Message for Nightclub and Dance Party Operators

On 10 July 2007, the Copyright Tribunal handed down its decision in relation to a new nightclub and dance party licensing scheme. Click here to view the Copyright Tribunal’s judgment.

In relation to nightclubs, a rate of $1.05 was set for each person per night of operation, to be calculated on the basis of the venue’s capacity. For dances and dance parties, the Tribunal adjusted the rate to $3.07 for each person that attends each event.

At a hearing on 15 November 2007, the Tribunal confirmed that nightclub licence fees payable under the new scheme are to be phased in over a five year period.  The rates fixed by the Tribunal per person per night of operation are set out below.  On 15 November, the Tribunal also stated that the new dance party rate of $3.07 will not be subject to a phase in period. 

On 23 November 2007, the Tribunal issued an Order formalising its decision on the implementation of the schemes.  Click here to view the Copyright Tribunal’s Order. The Order provides that the Dance Use licence scheme (nightclubs and dances/dance parties) comes into operation as of 23 November 2007.  The annual phasing-in increases for the nightclub tariff will take effect from 23 November 2007 as set out in the following table:

Annual CPI increases will apply from the second year.

Review of Copyright Tribunal’s Decision

In August 2007, the Australian Hotels Association (AHA) lodged an application in the Federal Court for a review of the Tribunal’s decision of 10 July 2007 in relation to nightclubs (“the Appeal”).  The Federal Court may either confirm the Tribunal’s decision or require the Tribunal to reconsider the case. 

The Federal Court heard the Appeal on 6 March 2008.  The decision was delivered on 13 March 2008 (click here to view the Federal Court’s Reasons for Judgment). The Court dismissed the Appeal.  This means that the Tribunal’s Order of 23 November 2007 continues to be effective and the licence fee rates set out above are confirmed.

Should you have any further questions about the changes, please contact PPCA on (02) 8569 1100.