- Internet; MP3; burning CDs
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Why are royalties charged on blank CDs?
Private copying is allowed. Personal data or music can be copied onto blank CDs. It is impossible to check who is copying what. That is why a royalty fee is also charged on blank CD data carriers (CD-R data). At 5 cts per hour or per 525 MB storage capacity, the royalty is significantly lower than for blank audio CD-Rs or audio cassettes, which are subject to a charge of 33 cts per hour or per 525 MB storage capacity. The rates were set taking into account the fact that personal data can also be stored on these carriers.
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Why is SUISA demanding a licence fee on MP3 players?
No remuneration is charged on CDs or music files purchased on the internet for private use. Nor is any remuneration due since private use is authorised by law. Anybody who wants to copy music files from a CD or the internet for his private use can do so unrestrictedly. The law provides for a fee on blank media carriers (CD, DVD, MP3 players and the like), payable by the maker or importer (not the buyer). The consumer never has to pay a royalty. The producer or importer may, however, pass on the cost to the consumer.
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Are you allowed to burn your own CDs or DVDs?
You may burn your own CDs and DVDs provided
- the CD or DVD is for your own private use, or
- the CD or DVD is a gift for a close friend or relative.
You may not burn your own CDs and DVDs if
- you intend to sell the them without having obtained the authorisation of the record company or a licence from SUISA, or
- the CD or DVD is a gift for someone other than a close friend or relative.
The Copyright Law authorises the use of a work «in the personal sphere or within a circle of persons closely connected to each other, such as relations or friends». According to case law and literature, the circle is construed very restrictively. Moreover, you have to burn the CD or DVD yourself; you cannot pay a reproduction facility or anyone else to do it for you. In burning your own CDs or DVDs, you should bear in mind that you are not just damaging the record companies, you are jeopardising the livelihood of authors and performing artists.
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How is music on demand regulated?
For whole music titles offered (generally against payment) on demand (MOD), and for video on demand (VOD), contracts are negotiated individually with the users. For music and audio, the contracts are based on the rules agreed with the recording industry. Currently, the royalty is 8% of income with a minimum of CHF 0.10 per use (download or listening) for works not exceeding 4 minutes.
Information, tariffs, forms and licences are available from:
for German-speaking Switzerland and Canton Ticino:
SUISA Zurich, Frank Dietiker, +41 44 485 66 66
for French-speaking Switzerland:
SUISA Lausanne, Olivier Mottier, +41 21 614 32 32 -
What are broadcasting uses?
Broadcasting uses are (generally) direct transmissions via internet of live music or events, or radio and television programmes broadcast via internet. These online uses of music are analogous to broadcasts.
Royalties are charged as a percentage of the income or costs for the relevant use in accordance with the tariff for broadcasting rights (CT S). All amounts paid to the broadcast provider by way of sponsoring, bartering, advertising, subscription or access fees, etc. qualify as income; on the other hand, all expenditures in connection with the use of the music including, for example, for recording equipment, server storage space or personnel costs in connection with the «broadcast» qualify as costs.
Deferred transmissions qualify as on demand.
Information, tariffs, forms and licences are available from:
for German-speaking Switzerland and Canton Ticino:
SUISA Zurich, Frank Dietiker, +41 44 485 66 66
for French-speaking Switzerland:
SUISA Lausanne, Olivier Mottier, +41 21 614 32 32 -
What about the use of music on the internet for advertising and promotional purposes?
If you use music in combination with images or other content (e.g. if you synchronise a sound or video track), you first have to obtain the synchronisation rights from the right-holders.
In principle, SUISA charges royalties in accordance with the VN Tariff. This is the applicable tariff for the production of audiovisual media carriers; since 2008, under certain conditions, it also applies to lump-sum licences for music offered online.
Information, tariffs, forms and licences are available from:
SUISA Lausanne / Lysander Gelewsky (phone 021 614 32 32) -
Are royalties due for online sound samples?
Sound samples are short excerpts of individual titles published online in a CD catalogue, on a band’s website or designed to promote a band or an event. As a rule, sound samples are simply audio-files freely made available on a website.
Royalties for promotional sound samples are generally charged on a lump-sum basis. The lump-sum royalty is CHF 100.- (not including VAT) per quarter, or CHF 50.- (VAT excl.) if no more than 20 samples are placed on the server per quarter.
