When you purchase a record, tape or CD, the purchase price covers your private listening right only. Once you decide to play these in public - such as in a restaurant, bar, café or telephone music-on-hold service - it becomes an additional performance of the music, which is known as a "public performance." The copyright owners of musical works have the exclusive right of public performance. Therefore, any public performances by others require permission. That's where BMI comes in. To learn more about the rights of songwriters, click here.
With a BMI Music Performance Agreement, you'll be entitled to use any BMI-affiliated music.
Although most people buy tapes, CDs, or digital audio files thinking they are now their property, there is a distinction in the law between owning a copy of the music and owning the songs on the CD, etc. There is also a difference between a private performance of copyrighted music and a public performance. When you buy a tape, CD, or digital audio file, the purchase price covers only your private listening use, similar to the “home” use of “home” videos. Once you decide to play these tapes, CDs, or your iPod in your business, it becomes a public performance.
Q: If Musicians Are Playing Live Music Aren’t They Responsible For Public Performance Fees?
Since it’s your business or organization that’s benefiting by the performance of music, you are responsible for ensuring your organization is properly licensed. This responsibility cannot be passed on to anyone else even if musicians hired are independent contractors.
