By law, as well as by intent, the pre-recorded videocassettes and videodiscs which are available in stores throughout the United States are for home use only --unless you have a license to show them elsewhere. Rentals or purchases of home videocassettes do not carry with them licenses for non-home showings. Before you can legally engage in non-home showings, you must have a separate license which specifically authorizes them.  These simple, straightforward rules are embodied in the Federal Copyright Act, Public law 94-553, Title 17 of the United States Code. Any institution, organization, company or individual wishing to engage in non-home showings of home videocassettes should be aware of the Copyright Act's provisions governing showings of video materials, which are highlighted below. The Copyright Act grants to the copyright owner the exclusive right, among others, "to perform the copyrighted work publicly" (Section 106). 

• The rental or purchase of a home videocassette does not carry with it the right "to perform the copyrighted work publicly" (Section 202). 
• Home videocassettes may be shown, without a license, in the home to "a normal circle of family and its social acquaintances" (Section 101 ) because such showings are not "public." .
• Home videocassettes may also be shown, without a license, in certain narrowly defined "face-to-face teaching activities" (Section 110.1 ) because the law makes a specific, limited exception for such showings. There are no other exceptions. 
• Other showings of home videocassettes are illegal unless they have been authorized by license. Even "performances in 'semipublic' places such as clubs, lodges, factories, summer camps and schools are 'public performances' subject to copyright control" (Senate Report No.94-473, page 60; House Report No.94-1476, page 64).
• Institutions, organizations, companies or individuals wishing to engage in non-home showings of home videocassettes must secure licenses to do so –regardless of whether an admission or other fee is charged (Section 501). This legal requirement applies equally to profit-making organizations and non-profit institutions (Senate Report No.94-473, page 59; House Report No.94-1476, page 62).

Showings of home videocassettes or videodiscs without a license, when one is required, are infringements of copyright. If done "willfully and for purposes of commercial advantage or private financial gain," they are a federal crime (Section 506). In addition, even innocent or inadvertent infringers are subject to substantial civil damages ($500 to $20,000 for each illegal showing) and other penalties (Section 501-505). 

QUESTIONS AND ANSWERS

Q. We own the video, do we still need a license to view or show it in public?
A. Yes. The location requires a license regardless of who owns the cassette or disc. While you may own the actual cassette or disc, you are only granted the right to view it in your home, not to perform it in public.

Q. We do not charge admission. Do we still need a license?
A. Yes. The Federal Copyright Act states that regardless of whether an admission fee is charged, a license is required..

Q. We are non-profit. Do we still need a license? 
A. Yes. The legal requirement to obtain a license applies equally to nonprofit and for-profit organizations.

Q. We are a Sunday school or child care center; do we qualify for a face-to-face teaching exemption?
A. No. The educational exemption is narrowly defined and applies to full-time, -non-profit academic institutions only.

Q.We are not open to the general public. Do we still need a license?
A. Yes. Any location outside of the home is considered public for copyright purposes. 

Q. We rent our facility to other groups. Who is liable for copyright infringement?
A.  Ultimately, the owner of the facility is liable and all parties may be considered contributory infringers."