Distribution Of Music Royalties In Spain
Want to know how music royalties are distributed in Spain? Learn about the three performance rights organizations that manage music-related copyrights, their competencies, and the parties involved in musical productions.
The music industry in Spain has always been surrounded by confusion, with artists and labels often unaware of who holds the rights to the music they create. However, there are three performance rights organizations for music-related copyrights in Spain, which are SGAE, AGEDI, and AIE. Continue reading on to explore the distribution of music royalties in Spain and get an overview of the parties involved in musical productions, their roles, and how they register with the appropriate management society.
What Are The Royalty Management Societies In Spain For Music-Related Copyrights?
Spain has three performance rights organizations that manage music-related copyrights: SGAE, AGEDI, and AIE.
The Performing Artists' Society is non-profit collecting society in Spain that was created in 1989. Unlike AGEDI, whose members were music producers and publishers, AIE focuses on managing the intellectual property rights of performers over their musical works. Whenever a piece of music whose artists are registered with AIE is publicly reproduced, the reproducing company or individual must pay a fee to the entity, which is distributed fairly and equitably among the performers who participated in the creation of the piece of music.
The Association for the Management of Intellectual Rights is a non-profit association formed in 1989 by music producers. AGEDI manages the intellectual property rights granted by law to phonogram producers, including the public communication of sound recordings and music videos, their reproduction exclusively for the purpose of public communication, and fair compensation for private copying.
The General Society of Authors and Publishers is a private entity that was founded in 1899 to collectively defend and manage the intellectual property rights of its members, specifically authors and publishers. SGAE's objectives include managing royalty collections, distributing the proceeds among authors and publishers, and looking after the interests of its members. It is the most well-known entity in Spain for managing musical copyrights.
Steps To Follow Before Distributing Royalties For Musical Works
Before distributing royalties, several essential steps must be taken to ensure that musical works are appropriately registered and protected. These steps include:
1. Register With The Relevant Copyright Society:
The first step is to register with the appropriate copyright society to protect your music and ensure that you receive your fair share of royalties.
2. Register With The Intellectual Property Registry:
Once registered with the copyright society, the musical works must be registered in the corresponding Intellectual Property Registry for your autonomous community. This can be done by mail, in person, or online by submitting the necessary documentation and paying a small fee.
3. Register With Relevant Collecting Societies:
In addition to registering with the Intellectual Property Registry, the musical works must also be registered with the relevant collecting societies, such as SGAE, AGEDI, and AIE, to collect royalties for public performances, broadcasts, and other uses of the works.
4. Notify Authors' Societies:
If the musical work is to be reproduced during tours, concerts, or events where authors or other artists are participating, the authors' societies must be notified.
How Are Music Royalties Distributed In Spain?
To receive income from the reproduction of musical works in physical or digital media, certain steps must be taken:
- Register with the corresponding author's society.
- Register your musical works or concerts.
- Report your participation in such works or concerts.
Once these steps are completed, income can be earned according to copyright law.
The amount of income is variable, and the SGAE is responsible for distributing it to the lyricists and composers of the songs. The AGEDI distributes revenues to the record labels, and the AIE distributes income to the musicians, singers, interpreters, and performers who contributed to the musical recording.
Public Communication generates royalties every time a song is played on the radio or television, and the societies collect and distribute the income to their partners periodically.
Musical Production Stakeholders and Their Competencies
In the world of musical production, there are various entities involved in the creation and distribution of music. While we are already familiar with the three societies that distribute copyright in Spain, it is important to understand the roles of other actors involved in musical productions to comprehend how royalties are distributed.
Musical artists are the primary individuals who create and perform music. They include musicians, singers, composers, lyricists, and orchestra directors. We can categorize musical artists into three types:
a. Author: This refers to the person who creates an original musical work regardless of the technique or process used. It can include a composer or a lyricist.
b. Performer Artist: This category includes the main artist of a musical group, soloists, or orchestra directors who perform a musical recording with significant importance compared to other artists.
c. Executer Artist: This includes members of a musical group, orchestra, or choir who sing or perform a musical recording along with one or more performers, but with a more secondary character than the main performer.
It is important to note the distinction between creating and performing music. The lyricist and composer create music, while singers and musicians perform it. In some cases, the same person can be a lyricist, composer, singer, and musician at the same time.
2. Music Publisher
The music publisher's role is to make the author's work known, find music producers or digital platforms interested in using the author's work, and share sales revenues fairly and transparently with the author as agreed in a private contract.
3. Music Producer
The music producer is responsible for controlling recording sessions, guiding performers during the recording, contributing ideas for the musical project, supervising the final mix, and performing the mastering process.
4. Record Label
A record label is a company that discovers musical artists, hires them, and records their musical pieces in the studio, as well as handling the entire process of record distribution, marketing, and sales. They may also have their own music producers or production companies.
The Core Competencies Of Authors' Societies
In Spain, three entities – SGAE, AGEDI, and AIE – are responsible for managing and distributing copyrights, each catering to a different audience. Despite their differences, all three societies share similar competencies, which are as follows:
1. Royalty Collection and Distribution: The primary responsibility of these societies is to collect and distribute the royalties of their members through collective management. This process ensures that the authors' works are used in exchange for fair compensation.
2. Legal Compliance: They oversee the compliance, implementation, and development of laws that protect collective management. This is to ensure that their members' rights are safeguarded while their works are being used.
3. Advocacy and Development: They defend and develop rights, treaties, and laws that enable effective, honest, and transparent collective management in any territory where the rights of artists are respected. This includes both analog and digital environments.
Spain has three performance rights organizations that manage music-related copyrights: SGAE, AGEDI, and AIE. These organizations play a crucial role in the distribution of music royalties in Spain, and musicians and labels need to register with the relevant societies to protect their intellectual property rights. To ensure the proper distribution of royalties, it is necessary to register with the Intellectual Property Registry, notify authors' societies, and report participation in musical works or concerts.