Live music industry seeks to evade copyright payments

Promoters and performers alike are attempting to avoid paying copyright fees, according to an official from the Vietnam Centre for Protection of Music Copyright (VCPMC).

Director of VCPMC Pho Duc Phuong

Director of the centre Pho Duc Phuong admitted the problem on November 15 after he announced that the organisers of veteran singer Che Linh’s two shows still owed copyright payments.

Performance debts

The first show was organised by Ngoc Bich Entertainment Ltd. Co. on October 21.

Under the Ministry of Culture, Sports and Tourism’s regulations, the promoter must pay between 15-21% of each show’s total revenues to songwriters, sound engineers, stage mangers and choreographers.

VCPMC asked Ngoc Bich Entertainment Ltd. Co. to pay 5% of half of the ticket value in copyright fees for the ten cover versions Che Linh performed.

However, the company only paid VND150,000 (USD7.17) per song, or VND1.5 million in total for 10 songs, equal to half of just one VIP ticket.

The second event was held by Viet Bac Folk Song and Dance Company on November 12, earning nearly VND4 billion (USD191,387). The company was liable to pay VND90 million (USD4,306) in copyright fees. But, Director Nong Xuan Ai insisted he would only pay VND300,000 (USD14.35) per song, or VND3 million for the ten songs composed in total. To date, the company has not yet paid the money to the centre.

Ai said he disagreed with the copyright fees based on show revenues because different programmes in varying localities had different costs.

He added that his company was only responsible for the show’s licensing procedures and content, and other issues relating to the show should be dealt with by the Quyen Gia Binh Entertainment Ltd. Co., which co-operated with Viet Bac to hold the programme.

The two companies signed a contract clearly defining their responsibilities, Ai claimed.

Common abuse

Che Linh isn’t the only star to face such difficulties, a number of events still owe copyright fees to the centre, including the Quang Le-Minh Tuyet concert held in Haiphong and Danang in March and in Hanoi on July 13 by Asia Film and the Dam Vinh Hung gig in Hanoi on July 30.

According to a preliminary report from the VCPMC, among some 400 shows licensed by the Vietnam Performing Arts Agency and the Hanoi Department of Culture, Sports and Tourism between January and November this year, only 42 organisers paid copyright fees, while the remainder tried to evade any fees or tried to bargain over the amounts paid.

Centre Director Pho Duc Phuong said many promoters deliberately delayed payments.

Some promoters bargain over extremely modest fees, and then disappear, while others go deliberately visit the centre’s office out of work hours. When reminded, they claim they made the visit, but no agreement could be reached.

Phuong also said that he was disappointed by the lack of concern expressed by artists over the issue.

He also blamed lax management by licensing agencies, saying that, “Dozens of companies violate copyright regulations, but are still given licenses to organise shows. Even the departments of culture, sports and tourism can not settle the problem; so it’s no wonder that we find it so difficult to collect the fees. It is very complicated to bring the cases to the court; we only petition to the agencies responsible for licensing to deal with the problem.”