HFA Songfile Question

[JonPaulP]

Let's say you bought a license for a song from Harry Fox Agency for 25 digital downloads.

 

Are you still supposed to make monthly royalty statements to the publisher or does HFA do that for you?

 

If you found out that you sold more than 25 downloads, do you update the license with the new number?

 

Thanks!

[bcolburn]

I've wondered the same thing recently -- so I just contacted Harry Fox about this -- I will let you know if / when they respond with an answer.

 

- Brian

[BlueStrat]

When you buy a license, you are paying the royalty in advance. Once you reach the limit of that royalty payment, you must renew it.

 

When I bought the mechanical license for my CDs, I had to buy it for a minimum of 500 Cds. I bought it for 1000. That means I could sell or distribute 1000 CDs without being in violation.

[bcolburn]

Blue, it does work a little differently for DPD's (digital phonorecord deliveries), or as the OP called them "digital downloads." This was what I received from Harry Fox directly:

 

When purchasing DPD licenses, please estimate the quantity needed in a similar manner as you would in purchasing licenses for physical copies. However, unlike physical product licenses, DPD licenses are valid for one year from the date issued, so limit your estimate of the number of units to the amount you believe you will need for that duration of time, rather than for the life of the work. You can always go back and purchase another license if you wish to make additional copies. For example, if you estimate 25 downloads of the song will occur during the next 12 months, but actually have 25 in the first three months, you can simply go back and purchase another license for another 12 month period once you've exhausted the number of units authorized by the first license.

 

I hope this helps clarify things!

[BlueStrat]

 

Blue, it does work a little differently for DPD's (digital phonorecord deliveries), or as the OP called them "digital downloads." This was what I received from Harry Fox directly: When purchasing DPD licenses, please estimate the quantity needed in a similar manner as you would in purchasing licenses for physical copies. However, unlike physical product licenses, DPD licenses are valid for one year from the date issued, so limit your estimate of the number of units to the amount you believe you will need for that duration of time, rather than for the life of the work. You can always go back and purchase another license if you wish to make additional copies. For example, if you estimate 25 downloads of the song will occur during the next 12 months, but actually have 25 in the first three months, you can simply go back and purchase another license for another 12 month period once you've exhausted the number of units authorized by the first license. I hope this helps clarify things!

 

 

Yes, it does clarify. But you're still paying for the royalties up front, if I'm understanding what they're saying correctly.

[JonPaulP]

 

Blue, it does work a little differently for DPD's (digital phonorecord deliveries), or as the OP called them "digital downloads." This was what I received from Harry Fox directly: When purchasing DPD licenses, please estimate the quantity needed in a similar manner as you would in purchasing licenses for physical copies. However, unlike physical product licenses, DPD licenses are valid for one year from the date issued, so limit your estimate of the number of units to the amount you believe you will need for that duration of time, rather than for the life of the work. You can always go back and purchase another license if you wish to make additional copies. For example, if you estimate 25 downloads of the song will occur during the next 12 months, but actually have 25 in the first three months, you can simply go back and purchase another license for another 12 month period once you've exhausted the number of units authorized by the first license. I hope this helps clarify things!

 

 

Thanks a lot for contacting them, bcolburn! That certainly clears things up!!

[bcolburn]

 

Yes, it does clarify. But you're still paying for the royalties up front, if I'm understanding what they're saying correctly.

 

 

Yes, you are paying up front. But unlike physical CD's -- which if you're pressing 1000 discs, you'd pay for 1000 licenses -- with DPD's you "guesstimate" what you're going to sell -- purchase that amount, and if you sell that amount within a year, you purchase more. If you don't sell that amount, too bad, they keep the money anyways, and you still have to re-up the license after a year.