Further questions about the licensing of music uses

Royalty rates vary depending on how music is used. For example, the rate for concerts is higher than for the rate for background music in retail outlets. This is because of the different value of music in these contexts:  people go to a concert primarily for the music, whereas when they go shopping, the music played in the background is of secondary value. You may contact SUISA's customer service at any time for a non-binding estimate of the fees for any given use. 

The fees for the various types of music uses are regulated in our tariffs. 

Overview of tariffs
 

The copyright 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.

The tariffs of the five Swiss collecting societies must be adequate. This is a requirement of the Federal Copyright Act (Article 59 FCA). In practice, SUISA takes the following points among others into account in setting tariff rates:

• the revenues generated by the use of the works, or the costs associated with such use;
• the type and number of works used; and
• the breakdown between protected and non protected works.

As a rule, fees should not exceed 10% of the proceeds (for example, ticket sales) or costs (for example, performers' fees).

Do I have to pay royalties 

• when admission to an event is free?
• for events that are not commercial?
• for events that make 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 that are 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 Act). 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. In case of doubt, it is advisable to contact SUISA and inquire whether royalties are payable for the planned event. 

Musicians’ fees remunerate their performance. Their fee does not cover the authors’ creative work, nor the right to perform the authors’ works. The performer and the author are two legally separate persons, even when they are united in one and the same individual. Both of the legally independent persons are entitled to remuneration: the authors is entitled to royalties and the performer is entitled to a fee.

Yes. If the performer is also the composer, lyricist or arranger (i.e. the author), and is a member of SUISA, he or she has assigned his or her rights to SUISA and SUISA asserts the royalty rights royalties on his or her behalf.  Accordingly, the author no longer holds those rights and cannot settle directly with the organiser. The royalty settlements are thus handled through SUISA. It is important to understand that, a musician onstage is often both performer and  author in one natural person; legally speaking however, the performer and the author are two separate juridical persons. 

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 for royalties.

Yes. You have to send SUISA a list for all the artists. SUISA is entitled 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 can take legal action against you if you do not declare an event and/or do not pay royalties.  SUISA can also impose a 100% surcharge if the requisite information is not provided despite a reminder. If payment is refused repeatedly, SUISA may issue a music ban and prohibit you from using music publicly.

SUISA does not publish scores or sound recordings, nor does it sell any. SUISA is always pleased to provide information on Swiss works (composers, authors and publishers) and can tell you where you can buy their scores and CDs.

For an overview of the works of Swiss composers, we invite you to visit SUISA's online database at the following link: https://pws.suisa.ch

Our music department will be happy to assist you with any further inquiries (available scores, search by musicians, etc.) E-Mail Music Department

All musical events which are not private affairs must 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 private sphere, you have to declare the event and obtain a licence from SUISA.

The organiser has to apply for the licence. The organiser is the person or entity 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.

Because they are hired to perform – they offer a service for which they receive a fee; they do not organise the event.

If you wish to perform protected music (or have it performed) in public, you must apply to SUISA for authorisation.

All forms are available at this link.

The forms should be completed and filed with SUISA no later than ten days after the concert. To calculate the royalties properly, SUISA needs to have a detailed list of the works performed, and a copy of your income and expenditures statement.

No. Royalties for concerts are calculated as a percentage of concert revenues or of the costs of music use. The financial situation of each event is thus equitably taken into account. But it is also possible to conclude an annual contract with SUISA and pay the agreed instalments for the whole year. In exchange, SUISA will grant you a licence for all your events during the year. If you are interested, please contact our customer services. 

SUISA normally calculates the remuneration based on a concert's revenues. In the following cases, however, the cost of the music use serves as the calculation basis:

• if the revenues cannot be established;
• if the costs are higher than the revenues and the customer has not prepared a budget, or if the customer assumes from the outset that the costs will have to be fully or partially covered by his own funds;
• charity events where the profit goes to the needy.

When SUISA receives the programme list, it will as a rule distribute the money to the authors of the listed works. If SUISA does not request the programme to avoid excessive costs, it will distribute royalties on a «lump sum» basis.  Entertainment events with recorded music are always settled based on a statistical sampling method (hit boxes). 

Copyright law applies a very restrictive definition of the term "private". Under the Copyright Act, 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 must  therefore pay licence fees for the use of music.

As a rule, the organisers of an event with music are responsible for paying the copyright remuneration. If you organise an event, then you are responsible for the payment.

Yes. Royalties are due whenever music is performed in public – whether or not admission is charged and the musicians are paid.  The only exception is for private events such as birthday parties and weddings.

If you don’t charge admission, the royalty is lower. Common Tariff H specifies the applicable rates.

No. Basically, only birthdays and weddings qualify as private events (“private circle”) since SUISA assumes that only relatives and close friends are invited. On the other hand, it can be assumed that only loose ties exist between most of the guests at other events.

As a rule, concerts and concert-like performances in hotels and restaurants are also invoiced based on CT K. 

If guests are not at the venue for the music alone, for example, if a band is playing in the background as accompaniment for a dance, then CT H is applicable. 

The decision is made case by case. Our customer service will be pleased to assist you in this respect. 

Ja. Sobald Sie ausserhalb des privaten Rahmens ein Public Viewing einer Sportveranstaltung durchführen, benötigen Sie eine Lizenz, also eine Erlaubnis, der SUISA. Wenn Sie bereits SUISA-Kunde/in sind und für das Abspielen von TV-Sendungen in Ihrem Lokal eine Lizenz nach dem Gemeinsamen Tarif 3a (GT 3a) bezahlen, müssen Sie nichts unternehmen.

Falls Sie nur während der Fussball-Europameisterschaft TV-Sendungen zeigen möchten, können Sie pro Kalendermonat eine Lizenz erwerben – für alle EM-Spiele also für Juni und Juli. Sofern die Fläche des Veranstaltungsortes nicht mehr als 1000 m2 beträgt, kostet die SUISA-Lizenz CHF 20.80 pro Monat, also insgesamt CHF 41.60 für die ganze EM. Falls Sie nicht nur die Spiele übertragen, sondern vor und nach dem Spiel auch noch Musik abspielen möchten, kommen zusätzlich CHF 19.20 pro Monat hinzu.

Die Lizenz für den GT 3a können Sie online auf der Website der SUISA beantragen: www.suisa.ch/3a

Der GT 3a gilt nur für Bildschirme oder Projektionsflächen mit einer Bilddiagonalen von bis zu 3 Metern. Für Bilddiagonalen ab 3 Metern gilt der Gemeinsame Tarif 3c (GT 3c). Infos hierzu finden Sie in der Antwort zu Frage 4.