Exclusive Rights in Music in U.S Copyright Law?

Understanding which power of the exclusive rights you hold is the difference between a secure investment and a legal liability.

Disclaimer: This Article is for general informational purposes only and does not replace legal advice for specific situations.

TL; DR

The owner of a copyrighted musical work or sound recording in the U.S. does not hold a vague "right to own" but rather a specific "bundle of rights". These six exclusive rights, ranging from reproduction to digital transmission, form the legal basis for all music licensing, copyright structures, and infringement litigation in the U.S.

What are exclusive rights?

Before we begin, the exclusive rights of copyright law only apply to the U.S. and the U.S. territories. If you are from outside of the U.S. it might be more helpful to research your country's copyright laws and see if they have similar rights like the exclusive rights that the U.S. has.

In simple terms, "Exclusive rights" means that you, as the creator, are the only person allowed to do certain things with your works. The exclusive rights of copyright law began as five basic rights given to all creators. However, with the advancements of technology a sixth basic right has been added to the list. These basic rights are found within Section 106 of the U.S. Copyright law. Each of the exclusive rights have a different way of helping a creator.

Why does this concept exist?

These six rights form the absolute foundation of the entire music business and licensing ecosystem. By granting creators these exclusive powers for a limited time, the U.S. ensures that artists can profit from their labor.

See more: "Why Music Copyright Matters?"

The six exclusive rights in the U.S.

To navigate these rights, one must first understand that every recorded song contains two separate copyrights: the Composition (the underlying music and lyrics) and the Sound Recording (the specific audio fixation). Any exploitation of music requires identifying which of these two copyrights is being used, as the exclusive rights apply differently to each.

See more: "Which parts of a song are protected by copyright?"

The owner of a copyright possesses the exclusive rights [1] to do, or to authorize others to do, the following:

• The right to reproduce the work in copies or phonorecords. 

This right gives a creator the opportunity to reproduce their work. Meaning they can duplicate, transcribe, imitate, or simulate the work in a fixed form (copies or phonorecords). For a Composition, this includes printing sheet music or manufacturing a CD. For a Sound Recording, this involves pressing vinyl or creating digital audio files (e.g., MP3s) for download.

• The right to perform the work publicly.

The owner has the exclusive right to perform these works in public. This right applies to literary, musical, dramatic, and choreographic works, but traditionally does not apply to Sound Recording. It grants the owner of Composition the right to control the performance of the song in public. 

A "public performance" occurs when music is played outside of a normal circle of friends and family, such as live concerts, radio broadcasts, playing records in nightclubs or restaurants, or streaming over the internet. 

• The right to prepare derivative works based upon the copyrighted work. 

This is the power to create new content based upon the original copyrighted works, including translations of lyrics, musical arrangements, remixes, mash-ups, or parodies. For example, taking an original melody and adding parody lyrics constitutes a derivative work.

• The right to display the work publicly. 

This refers to the exclusive right of the copyright owner to show the visual components of a musical work, such as album artwork, music videos, or sheet music lyrics. In the music industry, this primarily applies to the displaying of sheet music or the posting of song lyrics on websites, merchandise (like T-shirts), or in videos.

• The right to distribute copies or phonorecords.

The copyright owner can control the distribution of their work by sale, transfer of ownership, rental, lease, or lending to the public. This covers the physical or digital distribution of music, such as selling CDs in a retail store, or distributing permanent digital downloads on iTunes. 

• The right to perform the work publicly by means of a digital audio transmission.

Added to the Copyright Act in 1995, this right specifically protects Sound Recording. 

This right applies mostly to streaming services and their use of Sound Recordings on their platforms. This right applies to both non-interactive streaming and interactive streaming. The U.S. Copyright law does not grant a performance right to Sound Recordings for traditional terrestrial broadcasts. However, under this sixth right, copyright owners of Sound Recordings can control and collect royalties from digital, non-interactive transmissions, such as satellite radio.

Mastering the six exclusive rights under U.S. framework is not merely a matter of legal compliance, it is a strategic approach to building a successful music business. 

Rather than viewing copyright as a single, indivisible concept, breaking it down into its individual exclusive rights enables artists and producers to maximize the commercial value of each work. A clear understanding of which rights you control empowers you to negotiate with confidence and to protect your intellectual property in a sustainable and strategic manner.

Statutory limitations and exceptions

While Section 106 grants an "absolute monopoly" to the copyright owner, US law provides essential limitations to these exclusive rights:

• Compulsory Licenses. See more: "Compulsory Licensing"
• Fair Use. See more: "Fair Use vs Fair Dealing (US Law)"

Please continue following our Articles to gain a deeper understanding of the statutory limitations and exceptions outlined above.

REFERENCES

[1] Section 106 U.S. Copyright Law.