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COPYRIGHT SOCIETIES IN INDIA

SUBMITTED TO:

MS. MAHIMA TRIPATHI

SUBMITTED BY: AMITESH TIRKEY

VI SEMESTER

BATCH XIII

ROLL NO. 25

SUBMITTED ON: 23 OCTOBER, 2017

HIDAYATULLAH NATIONAL LAW UNIVERSITY

RAIPUR, CHHATTISGARH

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Contents

Acknowledgement 3
Research Methodology 4
INTRODUCTION OF COPYRIGHT LAW 5
INTRODUCTION TO COPYRIGHT SOCIETIES 5
FUNCTIONS OF A COPYRIGHT SOCIETY 5
STATUTORY PROVISIONS 6
Section 33(1) 6
Section 33(4) 6
RULE 14(A-P) 7
INDIA 17
Functions of Copyright Society 17
(1) Society for 18
(2) The Indian Performing Rights Society Limited (IPRS) 18
(3) The Phonographic Performance Limited (PPL) 18
(4) Indian Reproduction Rights Organization (IRRO) 19
CASE LAWS: 19
UNITED KINGDOM 25
2. The Mechanical Copyright Protection Society (MCPS): 25
3. Author’s Licensing and Collecting Society (ALCS): 25
5. Directors and Producers rights society (DPRS): 26
6. Federation against Copyright Theft (FACT): 26
7. British Academy of Composers and Songwriters – BACS: 26
8. British Music Rights – BMR: 26
CASE LAWS: 26
CONCLUSION 29
Bibliography 30

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Acknowledgement

Thanks to the Almighty who gave me the strength to accomplish the project with sheer hard
work and honesty.

This research venture has been made possible due to the generous co-operation of various
persons. To list them all is not practicable, even to repay them in words is beyond the domain
of my lexicon.

May I observe the protocol to show my deep gratitude to the venerated Faculty-in-charge
MS. MAHIMA TRIPATHI, for his kind gesture in allotting me such a wonderful and
elucidating research topic.

It would be very unjust to forget my friends while expressing thanks to one and all.

Last, but by no means the least, I would like to thank all the members of HNLU family in
general and my blooming and charismatic friends in particular for their wholehearted co-
operation throughout the odyssey.

-AMITESH TIRKEY

ROLL NO. 25

SEMESTER VI

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Research Methodology
This project is based upon doctrinal method of research. This project has been done after a
thorough research based upon intrinsic and extrinsic aspects of the project.

Sources of Data:

The following secondary sources of data have been used in the project-

1. Articles.
2. Books
3. Journals
4. Websites
Method of Writing:

The method of writing followed in the course of this research project is primarily
analytical.

Mode of Citation:

The researchers have followed the Blue Book mode of citation throughout the course
of this project.

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INTRODUCTION OF COPYRIGHT LAW

Copyright has the important place in Intellectual Property Rights. Copyright is a fundamental
area of the intellectual property rights which is important not only with respect of works
authored by the individual but also because it includes different kinds of works. Copyright is
the exclusive right to do or to do certain acts in relation to literary works, dramatic, musical
and artistic works, cinematograph film, sound recording and computer databases. 1

Copyright law is designed to prevent copying of existing physical material in literature and
art. The objective is to protect the writer or artist from the unlawful reproduction of his
material. The law does not permit one man to make profit and to appropriate to him that
which has been produced by labour, skill and capital of another. In order to prevent from all
this or to prevent from the violation of the rights of the creative authors, there are Copyright
Societies which takes care of the authors rights and all the things related to copyrighted
material.

INTRODUCTION TO COPYRIGHT SOCIETIES


Copyright Society is a legal body which protects or safeguards the interest of owners of the
work in which copyright subsist. The Copyright Societies gives assurance to the creative
authors of the commercial management of their works.

The authors of creative works licence a publisher to publish the work on a royalty basic. This
also leads to infringement of the work anywhere in India or abroad therefore it is extremely
difficult for the owner of the work to prevent from such infringement. To overcome such
difficulty owners of Copyright works have formed Societies to licence their works for
performance or communication to the public or issue copies of the work to the public.
‘Copyright Society’ means a society registered under Section33 (3).2

The Copyright societies are also authorized to watch out for infringement of the copyright
and take appropriate legal action against the infringers.

FUNCTIONS OF A COPYRIGHT SOCIETY


The copyright Societies discharge the following functions:

1 V.K.Ahuja, Law Relating to Intellectual Property Rights, Pg.108, (2007).


2 Id

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1. It grant license of the Copyright in the work for reproduction, performance or
communication to public.

2. It locates the infringement of the Copyright and initiates legal proceedings.

To regulate these activities of such copyright societies Sections 33 to 36A have been enacted
under the Copyright Act 1956.

STATUTORY PROVISIONS
Section 33(1)3 provides that no person or association of person allowed to carry on the
business of issuing or granting licenses in respect of any work in which Copyright subsists or
in respect of any rights conferred by the Act except under a registration.

However the owner of Copyright in his individual capacity will continue to have the right to
grant licenses in respect of his own works with his obligation if any as a member of the
registered Copyright Society.

An application may be made to the Registrar of Copyright. Every application should satisfy
the conditions. And then the Registrar shall forward the application to the Central
Government which may, having regard to the interests of the author and other owner of rights
under this Act, the interest and convenience of the public and in particular of the group of
persons who are most likely to seek licenses in respect of the relevant rights and the ability
and professional competence of the applicants, register such association of persons as a
Copyright Society subject to conditions as may be prescribed.

