Music licensing checklist for restaurants, bars and hotels (US rules)

1. What plays in your venue

• Every room and area where music plays: dining room, bar, patio, lobby, event spaces.
• The background music source in each area: a business music service, a personal streaming account, radio or TV, or your own downloads, CDs or vinyl.

  Personal Spotify, Apple Music and YouTube accounts are limited by their terms to personal, non-commercial use. Explained in Spotify in a business.

• Live music nights: how often, and in which room.

  ASCAP, BMI, SESAC and GMR each say the license for performances on your premises is the business’s responsibility, not the performer’s. Explained in Live music, DJs and karaoke.

• DJ, karaoke and other entertainment nights, and any admission or cover charge.

  Business music services generally do not cover DJs or karaoke, and some exclude nights with an admission charge. Explained in Live music, DJs and karaoke.

• TVs and radio: how many screens and loudspeakers, in which rooms, the largest screen size, and the venue’s gross square footage.

  The exemption for radio and TV broadcasts depends on size and equipment, and never covers streaming, live music, DJs or karaoke. Explained in The small-business exemption.

• Videos with music that you post on social media or use in marketing.

  Music in a video you post is a different use from music played in the room, and the broadcast exemption does not cover it. Explained in The small-business exemption.

• Who controls the music and the volume in each area, and at what times.
• The venue’s official occupancy figure.

  ASCAP and BMI both tie their fees to occupancy. Explained in What a license costs.

2. What you hold

• Your music service: its name, the plan you are on, and a copy of its terms or contract.

  A service generally covers its own recorded catalog played in public areas, not live performances, DJs or karaoke. Explained in Spotify in a business.

• PRO licenses the venue holds directly

  ASCAPBMISESACGMRNot sure

  Each PRO licenses only its own members’ works, so one license does not cover another’s songs. Explained in ASCAP, BMI, SESAC and GMR.

• Invoices, license agreements and letters from each PRO and from the music service, filed in one place with their dates.
• What each license and service costs per year, taken from the invoices.
• Booking agreements with bands and DJs, and the name of any DJ streaming service they use.

  Some DJ services say their subscription does not cover playing in public. Explained in Live music, DJs and karaoke.

3. Questions to put in writing

Ask each provider in writing, keep the replies with your invoices, and ask before you cancel anything.

To your music service

• “Which uses and which areas does our agreement cover? Please quote the clause.”
• “Does it cover live music, DJs, karaoke, or nights with an admission or cover charge? Please quote the clause.”

  Several services say in writing that live entertainment is outside their license. Explained in Live music, DJs and karaoke.

• “Does it cover music in videos we post on social media?”

To each PRO

• “Which uses does our license cover: recorded music, live music, DJs, karaoke, TVs?”
• “Which occupancy figure and which music uses is our fee based on?”

  ASCAP and BMI base fees mainly on occupancy and how music is used. Explained in What a license costs.

• From any PRO you do not hold a license with: a written quote based on your occupancy and music use.

4. If a letter arrives

• Read it in full. Note who sent it, the date and any deadline, and check that it comes from a genuine PRO.
• Do not ignore it.

  Several lawsuit complaints reportedly describe repeated licensing contact before filing. Explained in Got a PRO letter?

• If it mentions a lawsuit, a lawyer or a deadline, speak to a licensed attorney first.
• Gather sections 1 and 2: your music uses, your music service terms and your PRO invoices.
• Reply on time, with facts.

What the letter means, step by step: Got a letter from BMI, ASCAP, SESAC or GMR?