Music Business Exam 1

List the type of works currently protected by copyright law

Literary

Musical

Dramatic

Pantomimes and Choreographic

Pictorial, Graphic, and Sculptural

Motion pictures and other audiovisual

Sound recordings

Architectural

What specific rights are protected by section 106 of the 1976 Copyright Act?

The right to reproduce the copyrighted material in copies or phono records

The right to create derivative works based on the copyrighted material

The right to distribute copies or phono records of the copyrighted material to the public via sale, transfer of ownership, rental, ease

The right to perform the copyrighted work publicly

In the case of sound recordings, the right to perform the work by means of a digital audio transmission

What are Mechanical Rights?

The right to reproduce and distribute a copyrighted musical composition to the public on audio phono records. These include CDs, tapes, vinyl, and even MP3s - always refers to the right to record and sell a song

What are Synchronization Rights?

The right to record a musical composition in synchronized relationship to the frames or pictures in an audiovisual production, such as a motion picture, television program, website, etc

What are Public Performance RIghts?

The right for the copyright owners of the songs (Not masters) to perform the copyrighted works publicly. These are then licensed to whoever wishes to perform the song either physically, or via broadcast - encompasses all performances

What is public domain?

The status of a work having no copyright protection, therefore belonging to the “public”

What is meant by “Fair Use”?

A complete defense to copyright infringement. It is applicable when a work is used for a variety of purposes including criticism, reporting, education, and more. Typically associated with parodies in music business.

What is a compulsory mechanical license?

The license granted to other artists that allows them to produce and distribute rerecordings of the copyrighted music in exchange for a fixed royalty payment. Doesn’t require the copyright owner’s permission, and is available after the public release of a composition - basically the permission to cover a song and get paid

How long does copyright last for works created after 1978?

A term that lasts the entirety of the author’s life, as well as 70 years after their death

What is copyright and how is in split in the music industy?

A form of protection of intellectual property - Split into the song (Including lyrics, composition, etc) as well as the recording of the song (Master)

What’s the difference between compulsory and negotiated mechanical licenses?

Compulsory licenses are required to be given in exchange for a fixed royalty rate, while a negotiated license is agreed upon and negotiated by both parties.

What are Master Rights, and what are they typically used for?

The rights of the actual recording of the song - the licenses are required whenever you want to use that specific recording for whatever reason - most commonly used in sampling

Who owns the performance rights of a song?

The writer and publisher usually split 50-50

Who owns the Mechanical rights of a song?

The writer and publisher

Who owns the Synchronization rights of a song?

The writer and publisher

Who owns the master rights of a song?

The label - they are not granted any performance royalties on radio play

What is Fixation?

The idea that copyright law first exists on the creation of a work in its final form, it can’t just be an idea, but has to viewable in a tangible medium for copyright to apply - requires registration with the US copyright office in order to take action on it

What is sampling and what do you need to go about implementing it?

The digital copying of portions of existing records for use in other recordings - Requires permission from publisher AND label - royalty agreements vary depending on the case

What are the penalties for violating Copyright?

Injunction - Prevents further infringement

Impoundment - The court seizes all suspect material

Destruction - As part of a final judgement materials may be ordered destroyed

Damages - real of statutory, they can be expensive

How does copyright apply to Derivative work and alterations?

Only new material of derivative work is copyrighted - If you receive a license to make a derivative work, you gain only the right to make a derivative work, and nothing else

What are PROs and what do they do?

Performance Rights Organizations are the organizations that actually handle the money side of performing rights - artist authorize them to handle the licenses of the songs - where in turn the PROs will administer licenses, track public performances, and exchange royalties between parties

What are examples of famous PRO’s

ASCAP, BMI, SESAC

What are the distribution models for digital law?

Downloads, Interactive Streaming, Webcasting

How does Downloading work?

Creates a permanent copy of a particular file - requires some sort of mechanical license - spreads the royalties pretty unevenly between the publisher+record label and the artist

How does interactive streaming work?

Streaming media that is directly controlled by the listener (Spotify) - Requires performance licenses - a license to copy the original file from the publisher - permission form the owner of the masters to stream them

How does webcasting work?

Internet radio - Requires public performance license - statutory license - usually requires a blanket license

What did the Digital Performance Right in Sound Recording act of 1995 enact?

Grants performance royalties to the owners of masters for all digital transmissions - requires master use for performances - without it, websites could offer downloads of full quality recordings of music for free

What is Digital Rights Management

The implantation of a watermark that would be placed on data to restrict user access - controls digital content flow after sale - implemented to prevent piracy

What are statutory licenses and who distributes them?

A government granted permission to use a master recording without the copyright owner’s permission, as long as the statutory rate is payed - regulated by a PRO called Sound Exchange

What is the Harry Fox Agency?

A mechanical licensing organization - copyright owners authorize them to handle the mechanical licensing of copyrighted material in exchange for a share of the profit - distribute mechanical licenses

What organization handles Synchronization rights?

Mostly publishers

What organization handles Master Rights?

Whoever owns the master rights, most often the label

What is Content ID?

Youtube’s automatic content identification system - allows copyright owners to pick what happens to videos that use their copyrighted content - either blocks, monetizes the video for them, or views the viewership statistics