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Winnipeg Free Press - PRINT EDITION
More song and dance for licences
OTTAWA -- Canada's massively complex market for music licences just got even more muddied.
A tariff approved by the Copyright Board of Canada on Thursday allows a new copyright collective called Re:Sound to begin selling licences to businesses or anyone planning to host an event where music will be played.
The announcement means businesses and organizers of weddings, parades and other events must now obtain a second licence if they want to play music for patrons. A licence from the Society of Composers, Authors and Music Publishers of Canada (SOCAN) is already required by law.
The two collectives are effectively warring with each other for dollars. A spokesman from Re:Sound said this week there would be no efforts between his collective and SOCAN to create a unified licensing scheme to make the process easier for consumers.
Re:Sound is a not-for-profit organization aimed at collecting money on behalf of live-music musicians and recording labels. Re:Sound is also a member of the Canadian Private Copyright Collective, the organization responsible for collecting tariffs that have been levied on blank CDs and tapes. Re:Sound was founded in 1997 and was originally named Neighbouring Rights Collective of Canada before changing its name in 2010. SOCAN, founded in 1925, is a copyright collective representing the music writers and composers.
As it stands, a business that wants to play music in the background will need to approach SOCAN to buy a year-long licence and then approach Re:Sound to buy a second licence. Pricing varies depending on the event or business, its size and the number of clients. A small hair salon or clothing retailer could expect to spend around $140 on each of the licences from SOCAN and Re:Sound annually.
Other events, such as receptions and conventions where music is played, will be charged between $9.25 and $39.33 depending on attendance. Karaoke bars are looking at between $86 and $126 per week, depending on the number of days open. Festivals will pay Re:Sound $42 per day. Even parades will have to pay: The group wants $4 per float with a minimum of $32.55 per event daily.
For some events where dancing takes place, Re:Sound's levy will double.
"Recorded music is a vital part of the business model for many live events and, indeed, it is impossible to imagine a fashion show, festival, parade or karaoke bar without music," said Martin Gangnier, Re:Sound's director of licensing. "(The fee) ensures that the recording artists and record companies who create this music are fairly compensated when their work is used at these events."
Businesses caught playing music without a licence are often forced to settle with the collectives in order to avoid astronomical legal fees.
-- Postmedia News
Republished from the Winnipeg Free Press print edition June 2, 2012 B10
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