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Music Business Essentials




     INTRODUCTION
TO MUSIC COPYRIGHT




                   © 2006 musicbizclasses.com
Do I Need Legal Permission To…

Swap digital music file with my friends online?

Sample music I find from other artists in my own
recordings?

Play live music or mix tapes at parties?

Sell my CD collection?

Rent my music collection to friends?

Perform other’s music in class?

Make my own CD of cover songs from my favorite
artists?                          © 2006 musicbizclasses.com
Intellectual Property:
 The U.S. Constitution provides certain rights and
     US
 protections for owners of property.

 Property that results from the mental/creative
 labor is called Intellectual Property, or I.P.

In the U.S., I.P. includes:
  Copyright
  Copyright- protects various forms of written
  and artistic expression
  Patents- protect inventions of tangible things
  Trademarks- protect a name or symbol that identifies
  the source of goods or services


                                       © 2006 musicbizclasses.com
Copyright Timeline
1710: St t t f Anne i E l d
1710 Statute of A     in England
1787: U.S. Constitution
The Copyright Act of 1790-- Books, maps and charts
       py g                       ,   p
14-year term of protection
Statutory Revisions--
1802: prints
1831: musical compositions, but not public performance
1856: dramatic compositions, including p
                    p       ,        g public
performance rights
1865: photographs
1870: paintings, drawings sculpture
      paintings drawings,
1909: 28 + 28 term
The 1976 Act: Major changes in US law to
conform to international models
                                       © 2006 musicbizclasses.com
What is Copyright ?
 U.S. Copyright Law is “Title 17” in the
 United States Code.

 The United States Code is the total set of laws
 that citizens in this county must follow.

 U.S. Copyright Law contains 13 Chapters
 with over 75 distinct statutes and multiple p
 amendments. All of these different sections
 spell out different rules for the many parts of the
 music industry.y

 U.S. Copyright Law is a living, breathing
 document that is regularly updated depending
 on new issues and new technologies
                                         © 2006 musicbizclasses.com
What is Copyright ?
 Copyright is a form of protection provided
 by U S Federal Law to the authors of
    U.S.
 "original works of authorship” for a limited
 duration

 Copyright has two main purposes:
 – T protect the author's right to obtain
   To    t t th     th ' i ht t bt i
   commercial benefit from their
   valuable work
 – To protect the author's general right to
   control how their work is used.

                                   © 2006 musicbizclasses.com
What Does U.S. Copyright Protect?

          Musical Works
                             Literary Works


Sound Recordings                       Architectural Works




Pictorial Works



                                           Dramatic Works
 Motion Pictures
 & Audiovisual Works
                          Choreography &
                                g p y
                          Pantomimes

                                              © 2006 musicbizclasses.com
What is NOT protected under
U.S. Copyright?
Generic information, such as facts,
numbers and ideas

Titles, names, short phrases, and slogans

Familiar symbols

Procedures, methods, systems, processes,
concepts, p
     p principles, discoveries, or devices
              p

Common knowledge such as standard
calendars,
calendars height and weight charts tape
                            charts,
measures and rulers
                                © 2006 musicbizclasses.com
What is NOT protected under
U.S.
U S Copyright?
 Works created by the U.S. Federal
 Government

 Works that have not been fixed in a
 tangible form of expression, such as
 choreography that has not been annotated

 Works whose copyrights have lapsed due
 to the passage of time

 Older works that failed to include a proper
 notice of copyright (created prior to March
 1989)
                                  © 2006 musicbizclasses.com
What is NOT protected under
U.S.
U S Copyright?

 IDEAS, in d f themselves
 IDEAS i and of th        l
 are NOT protected under
 Copyright or any other I P
                        I.P.
 law




                        © 2006 musicbizclasses.com
How U.S. Copyright Works
   The two MOST important concepts in determining
   copyright are:
-- O i i l Authorship
   Original A th  hi
-- Fixed Expression

  Copyright protection exists from the time
  the work is created in a fixed,
  tangible form of expression

  Copyright protection is AUTOMATIC
  C    i ht    t ti i

  Protection is available to both published
  and unpublished works
                                        © 2006 musicbizclasses.com
What Rights are Protected?
 The right to reproduce the work in copies

 The right to prepare derivative works

 The right to distribute to the public
 -via sale, rental, lease or lending

 Rights of public performance, display
 and transmission

 These rights are referred to as the
 “bundle of rights”
                                   © 2006 musicbizclasses.com
COPYRIGHT & MUSIC




            © 2006 musicbizclasses.com
Music and Copyright
In terms of recorded music, US copyright
addresses several key categories:

 Musical Work (“the Song”) =
the underlying musical composition
                       composition,
comprised of the written notes and lyrics.