Information, tariffs, forms and licences are available at:
for German-speaking Switzerland and Canton Ticino:
SUISA Zurich, Roger von Rotz, +41 44 485 66 66
for French-speaking Switzerland:
SUISA Lausanne, Olivier Mottier, +41 21 614 32 32 -
Is it lawful to download music from file-sharing sites?
It is common ground that uploading, i.e. the placing of protected works online, is subject to the consent of the right-holders (authors, or copyright collecting societies on their behalf, record producers etc.). Users of file-sharing sites who do not have such consents are acting unlawfully. The prevailing view, however, is that private downloading in Switzerland does not require the author’s consent – even if the music was unlawfully made available. Since there is no legal precedent so far, the question cannot be conclusively decided (in Germany, for example, it is unlawful to download music files that are «clearly» illegal).
In practice, the question never arises in this form. If you have relatively recent P2P software, the titles on your hard disk automatically become available online. This is illegal and unless you obtain the necessary licences you may be exposing yourself to prosecution. Besides, P2P sites largely contribute to the steep decline in record sales; they damage the music industry and jeopardise the livelihood of authors and performers. When you engage in P2P file-sharing, you cause prejudice to the very artists you love.
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Who is responsible for obtaining a licence to use a musical work on internet?
First and foremost, the provider. The provider is the natural or legal person who makes a protected work publicly available on a server. As the provider, he is also responsible for the website’s contents and must apply for all the necessary licences. Secondly, responsibility lies with the service provider, who can be made liable.
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Do I have to pay royalties if I offer music for free online?
Yes. Basically, it makes no difference whether or not a musical work is used commercially on the internet.
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What terms and conditions are applicable to online uses of musical works?
Online uses of musical works are basically no different from any other uses. SUISA applies its existing tariffs and calculates the royalties by analogy.
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What specific forms of use apply to the internet?
There are three categories of uses on the internet:
- uploading musical works on a server;
- making musical works available online;
- downloading musical works from the internet.
The internet is not a legal no man’s land. The Copyright Law regulates all uses clearly. For example: Uploading a musical work on a server is equivalent to (digitally) reproducing that work.
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Can I publish my compositions on internet?
Yes. As the author of the music or lyrics of a musical work, you alone can decide how the work is used. If you have assigned part of your rights, you should be aware of the two following points:
- If you are a member of SUISA, you may only publish your work free of royalties on your own website. If your work is published on a third-party website such as MP3.com, the owner of the website has to apply for a licence and pay the licence fee.
- If you have a contract with a publisher or a recording company, you have transferred certain rights to them. If you publish a work online that is covered by such a contract without the consent of the publisher or the recording company, you will be infringing your contract.
- General
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Do I have to pay royalties when musicians play their own works?
Yes. If the performer is also the composer, lyricist or arranger (author), and is a member of SUISA, he has assigned his rights to SUISA and SUISA collects the royalties on his behalf. Accordingly, he no longer holds those rights and cannot negotiate payment directly with the organiser.
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As an organiser, do I always have to pay royalties?
Do I have to pay royalties when
- admission is free?
- the event was a non commercial event?
- the event made a loss?
Yes. The economic success of an event is the organiser’s affair. Royalties are fixed costs like beverages and lighting, and must be paid whether or not the event turns a profit.
Do I have to pay royalties for- private events or
- club events not open to the general public?
For private events you do not need a licence and you do not have to pay royalties. However, the term «private» is restrictively defined by law: it applies only to a single individual who enjoys music with a small circle of close friends or relatives (Article 19(1) (a) of the Copyright Law). It follows that, even though they are not open to the general public, events organised by clubs, associations, companies, army units and the like are not private events.
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What if I do not declare an event and do not pay royalties?
In that case, you may be prosecuted. SUISA can also impose a 100% surcharge if the requisite information is not even provided after a reminder. If payment is refused repeatedly, SUISA may issue a music ban and prohibit you from using music publicly.
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I already pay the musicians, why do I have to pay royalties to SUISA too?
The musicians’ fees remunerate their performance. Their fee does not cover the authors’ creative work or the right to perform the authors’ works. The performer and the author are two legally separate persons even if they may be one and the same individual. Each of the performer and the author is entitled to remuneration: the author is entitled to a royalty and the performer to his fee.
