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These music laws seriously need to change... they cause so many issues like this.
I think once a music distributor gives permission to lets say square enix for this game, then that song is always gonna be approved for re-releases of the same game.
For example i mentioned those episodes of fresh prince of bel air... well, those songs were approved for the show wayyyyyy back in the 90s for use in those episodes, so why should they have to seek permission to re release them on DVD?
They already approved them years ago... why should they be re-approved?
which is why the recent episodes of Beavis & Butt-Head avoid showing too much music videos,otherwise it would be like the old episodes,that got awlful DVD releases(anybody who had seen the fan-made DVD collection you can find on the internet knows they are a thousand times better than the official ones,truly complete and truly uncut with lots of rare bonus material included.)
I would just like to point out this isn't even uncommon for domestic Japanese things. For example the Full Metal Panic!: The Second Raid dvd/bluray release in Japan had a song removed from it that, get this, is the theme song op for the rest of the FMP series. It plays as an insert during the last ep. Needless to say this is actually a very realistic and more likely reason then anything else really. As that article mentions it no longer becomes a matter of localization, but might require reworking the game itself.