a guide to the amcos non-retail business blanket licence - APRA

“UNDERSTANDING THE TERMS OF YOUR AGREEMENT”
A GUIDE TO THE AMCOS NON-RETAIL
BUSINESS BLANKET LICENCE
IntroductIon
When you make a copy of a sound recording, you also make
a copy of the underlying musical work – that is, the original
tune and lyrics, legally viewed as separate copyrights.
The reproduction of musical works is one of the exclusive
rights – set out in the Copyright Act – that require you to
obtain permission from the copyright owner and pay the
appropriate royalties.
If you are not the copyright owner and intend to make a copy of sound recordings (and therefore copy the
underlying musical work), you will generally require a licence form the person or entity that controls the
relevant rights in Australia. In the vast majority of cases, for the Musical Work, this is AMCOS.
The copying of AMCOS musical works is undertaken not only by “traditional” record company clients, both big
and small, but also by “non-traditional” ”music users” such as background music suppliers, on-line companies,
individuals etc.
APRA|AMCOS has in place a published licence scheme (the Physical Product Agreement) - available to record
makers, importers and distributors (“record companies” in general) - for the sale of audio and audiovisual
records and productions. Many of the terms and conditions of that agreement (where applicable) have been
integrated into the Non-Retail Business Blanket Licence Scheme.
APRA|AMCOS has written this guide to provide a working interpretation of the Non-Retail Business Blanket
Licence (BBL). The Guide is provided for information purposes only. It does not replace the BBL and AMCOS
will always refer to the BBL itself in our communications with You. If there are any inconsistencies between the
Guide and the BBL, the BBL prevails.
Background
• AMCOS is a mechanical right collecting society and through its members – Australian music publishers and
songwriters - is the exclusive licensee in Australia of the right to reproduce their musical works in certain
circumstances.
• APRA is a separate organisation with its own Board. However, APRA – under a management arrangement
between the two organisations – administers AMCOS licences. Contact details for APRA and AMCOS are
the same.
• The Copyright Act Part III Division 6, provides for a statutory licence, which is administered by AMCOS for
the reproduction of musical works in records for retail sale. The statutory licence provisions contained in
the Copyright Act do not extend to non-retail sales; however, APRA|AMCOS has been granted a limited
mandate by its members to offer blanket licences for non-retail copying purposes.
• Where applicable, the terms and conditions contained in the BBL are similar to the terms and conditions
provided to AMCOS retail clients. Given the nature of non-retail sales, some differences are unavoidable.
• The BBL covers all physical delivery of copied works. AMCOS has separate published licence schemes for
downloads, ringtone and other digitally delivered product, which are available on request.

estrIctIons under the BusIness Blanket lIcence
The legal framework and the mandate provided to AMCOS by its membership (the copyright owners of the
musical work) on which the Business Blanket Licence is structured means there are a number of restrictions to
this licence. These restrictions are listed below.
1. NO Permission is given to perform AMCOS Works in public or communicate those Works to the public
(other than expressly noted in your agreement).
*The performing right (causing the public to hear the work or communicating the work) is a separate right
to the mechanical reproduction right. A licence to cover the performing right can be obtained separately
from APRA\AMCOS if required.
2. NO permission can be given to reproduce AMCOS Works into an Advertisement
*The mandate provided to AMCOS by its members is limited and does not cover all types of reproductions.
One of those exclusions is the reproduction of music into adverts (eg. the affiliation of a particular musical
work with a specific product, service, organisation or line of business). You will need to obtain a licence
directly with the relevant copyright owner(s) for the use of music in adverts.
3. NO permission can be given to reproduce AMCOS Works or lyrics in graphic form (other than Karaoke
Recordings)
*The reproduction of lyrics – the “print right” is a separate right to the reproduction of the music. AMCOS’
mandate in relation to lyrics only extends to Karaoke Recordings. If you want to supply clients with lyrics to
songs, other than as Karaoke Recordings you will need the permission of the copyright owner directly.
4. The licence DOES NOT include the right to reproduce AMCOS Works that have not been legally purchased.
*AMCOS does not support the illegal distribution of music. Accordingly, this licence does not provide
permission for the reproduction of music which is unlicensed.
5. The licence DOES NOT include the right to reproduce, perform or communicate Sound Recordings (of
AMCOS Works).
*As noted previously in this guide, the Sound Recording (of a musical work) is recognised as a separate
copyright, which is generally owned by the Artist or a Record Company. APRA|AMCOS represents
composers and music publishers only. For further information regarding the licensing requirements of
Sound Recordings please contact ARIA (The Australian Record Industry Association) on 02 8569 1144.
6. The licence does not commence until the upfront fee has been paid and both parties have signed the
licence agreement.
*No contract/agreement can be considered a legally binding document without the signature (indicating
acceptance of the terms of the agreement) of all parties noted in the agreement. Accordingly, the licence
cannot commence until the agreement is signed and the upfront fee (which forms part of the terms of the
agreement) is received by AMCOS.
7. The licence does not include the right to record voice-overs on reproductions of AMCOS controlled Musical
Works.
*Creating voice-overs is viewed as a modification to the orginal musical work and cannot be licensed by
AMCOS under its mandate from members.
Of course, if this guide does not adequately answer your questions, or you require further clarification on any
of the information, please contact AMCOS.
EMAIL nonretlic@apra.com.au | CALL 02 9935 7900

