Just out of curiosity what does a set decorator have on a reel - just a montage of scenes that show the set really well? Not something I've ever really thought about...
A set decorator would have similar material to an art director or production designer - flattering shots of the sets, as shot for a given show.
Although I was thinking mostly of my 2d/3d animation reels, when I posted that.
I wonder what underlies the apparent "moral" stance that some people take on this - are you going to argue that the copyright owner has suffered a monetary (or any other) loss, because someone puts their music to unauthorized use, on a demo reel? Is your position that someone will now not-buy an album or pay for a download, because the tune was on a demo reel?
Sure, it's probably very easy to make an airtight legalistic case against it. But the law is worth very little, unless you can demonstrate a real harm to the party who's theoretically being protected from loss. And while we can all easily be rules-lawyers, can we demonstrate that there is damage being done, to any party, or are we just blind worshippers of the letter of the law?
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