Statute Details
- Title: Copyright (Royalties for Musical Records) Regulations 2021
- Act Code: CA2021-RG1
- Legislative Type: Subsidiary Legislation (SL)
- Authorising Act: Copyright Act 2021 (references to sections 260 and 261)
- Regulatory Status: Current version (as at 27 Mar 2026)
- Legislative History (as shown): Made on 21 Nov 2021 (SL 880/2021); revised edition dated 2 Jun 2025
- Key Provisions:
- Regulation 2: Defines “retail selling price of a record”
- Regulation 3: Sets royalty amount for a sole musical work included in a record
- Regulation 4: Sets royalty amount for a musical work included in a record with other musical works
- Regulation 5: Sets royalty treatment for inclusion of a literary or dramatic work in a musical record, including apportionment rules
What Is This Legislation About?
The Copyright (Royalties for Musical Records) Regulations 2021 (“the Regulations”) are subsidiary legislation made under the Copyright Act 2021. In practical terms, the Regulations specify how to calculate certain royalties payable in relation to “musical records” (i.e., records containing musical works, and in some cases also literary or dramatic works). The Regulations translate the Copyright Act’s royalty framework into concrete, computable amounts and rules.
While the Copyright Act establishes the general entitlement to royalties and the circumstances in which royalties are payable, the Regulations address the “how much” and “how to measure” issues. This is crucial for rights holders, record producers, distributors, and collecting societies because royalty disputes often turn on valuation (what price should be used) and allocation (how to split royalties when multiple works are included).
In plain language, these Regulations ensure that royalties for musical works embedded in records are calculated using a defined retail selling price, applying a fixed percentage (5%) with minimum thresholds, and providing a structured approach to apportionment when multiple musical works—or additional literary/dramatic works—are included.
What Are the Key Provisions?
1) Regulation 2: Definition of “retail selling price of a record”
Regulation 2 defines the retail selling price (“RSP”) used for royalty calculations. The RSP is determined in a tiered manner:
(a) Marked price on the label: the price marked by the manufacturer on the label of the record as the price at which the record is to be sold to the public.
(b) Price list fallback: if the label price does not apply, the price specified in an appropriate price list issued by the manufacturer.
(c) Market fallback: if neither (a) nor (b) applies, the RSP is the highest price at which identical records have been ordinarily sold to the public in Singapore.
Regulation 2 also clarifies two important concepts. First, “label” includes the label on the container of the record. Second, “identical” records are those that embody the same sound recording and bear an identical label. For practitioners, this definition is often the foundation of a royalty calculation: if the RSP is contested, the entire royalty computation may change.
2) Regulation 3: Royalty for a sole musical work included in a record
Regulation 3 prescribes the royalty payable under section 260(1)(f) of the Copyright Act for a musical work that is the sole musical work included in a record. The calculation is “the higher of” two amounts:
(a) Minimum royalty: one cent.
(b) Percentage-based royalty: 5% of the retail selling price of the record.
The provision therefore combines a floor (one cent) with a proportional formula (5% of RSP). This is designed to ensure that royalties are not de minimis even where the RSP is very low.
Rounding rule: If the 5% calculation produces a fraction of a cent, Regulation 3 provides a specific rounding method. Fractions less than half a cent are treated as half a cent; fractions more than half a cent are treated as a whole cent. This rounding mechanism reduces ambiguity and supports consistent computation across reporting cycles.
3) Regulation 4: Royalty when multiple musical works are included
Regulation 4 addresses the scenario where the musical work in question is included in a record with other musical works (whether or not those other works are copyright works). Like Regulation 3, it prescribes the royalty payable under section 260(1)(f) of the Copyright Act, but it introduces an allocation step.
Again, the amount payable is the higher of:
(a) one cent; or
(b) a percentage-based amount calculated as follows:
- Find the retail selling price of the record.
- Calculate 5% of that price.
- Divide the result by the total number of musical works included in the record.
Accordingly, the Regulations treat the 5% royalty pool as being shared equally among the musical works included in the record. The phrase “total number of musical works included” is therefore central: practitioners should ensure that the counting method is accurate and defensible, particularly where a record contains medleys, multiple tracks, or works that may be argued to be distinct musical works.
