Just because you use a vendor for music on hold/messaging on hold does not guarantee that your music licensing is covered. Here’s a clip from the BMI website:
Q: Does The Price Of The Music-On-Hold System We Purchased Include Performance Licensing Fees?
A: Some providers of customized music-on-hold programming may include music licensing fees in their price. Others offering this service may be creating liabilities for uninformed clients because they utilize unlicensed music for on-hold productions. If you are uncertain, ask your service whether or not they do include the music licensing fees in their price and to put this in writing.
Easy On Hold provides proper music performance rights with every purchase. Through an agreement with a major studio music firm, Easy On Hold pays all rights to allow its clients to use their productions royalty free.
Different kinds of royalties–beware.
When you see “royalty free” something or other, remember that there are different types of royalties or residuals, such as mechanical right versus performance rights. Whose job is it to understand these liabilities? Yours.
