Difference Between PPL and IPRS for Music License in India

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Music licensing in India is governed by two primary copyright societies, namely the Phonographic Performance Limited (PPL) and the Indian Performing Right Society (IPRS). Both organizations operate under Section 33 of the Copyright Act, 1957. They are responsible for issuing licenses that allow individuals, organizations, or businesses to legally play or perform copyrighted music in public spaces or commercial settings. Knowing about the difference between PPL and IPRS for Music License is essential for anyone involved in organizing events, running hospitality businesses, or broadcasting music. This article explains the purpose, role, licensing requirements, and benefits of each organization, and helps you determine which license you need depending on your usage of music.

What is IPRS?

The Indian Performing Right Society, commonly known as IPRS, is a copyright society formed in 1969. It is a nonprofit organization registered under the Companies Act, 2013 and operates under Section 33 of the Copyright Act, 1957. IPRS includes a range of members such as music composers, lyricists, authors, and music publishers who hold the copyright to the lyrics and musical composition.

IPRS’s main role is to issue licenses for the public performance and reproduction of copyrighted literary and musical works. Whenever a song is played live at a concert, event, or in a commercial setting, a royalty must be paid to the rightful owners of the underlying musical work. IPRS collects these royalties from music users and then distributes them among its members after deducting administrative charges.

IPRS also issues licenses for various other music uses including broadcasting, internet streaming, music in advertisements, and caller ring-back tones. Therefore, when someone uses lyrics or the music composition itself, even without the original recording, they need a license from IPRS.

What is PPL?

Phonographic Performance Limited, or PPL, is another major copyright society that issues licenses for the use of sound recordings. It was established in 1941, following the formation of the Indian Phonographic Industry (IPI) in 1936. PPL represents the rights of music producers and record labels, including international and Indian music companies.

Unlike IPRS, which deals with the creators of lyrics and compositions, PPL represents the producers of the actual sound recordings. For example, if a restaurant plays recorded music through a speaker system or if an event uses a DJ playing recorded tracks, they need a license from PPL.

PPL collects royalties from users of recorded music and distributes it among its member record companies. It is essential to note that using pre-recorded music in any commercial place like a gym, mall, hotel, or pub without a PPL license is considered copyright infringement.

Are IPRS and PPL the Same Thing?

No, there is a significant difference between PPL and IPRS for Music License. Both are copyright societies but represent different rights holders and serve different licensing purposes. IPRS represents songwriters, lyricists, and music composers. It collects royalties when musical works and lyrics are performed live or used in any form. On the other hand, PPL represents the producers and owners of sound recordings. It collects royalties when pre-recorded music is played in public or commercial spaces.

For example, if a hotel wants to play background music using a playlist or recorded songs, they need a PPL license. If a live band is hired to perform songs that include copyrighted lyrics and compositions, an IPRS license is necessary.

When Do You Need an IPRS License?

An IPRS license is required when the use of music involves the performance or communication of the musical composition and lyrics, irrespective of the actual sound recording. Some common situations include:

Live Performances

When a singer, band, or musician performs live music at a venue such as a restaurant, club, wedding, or public event, an IPRS license is mandatory. This is because the performance involves copyrighted lyrics and compositions owned by IPRS members. Even if the artist is not the original composer, the venue still needs licensing for public use of these works.

Music Broadcasting

Any platform that broadcasts music via television, radio, or online (like YouTube or podcasts) must obtain an IPRS license. This ensures royalties are paid to the rightful lyricists, composers, and music publishers. Unauthorized broadcasting of copyrighted music can lead to copyright infringement claims.

Music Streaming

Online music streaming platforms such as Spotify, Gaana, or JioSaavn are required to acquire IPRS licenses for the lyrical and compositional rights of songs. This license allows the platform to legally stream music to users while ensuring that creators receive their due royalty payments.

Use in Commercials

When businesses use music; either the lyrics or composition—in advertisements, corporate films, or cinema, they must seek permission from IPRS. This ensures the original creators are compensated for the commercial exploitation of their intellectual property. Skipping this step can lead to legal penalties or takedown notices.

