A digital phonorecord delivery does not result from a
real-time, non-interactive subscription transmission of a sound
recording where no reproduction of the sound recording or the musical
work embodied therein is made from the inception of the transmission
through to its receipt by the transmission recipient in order to make
the sound recording audible.
Section 116. Negotiated licenses for public performances by means of coin-
operated phonorecord players [52]
(a) Applicability of Section. This section applies to any nondramatic
musical work embodied in a phonorecord.
(b) Negotiated Licenses.-
(1) Authority for negotiations. Any owners of copyright in works to
which this section applies and any operators of coin-operated
phonorecord players may negotiate and agree upon the terms and rates of
royalty payments for the performance of such works and the proportionate
division of fees paid among copyright owners, and may designate common
agents to negotiate, agree to, pay, or receive such royalty payments.
(2) Arbitration. Parties not subject to such a negotiation, may
determine, by arbitration in accordance with the provisions of chapter
8, the terms and rates and the division of fees described in paragraph
(1).
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