Collective management in the music business

LESSON 5. Collective Management

Rights licensed together are often called ‘blanket’ licenses, as they set one price, or tariff, for a lot of copyright works. These royalties are collected by groups of owners, referred to as ‘collective management’. Being a member of these organisations, you can participate in how they operate.

In order for your music and recordings to be tracked by broadcasters and retail stores for royalties, you need two identifiers: an international standard recording code (ISRC); and an interested party identifier (IPI).

Collective management organisations (CMOs) can be divided into four broad categories:

  • Performing rights (musical and literary works, i.e. songs)
  • Mechanical rights (reproduction of musical and literary works, i.e. songs)
  • Performance or neighbouring rights (sound recordings)
  • Performer rights (artists that feature on sound recording performances)

The Southern African Music Rights Organisations (SAMRO) administers performing rights on behalf of copyright owners of musical and literary works (songs):

Nkateko Maluleke introduces SAMRO (2020)

SAMRO Membership Video (2015)

SAMRO Royalty Distribution Video (2015)

The Composers, Authors and Publishers Association (CAPASSO) administers ‘mechanical’ rights on behalf of copyright owners of musical and literary works (songs):

CAPASSO Introductory Video (2020)

Former-CEO Nothando Migogo explains mechanical royalties (songs) (2016)

Former-CEO Nothando Migogo talking on KFM about mechanical royalties (2016)

The South African Music Performance Association (SAMPRA) and the Independent Music Performance Association (IMPRA) compete for needletime royalty collections:

SAMPRA and IMPRA, SABC deal (2020)

RISA Audio Visual (RAV) and the Association of Independent Record Companies (AIRCO) compete for music video royalty collections:

AIRCO and SABC reach a royalty agreement (2015)

Technologies like Blockchain may revolutionise collective management

Lesson 5. Questions

5.1 Which rights of copyright owners are administered collectively?
5.2 Name the collective management organisations operating in South Africa.
5.3 Name the type of licensing regime that CMOs normally apply due to the large volume of copyright works they administer.

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