
Originally Posted by
LiquidKourage
Technically speaking, yes. Bars pay karaoke companies, who in turn play karaoke tracks. However, the bar is paying for the time of the host, the sound equipment, marketing, promotions, and a lot of other things than the karaoke tracks themselves. The karaoke company purchases the tracks, which have been licensed and rerecorded by the manufacturer, and uses them in the fair, legal, and intended use of the product. Where does the original artist get their compensation? Both from the karaoke manufacturer and from the bar itself, which is typically pays annual fees to a group called ASCAP whose purpose is to handle collecting royalty fees for public performances of non-public domain music. Most any bar that hires bands, DJs, karaoke companies, or even owns a jukebox, pays an annual fee to ASCAP for a blanket license.
That all being said, it does not violate any legal rights that I am aware of to provide Rock Band in a public setting. Just to be safe, it is an understanding I have with my venues that the fee I charge does NOT include my Rock Band services; technically, I do not get paid to offer Rock Band. Instead, I am paid for my time, sound equipment, expertise, marketing/promotions, and everything else that comes into hosting a karaoke show. I just happen to also offer Rock Band at my shows.
I do agree with Klubby that based on my limited knowledge, charging people directly to perform Rock Band tracks would be a violation of the agreement implicit upon purchase of Rock Band. The only way I can see a tournament with an entry fee being legal would be if it was a charitable event (with proceeds going to the charity, of course) or if any fees charged went directly and exclusively to the execution of the competition i.e. prizes, compensation for hosts/judges etc., and other vital tournament expenses. If you were to, as you say, take "a little something for yours truly", you need to be able to justify any money you take, be it in consultation fee or something similar.
But that's just my 2 cents.