HomeArchiveBusinesses Begin to Face The Music, and Pay for It

Businesses Begin to Face The Music, and Pay for It

According to Costa Rican copyright law, if a person or business obtains commercial benefit from the communication, performance or playing of recorded or live music, a corresponding fee must be paid.

Businesses that offer music, such as hotels, restaurants, bars and clubs, therefore have begun to pay a fee for their use of music to FONOTICA, the Costa Rican recording industry trade association.

The Costa Rican National Tourism Chamber (CANATUR) conducted a study that analyzed the fees that FONOTICA charges for use of copyrighted music. The fees are based on minimum wage, which is around $11 per day, and capacity of each location.

CANATUR, which has 213 members that offer lodging, found that if all of the businesses in the hospitality sector incurred this fee, they would pay a total of approximately ¢14.145 million ($24,590) per month. Alhough this fee is divided among individual hotels and businesses, the additional cost could cause particular worry for smaller businesses, which already are pinched financially with decreased tourism revenues reported this year.

“Calculating these numbers helps us to understand that smaller businesses will be the most affected,” said Gonzalo Vargas, president of CANATUR. “The added cost will make it increasingly difficult for them to operate, particularly because in the first quarter of this year there was a 12 percent decrease in tourists as compared to last year.”

When CANATUR included other tourism businesses, such as bars, restaurants, clubs, airlines, tour operators, transportation and other recreational organizations, CANATUR estimated that its affiliates would pay a total of ¢17.993 million ($31,281) per month for commercial use of music.

The fee is calculated using a formula based on capacity and minimum wage. For example, if a club has a capacity of fewer than 200 people, it pays a fee of five minimum wages per month. The rate of the fee increases according to capacity.

–Adam Williams

 

Trending Now

El Niño Is Already Cutting Costa Rica’s Coffee Harvest by Up to 15%

Costa Rica's coffee growers now expect a harvest 10% to 15% smaller than first estimated as El Niño's irregular rains and rising heat reach...

Costa Rica Arrests Woman Suspected in Killing of American in Playas del Coco

Costa Rican authorities have arrested a 22-year-old woman suspected of killing an American businessman inside his condominium in Playas del Coco, Guanacaste, bringing an...

Wha Happen? 13 Patois Phrases for Costa Rica’s Caribbean Coast

Heading to Puerto Viejo or Cahuita? Learn 13 Mekatelyu phrases, from wha happen to mek wi go, before you go.

Forbes Picks Costa Rica’s Rancho Pacifico to Beat the Crowds

A Forbes feature names Rancho Pacifico, a 20-guest rainforest resort above Uvita, among its top shoulder-season escapes from the crowds.

Costa Rica Pension Overhaul Could Require 30 Years of Work Instead of 25

Workers in Costa Rica's main public pension system could need five more years of contributions before they can retire, receive a smaller share of...

Costa Rica Hospitals Overwhelmed as Patients Wait Up to Eight Days for Treatment

Patients at several of Costa Rica's largest public hospitals are waiting as long as eight days for a hospital bed, with overcrowded emergency departments...

All Three VIP Lounges at Juan Santamaría Airport Close Sunday

All three VIP lounges at Juan Santamaría Airport will be closed Sunday, Nov. 1, and the Mastercard lounge has no reopening date.

Thieves Emptied a Tourist Rental Car in 8 Minutes in Costa Rica

When you lock your car in Costa Rica, don't assume it is locked. A group of Colombian visitors found that out during a coffee...

Expect Gusts Up to 85 km/h and Rain in Costa Rica This Weekend

Gusts could reach 85 km/h in Costa Rica's mountains and northern Guanacaste today, with rain in the Caribbean and storms in the South Pacific.
Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Car Rentals
Costa Rica Travel Insurance
Costa Rica Travel