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Royalty collection organisations

20th June 2008 5 Comments

“Can anyone tell us whether any of you have had experience of two organisations, Phonographic Performance Limited (“PPL”) and the Performing Rights Society Limited (“PRS”)?

PPL collect royalties for record companies and performers whose music tracks have been played in public. PRS is a completely separate entity, which collect royalties for composers and publishers for the musical and lyrical composition of a song.

How have you dealt with their requests to purchase licences for the playing of music in public, e.g. on radios or televisions?”

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  1. EX LISTED said

    20th June 2008 at 12:00 am

    We have had experience of PPL over the last few months. They have been difficult to deal with. They are quite aggressive in their tactics and not particularly helpful or informative. Before all questions had been answered they instucted Solicitors. We challenged the position and were offered a reduction in the invoice wihtout any response to questions or reasoning for the reduction. The exchange continues.

    • EX LISTED said

      20th June 2008 at 12:00 am

      Another one is the Newspaper Licensing Agency, which provides licences for copying material from newspapers and other publications on behalf of the copyright owners – my approach has been to confirm that we have a policy in place not to copy such material and we only obtain press cuttings from a press agency that is licensed.

      Previous experience of the PPL – we started to use a recording of a piece written and performed by a composer exclusively for our company over our telephone system for waiting calls, so were able to convince them that we didn’t need a licence.

      The external lawyers are aware of these three organisations and generally seem to think that they are legitimate, if a little “shark-like” when it comes to markeing theit licences.

      • AIM said

        20th June 2008 at 12:00 am

        My organisation has dealt with PPL on music equipment sited in retail leisure sites.

        We have had background music licences and jukebox licences with PPL. Usually, they are standard licences. We have to notify the installation of the equipment, and at some point, we get charged for the whole licence year. Equipment remains on the licence and gets charged each year for the licence year until you notify the removal.

        Many organisations are not aware of PPL, PRS (and MCPS which is connected to PRS) rights and every now and then they have a campaign issuing notices to hundreds of organisations to raise awareness. There are, however, a number of different types of licence. You need to check which is applicable to you. I would advise checking that no-one else has already purchased the licence on your behalf e.g. music, radio, tv supplier.

        • EX LISTED said

          20th June 2008 at 12:00 am

          Parts of our organisation have held a PRS licence for a number of years and more recently have also taken out a PPL Licence. Other areas of the business either have never needed licences or have adjusted their practices so they no longer need them. I have recently been approached to provide a group wide response to PPL and like you I am wondering how best to respond.

          Just a further point ot note – A similar exercise by the Newspaper Licensing Authority 18 months ago resulted in a license being taken for the copying of newspaper cuttings…and in that case there was a nasty sting in the tail in the form of a “settlement fee” for past usage estimated over a number of years, despite our open and honest and prompt responses to their questions.

          • FTSE SMALL CAP said

            20th June 2008 at 12:00 am

            Not had any experience of it I’m afraid. All I can contribute is reference to media reports this week that one of these bodies (can’t remember which) is getting very aggressive and is targetting even small businesses (e.g. a few people sitting in an office with the radio on) for licences. They mentioned that a licence would be required if a business plays (copyright) music to people while the ‘phone is on hold!

            Sorry not to be able to help, other than to give a heads up that you might have a hard time!

            Regards

            Richard

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