Caller Tunes and Ringtones

Telecom service providers must secure an IPRS license to use copyrighted musical works in caller tunes, ringtones, and other phone-based audio services. This includes distributing lyrics and compositions to millions of subscribers, which is considered public performance or communication to the public under copyright law.

When do you need a PPL License?

A PPL license is necessary when pre-recorded music is played in a public or commercial setting. This includes a wide range of scenarios such as:

Playing Music in Restaurants, Pubs, Cafes

These establishments often play recorded songs to create a pleasant environment for customers. Since these songs are copyrighted sound recordings, a PPL license is needed. It ensures that record labels and producers receive royalties for the public performance of their music.

Radio Broadcasting

FM and AM radio stations, including government-owned broadcasters like All India Radio, must obtain a PPL license to play recorded songs. This covers the right to use sound recordings owned by music companies, regardless of whether the broadcast is live or pre-recorded.

Events with DJs

When DJs play pre-recorded tracks at events such as weddings, corporate parties, fashion shows, or concerts, a PPL license is essential. Even if the event is private, using commercially released recordings publicly requires legal authorization through this license.

Retail Stores and Malls

Stores, showrooms, and shopping malls that play music in the background for customer engagement or branding need a PPL license. Playing recorded music in commercial spaces is considered a public performance and attracts copyright obligations.

Online Platforms

Websites, mobile apps, and streaming platforms that offer or use pre-recorded music or sound recordings must secure a PPL license. This allows them to legally stream or make audio tracks available to users while compensating the rights holders of those recordings.

Licensing Process of IPRS and PPL

The process for acquiring music licenses from IPRS and PPL involves submitting an application in the prescribed format, mentioning the nature and extent of music usage. The applicant is also required to pay a fee based on the type of use and the duration of usage.

For IPRS, the license fee is determined depending on whether the music will be used in live events, online platforms, public performances, or commercials. Similarly, PPL issues licenses with tariffs based on the type of establishment, frequency of music use, and audience size. It is advisable to approach these societies or their online portals to understand the current tariff structure and fill out the necessary forms accordingly. In many cases, legal professionals or consultants assist in applying for these licenses to ensure full compliance.

Benefits of Acquiring a Music License

Getting the appropriate music license from PPL and IPRS is not just a legal necessity but also offers several benefits to music users and copyright holders.

Legal Compliance

Securing a music license ensures that the user is adhering to the Copyright Act, 1957. It helps businesses avoid infringement of intellectual property rights, which can result in legal notices, penalties, or litigation. Compliance demonstrates a responsible approach to using creative content.

Royalty for Creators

The license fees collected by PPL and IPRS are shared among music creators—such as lyricists, composers, and producers; who are their members. This system guarantees that creators are compensated for the use of their work, helping them sustain their careers financially and creatively.

Promotes Talent

When artists see their work legally protected and fairly rewarded, they are motivated to produce more quality music. Licensing supports the creative ecosystem by validating the value of intellectual property and encouraging both established and emerging talent.

Avoids Legal Disputes

Unauthorized use of music can lead to serious consequences, including monetary fines and possible imprisonment under copyright law. Having a valid license acts as a safeguard, protecting businesses from unexpected claims, lawsuits, or disruption of services.

Boosts Reputation

Businesses that respect copyright rules build a trustworthy and professional image among their customers, partners, and stakeholders. It shows ethical conduct and compliance with the law, which enhances brand reputation and can be a competitive advantage in the market.

Main Differences Between PPL and IPRS for Music License

While both organizations are involved in music licensing, their scope, rights management, and members differ considerably. Understanding these differences is important for compliance:

Nature of Rights Managed

IPRS (Indian Performing Right Society) manages rights related to the literary and musical aspects of a song—this includes lyrics and melody. PPL (Phonographic Performance Limited), on the other hand, manages rights over the actual sound recording. So, while IPRS covers the song’s structure, PPL covers the finished audio file that is played publicly.

Type of Use

An IPRS license is needed whenever the lyrics or melody are performed or communicated to the public, such as during live shows, karaoke, or musical covers. A PPL license is required when pre-recorded songs or soundtracks are played through speakers or DJs in public or commercial spaces. Both may be needed depending on the setting.

