publishing deal?

Publishing

Performance royalty (streaming) is the same as...

Radio airplay

What generates a performance royalty?

Radio airplay, TV broadcast, live performance, recording played in a public place (restaurants, stores, amusement park), streaming

What is considered a public performance

Radio, TV, concert, streaming, Muzak, commercial spaces (restaurants, stores)

Who pays the statutory rate?

Record label or artist

Master license is wording used for composition/recording

Recording

5 Rights of a copyright holder

Reproduce, distribute, perform publicly, derivative works, display publicly

In a sound recording royalty (streaming), the label pays ??? to....

Royalty rate, artist

Foreign PRO for France

SACEM

What generate mechanical royalties?

Sales of a recording of a song (vinyl, cassette, CD, download), sale of a karaoke machine, player piano roll

Mechanical royalties

Sales of a recording of a songwriter's composition

Major PRO's: SESAC

Society of European Stage Authors and Consumers

Spotify performance royalty (Sound recording license) money flow

Sound recording royalty > Label (or master recording owner) > Artist

Streaming mechanicals

Streaming in addition to performance royalties

Streaming mechanical

Streaming service pays publisher(s), publisher pays writer(s)

Monies generated by sync licensing

Sync fee for composition AND master, potential performance royalties from broadcast/theater uses, potential mechanical royalties for copies sold

Which publishing deal does the publisher control usage?

Traditional

Which publishing deal does the publisher split proceeds from income on a 50/50 basis?

Traditional

Which publishing deal does the songwriter assign copyright to the publisher in exchange for an advance vs. future royalties?

Traditional

Which publishing deal has expenses like demos, collection costs, and lead sheets

Traditional

Performance royalty flow

User pays blanket license fee > PRO pays royalties < publisher/writer

Money flow for sync license

User pays fee < label/publisher < artist/writer

When is something copyrighted?

When fixed in a tangible form

Copyright duration for anonymous works are also the same for...

Work for hire

Does compulsory license apply to DPD?

Yes

Spotify performance royalty money flow

Blanket license fee > PRO < Publisher/Writer

Do you have to register songs individually or in a collection?

Both

Major PRO's: BMI

Broadcast Music, Inc.

How can you register copyright?

By mail, electronically, online, or by US Copyright Office