I thought because I paid for Spotify Premium, I could use it in my Zoom classes. I was wrong. A digital rights bot flagged my recorded class on Facebook, and I received a demand letter from ASCAP/BMI for $30,000 in statutory damages for “public performance” without a sync license.
Key Takeaways
- Personal vs. Commercial Use: Spotify/Apple Music are for personal use. Playing them in a class (revenue-generating) is copyright infringement.
- Sync License: For recorded (on-demand) videos, you need a “Synchronization License” (syncing music to video). This is different from a public performance license.
- Insurance Exclusion: General Liability does NOT cover Copyright Infringement related to music. It has a specific “Intellectual Property” exclusion.
- The Fine: Statutory damages can be $750 to $150,000 per song.
The “Why”: The IP Exclusion
The Trap:
“Advertising Injury” in GL policies covers some copyright issues (like stealing a logo), but it almost always excludes “Infringement of Copyright, Patent, Trademark or Trade Secret” related to your core business services.
Using music is part of your business service. Therefore, insurance pays $0.
You are on the hook for the full $30,000.
The Investigation: Solutions (Not Insurance)
Since insurance won’t cover this, I investigated licensing solutions to prevent the lawsuit.
1. Muscle Mixes / Yes! Fitness Music
- Solution: They sell “Pre-Cleared” music. You buy the album, it comes with the license for classes (and sometimes streaming). Safe and cheap.
2. Epidemic Sound
- Solution: Subscription based. Good for YouTube/Instagram. Covers the Sync License.
3. ASCAP/BMI Gym License
- Solution: This covers live music in the gym. It does NOT usually cover Zoom or pre-recorded videos. Be very careful.
[IMAGE: Comparison chart of “Spotify” vs “Commercial License” rights]
Comparison Table: Music Liability Risk
| Source | Live Class | Zoom/Virtual | Insurance Coverage? |
| Spotify | Illegal | Illegal | NO |
| Commercial Radio | Illegal | Illegal | NO |
| Royalty Free | Legal | Legal | N/A (Safe) |
Step-by-Step Action Plan
- Stop Using Spotify: Immediately.
- Delete Old Videos: Take down any class with unlicensed music from Facebook/YouTube.
- Buy a Commercial Service: Subscribe to a service like Epidemic Sound or use royalty-free playlists.
- Read the Demand: If you get a letter, negotiate. They often settle for the cost of the license you should have bought, plus a penalty.
FAQ
Can I play music if I don’t record it?
You still need a Public Performance License (ASCAP/BMI) for the live stream, but the risk of detection is lower than recorded video.
Is there any insurance for this?
“Media Liability” insurance covers it, but it’s expensive ($2k+/year). Cheaper to just buy the music license.
What about “Fair Use”?
Does not apply to commercial fitness classes.