and sought a reduction in both blanket and per program fees which
had been negotiated on an industry-wide basis. ASCAP has
consistently rejected that approach
stations themselves are commercial enterprises, it is unfair to permit them to exclude from their fee calculation revenue obtained from any source when other commercial stations must pay fees computed on the basis of all of their revenues. Moreover,
it would be inequitable to single out copyright owners among all other suppliers of goods and services to commercial radio stations for such treatment.
Just as important from ASCAP's point of view has been this obvious proposition: because the Amended Final Judgment in United States v. ASCAP requires that ASCAP avoid discrimination in the license fees and other terms and conditions of its licenses among similarly situated licensees, it is imperative that all commercial radio broadcasters be offered the same forms of blanket and per program licenses. In 1978, 1986 and 1991, ASCAP and committees of radio broadcasters purporting to represent the entire industry reached agreement on uniform blanket and per program licenses for all commercial radio stations. These forms of agreement were submitted to the United States District Court for the Southern District of New York in separate proceedings under the Amended Final Judgment with the result that the fee provisions were approved as reasonable and nondiscriminatory for the applicant stations. The court-approved licenses were accepted by many thousands of radio broadcasters,
including many employing religious program formats.2
ASCAP and the All-Industry Radio Music License
Committee (now known as the Radio Music License Committee) most recently negotiated new blanket and per program license terms in 1991. While those negotiations were being carried out, the religious broadcasters commenced a second proceeding under the Amended Final Judgment. Both of their proceedings have since
been consolidated and remain pending.
Over the past three years, counsel for the religious broadcasters have engaged in large-scale discovery, a costly and time-consuming process for ASCAP. Over 10,000 documents have
been produced and the applicants' counsel has now begun taking depositions of ASCAP employees. The litigation process being what it is, it is too early to anticipate when these proceedings will end. The Court will hear their arguments and ours, and decide the matter.
Thus, it is up to ASCAP to persuade the Court that the This is, after all, what
fees it is proposing are reasonable.
users are entitled to, as required by the Amended Final Judgment that music in the ASCAP repertory should be available for use by all music users upon payment of reasonable license fees, and
2 Indeed, some of the stations that signed the forms of blanket and per program licenses approved by the Court in 1986 were also participants in the proceeding commenced by the religious broadcasters in the wake of the Alton Rainbow settlement. As a result, the Court ordered dismissal of these stations' applications from the religious broadcasters' proceeding. The Court noted that "ASCAP did not seek to impose unprecedented fees but merely sought to assess the same charges approved by this Court in the [All-Industry Committee's] proceedings."
ascap
American Society of Composers Authors
QUESTIONS AND ANSWERS ABOUT THE AMERICAN SOCIETY OF COMPOSERS, AUTHORS AND PUBLISHERS (ASCAP) LICENSE AGREEMENT FOR CONVENTIONS, EXPOSITIONS, INDUSTRIAL. SHOWS, MEETINGS AND TRADE SHOWS
American Society of Composers, Authors and Publishers One Lincoln Plaza, New York, NY 10023
Area Code (212) 621-6400
Fax: (212) 873-3133
Toll Free: 1-800-627-9805
1 Why must we obtain permission for the public performance of copyrighted music at our conventions. expositions. Industrial shows, meetings. trade shows and other similar events?
2 Why are the musicians, entertainers or exhibitors at our events not responsible for obtaining permission?
3. What is ASCAP?
4 Who does ASCAP license?
5. What kind of music does an ASCAP license allow us to perform at our events?
6 Why is my organization being contactec, ASCAP now?
7. What does the ASCAP license do for us? 8. What is the cost of the ASCAP license? 9. How do we calculate the fee due ASCAP? 10. How do we calculate the fee for mechanical music?
11 How do we calculate the fee for live music? 12. How do we calculate the fee for live performances in the main meeting room or on any exhibition floor?
13. How do we calculate the fee for live performances at other functions?
14 Can you give specific examples of fee calculations?
15 Is there a maximum license fee per event? 16. Is there a minimum license fee per event? 17. What will ASCAP's license fees be in the future? 18 How do we report to and pay ASCAP if we pre- sent four or fewer events per year?
19. How do we report to and pay ASCAP if we pre- sent five or more events per year?
20. Are we liable for performances of music in the ASCAP repertory at events held prior to January 1. 1991?
21 What if we paid license lees under the ASCAP EXPOSITIONS or CONVENTIONS, INDUSTRIAL SHOWS AND TRADE SHOWS license agree- ments for events which occurred in 1989 or 19 22. Must we sign the form of ASCAP license agre ment you are recommending?
