First, ensure your service is eligible to operate under the statutory license. Begin by reviewing the U.S. Copyright Act, 17 U.S.C., §§ 112 and 114 to familiarize yourself with the applicable requirements for statutory licensing. For more information about statutory licensing, please review the Licensing 101 section on our website.
Under this set of rates and terms, eligible services include certain commercial “Internet-only” webcasters. These rates and terms were initiatied under an agreement negotiated to accommodate the online-only streaming functions of SIRIUS-XM, but others may opt in to these rates. Rates do not apply to broadcasters.
View all rates and terms in the Federal Register (74 Fed. Reg. 40614 (August 12, 2009)). Commercial webcasters who elect these rates and terms will pay a special per-performance rate for each track played. An annual minimum fee of $500 is required, which is applied against the service’s total annual liability, and is capped at $50,000. Services who elect in will be required to supply reporting in accordance with these terms. For more information about reporting and payment requirements, see “How Do I Pay”.
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Ephemeral Royalties: The royalty payable under 17 U.S.C. 112(e) for any ephemeral reproductions made by a Commercial Webcaster is considered to be included within the royalty payments set forth above.
4Reporting and Recordkeeping Requirements
Services electing these rates and terms generally must provide census reporting (actual recordings played and total listenership) and retain server logs for at least four years. These requirements enable SoundExchange to most accurately process royalty payments to artists and copyright holders. For more information, please refer to the “Reporting Requirements” page.
Services wishing to operate under these rates and terms must file a notice of Election for Commercial Webcasters pursuant to WSA 2009. Services in existence before Aug. 12, 2009 were required to elect by August 29, 2009. New services must elect within 30 days of launching service.
Eligible webcasters wishing operate under this set of terms must provide notice to the Copyright Royalty Board of your intent to operate under the statutory license by submitting a Notice of Use of Sound Recordings Under Statutory License (“Notice of Use”). This form must be submitted directly to the copyright office, not to SoundExchange, and need only be filed once. The Notice of Use must be accompanied by a $25 filing fee and should be submitted to the Copyright Royalty Board at the address listed on the form. Please note that the Copyright Royalty Board WILL NOT confirm receipt of form and fee. If you wish to receive confirmation of receipt, you will need to send via certified mail, return receipt requested.
Services which have elected these rates and terms must provide all minimum fees, monthly statements of account and payments, and reports of use to SoundExchange as required . For guidelines and forms, see “How Do I Pay?”