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PRODUCTION ROYALTY


PPL explains how a new form for flagging up production contributions will work


LICENSING  BY PETER LEATHEM, CHIEF EXECUTIVE OFFICER, PPL


Producer, the purpose of the new form is to capture the understanding of the featured performers on a recording that the studio producer does qualify and so is eligible to receive payments from PPL. PPL has prepared the form as an optional, practical tool for this purpose. The new form has enormous benefits to


F


ollowing discussions with several industry organisations including MPG, FAC, MMF, Equity and the MU, PPL is pleased


to formally introduce its Eligible Studio Producer Form, bringing further clarity to industry working practice. Once PPL has collected revenue from its


licensees it then has to pay royalties through to its record company and performer members. Performers have a legal right to receive payment (what is known as equitable remuneration) from the public performance and broadcast of recorded music. This means that for each recording that PPL


licenses it needs to know the performer line-up so as to know who to pay. However, this is made more complicated in the case of a studio producer. Even though studio producers may not make


audible contributions on a recording (such as vocals or instrumentals) they may still, in certain circumstances, be eligible to receive royalties from PPL for their non-audible contributions made during the live recording process. They become eligible to receive payments from


PPL as an Eligible Studio Producer if they conduct (or provide a similar musical direction to) another performer’s live performance as it is being recorded. As not all studio producers provide the right kind of contribution to qualify as an Eligible Studio


performers as well as studio producers. The producer is often the only person that is in the studio every single day, every single hour monitoring the progress of a recording session. So he or she is probably best suited to know exactly what was recorded. This form will therefore provide accurate,


additional featured performer line up data for PPL to obtain from the recording session. The Eligible Studio Producer Form is simple to


use and easily accessible from PPL’s website at ppluk.com/studio producers. PPL recommends that the form is signed by all the featured performers on a recording at the time of the recording session and then emailed to PPL at performer@ppluk.com by the studio producer. Once submitted, this form enables PPL to process Eligible Studio Producer claims more efficiently and with greater certainty regarding studio producers’ contributions. Where an Eligible Studio Producer claim is


“In summary, PPL’s new form offers a practical solution for studio producers to make royalty claims....” PETER LEATHEM, PPL


ABOVE Good form: PPL hopes its Eligible Studio Producer Form will help bring producers’ royality claim process in line with performers


There has been no change to PPL’s policy but,


by introducing this simple and transparent process, it allows all parties to reach agreement up front and clarify the payment process in a digital age when accurate and timely data is critical – all of this following the recent investments PPL has made into its IT systems. The main benefits of this new form are:


 It will offer a simple, practical solution for


studio producers to claim royalties from PPL.  Both featured performers and studio producers will now be able to agree, at the point of recording, what contributions have been made on a track by a studio producer and therefore understand better from the outset how any performer royalties earned on the relevant


tracks may be distributed.  It will enable studio producers to substantiate their PPL claims more easily and consequently earn the correct royalties they deserve for


making qualifying contributions to a recording.  PPL will be able to distribute any royalties


earned fairly and efficiently.  Agreement between featured performers and studio producers via this new process helps to avoid disputes at a later date that can delay


accepted by PPL, the studio producer is added as a non-featured performer on the relevant repertoire. This may affect the revenue PPL allocates to the featured performer(s) in relation to that repertoire. In summary, PPL’s new form offers a practical


solution for studio producers to make royalty claims. PPL hopes that its new form will also promote a better understanding around studio producers’ entitlement to receive royalties from PPL and the accompanying claims process.


payment.  The data that will be captured in this form will assist PPL even further in establishing the performer line ups on recordings.


For more information there is accompanying guidance on PPL’s Eligible Studio Producer Policy available online at ppluk.com/studio producers. But our thanks to all for bringing this to fruition because as we have said transparency and clarity of data are critical in today’s music industry.


20.07.12 MusicWeek 25


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