I am fairly familiar with the RIAA stance and have never seen anything about the "friends and family" portion of your statement. A quick look at their website didn't revel anything except:
"The copy is just for your personal use. It’s not a personal use – in fact, it’s illegal – to give away the copy or lend it to others for copying."
And their hard-line stance on even personal copying even though the courts have ruled against this in the case of personal use:
"If you make unauthorized copies of copyrighted music recordings, you're stealing. You're breaking the law and you could be held legally liable for thousands of dollars in damages."
17 USC 1008 is the appropriate statute for this and it makes no mention of "friends and family"
Please point me towards your support for your statement when you get a chance.
Originally Posted by The Kipnis Studios
There is a very specific copyright framework in place:
According to the RIAA, You may (in addition to archiving for yourself) give away a personal copy of a musical performance (CD, LP, etc.) that you own on an individual basis to friends and family with the understanding that you are sharing something you own for reasons of mutual knowledge and experience.
That copy cannot be copied by your friends or family members and given away, again, becuase that is a violation of copyright law.
You also may not make copies and hand them out to any and everybody, willy-nilly.