23. What happens if we don't take an ASCAP licen 24 How do we obtain an ASCAP license? 25 What if we have any lurther questions?
1. Q. Why must we obtain permission for the public performance of copyrighted music at our conventions, expositions, industrial shows, meetings, trade shows and other similar events?
A. The United States Copyright Law requires it. Generally, under the Copyright Law. Title 17 of the United States Code, the public performance of copy. righted music requires permission from the copyright owner or its licensing agent, such as ASCAP. Just as you pay for use of other forms of property, you must pay for the use of musical property.
a. Why are the musicians, entertainers or exhibi- tors at our events not responsible for obtaining permission?
A. Some people mistakenly assume that musicians and entertainers must obtain all licenses needed for their performances, or that they can shift liability for un- authorized performances to exhibitors. This is not the law. The organization primarily responsible for the event itself is obligated to obtain permission to publicly perform copyrighted music at conventions and similar events. 3 Q. What is ASCAP?
A. ASCAP is the oldest and foremost organization in the United States which licenses the right to perform publicly copyrighted musical compositions. Founded in 1914 by Victor Herbert, Irving Berlin, and other lead- ing American composers and publishers, ASCAP is an unincorporated membership association of writers and publishers of music. It is the only American performing nghts organization wholly owned and managed by and for writers and publishers of music.
Each of ASCAP's more than 45,000 members has granted to ASCAP a nonexclusive right to license the non-dramatic public performaces of their copyrighted musical compositions. On behalf of all of its members. ASCAP licenses the right to perform publicly all of the copyrighted musical works in the ASCAP repertory. ASCAP collects license lees, and distributes those fees to its members after deducting its operating costs and payments to affiliated foreign societies-more than 80 Cefits of each dollar ASCAP collects goes to writers and ysic publishers. Indeed, license fees for public per- mances are the largest single source of income for most composers and songwars.
4. Q. Who does ASCAP license?
A. ASCAP licenses tens of thousands of music users such as radio and television networks and sta- tions, restaurants, nightclubs, hotels, shopping malls. tairs, dance schools, concert promoters and others who desire to perform lawfully the copyrighted musical com- positions in the ASCAP repertory.
While any music user could obtain individual licenses from each ASCAP member whose works are performed. one ASCAP license enables you to perform all works of all ASCAP members (and members of affiliated for- eign societies) without complex record-keeping. The ASCAP blanket license provides an easy, economical means by which you may gain access to the vast ASCAP repertory.
5. Q. What kind of music does an ASCAP license allow us to perform at our events?
A. ASCAP's repertory contains music of every form and style: big band music, rock, pop, country, Broad- way, film and television, gospel, jazz, Latin, soul, sym- phony and concert music. The ASCAP membership list reads like a Who's Who of American music, including Irving Berlin, Johnny Cash, Neil Diamond, Bob Dylan, Duke Ellington, George and Ira Gershwin, Madonna, Henry Mancini, Smokey Robinson, Richard Rodgers, Kenny Rogers, Bruce Springsteen, Randy Travis, and Stevie Wonder, among many others. An ASCAP license also covers the works of tens of thousands of foreign writers and publishers, members of over 40 affiliated foreign performing rights societies.
If you wish to obtain a membership list from ASCAP or to know if particular compositions are in the ASCAP repertory, you need only write and ASCAP will respond promptly.
6. Q. Why is my organization being contacted by ASCAP now?
A. In 1989 and 1990, ASCAP met with representa- tives of various industry associations and groups in an effort to formulate an appropriate industry-wide license agreement for conventions, expositions, industrial shows, meetings, rade shows and similar events. The ASCAP license agreement being offered to you today results from months of negotiations and has been en- dorsed and is recommended by the leading associa- tions in your industry, including ASAE, MPI, PCMA and RCMA as being fair and reasonable
7. Q. What does the ASCAP license do for us?
A. The ASCAP license authorizes the non-dramatic public performance of music in the ASCAP repertory at functions presented in conjunction with events such as conferences, congresses, conventions, expositions, Industrial shows, institutes, meetings, seminars, telecon- ferences, trade shows or other similar scheduled ac tivities of not more than fourteen days duration.