Members

IPRS consists of authors, lyricists, composers, and music publishers who create the song’s content. In contrast, PPL’s members are typically music producers, record companies, and labels who own the sound recordings and distribute them. Each society represents a different set of rights holders within the music industry.

Royalty Collection and Distribution

IPRS collects royalties for the public use of musical compositions and literary works, and distributes them to composers and lyricists. PPL collects royalties for the use of sound recordings and ensures music producers and labels receive their share. Both organizations operate to protect and monetize different aspects of a song.

Use in Business Settings

A business, like a restaurant or event venue, playing background music via speakers must obtain a PPL license for the sound recordings. If the same business also hosts live performances where songs are sung or played, they must get an IPRS license too. This ensures full compliance with copyright laws for all types of music usage.

Penalties for Non-Compliance

If any person or organization uses copyrighted music without the necessary license from IPRS or PPL, they are in violation of the Copyright Act, 1957. The consequences can be severe under Sections 63 and 63A of the Act.

  • Imprisonment: A minimum of six months which may extend up to three years.

  • Fine: A monetary penalty of not less than Rs. 50,000 and up to Rs. 2,00,000.

These penalties apply even when the infringement is unintentional or due to ignorance. Therefore, it is crucial for businesses, event organizers, broadcasters, and content creators to ensure they are licensed by the relevant copyright society before using any form of copyrighted music.

Conclusion

You must know the difference between PPL and IPRS for Music License in India if you are dealing with music usage. While IPRS deals with musical compositions and lyrics, PPL handles sound recordings. Both licenses serve different purposes and are required in different scenarios. Whether you are organizing a concert, running a restaurant, or launching a streaming app, obtaining the correct license is necessary to avoid legal trouble and support the music ecosystem. By acquiring the proper music licenses, businesses not only stay legally compliant but also contribute to the livelihoods of artists, composers, and music producers who are the backbone of the entertainment industry.

If you need any assistance in obtaining Music License, feel free to book a consultation with Compliance Calendar LLP experts through mail at info@ccoffice.in or Call/Whatsapp at +91 9988424211.

FAQs

Q1. Is it mandatory to obtain both PPL and IPRS licenses for playing music in a restaurant or café?

Ans. Yes, if a restaurant or café plays pre-recorded music (like songs from a speaker system), a PPL license is required. If the establishment also hosts live performances or uses musical compositions and lyrics separately (for example, in karaoke), then an IPRS license is also necessary.

Q2. What is the main difference between PPL and IPRS in terms of rights coverage?

Ans. PPL covers the rights related to sound recordings, which include the actual audio tracks produced by music labels. IPRS, on the other hand, deals with the underlying musical and literary works — the lyrics and compositions created by authors, lyricists, and composers.

Q3. Who needs to obtain an IPRS license?

Ans. Any individual or organization using copyrighted lyrics or music compositions — such as in live performances, music broadcasts, streaming platforms, or commercials — must obtain a license from IPRS to avoid copyright infringement.

Q4. Can I get a single music license from either PPL or IPRS for all music uses?

Ans. No. Since PPL and IPRS manage different rights (recordings vs. compositions), you need to obtain separate licenses from both societies if your music usage covers both areas. There is no single license that covers all rights under both societies.

Q5. How can I apply for a music license from PPL or IPRS?

Ans. You can apply online through the official websites of PPL (www.pplindia.org) and IPRS (www.iprs.org). Applications require you to provide event or usage details and pay fees based on the type of use, size of the venue, and audience.

Q6. What happens if I use music publicly without a license from PPL or IPRS?

Ans. Unauthorized use of copyrighted music can result in legal action. Under the Copyright Act, 1957, offenders can face imprisonment from six months to three years and fines ranging from Rs.50,000 to Rs.2,00,000.

Q7. Are religious functions or private family events exempt from music licensing?

Ans. Yes, private family functions or religious ceremonies that are not held for commercial gain typically do not require PPL or IPRS licenses. However, once the event is open to the public or involves commercial activities, a license may be needed.

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