Re: Broadcasting dilemma

From: Richard J. Greenstone <richard[_at_]rjg.com>
Date: Thu, 3 Jul 1997 13:31:30 -0700

Terrence J. Carroll <carroll[_at_]tjc.com> wrote:
>
> On Tue, 1 Jul 1997, Laurie Lye <llye[_at_]acad.cc.whecn.edu> wrote:
> >
> > Could someone kindly guide me to a concise source which would explain
> > the law on playing music over loudspeakers in a private business?
>
> This is pretty concise, although whether a particular piece of equipment
> meets the definition is always open to argument:
>
> Notwithstanding the provisions of section 106, the following are not
> infringements of copyright:
>
> (5) communication of a transmission embodying a performance or
> display of a work by the public reception of the transmission on
> a single receiving apparatus of a kind commonly used in private
> homes, unless -
> (A) a direct charge is made to see or hear the transmission; or
> (B) the transmission thus received is further transmitted to the
> public;
>
> This is from section 110 of the U.S. Copyright Act.
>
> > The scenario: Two businesses, one a fast food restaurant, the other
> > an antique mall, want to have music playing. They would prefer not to
> > be forced to subscribe to the cable services providing music. May
> > they play music they have privately recorded, or the radio? What
> > are their rights/responsibilites?
>
> The above provision allows them to play an ordinary radio in their
> business -- but not a costly sound system not ordinarily found in homes.
> It does not extend to playing their own recordings (e.g., a tape of
> selected tunes).

The case you want to look at is Broadcast Music, Inc. v. Claire's Boutiques, Inc., 754 F. Supp. 1324 (N.D. Ill. 1990), aff'd, 949 F.2d 1482 (7th Cir. 1991)(affirming the lower court's finding that , although all 749 of the defendant's stores operated stereo receivers during business hours, it was exempt from liability for copyright infringement because each individual store qualified for he infringement exemption by employing a single receiving apparatus of a type commonly used in the home).

You may also want to see the following article "The Small-Business Exemption and the Realities of the Home-electronic Marketplace" by Todd Piccus in Vol. 10, No. 4 Winter 1993 The Entertainment and Sports Lawyer (published by the ABA (I used to be the editor)).

Best regards,

Richard Greenstone

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

RICHARD J. GREENSTONE, Attorney at Law
111 Sutter Street, Suite 1900
San Francisco, California 94104
Voice: 415/438-1890
Fax: 415/986-4874
E-mail: richard[_at_]rjg.com
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Received on Thu Jul 03 1997 - 20:41:43 GMT