Think of Sheet Music
or written score…




                                  © 2006 musicbizclasses.com
Music and Copyright
 Sound Recording = the sounds, including
 the recording artist's interpretation
              g
 of the musical composition, and
 the creative efforts of the producer,
 sound engineers and b k
      d     i          d background musicians
                                     d i i

 Think of the actual recording itself…




                                 © 2006 musicbizclasses.com
U.S. Copyright and Music
  All recorded music contains two
           d d    i     t i t
  elements-
1. M i l Work and
   Musical W k d
2. Sound Recording


  – Both elements are separately protected
    under copyright l
      d        i ht law.
  – Both can, and often do, have separate
    owners



                                © 2006 musicbizclasses.com
Music and Copyright
Performance= the public performance
of recorded music; whether live or via
broadcast
Think of a concert,
a DJ show, or a
radio broadcast




                             © 2006 musicbizclasses.com
Copyright also protects …
Derivative works = a new work based upon on
  preexisting works. Musical arrangements,
  dramatizations, sound recordings, or any other form
                ,                 g ,      y
  in which a work is recast, transformed, or adapted.
   – Example: Using sampled beats in
     a new song


Compilations = a collection of preexisting materials,
C     il ti           ll ti    f      i ti     t i l
  that results in a new original work of authorship.
  Including collective works.
            g
   – Example: Using previously recorded songs
     to create a movie soundtrack


                                         © 2006 musicbizclasses.com
Joint Authors
 A creative work can have MULTIPLE
       ti      k     h
 copyright owners

 Joint authors = two or more authors who
 create a single work of authorship together.
 Their contributions are considered
 inseparable by U.S. Copyright law.

 Joint authors both own the exclusive bundle
 rights in their protected work

 Each can independently exercise these
 rights without the other’s permission,
   g                        p          ,
 as long as the other author is paid their
 share of the profits.            © 2006 musicbizclasses.com
Transfer of Copyrights
 Like any other property, copyrights may be
 transferred by the owner to another party

 By default, transfer of copyright is permanent,
 BUT can sometimes be revoked and revert back
 to original owner if stated in a written contract

 Must b transferred i writing and signed b
 M t be t      f    d in iti    d i    d by
 original copyright holder

 After 35 years, owner can invoke a unique
 Copyright rule regarding “reversion”. Owner has
 5 years t get copyrights reinstated, under certain
         to t         i ht      i t t d    d   t i
 circumstances.(for works made after 1978)
                                       © 2006 musicbizclasses.com
Transfer vs. License

Transfer of Copyright=
Grants 100% ownership of exclusive
rights

complete change of ownership

  –Example: When you sell a house, you
  permanently transfer ownership of the
  property and cannot demand to have it
  returned.


                                   © 2006 musicbizclasses.com
Transfer vs. License

License for use of Copyright=
Allows permission for limited use of
exclusive rights

original ownership stays intact

  –Example: When you rent a house, you allow
  someone to “borrow” your property for a
                        y   p p y
  specific amount of time and under specific
  conditions. You retain 100% ownership of the
  p ope ty
  property.

