Variety radio directory (1940)

ASCAP STATION LICENSE— Continued centage payment whether such payment shall have been made directly to the station or to any other persons, firms or corporations. The percentage shall be applicable to the gross amount paid by the sponsor although the party to whom or which such payment has been made shall pay a lesser sum to the station for the use of its broadcasting facilities, and this shall also apply if there shall be more than one intervening party between the sponsor and the station. The foregoing is subject solely to a deduction for commission hereinafter provided for in Subdivision (d) and for amounts received for rebroadcasting such programs as are exempt from payments under Subdivision (e). Where payment is made in any form other than money or negotiable instrument, then the fair value of the commodity or other property involved or service furnished shall be included in the gross amount to which the percentage is applicable, provided, that, in no case shall such amount be less than the highest rate charged for a similar use of LICENSEE'S broadcasting facilities. (d) In the event that advertising commissions are paid to an independent agency not employed or owned in whole or in part by LICENSEE, and in which LICENSEE has no stock or other interest, directly or indirectly, the amount of such actual payments not exceeding fifteen (15%) percent may be deducted from the gross amount paid for the use of LICENSEE'S broadcasting facilities in computing the percentage payments hereinabove specified. This deduction shall be permitted whether the advertising commission is paid directly by the sponsor or by LICENSEE. But in no event shall such deductions, regardless of by whom paid, exceed in the aggregate the sum of fifteen (15%) percent. (e) LICENSEE shall not be required to account for any sums received for the use of LICENSEE'S Station facilities in rebroadcasting programs originating in other stations having a Chain Broadcast License from SOCIETY authorizing the rebroadcasting of such programs. (f) LICENSEE shall not be required to account for any sums received from political broadcasts, nor shall it be required to account for sums received from religious broadcasts where the amount paid is solely in reimbursement for the costs of lines, wire charges, and technical personnel. (g) LICENSEE shall have the right to charge against the gross amount paid for the use of its broadcasting facilities by the sponsor of any news program the actual cost of such news program to the station, provided that if the cost to the station of such news program covers programs for which there are no sponsors, LICENSEE shall have the right to charge against the gross amounts paid by the sponsor of such news program only such proportion thereof as such sponsored news program bears to all the news programs contracted for by the station, and provided further that in no event shall the amount allocated as the payment for broadcasting facilities be less than the highest rate charged for a similar given period of time over LICENSEE'S Station. If, however, the gross amount paid for the use of its broadcasting facilities by the sponsor shall be less than the highest rate charged as aforesaid, then the percentage payable by LICENSEE shall be computed upon such gross amount paid for the use of its broadcasting facilities. (h) With respect to athletic events, such as baseball, football, hockey, boxing, racing and other athletic events, LICENSEE shall have the right to deduct from the gross amount paid for the use of its broadcasting facilities such extraordinary expenses as shall be necessarily incurred for such special broadcasts, such as special line charges, special announcers and extra engineers, but no part of the cost of the general and regular operation of the station shall be deductible, and in no event shall the amount allocated as the payment for broadcasting facilities hereunder be less than the highest rate charged for a similar given period of time over LICENSEE'S Station. If, however, the gross amount paid for the use of its broadcasting facilities by the sponsor shall be less than the highest rate charged as aforesaid, then the percentage payable by LICENSEE shall be computed upon such gross amount paid for the use of its broadcasting facilities. (i) LICENSEE shall pay the sustaining fee in equal monthly installments on or before the tenth day of each month during the term hereof. (j) LICENSEE shall render monthly statements to SOCIETY on or before the tenth of each month covering the period of the preceding calendar month, on forms supplied gratis by SOCIETY with respect to all gross amounts paid for the use of its broadcasting facilities as hereinabove defined, without exception, and the percentage thereof payable to SOCIETY, which said statement shall be rendered under oath and accompanied by the remittances due SOCIETY under the terms hereof. 234