Page:United States Statutes at Large Volume 90 Part 2.djvu/1094

 90 STAT. 2562

S. n

Royalty payments. Regulations.

17 USC 116.

PUBLIC LAW 94-553—OCT. 19, 1976 being so identified, b u t is not entitled to recover for any phonorecords previously made and distributed. (2) Except as provided by clause (1), the royalty under a compulsory license shall be payable for every phonorecord made and distributed in accordance with the license. For this purpose, a phonorecord is considered "distributed" if the person exercising the compulsory license has voluntarily and permanently parted with its possession. W i t h respect to each work embodied in the phonorecord, the royalty shall be either two and three-fourths cents, or one-half of one cent per minute of playing time or fraction thereof, whichever amount is larger. (3) Koyalty payments shall be made on or before the twentieth d a y of each month and shall include all royalties for the month next preceding. E a c h monthly payment shall be made under oath and shall comply with requirements that the Register of Copyrights shall prescribe by regulation. The Register shall also prescribe regulations under which detailed cumulative annual statements of account, certified by a certified public accountant, shall be filed for every compulsory license under this section. The regulations covering both the monthly and the annual statements of account shall prescribe the form, content, and manner of certification with respect to the number of records made and the number of records distributed. (4) I f the copyright owner does not receive the monthly payment and the monthly and annual statements of account when due, the owner may give written notice to the licensee that, unless the default is remedied within t h i r t y days from the date of the notice, the compulsory license will be automatically terminated. Such termination renders either the making or the distribution, or both, of all phonorecords for which the royalty has not been paid, actionable as acts of infringement under section 501 and fully subject to the remedies provided by sections 502 through 506 and 509. §116. Scope of exclusive rights in nondramatic musical w o r k s: Public performances by means of coin-operated phonorecord players (a) L I M I T A T I O N ON EXCLUSIVE R I G H T. — I n the case of a n o n d r a -

matic musical work embodied in a phonorecord, the exclusive right under clause (4) of section 106 to perform the work publicly by means of a coin-operated phonorecord player is limited as follows: (1) The proprietor of the establishment in which the public performance takes place is not liable for infringement with respect to such public performance unless— (A) such proprietor is the operator of the phonorecord player; or (B) such proprietor refuses or fails, within one month after receipt by registered or certified mail of a request, a t a time during which the certificate required by clause (1)(C) of subsection (b) is not affixed to the phonorecord player, by the copyright owner, to make full disclosure, by registered or certified mail, of the identity of the operator of the phonorecord player. (2) The operator of the coin-operated phonorecord player may obtain a compulsory license to perform the work publicly on that phonorecord player by filing the application, affixing the certificate, a^d p a y i n g the royalties provided by subsection (b).

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(b) RECORDATION OF COIN-OPERATED PHONORECORD PLAYER, A F F IX A TiON OF CERTIFICATE, AND ROYALTY PAYABLE U N D E R COMPULSORY LICENSE.—

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