aPPlIcant detaIls
The Agreement once executed, is a legally binding document; and as such, it is of utmost importance that
APRA|AMCOS knows precisely who is the contracting party. Many businesses, for a variety of reasons, prefer to
operate under a trading name; however APRA|AMCOS requires that the agreement is signed in the registered
name of your business. It is this entity that will maintain the royalty payment obligation. Please note that it is
APRA|AMCOS policy to license the controlling legal entity behind a trust, and not the trust itself.
Likewise, the ABN/ACN number should relate to the business name. Should the ABN/ACN number be different
to the business name provided, AMCOS will not process the application, for the reasons noted above
coMMenceMent date
Once the licence agreement has been executed APRA|AMCOS will need to ascertain when to expect the
first royalty reporting (royalty reporting is addressed later in this document). Please ensure you provide the
commencement date, without this information AMCOS is unable to provide a start date for your licence
agreement.
aPPlIcaBle lIcence Fees
The BBL provides for the reproduction of three separate types of reproductions.
i) audio recordings – means all musical works and associated literary works for which AMCOS is entitled to
grant the licence – but excludes AMCOS Production Music Works.
ii) Music Videos – means a cinematograph film to be produced for the primary purpose of promoting the
performer of the sound recording.
iii) karaoke recordings – means any audio-visual production comprising of a musical work synchronised with
images other than those depicting the performance or miming of the work, and a graphic reproduction
of the lyrics of that work to allow members of the public to sing those lyrics but does not include an
Advertisement.
The applicable royalty rates are as follows:
Audio Recordings – 6% of relevant gross revenue (excluding GST)
Music Videos – 5% of relevant gross revenue (excluding GST)
Karaoke Recordings – 10.5% of relevant gross revenue (excluding GST). The karaoke rate includes a 4.5%
print royalty component.
All reproductions contain a minimum “per track” rate. For Audio and Music Video reproductions the minimum
per track rate is $0.10 (excluding GST), for Karaoke recordings the minimum rate is $0.1750 per track
Your rePortIng oBlIgatIons under the BusIness Blanket lIcence
AMCOS makes four distributions to its members per year, the distributions occur in February, May, August and
November. According to the distribution schedule, AMCOS distributes all invoices paid up to the last day in the
month prior to the distribution occurring.
Whilst distribution arrangements are not the subject of the BBL (and are properly a matter between AMCOS
and its members), these distribution dates directly influence the frequency of reporting and the information
required per quarter under the BBL. The current quarterly reporting periods, due date for reports to be
submitted and due dates for payments (per quarter) are as follows:
March quarter 01 January to
31 March each year
reports to AMCOS due
mid April each year
* Payment of invoices raised for
the March quarter are due the
first week of May per year

June quarter 01 April to
30 June each year
september quarter 01 July to
30 September each year
december quarter 01 October to
31 December each year
reports to AMCOS due
mid July each year
reports to AMCOS due
mid October each year
reports to AMCOS
due mid January the
following year
* Payment of invoices raised for
the June quarter are due the first
week of August per year
* Payment of invoices raised for
the September quarter are due
the first week of November per
year
* Payment of invoices raised for
the December quarter are due
the first week of February per
year
What InForMatIon should Be suBMItted to aMcos In Your QuarterlY rePorts
The BBL requires two reports to be submitted per quarter. The first report is referred to as the “Gross Relevant
Revenue” report.
In recognition that sometimes not all revenue streams for Non-Retail clients are generated by the reproduction
of musical works, AMCOS requires that all clients submit “Relevant Gross Revenue” reports. The applicable
royalty rate is then applied to this amount. Because of the different royalty rates it is important that clients
submit revenue generated from Audio recordings, Music videos and karaoke recordings separately.
The second quarterly report to be submitted is referred to as the “Track Information” report. As the name
implies this report must contain the following details about the musical works that have been reproduced
(copied) within that quarter.
SONG TITLE
ARTIST NAME
COMPOSERS (IF KNOWN)
NUMBER OF REPRODUCTIONS WITHIN THE qUARTER.
TYPE OF REPRODUCTION – AUDIO, MUSIC VIDEO OR KARAOKE.
This track information is required for two important reasons, firstly the number of works may trigger the
minimum “per track” rate and secondly, the distribution of the licence fees received is dependent on the
submission of this information.
AMCOS can provide you with reporting templates if required, and is always able to provide advice regarding
the information to be submitted.
AUSTRALASIAN MECHANICAL COPYRIGHT OWNERS SOCIETY LIMITED ABN 78 001 678 851 (aMcos)
RIGHTS ADMINISTERED BY AUSTRALASIAN PERFORMING RIGHT ASSOCIATION LIMITED ABN 42 000 016 099 (aPra)
ADDRESS 16 MountaIn st, ultIMo nsW 2007 | POSTAL ADDRESS locked Bag 5000, straWBerrY hIlls nsW 2012
CALL (02) 9935 7900 | FAx (02) 9935 7963 | EMAIL nonretlIc@aPra.coM.au | WEB WWW.aPra-aMcos.coM.au