The ASCAP license authorizes live performances as well as mechanical performances (such as by records, tapes, compact discs, radio over loudspeakers, or by audio-visual means such as television, video-cassettes or laser discs). Thus, for example, your ASCAP license authorizes the performance of live music on the con- vention or exhibition floor, the performance of record- ed music as part of the soundtrack of a videotape shown by one of your exhibitors or by a speaker at a meeting, the performance of music as part of a telecon- ference, as well as the performance of recorded music by a disc jockey at a dinner dance, and live music by a band at an opening, closing or awards ceremony. 8. Q. What is the cost of the ASCAP license?
A. A license fee will be due for each convention, exposition, industrial show, meeting or trade show you present. The fee under your ASCAP license will vary depending upon the number of people who attend each event and whether mechanical music, live music, or both mechanical and live music are performed.
9. Q. How do we calculate the fee due ASCAP?
A. In order to calculate the total fee due for each event, first determine the fee for mechanical music, then the fee for live music, and add them together.
10. Q. How do we calculate the fee for mechanical music?
A. If mechanical music is performed at any time during your event, the lee is 42€ per "attendee." The term "attendee" means all persons who have registered or paid to attend the event, but excludes those persons required to produce the event, service contract person- nel, temporary personnel, accredited members of the media, and one-half of the number of persons serving as exhibitor personnel.
13. Q. How do we calculate the fee for live perto. mances at other functions?
A. If live music is performed at functions occurring elsewhere than in the main meeting room or on an exhi bition floor, the fee shall be as shown in the table set forth above, provided that the number of attendees for these functions shall be the total number of persons for whom the rooms or areas in which such functions occur are set up, or, if the rooms or areas are not set up for specific numbers of persons, the fire capacity of such
14. Q. Can you give specific examples of tee calculations?
A. In the following examples, we assume that 1.500 persons paid or registered to attend the event and that there were also 300 exhibitor personnel present Be cause one hall the number of exhibitor personnel are counted as "attendees." the total number of "attendees" in these examples is 1.650
Example/ Mechanical music is performed each day of the event by exhibitors on the trade show floor. during a seminar in a meeting room, and at an awards banquet, no live music is performed at the event. The
15. Q. Is there a maximum license fee per event?
A. Yes The maximum fee payable under the ASCAP license is $4,000 per event.
16 Q. Is there a minimum license fee per event?
A. Yes The minimum fee payable under the ASCAP license is $50 per event. However, if nether live music nor mechanical music is performed at an event. then no lee shall be payable under the ASCAP license for that particular event.
17. Q. What will ASCAP's license less be in the future?
A. The license lees discussed in this pamphlet are applicable for each event presented during calendar years 1991 and 1992 Aller 1992. all license lees under the ASCAP license agreement are subject to adjustment in accordance with changes in the Consumer Price
18 Q. How we report to and pay ASCAP # we present only four or lower events per year?
A. If you present lour or lewer events per year, you must complete and return a report form to ASCAP no later than thirty days after the presentation of each such event together with payment of the applicable license lee ASCAP will provide you with report forms free of charge
19. Q. How do we report to and pay ASCAP we present live or more events per year?
A. Il you present live or more events per year, you must complete and return'report forms to ASCAP quer larly (by January 31. April 30. July 31 and October 31). specifying each event presented dunng the preceding calendar quarter At that time you must also pay the applicable license fee for all events presented during the preceding calendar quarter
20 Q. Are we liable for performances of music in the ASCAP repertory at events held prior to January 1, 1991?
A. Yes However, for those who enter into the new ASCAP license agreement on or balore February 1, 1991, ASCAP on behall of its members, has agreed not to press rams for the unauthonzed public performance of ASCAP's members' music occurning at conventions expositions, indusinal shows, meetings and trade shows pnor to January 1, 1991.
21. Q. What we paid license fees under the ASCAP EXPOSITIONS or CONVENTIONS, INDUSTRIAL SHOWS AND TRADE SHOWS license agreements for events which occurred in 1989 or 19907
A. Provided that you enter into the new ASCAP license agreement on or before February 1, 1991. ASCAP has agreed to apply all such license lees as a credit toward lees you may owe under the new ASCAPI P license agreement in 1991.
22. Q. Must we sign the form of ASCAP license agreement you are recommending?
A. To perform copynghted musc lawully, a license is required. A license may be obtained directly from the copyright owners of the works, or for works in the ASCAP repertory, from ASCAP I you are performing music in the ASCAP repertory and you believe that the agreement ASCAP offers does not fit your needs be cause your performances of music are very different from other conventions, expostions, industrial shows, meetings and trade shows, you have the night to apply to the United States District Court for the Southern Dis inct of New York to determine a reasonable license tes
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