From most of what I've read and experienced, most bars are part of what ASCAP and BMI call non surveyed venues. These venues are responsible for negotiating a license to cover performance royalties. The catch here is the smarter owner may claim he had no idea you (or any other band) were going to play "cover tunes" not in public domain. This would then technically make the band responsible for performance royalties. The owner is now off the hook by means of a ephemeral use cluase. And unless you are charging $5000.00 a night to play it's not worth going after you for the royalties.
With all that said thank god the amount of money that would be collected is so little compared to the cost of enforcment/collection that there is generally no problem. Most very large club type venues (where cover tunes might be played and/or music piped in) have agreements with BMI/ASCAP but ask to make sure when playing these big venues. And if you are playing these big venues and are getting $5000.00 a gig get a lawyer now and get ALL the paper work together for your band.
With all that said thank god the amount of money that would be collected is so little compared to the cost of enforcment/collection that there is generally no problem. Most very large club type venues (where cover tunes might be played and/or music piped in) have agreements with BMI/ASCAP but ask to make sure when playing these big venues. And if you are playing these big venues and are getting $5000.00 a gig get a lawyer now and get ALL the paper work together for your band.
Jeff