Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Digital Performance
Right in Sound Recordings Act of 1995’’.
SEC. 2. EXCLUSIVE RIGHTS IN COPYRIGHTED WORKS.
Section 106 of title 17, United States Code, is amend-
ed—
(1) in paragraph (4) by striking ‘‘and’’ after the
semicolon;
(2) in paragraph (5) by striking the period and
inserting ‘‘; and’’; and
(3) by adding at the end the following:
‘‘(6) in the case of sound recordings, to perform
the copyrighted work publicly by means of a digital
audio transmission.’’.
SEC. 3. SCOPE OF EXCLUSIVE RIGHTS IN SOUND RECORD-
INGS.
Section 114 of title 17, United States Code, is amend-
ed—
(1) in subsection (a) by striking ‘‘and (3)’’ and
inserting ‘‘(3) and (6)’’;
(2) in subsection (b) in the first sentence by
striking ‘‘phonorecords, or of copies of motion pictures
and 
other 
audiovisual 
works,’’ 
and 
inserting
‘‘phonorecords or copies’’;
(3) by striking subsection (d) and inserting:
‘‘(d) LIMITATIONS ON EXCLUSIVE RIGHT.—Notwith-
standing the provisions of section 106(6)—
‘‘(1) 
EXEMPT
TRANSMISSIONS
AND
RETRANSMISSIONS.—The performance of a sound re-
cording publicly by means of a digital audio trans-
mission, other than as a part of an interactive serv-
ice, is not an infringement of section 106(6) if the
performance is part of—
‘‘(A)(i) a nonsubscription transmission
other than a retransmission;
‘‘(ii) 
an 
initial 
nonsubscription
retransmission made for direct reception by
members of the public of a prior or simultaneous
incidental transmission that is not made for di-
rect reception by members of the public; or
‘‘(iii) a nonsubscription broadcast trans-
mission;
‘‘(B) a retransmission of a nonsubscription
broadcast transmission: Provided, That, in the
case of a retransmission of a radio station’s
broadcast transmission—
‘‘(i) the radio station’s broadcast
transmission is not willfully or repeatedly
retransmitted more than a radius of 150
miles from the site of the radio broadcast
transmitter, however—
‘‘(I) the 150 mile limitation under
this clause shall not apply when a
nonsubscription 
broadcast 
trans-
mission by a radio station licensed by
the Federal Communications Commis-
sion 
is 
retransmitted 
on 
a
nonsubscription basis by a terrestrial
broadcast station, terrestrial trans-
lator, or terrestrial repeater licensed by
the Federal Communications Commis-
sion; and
‘‘(II) in the case of a subscription
retransmission of a nonsubscription
broadcast retransmission covered by
subclause (I), the 150 mile radius shall
be measured from the transmitter site
of such broadcast retransmitter;
‘‘(ii) the retransmission is of radio sta-
tion broadcast transmissions that are—
‘‘(I) obtained by the retransmitter
over the air;
‘‘(II) not electronically processed
by the retransmitter to deliver separate
and discrete signals; and
‘‘(III) retransmitted only within
the local communities served by the
retransmitter;
‘‘(iii) the radio station’s broadcast
transmission was being retransmitted to
cable systems (as defined in section 111(f))
by a satellite carrier on January 1, 1995,
and 
that 
retransmission 
was 
being
retransmitted by cable systems as a separate
and discrete signal, and the satellite carrier
obtains the radio station’s broadcast trans-
mission in an analog format: Provided,
That the broadcast transmission being
retransmitted may embody the program-
ming of no more than one radio station; or
‘‘(iv) the radio station’s broadcast
transmission is made by a noncommercial
educational broadcast station funded on or
after January 1, 1995, under section 396(k)
of the Communications Act of 1934 (47
U.S.C. 396(k)), consists solely of non-
commercial educational and cultural radio
programs, and the retransmission, whether
or not simultaneous, is a nonsubscription
terrestrial broadcast retransmission; or
‘‘(C) a transmission that comes within any
of the following categories:
‘‘(i) a prior or simultaneous trans-
mission incidental to an exempt trans-
mission, such as a feed received by and then
retransmitted by an exempt transmitter:
Provided, That such incidental trans-
missions do not include any subscription
transmission directly for reception by mem-
bers of the public;
‘‘(ii) a transmission within a business
establishment, confined to its premises or
the immediately surrounding vicinity;
‘‘(iii) 
a 
retransmission 
by 
any
retransmitter, including a multichannel
video programming distributor as defined
in section 602(12) of the Communications
Act of 1934 (47 U.S.C. 522(12)), of a trans-
mission by a transmitter licensed to pub-
licly perform the sound recording as a part
of that transmission, if the retransmission
is simultaneous with the licensed trans-
mission and authorized by the transmitter;
or
‘‘(iv) a transmission to a business es-
tablishment for use in the ordinary course
of its business: Provided, That the business
recipient does not retransmit the trans-
mission outside of its premises or the imme-
diately surrounding vicinity, and that the
transmission does not exceed the sound re-
cording performance complement. Nothing
in this clause shall limit the scope of the ex-
emption in clause (ii).