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Do I have to prepare repertoire lists even for artists who are not SUISA members?
Yes. You have to send SUISA a list for all the artists. SUISA has to collect royalties even for authors who are members of foreign collecting societies. If the author has not transferred his rights, you have to pay him individually. Royalties are not due for works which are not arranged and whose author has been dead for 70 years or longer.
SUISA requires a list of works performed to be filled in for each concert, even if the client believes that the repertoire only contains unprotected works. It is hardly possible for an organiser to check a complete programme for all the relevant points.
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The musicians only play unprotected music. Do I still have to pay royalties?
No. But you still have to provide SUISA a complete, detailed list of all the works. If the musicians only performed works in the public domain, naturally you will not be charged any royalties.
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The musicians only play foreign music. Do I still have to pay royalties?
SUISA has concluded reciprocity agreements with over 100 foreign sister societies. By virtue of those agreements, it is also obliged to collect and pass on the royalties for foreign authors.
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Isn’t the rental price included in the purchase price for a video or DVD?
No. Rental royalties cannot be included in the price of videos and DVDs since the Copyright Law provides that only collective administration societies are entitled to collect rental fees (Article 13(3)). The higher price for rental cassettes is due to the exclusivity period during which films are not allowed to be broadcast on television.
- About SUISA royalties in general
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How much do I have to pay to use music publicly?
Royalties vary depending on how music is used. For example, royalties for concerts are higher than for retail outlets playing background music. This is due to the different values: you go to a concert essentially only for the music, whereas when you are shopping, the music in the background is of secondary value. The royalties for the various types of music uses are set out in our tariffs. LINK
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On what criteria are royalties based?
The tariffs of the five Swiss collective administration societies must comply with the equity principle enshrined in the Copyright Law. In setting its tariffs, SUISA takes the following criteria into consideration:
- the proceeds generated by the use of the music or, alternatively, the costs in connection with such use;
- the type and number of works used; and
- the breakdown between protected and non protected works.
As a rule, royalties do not exceed 10% of the proceeds (for example, ticket sales) or costs (for example, performers' fees).
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How does SUISA set its tariffs?
The law requires all Swiss copyright societies to issue tariffs for their royalties. The tariffs are negotiated with representative user associations. The Federal Arbitration Commission, an equal representation body elected by the Federal Council, approves the tariffs which are then published in the Swiss official trade journal (Handelsblatt/Feuille Officielle Suisse du Commerce). This procedure is designed to ensure that the tariffs are not abusive.
- Declaration of an event
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When do I have to declare a musical event?
All musical events which are not private affairs have to be declared. You do not need a licence to play music at an event attended by a small circle of close friends and relatives, such as a birthday party or a wedding. But as soon as you go beyond the limits of your private sphere, you have to declare the event and obtain a licence from SUISA.
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Who has to apply for the licence to use music publicly?
The organiser has to apply for the licence. The organiser is the person responsible for the use of the music, e.g. the owner or operator of a club, a radio or television station, or the association organising an event.
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Why aren’t the musicians responsible for declaring the event and paying the royalties?
Because they are employed to perform – they offer a service for which they receive a fee; they are not organising the event.
- Information on concerts and comparable performances (Common Tariff K)
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What is the procedure for organising a concert?
To perform protected music in public, you first need to apply to SUISA for authorisation. Application forms can be obtained from SUISA. The forms should be filed with SUISA at least 10 days before the concert. To calculate the royalties properly, SUISA needs to have a detailed list of the works to be performed and your income and expenditures statement.
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Which events are subject to CT Ka/Kb and which are subject to CT Hb?
Royalties are charged on the basis of Common Tariff Ka/Kb if the public is coming deliberately for the music. An exception to that rule is the concerted or concert-like intermezzo lasting less than one hour (or less than one hour in total where there are several performances on the same day). If the intermezzo is part of a dance and recreational event, Common Tariff Hb applies.
The decision to apply CT Ka/Kb or CT Hb cannot depend solely on the popularity of the performer since public taste evolves much too quickly. SUISA has to base its rates on other criteria such as ticket price, location, advertising and other expenditure items.
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Can I negotiate an annual flat fee for concerts?
No. Royalties for concerts are calculated as a percentage of concert revenues or costs in connection with music use. The financial situation of each event is thus equitably taken into account.
