the license shall not be invalidated 
with respect to that work, if all royal-
ties due for that work have been paid. 
‘‘(iii) OBTAINING
SUBSEQUENT
LI-
CENSES.—A licensee whose license is ter-
minated by a designated agent under 
clause (i) and who fully remedies the de-
fault within 60 days after the date on 
which the license terminates, may apply for 
and obtain a new license from that des-
ignated agent, if, during the 5-year period 
ending on the date of such termination, the 
licensee has not previously had a license 
terminated by the designated agent. In any 
other case in which a license is validly ter-
minated by a designated agent, the des-
ignated agent may require the licensee to 
meet reasonable credit or advance require-
ments or to demonstrate the capability to 
report and make royalty payments in com-
pliance with this subsection before obtain-
ing a new license. 
‘‘(D) INFORMATION
PROVIDED
TO
COPY-
RIGHT OWNERS.—Each designated agent shall, 
on an annual basis, provide to copyright own-
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ers, free of charge, the information, regarding 
the musical works of those copyright owners, 
that the designated agent receives from digital 
music providers in the quarterly reports under 
subparagraph (A). A copyright owner may re-
quest such information more frequently, but in 
such a case the designated agent may charge 
the copyright owner the costs borne by the des-
ignated agent in providing the information. 
Designated agents may provide the information 
under this subparagraph in electronic or paper 
format. 
‘‘(11) 
DISTRIBUTION
OF
ROYALTIES, 
UN-
CLAIMED FUNDS, AND DISPUTE RESOLUTION.— 
‘‘(A) DISTRIBUTION OF ROYALTIES.—Each 
designated agent shall be responsible for dis-
tributing, on a quarterly basis, royalties col-
lected from licensees under this subsection to 
any copyright owner whom the designated agent 
represents and who has provided the designated 
agent with sufficient information to identify 
and pay that copyright owner (or the copyright 
owner’s designee). Distributions under the pre-
ceding sentence shall be made not later than 60 
days after the end of each calendar quarter. 
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‘‘(B) UNCLAIMED FUNDS.— 
‘‘(i) IN
GENERAL.—If a designated 
agent is unable, after a reasonably diligent 
search, to identify or locate a copyright 
owner entitled to receive royalties under 
subparagraph (A), the designated agent 
may deposit the undistributed royalties (in 
this subparagraph referred to as ‘un-
claimed funds’) into an unclaimed funds 
account 
that 
earns 
interest, 
accrued 
monthly, at the Federal short term rate 
determined under section 1274(d)(1)(C)(i) 
of the Internal Revenue Code of 1986. In-
terest accrued on unclaimed funds shall be 
payable to a copyright owner upon dis-
tribution of the unclaimed funds to such 
copyright owner. 
‘‘(ii) HOLDING AND DISTRIBUTION.— 
‘‘(I) 
HOLDING.—A 
designated 
agent with unclaimed funds shall hold 
the funds for a period of at least 3 
years after the date on which the li-
censee paid the funds. The designated 
agent shall make reasonably diligent 
efforts to publicize the existence of the 
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