Oklahoma § 15-790 - Copyright owners and performing rights societies - Royalty

§ 15-790. Copyright owners and performing rights societies - Royalty

contracts.

Oklahoma Statutes - Title 15. Contracts

A. As used in this section:

1. "Area" means a circular geographical region having a twentyfive-mile radius surrounding the business location of a proprietor.

In the case of a proprietor with more than one business location,

there shall be a separate area for each location for the purposes of

this section;

2. "Copyright owner" means the owner of a copyright of a

nondramatic musical or similar work recognized and enforceable under

the copyright laws of the United States pursuant to Title 17 of the

United States Code, Pub. L. 94-553 (17 U.S.C., Section 101 et seq.).

"Copyright owner" shall not include the owner of a copyright in a

motion picture or audiovisual work, but shall include, but not be

limited to, the owner of a copyright in a karaoke machine or similar

device;

3. "Performing rights society" means an association or

corporation that licenses the public performance of nondramatic

musical works on behalf of copyright owners, such as the American

Society of Composers, Authors and Publishers (ASCAP), Broadcast

Music, Inc. (BMI), and SESAC, Inc.;

4. "Proprietor" means the owner of a retail establishment,

restaurant, inn, bar, tavern, sports or entertainment facility, or

any other similar place of business or professional office located

in this state in which the public may assemble and in which

nondramatic musical works or similar copyrighted works may be

performed, broadcast, or otherwise transmitted for the enjoyment of

the members of the public there assembled; and

5. "Royalty" or "royalties" means the fees payable to a

copyright owner or performing rights society for the public

performance of nondramatic musical or other similar work.

B. No copyright owner or performing rights society shall enter

into, or offer to enter into, a contract for the payment of

royalties by a proprietor unless at the time of the offer, or any

time thereafter, but no later than seventy-two (72) hours prior to

the execution of that contract, it provides to the proprietor, in

writing, the following:

1. A schedule of the rates and terms of royalties under the

contract; and

2. Annual notice, in a form prescribed by the Attorney General,

that the proprietor is entitled to the information contained in

paragraph 1 of this subsection.

C. Every contract for the payment of royalties executed in this

state shall:

1. Be in writing;

2. Be signed by the parties;

3. Contain a provision requiring notification of any rate

change thirty (30) days prior to expiration date of the contract;

and

Oklahoma Statutes - Title 15. Contracts

4.

Include at least the following information:

a.

the proprietor's name and business address and the

name and location of each place of business to which

the contract applies,

b.

the duration of the contract, and

c.

the schedule of rates and terms of the royalties to be

collected under the contract, including any sliding

scale or schedule for any increase or decrease of

those rates for the duration of the contract.

D. No performing rights society, or any agent or employee

thereof, shall:

1. Enter beyond the usual customer area of a proprietor's

business for the purpose of investigating as to the use of

copyrighted works by that proprietor or for the purpose of

discussing or inquiring about a contract for the payment of

royalties with the proprietor or employees of the proprietor,

without first presenting proper identification as an agent or

employee of a performing rights society to the proprietor or

employees of the proprietor and making known to them the purpose of

the investigation, discussion or inquiry;

2. Collect or attempt to collect a royalty payment or any other

fee, except as provided in a contract executed pursuant to the

provisions of this section;

3. Charge or collect a royalty which is unreasonable in

comparison to the royalties for similar licenses in the same area;

4. Engage in any coercive conduct, act or practice that is

substantially disruptive of a proprietor's business;

5. Use or attempt to use any unfair or deceptive act or

practice in negotiating with a proprietor; or

6. Fail to comply with or fulfill any obligations imposed by

this section.

E. Any person who violates any provision of this section shall

be liable to pay a penalty of not more than Two Thousand Five

Hundred Dollars ($2,500.00) for a first violation and a penalty of

not more than Ten Thousand Dollars ($10,000.00) for a second and

each subsequent offense. The penalty shall be collected and

enforced in the name of the state by the Attorney General in a court

of competent jurisdiction.

F. A proprietor may bring an action or assert a counterclaim in

a court of competent jurisdiction against a copyright owner or

performing rights society, or both, to enjoin any violation of this

act and to recover any damages sustained by the proprietor as a

result of a violation of this section. The proprietor may petition

the court to terminate a contract which violates the provisions of

this section, and the court in its discretion may void the contract.

If successful, the proprietor shall be entitled to recover damages

sustained by the proprietor, together with reasonable attorney fees,

Oklahoma Statutes - Title 15. Contracts

filing fees and reasonable costs of suit, in addition to any other

legal or equitable relief.

G. The rights, remedies and prohibitions accorded by the

provisions of this section shall be in addition to and cumulative of

any other right, remedy or prohibition accorded by common law,

federal law or the statutes of this state, and nothing contained in

this section shall be construed to deny, abrogate or impair any such

common law or statutory right, remedy or prohibition.

H. This section shall not apply to:

1. Contracts between copyright owners or performing rights

societies and broadcasters licensed by the Federal Communications

Commission, or to contracts with cable operators, programmers or

other transmission services. However, if a copyright owner or

performing rights society is licensed by the Federal Communications

Commission, this section shall apply to contracts between that

copyright owner or performing rights society and a proprietor as

otherwise provided;

2. Any conduct engaged in for the enforcement of Sections 1979

and 1980 of Title 21 of the Oklahoma Statutes; and

3. Any performing philharmonic.

Added by Laws 1995, c. 248, § 1, eff. Nov. 1, 1995.