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Why are concert royalties sometimes calculated on costs?
SUISA normally calculates royalties based on income. Royalties are calculated on costs in certain exceptional cases (tariff Ka only) such as:
- charity events where the profit goes to the needy;
- if the revenues cannot be established;
- if, from the outset, the client expects to have to cover all or a portion of the costs from his own funds.
- Information on music in the context of dance and recreational events outside the hotel industry (discos, club and association events etc. / Common Tariff Hb)
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Why is a company event not considered a private event?
Under the Copyright Law, private events are birthdays, weddings and similar parties which take place in a close circle of family and friends. Events organised by clubs or associations do not qualify as private events and are therefore subject to royalties.
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How are royalties under CT Hb distributed?
If SUISA has a programme list, it can distribute royalties to the authors of the listed works. Where SUISA does not demand programme lists in order to avoid excessive costs, royalties are distributed on a «lump sum» basis. That means that SUISA will take into account the so-called «basic repertoire», hit parades and broadcasts.
- Information on music in the hotel and catering industry (Common Tariff H)
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Do I still have to pay royalties if I don’t charge admission and the musicians play for free?
Yes. Royalties are due whenever music is performed in public – whether or not admission is free and the musicians are paid. The only exception is for private events such as birthdays or weddings.
If you don’t charge admission, the royalty is lower. Common Tariff H specifies the applicable rates.
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What qualifies as a private event?
Basically, only birthdays and weddings qualify as private events («private circle») since SUISA assumes that only relatives and close friends are invited. We assume that there are only loose ties between the guests at other events.
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How are royalties charged for concerts in hotels and restaurants?
For concerts and comparable performances in the catering industry, royalties are charged in accordance with CT K (Common Tariff K).
- Information on background music (Common Tariff 3a)
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What is background music?
Background music only has an accompanying, supplementary or secondary function. Background music is mainly used in stores, restaurants, waiting rooms, offices, etc. or when phone calls are on hold.
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How does SUISA set royalties for background music?
Royalties are charged based on the surface area exposed to the broadcast or performance, i.e. the area on which the broadcast or performance is audible or visible. For music on hold, royalties are based on the number of lines on the exchange.
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Who collects the royalties for background music?
Billag collects background music royalties on behalf of the collective administration societies at the same time as it collects the broadcasting reception licence fees. SUISA acts as the collection agent for undertakings that only play sound carriers or sound and video carriers and do not need to pay commercial reception licence fees to Billag. Undertakings which receive broadcasts in addition to playing sound and sound and video carriers pay the relevant royalties to Billag.
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Do I have to send in listings of my background music?
Unless otherwise stipulated in the licence, SUISA basically waives the need for programme listings.
- Information on sound carrier productions (Tariff PI)
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Do I need a licence from SUISA to produce sound carriers?
Yes. To record musical works that are still under copyright you must first obtain the author's consent. In Switzerland and Liechtenstein, the legal protection period runs for 70 years after the author's death.
Nearly all authors in Switzerland and abroad have entrusted SUISA with the administration of their rights in Switzerland and in Liechtenstein. So SUISA can grant a recording licence on the author’s behalf against payment of the corresponding royalty, which it passes on. You must notify SUISA before you produce any recording, or before you have any recording produced.
More information
- Information on music in the audiovisual area (Tariff VI / VN)
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Wer muss die Erlaubnis einholen?
- Bei der Vertonung (Synchronisation) sind der Produzent eines Tonbildträgers und sein Auftraggeber dafür verantwortlich, die Erlaubnis der SUISA einzuholen. Sie haften solidarisch für die Urheberrechtsentschädigungen.
- Bei der Vorführung muss der Veranstalter der Vorführung die Erlaubnis einholen. Das gilt insbesondere auch für Tonbildträger, die Schweizer oder Liechtensteiner Firmen von ausländischen Partnern und Mutter- oder Schwestergesellschaften zur Verfügung gestellt werden.
Tarif VN und Tarif VI
- Bei der Vertonung (Synchronisation) sind der Produzent eines Tonbildträgers und sein Auftraggeber dafür verantwortlich, die Erlaubnis der SUISA einzuholen. Sie haften solidarisch für die Urheberrechtsentschädigungen.