Music Business Essentials by Cabaniss Mark;Curb Mike;

Author:Cabaniss, Mark;Curb, Mike; [Cabaniss, Mark]
Language: eng
Format: epub
Publisher: Rowman & Littlefield Publishers, Incorporated
Published: 2018-09-20T00:00:00+00:00

Types of Publishing Licenses

There are two major types of licenses that music publishers issue to people, companies, and organizations who want to use their songs: mechanical and synchronization licenses. Another significant license is a print license for those companies wishing to use a copyrighted song in music print format.

A mechanical license grants the rights to “reproduce and distribute copyrighted musical compositions (songs) on CDs, records, tapes, ringtones, permanent digital downloads, interactive streams and other digital configurations supporting various business models, including locker-based music services and bundled music offerings.”3

Most music publishers in the United States choose to have their mechanical rights administered by the Harry Fox Agency (HFA). Established in 1927 by the National Music Publishers Association (NMPA), HFA is the number-one provider of rights management, licensing, and royalty services in the U.S. music industry. They are primarily known for collecting and distributing mechanical royalties on behalf of music publishers.4

A synchronization license (or “synch” for short) is a music license granted by a copyright holder for use of a song in visual media (e.g., video, television, video games.).5

When it comes to the protection of a song, a copyright embodies two components: the song itself and the recording of that song (if, indeed, there is a recording made of the song, and of course, there’s usually always a recording made). In chapter 3, we discussed the “bundle of rights” to which a copyright owner is entitled. But what about the company, person, or entity that owns the sound recording? Well, that entity (most often a record label) also has a copyright for the master recording—separate from the song copyright.6 This ownership of the master recording is not designated with a © but a . This stands for phonorecord.

When someone desires to publish a song in print (or digital print) format, a print license must be obtained from the copyright owner. The terms are usually that the copyright owner be paid a 12.5 percent royalty (of suggested retail price) for each copy of sheet music sold. Digital rates are higher, generally 50 percent of suggested retail price for each copy of music downloaded.

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