JRC administers rights to record music and to provide interactive delivery services of music.
The type of agreement which JRC offers to copyright holders is a commission agreement (as opposed to a trust agreement).
Under a trust agreement, a copyright holder (trustor) transfers its ownership of copyright to the collecting society (trustee) for the purpose of management of the copyright. Under a commission agreement, no ownership of copyright is transferred to the collecting society. As a result, under a trust agreement, the collecting societies are considered to have wider discretion to protect the entrusted copyright. For example, the collecting society would be authorized to demand payment of royalties or file a lawsuit to claim compensation under its own name. Under a commission agreement, the collecting society may not do so.
The amount of fees/royalties to be paid to collecting societies are exclusive of VAT (in Japan, it is called "consumption tax"). The person who wants to receive license from the collecting societies has to pay the amount plus 5 % consumption tax.
Information for JRC was contributed by the CMO through Baker & McKenzie
+ Online and Mobile Services
The license permits the licensee to conduct music transmission services including both music streaming services and music download services.
The license fee is calculated based on the information fee [“Information fee” is the fee that the licensee charges to the users for transmission/distribution of information (i.e., music data).], of the licensee, the number of request for transmission of the music and other factors. Any limitation on the number of copies permitted of downloaded music is also taken into consideration. The license fee can therefore be reduced if there is any limitation on the number of copies permitted.
+ Physical Product
The license permits the licensee to record music into compact discs, hard disks, or any other recoding devices.
The license fee is determined by the length of the work. (The license fee per work is calculated based on the retail price of the medium [i.e., compact disc, etc.] and the total number of works [songs and/or music] contained in the medium. If the retail price is not available, the fee is determined on case-by-case basis.) If the compact discs etc. produced under this license will be sold, the price of the compact discs etc. is also taken into consideration.
The license permits the licensee to record music together with movies onto compact discs, hard disks, or any other recoding devices.
The license fee is determined by the length and contents of the movie to be recorded with the music, the price of the video gram and the length of the music.
The license permits the licensee to record, duplicate or use the music for the purpose of presentation of music to the public as a movie together with video pictures;
The license fee is determined by the copyright owner.
JRC Terms of License, Article 6,”License Fee for Recording within Movies”
The license permits the licensee to record, duplicate or use the music for the purpose of advertisement.
JRC Terms of License, Article 7, “License Fee for Recording for Commercials”