SEC. 2. COPYRIGHT EXCEPTION FOR BROADCASTS OF PRO-
FESSIONAL SPORTS TEAMS.
(a) EXEMPTION.—(1) Chapter 1 of title 17, United
States Code, is amended by adding at the end the follow-
ing:
‘‘§ 121. Limitations on exclusive rights: exemption for
certain displays of video programming
‘‘(a) EXEMPTION FOR CERTAIN DISPLAYS OF VIDEO
PROGRAMMING.—The public performance by means of the
display of video programming at a place of public accom-
modation of any game between professional sports teams,
which would otherwise be an infringement of copyright to
which section 411(b) of this title applies, shall not be an
infringement of copyright if a reasonable fee (as deter-
mined under chapter 8) is paid to the copyright owners
for such performance.
‘‘(b) DEFINITIONS.—As used in this section—
‘‘(1) PROFESSIONAL SPORTS TEAM.—The term
‘professional sports team’ means a professional team
engaged in the sport of football, baseball, basketball,
ice hockey, boxing, or other sport.
‘‘(2) PLACE OF PUBLIC ACCOMMODATION.—The
term ‘place of public accommodation’ means an inn,
hotel, motel, or other place of lodging, or a res-
taurant, bar, or other commercial establishment
serving food or drink.’’.
(2) The table of sections at the beginning of chapter
1 of title 17, United States Code, is amended by adding
at the end the following:
‘‘121. Limitations on exclusive rights: exemption for certain displays of video
programming.’’.
(b) ESTABLISHMENT OF FEES.—Section 801(b) of
title 17, United States Code, is amended—
(1) by striking ‘‘and’’ at the end of paragraph
(2);
(2) by striking the period at the end of para-
graph (3) and inserting ‘‘; and’’; and
(3) by adding after paragraph (3) the following:
‘‘(4) to determine and adjust the reasonable
fees to be paid to copyright owners for public per-
formances of games between professional sports
teams at places of public accommodation for pur-
poses of section 121 of this title, and to publish such
fees.
In determining or adjusting fees under paragraph (4) with
respect to places of public accommodation, the copyright
arbitration royalty panels shall take into account the aver-
age fair market price for comparable programming pro-
vided by cable systems (as defined in section 111(f)) and
satellite carriers (as defined in section 119(d)) to other
places of public accommodation (as defined in section
121(b)) in the same local geographic area.’’.
SEC. 3. TREATMENT OF COPYRIGHT SYSTEM AS MARKET-
ING SYSTEM FOR PURPOSES OF COMMUNICA-
TIONS ACT OF 1934.
Section 705(b) of the Communications Act of 1934
(47 U.S.C. 605(b)) is amended—
(1) by redesignating subsections (c) through (g)
as subsections (d) through (i), respectively;
(2) by inserting after subsection (b) the follow-
ing new subsection:
‘‘(c) The provisions of subsection (a) shall not apply
to the interception, receipt, and display of video program-
ming at a place of public accommodation of any game be-
tween professional sports teams if the copyright owners
for public performances of such game receive, from the
owner or operator of such place of public accommodation,
a reasonable fee determined in accordance with section
801(b) of title 17, United States Code. For purposes of
this section, the terms ‘public accommodation’ and ‘profes-
sional sports team’ have the meanings provided in section
121(b) of such title 17.’’.
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