More than 100 KTVs in Shenzhen agreed to pay for music in a
deal with the local branch of the Music Copyright Society of China
(MCSC) recently, after a local KTV was sued over copyright
infringement, a Daily Sunshine report said yesterday.
Shenzhen Tiannaicun KTV offered to pay 100,000 yuan (US$12,300)
to the MCSC on Tuesday, three months after it was brought to court
Jan. 23, the report said.
The MCSC, the plantiff, said the KTV had been using 20 songs
without its approval and had not paid for the music. It claimed
200,000 yuan in compensation.
Du Baoping, head of the city's entertainment trade association,
a major mediator in the lawsuit, said: "Using music is not
free.lunch."
According to Du, most local KTV operators are aware of this, but
don't know who to pay and how much.
According to national law, a dining hall, bar or cafe no bigger
than 40 square meters in size needs to pay 0.025 yuan (US$0.003)
per square meter each day while the fee is 0.02 yuan per square
meter for those bigger than 40 square meters.
A KTV normally has to pay an annual fee of 100,000 yuan, or 300
yuan per day, which is the equivalent of the charge for a private
room per night.
In June 2003, Crowne Plaza Shenzhen became the city's first
hotel to pay for background music to the local branch of the
MCSC.
The two signed an agreement, which allows the hotel the rights
to use works by domestic and international composers as background
music.
(Shenzhen Daily April 27, 2006)