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deposit with the Register of Copyrights a royalty fee for the current calendar year of $9 for that particular phonorecord player. If such performances are made available on a particular phonorecord player for the first time after July 1 of any year, the royalty fee to be deposited for the remainder of that year shall be $4.50.

(B) Within twenty days of receipt of an application and a royalty fee pursuant to subclause (A), the Register of Copyrights shall issue to the applicant a certificate for the phonorecord player.

(C) On or before March 1 of the year in which the certificate prescribed by subclause (B) of this clause is issued, or within ten days after the date of issue of the certificate, the operator shall affix to the particular phonorecord player, in a position where it can be readily examined by the public, the certificate, issued by the Register of Copyrights under subclause (B), of the latest application made by him under subclause (A) of this clause with respect to that phonorecord

player.
(2) Failure to file the application, to affix the certificate or to
pay the royalty required by clause (1) of this subsection renders
the public performance actionable as an act of infringement under
section 501 and fully subject to the remedies provided by section

502 through 506.
(c) DISTRIBUTION OF ROYALTIES. —

(1) During the month of January in each year, every person claiming to be entitled to compulsory license fees under this section for performances during the preceding twelve-month period shall file a claim with the Register of Copyrights, in accordance with requirements that the Register shall prescribe by regulation. Such claim shall include an agreement to accept as final, except as provided in section 809 of this title, the determination of the Copyright Royalty Tribunal in any controversy concerning the distribution of royalty fees deposited under subclause (a) of subsection (b)(1) of this section to which the claimant is a party. Notwithstanding any provisions of the antitrust laws (the Act of October 15, 1914, 38 Stat. 730, and any amendments of any such laws), for purposes of this subsection any claimants may agree among themselves as to the proportionate division of compulsory licensing fees among them, may lump their claims together and

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file them jointly or as a single claim, or may designate a common agent to receive payment on their behalf.

(2) After the first day of October of each year, the Register of Copyrights shall determine whether there exists a controversy concerning the distribution of royalty fees deposited under subclause (A) of subsection (b)(1). If he determines that no such controversy exists, he shall, after deducting his reasonable administrative costs under this section, distribute such fees to the copyright owners and performers entitled, or to their designated agents. If he finds that such a controversy exists he shall certify to that fact and proceed to constitute a panel of the Copyright Royalty Tribunal in accordance with section 803. In such cases the reasonable administrative costs of the Register under this section shall be deducted prior to distribution of the royalty fee by the tribunal. (3) The fees to be distributed shall be divided as follows:

(A) One ninth of the fees to be distributed shall be allocated to copyright owners and performers of sound recordings, and the remainder to owners of copyright in nondramatic musical works;

(B) The fees allocated to copyright owners and performers of sound recordings shall be divided equally between them, as provided by section 114(f);

(C) The fees allocated to owners of copyright in nondramatic musical works shall be distributed as follows:

(i) Every copyright owner not affiliated with a performing rights society shall receive the pro rata share of the fees to be distạibuted to which such copyright owner proves his entitlement; and

(ii) The performing rights societies shall receive the remainder of the fees to be distributed in such pro rata shares as they shall by agreement stipulate among themselves, or, if they fail to agree, the pro rata share to which such performing rights societies prove their

entitlement. (D) During the pendency of any proceeding under this section, the Register of Copyrights or the Copyright Royalty Tribunal shall withhold from distribution an amount sufficient to satisfy all claims with respect to which a controversy

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exists, but shall have discretion to proceed to distribute any

amounts that are not in controversy.' (4) The Register of Copyrights shall promulgate regulations under which persons who can reasonably be expected to have claims may, during the year in which performances take place, without expense to or harassment of operators or proprietors of establishments in which phonorecord players are located, have such access to such establishments and to the phonorecord players located therein and such opportunity to obtain information with respect thereto as may be reasonably necessary to determine, by sampling procedures or otherwise, the proportion of contribution of the musical works of each such person to the earnings of the phonorecord players for which fees shall have been deposited. Any person who alleges that he has been denied the access permitted under the regulations prescribed by the Register of Copyrights may bring an action in the United States District Court for the District of Columbia for the cancellation of the compulsory license of the phonorecord player to which such access has been denied, and the court shall have the power to declare the

compulsory license thereof invalid from the date of issue thereof. (d) CRIMINAL PENALTIES.—Any person who knowlingly makes a false representation of a material fact in an application filed under clause (1)(A) of subsection (b), or who knowingly alters a certificate issued under clause (1) (B) of subsection (b) or knowingly affixes such a certificate to a phonorecord player other than the one it covers, shall be fined not more than $2,500.

