Neighbouring Rights

Until 1997, only songwriters and music publishers received royalties for broadcasting or public performances because the law only recognized value in the songs (musical works). Since then under the neighbouring rights regime, the broadcast and public performance of sound recordings and the performers’ performance on sound recordings now trigger payments to record companies and performers.

Neighbouring rights refers to the bundle of rights that attach to sound recordings and performers’ performance, which are not traditional “works” recognized under the world’s copyright legislation.

The Neighbouring Rights Revenue that is collected by Re-Sound (formerly NRCC – Neighbouring Rights Collective of Canada) breaks down into two equal revenue streams. They are:

  • The Performers revenue stream
  • The Record Producers (“Makers”) revenue stream.

Neighbouring Rights Breakdown

 

The Performer’s revenue stream is disbursed to MROC, as well as to ACTRA/RACS and Artisti for distribution to their respective eligible performers.

The Makers revenue stream is disbursed to AVLA and SOPROQ for distribution to their respective eligible members.

Performers who own their own sound recording are entitled to receive revenue from both streams.

Re-Sound Music Licensing Company (formerly NRCC) – is a not-for-profit music umbrella collective created in 1997 to license music users and to collect fees from them for neighbouring rights users. The royalties it collects are divided among the five sub-collectives of which MROC is one. Re-Sound files and justifies tariffs at the Copyright Board applicable to various users of music, including commercial radio broadcasters, CBC radio, pay audio, satellite radio and commercial establishments for broadcast, radio-communication and public performance of sound recordings. Re-Sound also sits on the Board of Directors of the Canadian Private Copying Collective (CPCC). The money CPCC receives for private copying is paid to songwriters, music publishers, performers and record companies. See the charts under the Private Copying Tab for more detail.