From my lawyer girlfriend here in the states...if you performed Led Zeppelin and your gig made a total of 1,500, it would cost them WAY too much to bother with the likes of little cover-band whoever. It's not that you don't HAVE to pay, it's generally too much bother.

NOW, for example, THAT depends on who you're dealing with. One motorcycle co. sued someone for using the word "hog" in the context of PIGS!

But, let's say someone who's going to net several hundred thousand dollars per concert...you better believe the band will be forced to pay up. Since a lot of musicians already know each other, who would you try and cheat someone you know?

 On the other hand, if you were Paul McCarney for example, you'd have 40 million a year JUST for songwriter's rights (remember, Mike Jackson bought a lot of the publishing rights; it's a 50% split) anyway, so what difference would it make?

Royalty sheets apparently seem to make more money on them than they actually are. If you get a record deal, and they give you 200 thousand to make a record; you now OWE them that money, if they don't get their 200 grand back. THAT's scary!!

Of course, if a label has "blocked out" a room (bought a studio for a period of time so that no one is allowed in until the time's up, a weekend, a month, whatever...), you can also note that the same room that costs me or you fifty an hour, will cost that label 200 dollars per hour.

That's of course, in our part of the world. If the laws are different in another country/state, I don't know what they do then...