(0) DEFINITIONS.—As used in this section, the following terms and their variant forms mean the following:

(1) A "coin-operated phonorecord player" is a machine or device that:

(A) is employed solely for the performance of nondramatic musical works by means of phonorecords upon being activated by insertion of a coin;

(B) is located in an establishment making no direct or indirect charge for admission;

(C) is accompanied by a list of the titles of all the musical works available for performance on it, which list is affixed to the phonorecord player or posted in the establishment in a prominent position where it can be readily examined by the public; and

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(D) affords a choice of works available for performance 2

and permits the choice to be made by the patrons of the 3

establishment in which it is located. 4 (2) An "operator” is any person who, alone or jointly with 5 others: 6

(A) owns a coin-operated phonorecord player; or 7

(B) has the power to make a coin-operated phonorecord 8

player available for placement in an establishment for pur9

poses of public performance; or 10

(C) has the power to exercise primary control over the 11

selection of the musical works made available for public 12

performance in a coin-operated phonorecord player. 13

(3) A "performing rights society” is an association or corpora14

tion that licenses the public performance of nondramatic musical 15

works on behalf of the copyright owners, such as the American 16 Society of Composers, Authors and Publishers, Broadcast Music, 17 Inc., and SESAC, Inc. 18 8 117. Scope of exclusive rights: Use in conjunction with com19

puters and similar information systems 20 Notwithstanding the provisions of sections 106 through 116, this 21 title does not afford to the owner of copyright in a work any greater 22 or lesser rights with respect to the use of the work in conjunction with 23

automatic systems capable of storing, processing, retrieving, or trans24 ferring information, or in conjunction with any similar device, ma25 chine, or process, than those afforded to works under the law, whether 26 title 17 or the common law or statutes of a State, in effect on Decem27 ber 31, 1974, as held applicable and construed by a court in an action 28 brought under this title. 29 Chapter 2.–COPYRIGHT OWNERSHIP AND TRANSFER

Sec.
201. Ownership of copyright.
202. Ownership of copyright as distinct from ownership of material object.
203. Termination of transfers and licenses granted by the author.
204. Execution of transfers of copyright ownership.

205. Recordation of transfers and other documents. 30 8 201. Ownership of copyright 31 (a) INITIAL OWNERSHIP.-Copyright in work protected under this 32 title vests initially in the author or authors of the work. The authors 33 of a joint work are co-owners of copyright in the work. 34 (b) WORKS MADE FOR HIRE.-In the case of a work made for hire, 35 the employer or other person for whom the work was prepared is 36 considered the author for purposes of this title, and, unless the parties

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1 have expressly agreed otherwise in a written instrument signed by 2 them, owns all of the rights comprised in the copyright.

(c) CONTRIBUTIONS TO COLLECTIVE WORK8.—Copyright in each sep4 arate contribution to a collective work is distinct from copyright in 5 the collective work as a whole, and vests initially in the author of the 6 contribution. In the absence of an express transfer of the copyright 7 or of any rights under it, the owner of copyright in the collective 8 work is presumed to have acquired only the privilege of reproducing 9 and distributing the contribution as part of that particular collective 10 work, any revision of that collective work, and any later collective 11 work in the same series. 12 (d) TRANSFER OF OWNERSHIP.13 (1) The ownership of a copyright may be transferred in whole 14 or in part by any means of conveyance or by operation of law, and 15 may be bequeathed by will or pass as personal property by the 16 applicable laws of intestate succession. 17

(2) Any of the exclusive rights comprised in a copyright, 18 including any subdivision of any of the rights specified by section 19

106, may be transferred as provided by clause (1) and owned sepa20

rately. The owner of any particular exclusive right is entitled, to 21 the extent of that right, to all of the protection and remedies 22 accorded to the copyright owner by this title. 23 § 202. Ownership of copyright as distinct from ownership of 24

material object 25 Ownership of a copyright, or of any of the exclusive rights under

a copyright, is distinct from ownership of any material object in 27 which the work is embodied. Transfer of ownership of any material 28 object, including the copy or phonorecord in which the work is first 29 fixed, does not of itself convey any rights in the copyrighted work 30 embodied in the object; nor, in the absence of an agreement, does 31 transfer of ownership of a copyright or of any exclusive rights under 32 a copyright convey property rights in any material object. 33 8 203. Termination of transfers and licenses granted by the author 34 (a) CONDITIONS FOR TERMINATION.-In the case of any work other 35 than a work made for hire, the exclusive or nonexclusive grant of a 36 transfer or license of copyright or of any right under a copyright, 37 executed by the author on or after January 1, 1975, otherwise than 38 by will, is subject to termination under the following conditions: 39 (1) In the case of a grant executed by one author, termination 40 of the grant may be effected by that author or, if he is dead, by

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