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It's not clearly laid out, but when they speak of public exhibition, it usually means paid exhibition.
If I opened up my house to people, and charged them to see Lord of the Rings in my home theater, that would be illegal. But if I ran, say a pizza joint, and I had Harry Potter playing for the kids(but it not be advertised in any way), while they eat their pizza then that's ok.
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"You can never go home again, Oatman... but I guess you can shop there."
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