§ 116. — Negotiated licenses for public performances by means of coinoperated phonorecord players.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 17USC116]
TITLE 17--COPYRIGHTS
CHAPTER 1--SUBJECT MATTER AND SCOPE OF COPYRIGHT
Sec. 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 of coin-
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) Arbitration.--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).
(c) License Agreements Superior to Copyright Arbitration Royalty
Panel Determinations.--License agreements between one or more copyright
owners and one or more operators of coin-operated phonorecord players,
which are negotiated in accordance with subsection (b), shall be given
effect in lieu of any otherwise applicable determination by a copyright
arbitration royalty panel.
(d) Definitions.--As used in this section, the following terms mean
the following:
(1) A ``coin-operated phonorecord player'' is a machine or
device that--
(A) is employed solely for the performance of nondramatic
musical works by means of phonorecords upon being activated by
the insertion of coins, currency, tokens, or other monetary
units or their equivalent;
(B) is located in an establishment 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 the
establishment 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 the
establishment in which it is located.
(2) An ``operator'' is any person who, alone or jointly with
others--
(A) owns a coin-operated phonorecord player;
(B) has the power to make a coin-operated phonorecord player
available for placement in an establishment for 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 a coin-operated phonorecord player.
(Added Pub. L. 100-568, Sec. 4(a)(4), Oct. 31, 1988, 102 Stat. 2855,
Sec. 116A; renumbered Sec. 116 and amended Pub. L. 103-198,
Sec. 3(b)(1), Dec. 17, 1993, 107 Stat. 2309; Pub. L. 105-80, Sec. 5,
Nov. 13, 1997, 111 Stat. 1531.)
Prior Provisions
A prior section 116, Pub. L. 94-553, title I, Sec. 101, Oct. 19,
1976, 90 Stat. 2562; Pub. L. 100-568, Sec. 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 by Pub. L. 103-198,
Sec. 3(a), Dec. 17, 1993, 107 Stat. 2309.
Amendments
1997--Subsec. (b)(2). Pub. L. 105-80, Sec. 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 of Congress 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 of Congress 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, Sec. 5(2), added subsec. (d).
1993--Pub. L. 103-198, Sec. 3(b)(1)(A), renumbered section 116A of
this title as this section.
Subsec. (b). Pub. L. 103-198, Sec. 3(b)(1)(B), (C), redesignated
subsec. (c) as (b), substituted ``Librarian of Congress'' 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, Sec. 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, Sec. 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.
Effective Date
Section effective Mar. 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, see section 13 of Pub. L. 100-568,
set out as an Effective Date of 1988 Amendment note under section 101 of
this title.
Section Referred to in Other Sections
This section is referred to in sections 106, 501, 511, 801, 802, 803
of this title; title 18 section 2319.
