Any presentation of King Island Christmas that takes place in front of an assembly of people (no matter how few) is considered royalty-bearing under the law, whether or not admission is charged. This can include “invited” dress rehearsals, or contest excerpts. A valid performance license is required for all of these performances. If you have any questions about whether or not a performance may require a royalty, please ask. The importance of obtaining a license for all royalty-bearing performances cannot be stressed too strongly, as there are penalties for violating Federal Copyright Law.
Royalty Fees for Professional Performances
Professional performances include all performances before an audience where the majority of actors and production staff are being paid. Royalty quotes are based on the information you provide us about the number of paid actors, ticket prices, and seating capacity. Royalties will be determined on an individual basis, and will be based on industry standards with one-half of the royalties due up-front as a nonrefundable advance against gross box office receipts.
Royalty Fees for Amateur Performances
Amateur performances include all performances before an audience as staged by little theatres, community theaters, and drama associations; colleges, universities, high schools and other school groups, including after-school programs and school assemblies; churches and other religious institutions; and puppetry theatres, clubs, camps choirs and chorale organizations and other amateur groups.
Amateur performances do not include performances given by a theatre or group using a cast which consists entirely, or of a majority, of paid actors and production staff and/or that has normally been known to handle stock pursuant to one of the Actor’s Equity Association agreements governing employment of actors.
Amateur rates are a minimum of $60 per performance against 8% of the gross box office receipts.
To calculate amateur performance royalty fees:
Multiply the number of performances times the minimum performance rate of $60/performance.
For example: 6 performances x $60 per performance = $360
This is the upfront minimum royalty which must be paid in advance.
After your production: If 8% of your box office receipts (ticket sales) turn out to be greater than this upfront minimum royalty, then the producer will owe OVER THE MOUNTAIN MUSIC the difference. Within 7 days of your final performance, mail OVER THE MOUNTAIN MUSIC a statement of box office receipts signed by your school’s principal or your theatre’s managing director, along with any royalties due.
For example: You pay an up front minimum royalty fee of $360, and after your show, your total box office receipts turn out to be $4,000. 8% of $4,000 is $320–less than your upfront minimum–so you only need to send OVER THE MOUNTAIN MUSIC your signed box office statement.
On the other hand, if your total box office receipts turn out to be $6,000, then 8% of $6,000 is $480. So, you owe OVER THE MOUNTAIN MUSIC $120 ($480-$360 = $120) along with your signed box office statement.