Spotify as a source for public music performance in Europe
Spotify has terms that clearly say it's for personal use only, and they follow this up with specific statement that it's forbidden to use it in public places like clubs, restaurants etc. Having this in mind - is anybody from Europe able to explain the following scenario? The venue obtains all the necessary licenses for playing music in public from relevant organizations, like PRS in UK or GEMA in Germany for example. The venue hires a DJ to play the music - what copyright law is being violated and how copyright owners rights are being violated when the DJ is using Spotify as a source of music for that public performance? Can the venue or the DJ himself be penalized for this by copyright owners/the organizations like PRS and GEMA? The DJ is using a legal source of music + the venue is paying for that music being played in public = how does that hurt the copyright owners?
EDIT: I'm not trying to justify doing something against the law. I'm genuinely trying to understand the mechanism of how anybody is being hurt in this scenario. So I'd much appreciate if people downvoting this thread and my comments could explain why.