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Old January 19th 11, 05:10 AM posted to rec.radio.broadcasting
David Kaye David Kaye is offline
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First recorded activity by RadioBanter: Sep 2006
Posts: 123
Default ASCAP Rules Clarification?

Okay, as I know/knew it, ASCAP rules go like this:

(1) The license for broadcast only covers the broadcast to radios. If a
station is broadcast over a PA system to, say, a retail store or a cafe, that
business establishment owes a public performance fee to ASCAP.

(2) There is an exception for retail establishments informally called the "Hot
Dog Stand Rule", where the owner of a hotdog stand challenged ASCAP on its
license fees arguing that his playing a radio at his stand was for his private
entertainment only, not for the entertainment of customers.

ASCAP or a court or somebody apparently ruled that if the audio unit is a
self-contained stereo or boom box or something where only the existing
speakers are used, then no fee is owed because it's deemed to be used for the
entertainment of the employee, no the customers. HOWEVER, if the audio is
piped through a PA system or through speakers not part of the self-contained
audio system then it IS considered entertainment for customers and is
therefore not exempt, and ASCAP public performance fees are owed.

Can anybody here clarify this for me and/or point me in some direction where I
can see a real ruling or contract info or something?

Thanks.

And yes, I do intend to contact ASCAP directly, it's just that I'd like to be
able to get a faster answer here first.