INTRODUCTION:

In India, the music industry is governed under copyright laws. It protects the rights of the composers, lyricists and performers. Lately, hotels and banquets are demanding licenses such as Public Performance License (PPL), the NOVEX license, and the Indian Performing Right Society (IPRS) for the public performance and reproduction of music in wedding.

Until recently, public venues organizing weddings and related functions were exempt from obtaining music licenses, relying on the doctrine of fair use and section 52 of the Copyright Act, 1957 and DPIIT’s notice dated 24th July 2023 (Link Below) to play music without the need for formal registration. However, on November 7th, 2024 (Link Below), this landscape shifted dramatically.

The Department for Promotion of Industry and Internal Trade (DPIIT) issued a notice that allegedly removed the exemptions previously granted to weddings and related ceremonies, allegedly making it mandatory for all public venues involved in these events to secure key music licence. The move aims to ensure that creators and copyright holders are compensated for the use of their works during public events. However, this extension of the music licensing requirement has caused significant confusion and disruption. In particular, unauthorized bodies like PPL (Phonographic Performance Limited) and NOVEX have reportedly approached wedding events without proper notice, interrupting performances, and making demands for licensing fees. This has raised concerns among event organizers and clients, who are often caught unaware by these actions, leading to embarrassing situations and potential legal trouble.

To prevent such chaotic and costly scenarios, it is imperative that venues obtain the necessary necessary licence, from registered copyright society, which in the present case is RMPL. Let’s read more about this topic in detail:

WHAT IS THE PUBLIC PERFORMANCE LICENSE (PPL) ?

The Public Performance License (PPL) is issued by Phonographic Performance Limited, a private entity, claiming to authorize the use of pre-recorded music in public spaces, including weddings. PPL states that its license fees are determined based on factors like the number of attendees, event type, and celebrity presence, often amounting to exorbitant sums ranging from tens of thousands to lakhs of rupees. However, it is crucial to note that:

• PPL is not a registered copyright society.
• Its operations lack statutory authorization under the Copyright Act, 1957 to issue licence.
• The exorbitant fees it charges have no legal basis and are not subject to consultation with user groups as mandated by law.

Thus, the PPL license has no enforceable legitimacy for weddings or similar events. The exorbitant fees charged by Phonographic Performance Limited for the grant of PPL licence can be seen here: https://odin-api-prod.pplindia.org/public/uploads/33D_-_Social_function_in_a_commericial_premises-1722497326525.pdf

WHAT IS NOVEX LICENSE ?

Novex Communications Pvt. Ltd. issues a license named ‘NOVEX’ which allegedly issue licenses to safeguard the rights of performers and ensure royalties for the commercial use of their work. Like PPL, NOVEX charges steep fees for its licenses, determined based on event-specific parameters. However:

• NOVEX is also not a registered copyright society.
• Its operations lack statutory authorization under the Copyright Act, 1957 to issue licence.
• The exorbitant fees it charges have no legal basis and are not subject to consultation with user groups as mandated by law.

Consequently, NOVEX licenses for wedding music are legally invalid, and any demand for payment by NOVEX lacks statutory backing. The exorbitant fees charged by Novex Communications Pvt. Ltd. for the grant of Novex licence can be seen here: https://www.novex.in/wp-content/uploads/2024/10/Events_Rate_Card-2024-25-as-of-1st-March-2024.pdf

WHAT IS INDIAN PERFORMING RIGHT SOCIETY (IPRS) ?

The Indian Performing Right Society (IPRS) is allegedly responsible for managing the performing rights of music creators such as composers, lyricists, and music publishers. When music is performed publicly, whether live or via a recording, the IPRS allegedly ensures that the creators are paid for the public performance of their works. While license under IPRS can be obtained freely through their website for weddings , it is not mandatory to obtain the same since licences do not apply to wedding ceremonies and related social festivities due to the explicit exemption under Section 52(1)(za) of the Act.

The fees structure of IPRS has can be seen here: https://iprs.org/wp-content/uploads/TARIFF-LP-DJ.pdf

What is Recorded Music Performance Ltd. (RMPL) ?

RMPL is the only statutorily recognized copyright society authorized to manage public performance and broadcasting rights for sound recordings in India. Importantly, RMPL:

• Does not charge fees for weddings or associated events, recognizing the statutory exemption under Section 52(1)(za) of the Copyright Act.
• Provides licenses for other public events, ensuring compliance with copyright laws without overreach.

RMPL stands as the legitimate authority for music licensing, and its policies align with the legal framework governing copyright in India. Link to RMPL’s website: https://www.rmplindia.org/index.php#whatrmpl

Clarification by the Hotel and Restaurant Association of India (FHRAI)

The Federation of Hotel and Restaurant Associations of India (FHRAI) on 12 Nov, 2024 has refuted claims that music licenses are required for weddings and associated events. In its clarification:

1. Statutory Exemption: Section 52(1)(za) of the Copyright Act explicitly exempts music played during bona fide religious ceremonies, including weddings and related functions like sangeet, haldi, baraat, and receptions.
2. Misinterpretation of Orders: Neither the Goa High Court’s order dated August 13, 2024, nor the DPIIT notice of November 7, 2024, negates this exemption. These documents address broader licensing issues but do not override the statutory exemption for weddings.
3. Avoiding Unauthorized Demands: FHRAI advises venues to inform clients of the exemption and report any undue demands from unauthorized entities like PPL and NOVEX.