‘‘(2) SUBSCRIPTION
TRANSMISSIONS.—In the
case of a subscription transmission not exempt under
subsection (d)(1), the performance of a sound record-
ing publicly by means of a digital audio transmission
shall be subject to statutory licensing, in accordance
with subsection (f) of this section, if—
‘‘(A) the transmission is not part of an
interactive service;
‘‘(B) the transmission does not exceed the
sound recording performance complement;
‘‘(C) the transmitting entity does not cause
to be published by means of an advance program
schedule or prior announcement the titles of the
specific sound recordings or phonorecords em-
bodying such sound recordings to be transmitted;
‘‘(D) except in the case of transmission to
a business establishment, the transmitting entity
does not automatically and intentionally cause
any device receiving the transmission to switch
from one program channel to another; and
‘‘(E) except as provided in section 1002(e)
of this title, the transmission of the sound record-
ing is accompanied by the information encoded
in that sound recording, if any, by or under the
authority of the copyright owner of that sound
recording, that identifies the title of the sound re-
cording, the featured recording artist who per-
forms on the sound recording, and related infor-
mation, including information concerning the
underlying musical work and its writer.
‘‘(3) LICENSES FOR TRANSMISSIONS BY INTER-
ACTIVE SERVICES.—
‘‘(A) No interactive service shall be granted
an exclusive license under section 106(6) for the
performance of a sound recording publicly by
means of digital audio transmission for a period
in excess of 12 months, except that with respect
to an exclusive license granted to an interactive
service by a licensor that holds the copyright to
1,000 or fewer sound recordings, the period of
such license shall not exceed 24 months: Pro-
vided, however, That the grantee of such exclusive
license shall be ineligible to receive another exclu-
sive license for the performance of that sound re-
cording for a period of 13 months from the expi-
ration of the prior exclusive license.
‘‘(B) The limitation set forth in subpara-
graph (A) of this paragraph shall not apply if—
‘‘(i) the licensor has granted and there
remain in effect licenses under section
106(6) for the public performance of sound
recordings by means of digital audio trans-
mission by at least 5 different interactive
services: Provided, however, That each such
license must be for a minimum of 10 per-
cent of the copyrighted sound recordings
owned by the licensor that have been li-
censed to interactive services, but in no
event less than 50 sound recordings; or
‘‘(ii) the exclusive license is granted to
perform publicly up to 45 seconds of a
sound recording and the sole purpose of the
performance is to promote the distribution
or performance of that sound recording.
‘‘(C) Notwithstanding the grant of an exclu-
sive or nonexclusive license of the right of public
performance under section 106(6), an interactive
service may not publicly perform a sound record-
ing unless a license has been granted for the pub-
lic performance of any copyrighted musical work
contained in the sound recording: Provided, That
such license to publicly perform the copyrighted
musical work may be granted either by a per-
forming rights society representing the copyright
owner or by the copyright owner.
‘‘(D) The performance of a sound recording
by means of a retransmission of a digital audio
transmission is not an infringement of section
106(6) if—
‘‘(i) the retransmission is of a trans-
mission by an interactive service licensed to
publicly perform the sound recording to a
particular member of the public as part of
that transmission; and