Do Supermarkets Have to Pay Royalties for Playing Music?
Supermarkets and other businesses that play music in public spaces often need to pay royalties. This is because music broadcasted in these venues is protected by copyright laws. Companies typically require a license to publicly play music, and obtaining this license involves working with performing rights organizations (PROs).
License Requirements and Organizations
In the United States, PROs such as ASCAP, BMI, and SESAC collect royalties on behalf of songwriters and music publishers. In the United Kingdom, PROs like PRS for Music fulfill the same role. Businesses can obtain these licenses through the respective PROs to legally play recorded music, live performances, or background music.
When obtaining a license, factors such as the size of the business, the amount of music played, and the type of establishment can affect the fees. By paying these royalties, supermarkets can ensure they legally play music without infringing on copyright laws.
Common Licensing Practices
Supermarkets usually manage their music licensing internally or through a service provider. Many stores use a service that handles licensing, such as Mood Media, which includes the former Muzak company. These services may sometimes commission royalty-free music or make their own cover versions, reducing their costs. Even if a business uses a boom box to play a CD in a loop, they are required to obtain a license from a music licensing company like ASCAP, BMI, or CAPAC.
Businesses like supermarkets may occasionally not obtain licenses, as evidenced by the occasional unauthorized playing of bootleg or unofficial versions of songs in shopping malls or other public spaces. These instances often involve songs from other countries, making it easier to avoid detection.
Rules and Exceptions
Even if a business does not obtain a license, they can still play music internally. However, doing so without a license is not recommended, as it can lead to legal issues. The rules around music playback are clear: proper licensing is mandatory to avoid potential copyright infringement.
Some businesses may opt to lease pre-licensed music or use edited compilations with a license from ASCAP or BMI. This ensures that all music played is legally covered, reducing the risk of legal troubles.
Performers can also get their own licenses from organizations like ASCAP. By doing so, they can manage their music licensing needs independently, even if they play in venues without a license.
Conclusion
Supermarkets and other commercial enterprises must ensure they pay music licensing fees for the music they play in their places of business. Correctly obtaining and managing these licenses is crucial to avoid legal issues and ensure compliance with copyright laws. Always follow the guidelines set by performing rights organizations to stay on the right side of the law.