This clarification reinforces the position that weddings remain exempt from music licensing requirements, ensuring smooth and lawful celebrations. Link to the public notice from FHRAI: https://www.fhrai.com/news_details.aspx?Id=32e64e0e-e5b5-45f5-8854-9ada5e45d705

IMPACT OF THE ORDER ON PUBLIC VENUES

The DPIIT’s recent notice emphasizes the need for public venues hosting events to obtain licenses from legitimate copyright societies for playing recorded music. However, this requirement does not apply to weddings and related ceremonies due to the exemption under Section 52(1)(za).

Further, in Para 16 of the judgement in the case of M/S Event And Entertainment Management Association (EEMA) v. Union Of India, 2016 SCC OnLine Del 6532, Hon’ble Delhi High Court held that “However, it is clear that since PPL, IPRS and Novex are not copyright societies, a direction to conduct enquiry under section 33(4) of the Act cannot be issued“.

Further, in the case of M/s Novex Communications Pvt.Ltd vs Dxc Technology Pvt. Ltd., Hon’ble Madras High Court held that “It appears that the attention of the learned single judge was not drawn to the legislative history which culminated with the insertion of the second proviso, which would clearly demonstrate that the applicability of the second proviso to Section 33 had nothing to do with Section 34(1)(a). Furthermore, the second proviso is clear to the effect that the “business of issuing or granting licenses” shall be carried out only through a copyright society.”

“Once it is found that the plaintiff is statutorily barred from issuing licenses in view of Section 33, there can be no question of the defendant being mulcted with liability failing to obtain a license which the plaintiff cannot, in law, grant. It must necessarily follow that the very substratum for the relief of injunction and damages, claimed in the two suits, must crumble like a pack of cards.”

Hon’ble High Court of Judicature at Madras held that since NOVEX is not a copyright society, the same is not entitled to seek remedy for infringement of copyright. In fact Hon’ble High Court of Judicature at Madras awarded Rs.1 Lakh each from NOVEX to other parties against whom NOVEX initiated the proceedings to punish NOVEX.

Unauthorized entities such as PPL and NOVEX have misused this notice to demand exorbitant fees, causing confusion and disruption at wedding events. Public venues must:

• Engage only with RMPL, the recognized copyright society.
• Refuse unlawful demands from non-statutory entities like PPL and NOVEX.
• Educate clients about their legal rights and the statutory exemption.

Conclusion:

In light of the above legal provisions and the interpretation of the Copyright Act, it is clear that the licenses issued by entities such as PPL, NOVEX, and IPRS hold no legal basis, as these organizations are not registered copyright societies. According to the Copyright Act, only a duly registered copyright society, such as the RMPL (Recorded Music Performance Limited), has the authority to issue public performance licenses. NOVEX, PPL, and IPRS are private entities, not statutory bodies recognized under the Act. Their role, therefore, is neither authorized nor required for the purpose of public music performance at weddings or similar events. Their claims to issue such licenses are not only baseless but also seem to be a tactic to extort unreasonable fees from event organizers and venue operators.

As per Section 33 of the Copyright Act, only a registered copyright society can engage in the business of granting licenses for public performances of musical works. The clarification issued by the Copyright Registry reinforces this, and NOVEX and PPL are in direct violation of this provision by issuing licenses without legal authority.

Furthermore, the Copyright Act, under Section 52(za), explicitly exempts the performance of literary, dramatic, or musical works during bona fide religious ceremonies—including weddings—from being considered copyright infringement. This exemption covers all social festivities related to a wedding, such as sangeet, haldi, baraat, and the reception, among others. Thus, no licensing body, including NOVEX, PPL, or IPRS, is required or authorized to demand payment for such performances at wedding-related events.

Moreover, the fees charged by NOVEX and PPL are exorbitant and not supported by any statutory tariff. The Copyright Act mandates that copyright societies must consult user groups when determining licensing fees to ensure fairness and reasonableness. Since NOVEX and PPL have not complied with this requirement, their fees are unjustified and unlawful.

In conclusion, there is no legal obligation to obtain licenses from NOVEX, PPL, or IPRS, as these are not recognized copyright societies under the Copyright Act. The RMPL license is the sole legitimate license required for playing recorded music at public events, including weddings. Any demands for payment from non-copyright societies like NOVEX and PPL are therefore not only unfounded but also unlawful. The exemption for religious and wedding ceremonies remains intact, and as such, event organizers should not be coerced into paying unwarranted fees for music licenses.

Should you require any further clarification or assistance in navigating these licensing requirements, please feel free to contact J.P. Associates. We are here to help you ensure that your events are legally compliant, smooth, and free from unnecessary disruptions.

Email: contact@jpassociates.co.in
Website: https://jpassociates.co.in

Author: Swati Agrawal and Adv. Swapnil Agrawal

References:

https://www.indiacode.nic.in/show-data?actid=AC_CEN_9_30_00006_195714_1517807321712&sectionId=14572&sectionno=52&orderno=70
https://dpiit.gov.in/sites/default/files/publicNotice_24July2023_0.pdf
https://dpiit.gov.in/sites/default/files/Notificaiton_11072024_0.pdf
https://www.pplindia.org
https://www.novex.in
https://iprs.org
https://www.indiacode.nic.in/show-data?actid=AC_CEN_9_30_00006_195714_1517807321712&sectionId=14572&sectionno=52&orderno=70

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