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Music On Hold Copyrights...Fact or Fiction

Many businesses realize they need something playing on hold while callers wait. Typically, companies will resort to a radio or CD player because they believe it is free. In fact this could be a costly decision. Most musical works are the property of the songwriters, composers, and music publishers and may not be reproduced or rebroadcast without the proper licensing. There are several performing rights organizations, such as ASCAP, BMI, and SESAC, that collect royalties on behalf of these entities and distribute royalties to those members whose work have been performed; and playing music on hold is no exception.

Reputable on-hold messaging providers pay the proper licensing fees for public performance rights as well as mechanical rights as part of their service to the end user. Public performance rights allow end users to rebroadcast copyrighted material to the public. Mechanical rights gives the on hold messaging provider the right to synchronize or re-record the copyrighted material within their own work. Not only must end users be certain they are rebroadcasting licensed content, there are other costly ramifications to playing a radio or CDs on hold.

Playing a radio on hold could expose listeners to other advertisers' commercials. Usually a radio installed on a telephone system resides in an equipment room which is not well suited for the best reception and a caller could be placed on hold only to hear static from the drifting tuner. Regardless of the source of the music, the song on the radio or CD may not be appropriate for the listener.

The best decision is an informed decision. Check with one of the OHMA members to discuss your options, and remember, it is important to create a positive experience for your customers at every opportunity.