                                    © 2006 musicbizclasses.com
Copyright after Death

 Copyright generally behaves like any
 other intangible asset i an estate
  th i t     ibl      t in     t t

 Copyrights can be held in trust, transferred
 by gift or, at death, just like any other property

 A copyright is protected from the moment the
 work is made tangible until 70 years after the
 death of the author regardless of whether the
 author dies with or without heirs



                                          © 2006 musicbizclasses.com
Exceptions to U.S. Copyright
Public Domain- hymns, patriotic
songs, folk songs, classical music
   g ,         g ,
 - Sheet music publications with a copyright
   date of 1922 or earlier are in the PD
 -
 - Most sound recordings are under copyright
   protection in the U.S. until the year 2067




                                     © 2006 musicbizclasses.com
Exceptions to U.S. Copyright
  “Fair Use” -education, research,
  reviews, parody, news reporting
         ,p     y,         p    g

Determining Factors:
           g
1. the purpose and character of the use, including
   whether such use is of a commercial nature or is
   for nonprofit educational purposes;
2. the nature of the copyrighted work;
3 the amount and substantiality of the portion
3.
   used in relation to the copyrighted work as a
   whole; and
4. the effect of the use upon the potential market
   for or value of the copyrighted work.
                                        © 2006 musicbizclasses.com
Exceptions to U.S. Copyright

“ Work for Hire”- Employers &
Companies which commission
C        i    hi h      i i
original works own the copyright

Original creative work that is
completed during the course of a
salaried position is owned by the
         position,
employer

                         © 2006 musicbizclasses.com
International Copyright

 There is no such thing as an
 "international copyright" that
 automatically protects a work
 throughout the world
       g

 Protection in the U.S. is available
 regardless of the nationality or
 domicile of the author

 “Copyright conventions” protect
 international works of creative authorship

                                  © 2006 musicbizclasses.com
Key Take-Aways
The U.S. Constitution is the highest law
in the land
The First U.S. Copyright law was enacted
in 1790, as part of the Constitution
Our
O current set of Copyright statutes
            t t fC       i ht t t t
are based on The 1976 Act
U.S. Copyright L
US C        i ht Law i a li i
                      is living, b thi
                                 breathing
document that is regularly updated
depending on new issues and new
technologies.
In the U.S., Original works of artistic
       US
expression are considered property
                                 © 2006 musicbizclasses.com
Key Take-Aways
 Intellectual Property is the set of laws dedicated
 to protecting works of the mind, or intellect

 Copyright protects various forms of written and
 artistic expression

 Copyright protection does not include ideas
 themselves, only expressions of those ideas
            ,   y p

 The two MOST important concepts in
 determining copyright are:
 -- Original Authorship
             p
 -- Fixed Expression

                                       © 2006 musicbizclasses.com
Key Take-Aways
 There are exceptions to U.S. Copyright-
  – Fair Use
  – Work for Hire
  – Public Domain

 One piece of music can have multiple
 authors and multiple Copyright owners

 Copyright protection is automatic but it is
                          automatic,
 always best to register your work with the
 U.S. Copyright Office, if you plan to pursue
 legal protections at a future date.
                                  © 2006 musicbizclasses.com
For Educational Use Only


  This slide presentation is part
of t e us c us ess sse t a s
o the Music Business Essentials
              series.



          Contact
info@musicbizclasses.com
    for more information
                            © 2006 musicbizclasses.com

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MUC109 LEC 5a.Intro to Copyright

