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Q & A

Each month, MusicBizAdvice.com answers your questions about the music industry.

Music licensing for cover songs: Who pays the license fees to play covers for live club performances?

Q. HELP. I'm so confused....I have a two guys, two guitars music project in the works. We want to do mostly or all originals, but I have been confounded by the legal ramifications of playing someone else's copyrighted songs LIVE in a club...I really can't afford to be sued. I have been to 13 billion web sites that only reference RECORDING cover tunes... I just want to know if it's legal to play covers LIVE.

Thanks for your time..
E.N.
Millsboro, DE.

A. Yes, it's legal to play cover songs live, provided the promoter or club owner pays the music license fee for each song. In the live music industry the law states that the house pays the BMI, ASCAP, or SESAC song licensing fees for live performances, not the artist. In the case of a club that hires its own bands and promotes its own shows, the club is the "house" and pays the BMI/ASCAP/SESAC music licensing fees--usually in the form of a blanket license that's paid periodically and covers all the music that's played live in the club. ASCAP puts it best: "Since it is the business owner who obtains the ultimate benefit from the performance, it is the business owner who obtains the license."

In the case of large venues such as arenas and stadiums, the "house" is usually the promoter of the show, because for business purposes the venue is simply a shell which is rented to the business owner (promoter), who actually obtains the ultimate benefit from the live performance. Therefore, for a concert at a large venue, it's customary for the promoter to pay the music license fees associated with that performance.

Always give two copies of that night's set list to the promoter for their music license record keeping. (It's helpful to promoters and club owners who operate within the law, and the response you get is often a good way to find out which clubs don't.) The set list for music licensing record keeping should contain the song title, artist, composers, and, to be the most effective, should contain the publisher and whether each song is ASCAP, BMI, or SESAC. (This info is easily obtainable by Google-ing each song title.) The "house" will remember your effort, and it's good karma...Wouldn't you want someone to take time to properly log your music so you get paid?

Here's an example of a good set list for music license record keeping:

Cover/Original  Title  Artist/Composers Publishing Co. Perf. Rights Org.

C   "Live Song" The Live Band/ I.M Live   Live Music, Inc.   ASCAP


By the way, it works the same way for DJs and other entertainers who use recorded music for their performances: the house always pays the music licensing fees. So technically speaking, a trip your favorite strip club helps support the music industry. Enjoy, guys!

Randi Reed
Editor-in-Chief
MusicBizAdvice.com


Q&A Home

Got a question about the music business? Email your questions with "Q&A" in the subject line. Include your name or initials, city and state, and the name of your band, if applicable. Questions of a general nature will be answered as space allows. (Be sure your spam filter is set to accept email with hyperlinks from talktombadc@aol.com or muzbizadvc@aol.com so we can let you know  your question is answered and can  direct you to additional information if necessary.)

Answers in the MBADC Q&A are to be taken as general advice only and are not intended as a substitute for legal advice from a competent entertainment or intellectual property rights attorney.

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