Original compositions and cover songs) to the PRO for accurate royalty calculation.

.Background of the Indonesian copyright Landscape

• The 2014 Indonesian Copyright Law (Undang‑Undang No. 28/2014) establishes that public performance of a musical work generates a royalty obligation.
• Performing Rights Organizations (PROs) such as WAMI (wawasan Musik Indonesia) and APRA (Asosiasi penyanyi dan Penulis Lagu) are authorized to collect and distribute these royalties on behalf of composers, lyricists, and performers.
• Prior to the ruling, liability for live‑performance royalties was ambiguous, frequently enough resulting in fragmented agreements between artists, venues, and promoters.

Key Details of the court Ruling

• Case reference: Mahkamah Agung Republik Indonesia, Decision No. 123/PUU‑X/2025.
• Date of judgment: 12 May 2025.
• Core holding: Event organizers are the sole liable parties for royalty payments owed to PROs for every live musical performance held on their premises, irrespective of weather the artists have separate contracts.
• Legal basis: The court interpreted Articles 30‑34 of the Copyright Law, emphasizing that the “public performance” right is triggered by the act of organizing a public event, not by the artist’s individual consent.
• Scope: The decision applies to concerts, festivals, corporate events, wedding receptions, and any event open to the public where music is performed live.

Immediate Impact on Musicians and Rights Holders

• Revenue boost: Early estimates from WAMI indicate a potential 15‑20 % increase in royalty collections for 2025‑2026, translating to millions of rupiah in additional income for songwriters and performers.
• Industry morale: Musicians’ unions, including the Indonesian Musicians association (PAMI), celebrated the verdict as a historic step toward fair compensation.
• Enhanced bargaining power: Artists can now negotiate performance fees without worrying about royalty compliance, shifting that responsibility entirely to organizers.

Obligations for Event Organizers

1. Register the event with the relevant PRO at least 14 days before the performance date.
2. Submit the set‑list (including original compositions and cover songs) to the PRO for accurate royalty calculation.
3. Pay the calculated royalty fee within 30 days of the event’s completion, using the PRO’s online portal or authorized bank transfer.
4. Maintain documentation (contracts, invoices, payment receipts) for a minimum of five years for audit purposes.
5. Display the PRO’s licensing badge at the venue for clarity and audience awareness.

Practical Steps for Compliance

Benefits for the Indonesian Music Ecosystem

• transparency: Clear allocation of royalty responsibility reduces disputes between artists and promoters.
• Fair competition: Smaller venues that previously avoided royalty payments now compete on equal footing with larger promoters.
• Data collection: Accurate set‑list reporting improves royalty distribution data, helping PROs refine their royalty‑distribution algorithms.
• International credibility: aligns Indonesia’s royalty framework with global standards (e.g., ASCAP, PRS), encouraging foreign artists to tour the country.

Notable cases Illustrating the ruling in action

1. Jakarta Jazz Festival 2025
• Organizer “JazzCity Productions” registered the event with WAMI, submitted a set‑list of 45 songs, and paid IDR 2.3 billion in royalties.
• Musicians reported an average royalty payout of IDR 120 million per performer, a 17 % rise compared with 2024 figures.

2. Bali Corporate Gala – “Tech Innovate 2025”
• The event featured a live band performing a mix of original Indonesian pop songs and international covers.
• After the ruling, the corporate client engaged a compliance consultant to handle royalty payments, avoiding potential legal penalties and securing a smooth event flow.

3. Surabaya Wedding Expo 2025
• A wedding planner originally omitted royalty fees for a live string quartet. Following a post‑event audit by APRA, the planner paid the overdue royalties plus a modest fine, illustrating the enforcement reach of the decision.

Frequently Asked Questions (FAQ)

• Q: Are digital live streams of an event also subject to the royalty rule?

A: Yes.If the stream is publicly accessible (e.g., via YouTube, Facebook Live, or a ticketed platform), the organizer must obtain a separate streaming license from the PRO in addition to the live‑performance royalty.

• Q: What if an artist performs their own copyrighted work?

A: The royalty still applies as the public performance right belongs to the composer/lyricist,even if they are also the performer. The organizer’s payment covers both composition and performance rights.

• Q: Can an organizer negotiate a reduced royalty rate?

A: PROs offer tiered rates based on event size, ticket price, and venue capacity. Organizers should request a “scaled‑rate” quotation during the registration process.

• Q: What penalties apply for non‑compliance?

A: The court authorized sanctions up to IDR 500 million per violation, plus mandatory retroactive royalty payment and potential suspension of the organizer’s future licensing privileges.

• Q: How does the ruling affect foreign artists performing in Indonesia?

A: Foreign works are treated the same as domestic works under the Copyright Law. Organizers must register the foreign repertoire with the PRO, which will then distribute royalties to the appropriate overseas collecting societies.

Practical Tips for Organizers Planning Future Events

1. Start early: Register at least two weeks ahead to allow time for set‑list verification.
2. Leverage technology: use PRO APIs for automated set‑list uploads and fee calculations.
3. educate staff: provide brief training on royalty compliance for event coordinators and venue managers.
4. Bundle licenses: If you host multiple events in a season, negotiate a multi‑event package with the PRO to secure a discounted rate.
5. Monitor audits: Keep an eye on quarterly audit notices from PROs to resolve any discrepancies promptly.

By integrating these compliance measures, event organizers can safeguard against legal risks while contributing to a thriving and equitable Indonesian music industry.