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A different type of licence Q When we took over this pub we were given a copy of the existing premises licence, which covers "the provision of live...

A different type of licence

Q When we took over this pub we were given a copy of the existing premises licence, which covers "the provision of live and recorded music, including juke box and karaoke." Now I have received a demand for an additional licence fee for the same things from the Performing Right Society (PRS). I have paid my annual licence fee to the council.

Do I have to pay this as well?

A Yes, you do. I am afraid that in your situation you may well be required to pay for two additional copyright licences,

as well as your premises licence.

These extra "licences" are in fact copyright agreements and you cannot just inherit them from the previous lessee, nor do they form part of the new licensing system for alcohol and entertainment.

In fact, you have been contacted because you will need to take out a fresh licence from the copyright agencies concerned. They do not operate on a transfer system and require the incoming owner or occupier to take out a fresh licence.

They will then refund the unexpired portion of the copyright fee to the outgoing licensee. The reason for this is that, unlike other licences, it is a payment in respect of ongoing copyright activity, not a one-off payment, so when the copyright obligation ceases, there will be a proportion of the fee which is not due. The situation is different with the premises licence, which may be transferred from one occupier to another.

The PRS may well ask you for details of the music to be performed at the pub because of the change of ownership. Your decisions on how much music takes place may well be different from the previous lessee. They will assess the fees to be paid on what you tell them.

Bank holiday additional time

Q Our licence says we must stop serving at 11.30pm on weekdays.

One of my customers has said that there is an extra hour for bank holidays and that it applies automatically. I know some pubs which stayed open this month for longer. What is the law on this?

A The law is what is written on your premises licence. If you have not put in for longer hours on bank holidays, then those days will be treated like any other ordinary Monday during the year, and the agreed terminal of 11.30pm will apply.

The pubs which opened longer will either have a specific concession for bank holidays on their licence, or a kind of "floating permission" which allows them to open for extra time on a specific number of days throughout the year. In some areas this concession is only available if prior notice is given to the police. Certain pubs inherited additional time from the old system, but this was usually for meals or entertainment.

Associates' rights in clubs

Q Can you explain what rights an associate member has if a club is to be closed down? We have paid all our membership fees and because this closure is forced, there may be some funds remaining.

A From the rules which you have sent me, it is clear that the club is a members' club and the voting rights are confined to ordinary members only. In such a situation, associate members, who have no voting rights, have no claim again the assets of the club and cannot vote on its dissolution. The matter is in the hands of the existing ordinary members, who may take the decision either to continue on another site or distribute the remaining funds.

Related topics Licensing law

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