  • 1. Music Business Essentials INTRODUCTION TO MUSIC COPYRIGHT © 2006 musicbizclasses.com
  • 2. Do I Need Legal Permission To… Swap digital music file with my friends online? Sample music I find from other artists in my own recordings? Play live music or mix tapes at parties? Sell my CD collection? Rent my music collection to friends? Perform other’s music in class? Make my own CD of cover songs from my favorite artists? © 2006 musicbizclasses.com
  • 3. Intellectual Property: The U.S. Constitution provides certain rights and US protections for owners of property. Property that results from the mental/creative labor is called Intellectual Property, or I.P. In the U.S., I.P. includes: Copyright Copyright- protects various forms of written and artistic expression Patents- protect inventions of tangible things Trademarks- protect a name or symbol that identifies the source of goods or services © 2006 musicbizclasses.com
  • 4. Copyright Timeline 1710: St t t f Anne i E l d 1710 Statute of A in England 1787: U.S. Constitution The Copyright Act of 1790-- Books, maps and charts py g , p 14-year term of protection Statutory Revisions-- 1802: prints 1831: musical compositions, but not public performance 1856: dramatic compositions, including p p , g public performance rights 1865: photographs 1870: paintings, drawings sculpture paintings drawings, 1909: 28 + 28 term The 1976 Act: Major changes in US law to conform to international models © 2006 musicbizclasses.com
  • 5. What is Copyright ? U.S. Copyright Law is “Title 17” in the United States Code. The United States Code is the total set of laws that citizens in this county must follow. U.S. Copyright Law contains 13 Chapters with over 75 distinct statutes and multiple p amendments. All of these different sections spell out different rules for the many parts of the music industry.y U.S. Copyright Law is a living, breathing document that is regularly updated depending on new issues and new technologies © 2006 musicbizclasses.com
  • 6. What is Copyright ? Copyright is a form of protection provided by U S Federal Law to the authors of U.S. "original works of authorship” for a limited duration Copyright has two main purposes: – T protect the author's right to obtain To t t th th ' i ht t bt i commercial benefit from their valuable work – To protect the author's general right to control how their work is used. © 2006 musicbizclasses.com
  • 7. What Does U.S. Copyright Protect? Musical Works Literary Works Sound Recordings Architectural Works Pictorial Works Dramatic Works Motion Pictures & Audiovisual Works Choreography & g p y Pantomimes © 2006 musicbizclasses.com
  • 8. What is NOT protected under U.S. Copyright? Generic information, such as facts, numbers and ideas Titles, names, short phrases, and slogans Familiar symbols Procedures, methods, systems, processes, concepts, p p principles, discoveries, or devices p Common knowledge such as standard calendars, calendars height and weight charts tape charts, measures and rulers © 2006 musicbizclasses.com
  • 9. What is NOT protected under U.S. U S Copyright? Works created by the U.S. Federal Government Works that have not been fixed in a tangible form of expression, such as choreography that has not been annotated Works whose copyrights have lapsed due to the passage of time Older works that failed to include a proper notice of copyright (created prior to March 1989) © 2006 musicbizclasses.com
  • 10. What is NOT protected under U.S. U S Copyright? IDEAS, in d f themselves IDEAS i and of th l are NOT protected under Copyright or any other I P I.P. law © 2006 musicbizclasses.com
  • 11. How U.S. Copyright Works The two MOST important concepts in determining copyright are: -- O i i l Authorship Original A th hi -- Fixed Expression Copyright protection exists from the time the work is created in a fixed, tangible form of expression Copyright protection is AUTOMATIC C i ht t ti i Protection is available to both published and unpublished works © 2006 musicbizclasses.com
  • 12. What Rights are Protected? The right to reproduce the work in copies The right to prepare derivative works The right to distribute to the public -via sale, rental, lease or lending Rights of public performance, display and transmission These rights are referred to as the “bundle of rights” © 2006 musicbizclasses.com
  • 13. COPYRIGHT & MUSIC © 2006 musicbizclasses.com
  • 14. Music and Copyright In terms of recorded music, US copyright addresses several key categories: Musical Work (“the Song”) = the underlying musical composition composition, comprised of the written notes and lyrics. Think of Sheet Music or written score… © 2006 musicbizclasses.com
  • 15. Music and Copyright Sound Recording = the sounds, including the recording artist's interpretation g of the musical composition, and the creative efforts of the producer, sound engineers and b k d i d background musicians d i i Think of the actual recording itself… © 2006 musicbizclasses.com
  • 16. U.S. Copyright and Music All recorded music contains two d d i t i t elements- 1. M i l Work and Musical W k d 2. Sound Recording – Both elements are separately protected under copyright l d i ht law. – Both can, and often do, have separate owners © 2006 musicbizclasses.com
  • 17. Music and Copyright Performance= the public performance of recorded music; whether live or via broadcast Think of a concert, a DJ show, or a radio broadcast © 2006 musicbizclasses.com
