[Federal Register Volume 74, Number 224 (Monday, November 23, 2009)]
[Notices]
[Pages 61176-61177]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-27980]


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LIBRARY OF CONGRESS

Copyright Royalty Board


Notice of Intent To Audit

AGENCY: Copyright Royalty Board, Library of Congress.

ACTION: Public notice.

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[[Page 61177]]

SUMMARY: The Copyright Royalty Judges are announcing receipt of a 
notice of intent to audit the 2006, 2007 and 2008 statements of account 
submitted by AOL LLC concerning the royalty payments made under two 
statutory licenses.

FOR FURTHER INFORMATION CONTACT: Richard Strasser, Senior Attorney, or 
Gina Giuffreda, Attorney Advisor, by telephone at (202) 707-7658 or e-
mail at [email protected].

SUPPLEMENTARY INFORMATION: In 1995, Congress enacted the Digital 
Performance Right in Sound Recordings Act of 1995 (``DPRA''), Public 
Law 104-39, which created an exclusive right for copyright owners of 
sound recordings, subject to certain limitations, to perform publicly 
sound recordings by means of certain digital audio transmissions. Among 
the limitations on the performance right was the creation of a 
compulsory license for nonexempt noninteractive digital subscription 
transmissions. 17 U.S.C. 114(f).
    Section 114 was later amended with the passage of the Digital 
Millennium Copyright Act of 1998 (``DMCA''), Public Law 105-304, to 
cover additional digital audio transmissions, including eligible 
nonsubscription transmissions.\1\ In addition to expanding the section 
114 license, the DMCA also created a statutory license to allow a 
service to make any necessary ephemeral reproductions to facilitate the 
digital transmission of the sound recording. 17 U.S.C. 112(e).
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    \1\ An ``eligible nonsubscription transmission'' is a 
noninteractive digital audio transmission which, as the name 
implies, does not require a subscription for receiving the 
transmission. The transmission must also be made as a part of a 
service that provides audio programming consisting in whole or in 
part of performances of sound recordings the primary purpose of 
which is to provide audio or entertainment programming, but not to 
sell, advertise, or promote particular goods or services other than 
sound recordings, live concerts, or other music-related events. 17 
U.S.C. 114(j)(6).
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    Licensees may operate under these licenses provided they pay the 
royalty fees and comply with the terms set by the Copyright Royalty 
Judges (``Judges''). On May 1, 2007, the Judges issued their final 
determination setting rates and terms for the section 112 and 114 
licenses for the period 2006-2010. 72 FR 24084. As part of the terms 
set for these licenses, the Judges designated SoundExchange, Inc. as 
the organization charged with collecting the royalty payments and 
statements of account and distributing the royalties to the copyright 
owners and performers entitled to receive such royalties under the 
section 112 and 114 licenses. 37 CFR 380.4(b)(1). As the designated 
Collective, SoundExchange may conduct a single audit of a licensee for 
any calendar year for the purpose of verifying their royalty payments. 
SoundExchange must first file with the Judges a notice of intent to 
audit a licensee and serve the notice on the licensee to be audited. 37 
CFR 380.6(b), (c).
    On November 5, 2009, pursuant to 37 CFR 380.6(c), SoundExchange 
filed with the Judges a notice of intent to audit AOL LLC for the years 
2006, 2007, and 2008. Section 380.6(c) requires the Judges to publish a 
notice in the Federal Register within 30 days of receipt of the notice 
announcing the Collective's intent to conduct an audit.
    In accordance with 37 CFR 380.6(c), the Copyright Royalty Judges 
are publishing today's notice to fulfill this requirement with respect 
to SoundExchange's notice of intent to audit AOL LLC filed November 5, 
2009.

    Dated: November 17, 2009.
James Scott Sledge,
Chief, U.S. Copyright Royalty Judge.
[FR Doc. E9-27980 Filed 11-20-09; 8:45 am]
BILLING CODE 1410-72-P