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17 U.S. Code § 116 - Negotiated licenses for public performances by means of coin-operated phonorecord players

(a) Applicability of Section.—
This section applies to any nondramatic musical work embodied in a phonorecord.
(b) Negotiated Licenses.—
(1) Authority for negotiations.—
Any owners of copyright in works to which this section applies and any operators ofcoin-operated phonorecord players may negotiate and agree upon the terms and rates of royalty payments for the performance of such works and the proportionate division of fees paid among copyright owners, and may designate common agents to negotiate, agree to, pay, or receive such royalty payments.
(2) Chapter 8 proceeding.—
Parties not subject to such a negotiation may have the terms and rates and the division of fees described in paragraph (1) determined in a proceeding in accordance with the provisions of chapter 8.
(c) License Agreements Superior to Determinations by Copyright Royalty Judges.—
License agreements between one or more copyright owners and one or more operators ofcoin-operated phonorecord players, which are negotiated in accordance with subsection (b), shall be given effect in lieu of any otherwise applicable determination by the Copyright Royalty Judges.
(d) Definitions.—As used in this section, the following terms mean the following:
(1) A “coin-operated phonorecord player” is a machineor devicethat—
(A)
is employed solely for the performance of nondramatic musical works by means ofphonorecords upon being activated by the insertion of coins, currency, tokens, or other monetary units or their equivalent;
(B)
is located in anestablishment making no direct or indirect charge for admission;
(C)
is accompanied by a list which is comprised of the titles of all the musical works available for performance on it, and is affixed to the phonorecord player or posted in theestablishment in a prominent position where it can be readily examined by the public; and
(D)
affords a choice of works available for performance and permits the choice to be made by the patrons of theestablishment in which it is located.
(2) An “operator” is any person who, alone or jointly with others—
(B)
has the power to make acoin-operated phonorecord player available for placement in an establishmentfor purposes of public performance; or
(C)
has the power to exercise primary control over the selection of the musical works made available for public performance on acoin-operated phonorecord player.
(AddedPub. L. 100–568, § 4(a)(4),Oct. 31, 1988,102 Stat. 2855, § 116A; renumbered § 116 and amendedPub. L. 103–198, § 3(b)(1),Dec. 17, 1993,107 Stat. 2309;Pub. L. 105–80, § 5,Nov. 13, 1997,111 Stat. 1531;Pub. L. 108–419, § 5(e),Nov. 30, 2004,118 Stat. 2365.)
Editorial Notes
Prior Provisions

A prior section 116,Pub. L. 94–553, title I, § 101,Oct. 19, 1976,90 Stat. 2562;Pub. L. 100–568, § 4(b)(1),Oct. 31, 1988,102 Stat. 2857, related to scope of exclusive rights in nondramatic musical works and compulsory licenses for public performances by means of coin-operated phonorecord players, prior to repeal byPub. L. 103–198, § 3(a),Dec. 17, 1993,107 Stat. 2309.

Amendments

2004—Subsec. (b)(2).Pub. L. 108–419, § 5(e)(1), amended heading and text of par. (2) generally. Prior to amendment, text read as follows: “Parties not subject to such a negotiation may determine, by arbitration in accordance with the provisions of chapter 8, the terms and rates and the division of fees described in paragraph (1).”

Subsec. (c).Pub. L. 108–419, § 5(e)(2), substituted “Determinations by Copyright Royalty Judges” for “Copyright Arbitration Royalty Panel Determinations” in heading and “the Copyright Royalty Judges” for “a copyright arbitration royalty panel” in text.

1997—Subsec. (b)(2).Pub. L. 105–80, § 5(1), amended par. (2) generally. Prior to amendment, par. (2) read as follows:

“(2)Arbitration.—Parties to such a negotiation, within such time as may be specified by the Librarian ofCongress by regulation, may determine the result of the negotiation by arbitration. Such arbitration shall be governed by the provisions of title 9, to the extent such title is not inconsistent with this section. The parties shall give notice to the Librarian ofCongress of any determination reached by arbitration and any such determination shall, as between the parties to the arbitration, be dispositive of the issues to which it relates.”

Subsec. (d).Pub. L. 105–80, § 5(2), added subsec. (d).

1993—Pub. L. 103–198, § 3(b)(1)(A), renumberedsection 116A of this title as this section.

Subsec. (b).Pub. L. 103–198, § 3(b)(1)(B), (C), redesignated subsec. (c) as (b), substituted “Librarian ofCongress” for “Copyright Royalty Tribunal” in two places in par. (2), and struck out former subsec. (b) which related to limitation on exclusive right if licenses not negotiated.

Subsec. (c).Pub. L. 103–198, § 3(b)(1)(B), (D), redesignated subsec. (d) as (c), in heading substituted “Arbitration Royalty Panel” for “Royalty Tribunal”, and in text substituted “subsection (b)” for “subsection (c)” and “a copyright arbitration royalty panel” for “the Copyright Royalty Tribunal”.

Subsecs. (d) to (g).Pub. L. 103–198, § 3(b)(1)(B), (E), redesignated subsec. (d) as (c) and struck out subsecs. (e) to (g) which provided, in subsec. (e), for a schedule for negotiation of licenses, in subsec. (f), for a suspension of various ratemaking activities by the Copyright Royalty Tribunal, and in subsec. (g), for transition provisions and retention of Copyright Royalty Tribunal jurisdiction.

Statutory Notes and Related Subsidiaries
Effective Date of 2004 Amendment

Amendment byPub. L. 108–419 effective 6 months afterNov. 30, 2004, subject to transition provisions, seesection 6 of Pub. L. 108–419, set out as an Effective Date; Transition Provisions note undersection 801 of this title.

Effective Date

Section effectiveMar. 1, 1989, with any cause of action arising under this title before such date being governed by provisions as in effect when cause of action arose, seesection 13 of Pub. L. 100–568, set out as an Effective Date of 1988 Amendment note undersection 101 of this title.

CFR TitleParts
37 387

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