  • 18. Copyright also protects … Derivative works = a new work based upon on preexisting works. Musical arrangements, dramatizations, sound recordings, or any other form , g , y in which a work is recast, transformed, or adapted. – Example: Using sampled beats in a new song Compilations = a collection of preexisting materials, C il ti ll ti f i ti t i l that results in a new original work of authorship. Including collective works. g – Example: Using previously recorded songs to create a movie soundtrack © 2006 musicbizclasses.com
  • 19. Joint Authors A creative work can have MULTIPLE ti k h copyright owners Joint authors = two or more authors who create a single work of authorship together. Their contributions are considered inseparable by U.S. Copyright law. Joint authors both own the exclusive bundle rights in their protected work Each can independently exercise these rights without the other’s permission, g p , as long as the other author is paid their share of the profits. © 2006 musicbizclasses.com
  • 20. Transfer of Copyrights Like any other property, copyrights may be transferred by the owner to another party By default, transfer of copyright is permanent, BUT can sometimes be revoked and revert back to original owner if stated in a written contract Must b transferred i writing and signed b M t be t f d in iti d i d by original copyright holder After 35 years, owner can invoke a unique Copyright rule regarding “reversion”. Owner has 5 years t get copyrights reinstated, under certain to t i ht i t t d d t i circumstances.(for works made after 1978) © 2006 musicbizclasses.com
  • 21. Transfer vs. License Transfer of Copyright= Grants 100% ownership of exclusive rights complete change of ownership –Example: When you sell a house, you permanently transfer ownership of the property and cannot demand to have it returned. © 2006 musicbizclasses.com
  • 22. Transfer vs. License License for use of Copyright= Allows permission for limited use of exclusive rights original ownership stays intact –Example: When you rent a house, you allow someone to “borrow” your property for a y p p y specific amount of time and under specific conditions. You retain 100% ownership of the p ope ty property. © 2006 musicbizclasses.com
  • 23. Copyright after Death Copyright generally behaves like any other intangible asset i an estate th i t ibl t in t t Copyrights can be held in trust, transferred by gift or, at death, just like any other property A copyright is protected from the moment the work is made tangible until 70 years after the death of the author regardless of whether the author dies with or without heirs © 2006 musicbizclasses.com
  • 24. Exceptions to U.S. Copyright Public Domain- hymns, patriotic songs, folk songs, classical music g , g , - Sheet music publications with a copyright date of 1922 or earlier are in the PD - - Most sound recordings are under copyright protection in the U.S. until the year 2067 © 2006 musicbizclasses.com
  • 25. Exceptions to U.S. Copyright “Fair Use” -education, research, reviews, parody, news reporting ,p y, p g Determining Factors: g 1. the purpose and character of the use, including whether such use is of a commercial nature or is for nonprofit educational purposes; 2. the nature of the copyrighted work; 3 the amount and substantiality of the portion 3. used in relation to the copyrighted work as a whole; and 4. the effect of the use upon the potential market for or value of the copyrighted work. © 2006 musicbizclasses.com
  • 26. Exceptions to U.S. Copyright “ Work for Hire”- Employers & Companies which commission C i hi h i i original works own the copyright Original creative work that is completed during the course of a salaried position is owned by the position, employer © 2006 musicbizclasses.com
  • 27. International Copyright There is no such thing as an "international copyright" that automatically protects a work throughout the world g Protection in the U.S. is available regardless of the nationality or domicile of the author “Copyright conventions” protect international works of creative authorship © 2006 musicbizclasses.com
  • 28. Key Take-Aways The U.S. Constitution is the highest law in the land The First U.S. Copyright law was enacted in 1790, as part of the Constitution Our O current set of Copyright statutes t t fC i ht t t t are based on The 1976 Act U.S. Copyright L US C i ht Law i a li i is living, b thi breathing document that is regularly updated depending on new issues and new technologies. In the U.S., Original works of artistic US expression are considered property © 2006 musicbizclasses.com
  • 29. Key Take-Aways Intellectual Property is the set of laws dedicated to protecting works of the mind, or intellect Copyright protects various forms of written and artistic expression Copyright protection does not include ideas themselves, only expressions of those ideas , y p The two MOST important concepts in determining copyright are: -- Original Authorship p -- Fixed Expression © 2006 musicbizclasses.com
  • 30. Key Take-Aways There are exceptions to U.S. Copyright- – Fair Use – Work for Hire – Public Domain One piece of music can have multiple authors and multiple Copyright owners Copyright protection is automatic but it is automatic, always best to register your work with the U.S. Copyright Office, if you plan to pursue legal protections at a future date. © 2006 musicbizclasses.com
  • 31. For Educational Use Only This slide presentation is part of t e us c us ess sse t a s o the Music Business Essentials series. Contact info@musicbizclasses.com for more information © 2006 musicbizclasses.com