Neighbouring Rights Royalties compensate artists who perform on a recording, as well as, the owners of the master recording. Artists and master recording owners generally share a 50/50 split when it comes to the allocation of the royalties. These royalties are generated when songs are performed publicly via terrestrial broadcast and internet streaming. Once again Neighbouring Rights Royalties are only distributed to signatories of the Rome Convention (1961). Canada is a signatory. The United States is not a signatory so they do not distribute Neighbouring Rights when songs are played on the radio but do distribute them when songs are played on non-interactive streaming platforms and satellite radio. Check our previous blog "Monday's Resources #13" for more detailed information. Why is this all important? Knowledge is power. Imagine that you are a well sought after session player and have played on a great deal of recordings. If you didn’t know about Neighbouring Right Royalties then you could be missing out on some money. We all want to sustain a comfortable living creating the music we love. It really boils down to your financial well being. The more you know will ensure that you are compensated when you have rightfully earned that compensation. Having the awareness of various aspects the music industry has contained within it prepares you to navigate through it with relative ease. Research and register with your territory’s Neighbouring Rights Royalty organization to make sure you are compensated. Ask the questions. Enjoy!
Re:Sound - Collects Neighbouring Rights Royalties in Canada
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MROC - Distributes Neighbouring Rights Royalties to musical artists in Canada.
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Connect Music - Distributes Neighbouring Rights Royalties To Record Labels (Master Owners) in Canada.
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Sound Exchange - Collects/Distributes Neighbouring Rights Royalties in USA.
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