Live Music In Cafes Will Also Get Song Royalties

Illustration (Unsplash)

JAKARTA - Director General of Intellectual Property of the Ministry of Law and Human Rights (Kemenkumham) Freddy Harris said bands that perform on live music in cafes, restaurants, and commercial events will also be subject to royalties on songs and music.

This is stated in Government Regulation (PP) Number 56 of 2021 concerning The Management of Song and/or Music Copyright Royalties.

"If anyone is performing, go ahead. But if someone else performs a song, in a café for example, he has to pay royalties," Freddy said in a virtual discussion, Friday, April 9.

However, Freddy allows bands or singers who perform in live music events to negotiate with the owner of a business or activity to determine who pays royalties.

"Who pays royalties? Please just negotiate, either the owner of the café, or the singer. So, it depends on the contract," he said.

Then, the amount of royalty tariff is also still following the Decree of the Minister of Law and Human Rights (Kepmenkumham) Number HKI.2.OT.03.01-02 year 2016.

However, there is a possibility of a change in the amount of the new royalty rate with a number of considerations. Because, a number of activity managers charged royalties of the song considers the amount of the tariff too expensive.

"Therefore, sectors such as karaoke owners, restaurants, hotels, cafes, please just negotiate. If agreed, the ministerial regulations will be changed," he said.

For information, PP No. 56 of 2021 regulates the economic rights of songwriters and music, economic rights of managed performers, as well as economic rights of managed phonogram producers.

Parties that are obliged to pay royalties are individuals or legal entities playing songs of a commercial nature, namely in the form of commercial seminars and conferences; restaurants, cafes, pubs, bars, bistros, nightclubs and discotheques; music concerts; aircraft, buses, trains, and ships.

Then, exhibitions and bazaars; cinema; phone wait tone; banks and offices; shops; recreation center; television broadcasting institutions; radio broadcasting institutions; hotels, hotel rooms, and hotel facilities; and karaoke business.

Furthermore, royalties withdrawn from these commercial users will be paid to the creators or copyright holders of songs and/or music through the National Collective Management Agency (LMKN).

"In essence, this PP emphasizes the management of song and music copyright royalties on the form of commercial use of public services in the form of analog and digital," he concluded.