Music money & mega shows: Copyright clash turns up the volume on the debate over live-event licensing

A dispute between the Indian Performing Right Society (IPRS) and events organiser TVK Cultural Academy has brought the spotlight on music licensing at live events.

What happened?On April 29, the Madras High Court directed TVK Cultural Academy to either pay the licence fee sought by IPRS or deposit the amount while the case is heard. A final ruling is yet to be delivered.

How are licence fees calculated?What IPRS says: Ticketed events are charged 3% of projected revenue, including ticket sales and sponsorship value. Non-ticketed events are charged based on venue category and event type, according to Talwar.

TVK’s stand: “The licence fees quoted by IPRS in their invoices are completely arbitrary. They bear no logical proportion to actual ticket sales, seating capacity or sponsorship amounts,” the cultural academy says.

Is a licence mandatory?What IPRS says: Any public performance of copyrighted songs requires a licence, and the royalties collected are distributed to composers, lyricists and music publishers, says the body. “The IPRS licence fee is a royalty payment that directly compensates the creators behind the music,”says Rakshit Talwar, Head of Public Performance at IPRS. TVK’s stand: While stating that TVK Cultural Academy respects “the genuine rights of artists”, the organisation argues that the dispute is over what he calls IPRS’s “unfair pricing” and its handling of the licensing process.

How common is non- compliance? What IPRS says: “Approximately 40% of events in Chennai are conducted without obtaining the required music licences,” says Talwar.
TVK’s stand: The organisation alleges that organisers are being subjected to “inflated and unjustified invoices” and “coercive tactics” by IPRS.

Are organisers being pressured?What IPRS says: Licensing is a statutory requirement and should not be viewed as an avoidable cost. “The larger conversation today is not just about fees, but about recognising creative work as an economic and cultural asset that deserves protection and fair participation in the industry’s growth,” says Rakesh Nigam, CEO of IPRS. TVK’s stand: According to them, IPRS “continues to use highhanded, threatening tactics to pressure event organisers into paying exorbitant fees”.

What happens next?What IPRS says : According to Talwar, the interim order reinforces the need for licensing compliance while the dispute is being heard.
TVK’s stand: “The court has not ruled in IPRS’ favour. It has merely ordered a temporary deposit while the actual dispute is being fought out,” they point out.

Written By: Aashna Reddy