Rounding: Regulation 4 mirrors Regulation 3’s rounding approach for fractions of a cent.
4) Regulation 5: Inclusion of a literary or dramatic work in a musical record
Regulation 5 addresses a more complex situation: when a record of a performance of a musical work includes a literary or dramatic work in the manner described in section 261(1) of the Copyright Act. It prescribes the royalty payable under section 261(2)(g).
The key feature of Regulation 5 is that it distinguishes between cases where the same person owns both the musical work and the literary/dramatic work, and cases where different persons own them.
(a) Same copyright owner: If (i) the musical work is a copyright work and (ii) the same person is the copyright owner of both the musical work and the literary/dramatic work, then no further amount needs to be paid in respect of the literary or dramatic work. This avoids double-counting where the rights are consolidated in one owner.
(b) Different copyright owners: If the musical work is a copyright work and different persons own the copyrights in the musical work and the literary/dramatic work, then the amount payable under Regulation 3 or 4 is to be apportioned between the copyright owners.
Apportionment is determined either:
- by agreement between the copyright owners; or
- in default of agreement, by decision of a Copyright Tribunal.
This is a practitioner-critical mechanism. It provides a structured dispute resolution pathway (Copyright Tribunal) when parties cannot agree on allocation. It also implies that the baseline royalty amount is first computed under Regulation 3 or 4, and then split between relevant owners.
(c) Musical work is not a copyright work: If the musical work is not a copyright work, Regulation 5(4) provides a “deemed” approach: the amount payable in respect of the literary or dramatic work is the amount that would have been payable under Regulation 3 if the musical work had been a copyright work. This ensures that the literary/dramatic component still attracts a royalty calculation even where the musical work itself is outside copyright protection.
How Is This Legislation Structured?
The Regulations are concise and focused. They consist of a short set of regulations that (i) define the valuation input (retail selling price), (ii) set royalty amounts for musical works in records, and (iii) address special treatment where literary or dramatic works are included.
In the extract provided, the structure is as follows:
- Regulation 1: Citation of the Regulations.
- Regulation 2: Definition of “retail selling price of a record”.
- Regulation 3: Royalty payable for a sole musical work included in a record.
- Regulation 4: Royalty payable for a musical work included in a record with other musical works.
- Regulation 5: Royalty payable for inclusion of a literary or dramatic work in a musical record, including rules on when no further payment is needed and how apportionment is handled.
Who Does This Legislation Apply To?
The Regulations apply to situations governed by the Copyright Act’s royalty provisions—particularly where royalties are payable under section 260(1)(f) and section 261(2)(g). In practice, this affects parties involved in the commercialisation of records containing musical works, including record producers, distributors, and rights holders (including copyright owners of musical works and, where relevant, literary or dramatic works).
Because the Regulations specify calculation mechanics (RSP definition, percentage rate, minimum amounts, and apportionment), they are relevant to both royalty reporting and royalty disputes. Rights holders will use them to validate entitlement and amounts; record companies and intermediaries will use them to compute payable royalties and to support consistent accounting and documentation.
Why Is This Legislation Important?
These Regulations matter because they convert broad statutory royalty rights into clear, formula-based obligations. The use of a defined retail selling price and a fixed percentage (5%) reduces uncertainty and supports predictable royalty outcomes. For practitioners, predictability is not merely administrative convenience—it is often the difference between settlement and litigation.
The minimum royalty of one cent, combined with the rounding rules, also indicates legislative intent to ensure that royalties are not lost to rounding down in low-value scenarios. This can be especially relevant for niche releases, promotional pricing, or records with low marked prices.
Finally, Regulation 5’s apportionment framework is significant for multi-rights scenarios. Where a record performance includes both musical and literary/dramatic elements, the Regulations prevent automatic double payment to the same owner while still ensuring that separate owners receive a share. The availability of a Copyright Tribunal decision in default of agreement provides a practical enforcement and dispute resolution route.
Related Legislation
- Copyright Act 2021 (notably sections 260 and 261, which the Regulations prescribe)
Source Documents
This article provides an overview of the Copyright (Royalties for Musical Records) Regulations 2021 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.