Central Government shall not ordinarily register more than one Copyright Society to do
business in respect of the same class of works.

Section 33(4)4 states that the Central Government, if satisfied that the Copyright Society is
detrimental to the interest of the owners of rights concerned. Then in this case the Central
Government cancel registration of such society after such inquiry as may be prescribed.

RULE 14(A-P)5

3 Indian Copyright Act, 1956


4 Id
5 Id

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1. Conditions of the submission of applications for registration of Copyright Societies:
Any association of persons whether incorporated or not, consisting of seven or more owners
of copyright (hereinafter referred to as ‘Applicant’) formed for the purpose of carrying of
business of issuing or granting licenses in respect of any class of works which is copyrighted
or in respect of any other work conferred by the Act. In this case they may file with the
Registrar of Copyrights an application of Form II- C. The application then is submitted to the
Central Government for grant of permission to carry on the business and for its registration as
a Copyright Society.

An application under the above provision shall be signed by all the members of the
Governing Body and the Chief Executive of the Applicant.

2. Conditions for grant of permission to carry on copyright business:


As per rule 14 of the Copyright Rules, 1958, an applicant of a Copyright Society shall not be
eligible to be considered for such registration unless:

i. After the Applicant is established or it creates a commitment on it to deal with only


copyright business and other activities ancillary thereto and

ii. The Applicant is willing to comply with the provisions of the Act and the rules made there
under.

3. Documents accompanying applications:

Rule 14 A of Copyright Rules, 1958, every application made under rule 12 or rule13 shall be
accompanied with by:

i. A true copy of the application by which the Applicant is established or incorporated.

ii. Consent of all the members included in the application to act as members of the Governing
Body of the Application.

iii. A declaration containing the objectives of the Applicant, the bodies through which it will
function and arrangements for accounting and auditing.6

iv. An undertaking to the effect that the instrument is established or incorporated provides for
conforming the same to the provisions of the Act and these Rules.

6 Supra, Note 3

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4. Conditions for registration of a Copyright Society7:

According to Rule 14 B of the Copyright Rules, 1958:

i. When an application for registration is submitted to the Central Government through the
Registrar of Copyrights, the Government may, within sixty days from the date of its receipt
by the Registrar of Copyrights either register the Applicant as a Copyright Society.

ii. The application shall be rejected if the following grounds are present, but only after giving
the Applicant an opportunity to being heard:

a) The Applicant has no professional competence to carry on its business or has not sufficient
funds to manage its affairs; or

b) There exists another Copyright Society registered under the Act for administering the same
class of works and its functioning well; or

c) The Central Government has reason to believe that the members of the Applicant are not
bonafied copyright owners or they have not voluntarily signed the instrument setting up the
Applicant and the application for registration; or

d) The application is found to be incomplete in any respect, reject the applications.

i. After the registration of the Copyright Society by the Central Government, the Registrar of
the Copyrights shall issue certificate of Registration in Form II- D under his hand and seal.

ii. On and from the date of its registration as specified in the Certificate of Registration, the
Copyright Society shall be entitled to commence and carry on the permitted copyright
business in the name by which it has been so registered.

5. Procedure for holding inquiry:

According to Rule 14 C of the Copyright Rules, 1958:

On the complaint of the Registrar or any of the owners of the rights, has reason to believe that
a Copyright Society is being managed detrimental to the interests of the owners of rights
concerned , it may after making an inquiry in the following manner, cancel or suspend the
registration of the Copyright Society made there under these rules, namely-The Central

7 P.narayanan, Law of Copyright and Industrial Design, Pg.366, 4th Edi.,(2007).

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Government by sending a copy of the complaint to the society shall ask for a written
statement of its defense within a specified time.

i. After receiving the written statement, the Central Government if satisfied that a prime facie
case, it shall order an inquiry by appointing an Inquiry Officer.

ii. The Inquiry Officer shall conduct an inquiry based on the principles of natural justice.

iii. He take the assistance of other such as chartered accountant, an audit officer etc.

iv. On the basis of the report of the Inquiry Officer, the Central Government shall take action
and if the complaints are found true, the Government shall cancel the registration of the
Copyright Society.8

6. Suspension of Registration:

Under Rule 14 D of the Copyright Rules, 1958, the Central Government may suspend the
registration of the Society and appoint an administrator. According to Rule 14 E
administrator has powers to administer the Copyright Society.

7. Cancellation of registration:

Rule 14 F of the Copyright Rules, 1958, the registration of the Copyright Society as such may
be cancelled by the Central Government

i. If any of the particulars furnished in the application for registration is found to be false.

ii. Or if the society is being in a manner detrimental to the interests of the owners of rights
concerned.

iii. Or if it fails to maintain its accounts and get them audited persistently.9

iv. Or it utilizes its fund for purposes other than the copyright.

Power of copyright Society:

8 Id
9 Supra, Note 7

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According to Section 34 (2), 10

(a) A Copyright Society may accept from an owner of the rights exclusive authorization to
administer any right in any work by issue of licenses or collection of license fees or both.
(b) The owner of rights has the right to withdraw such authorization without prejudice to the
rights of the Copyright Society under any contract, subject to certain conditions prescribed.

The Copyright Society may also enter into any agreement with any foreign society or
organization administering rights corresponding to rights under the Act to entrust to such
Society or organization the administration in any foreign country of rights administered by
the said Copyright Society in India and vice versa. This is subject to the condition that there
is no discrimination in regard to the terms of licenses or the distribution of fees collected
between rights in Indian and foreign works.

Subject to such conditions as may be prescribed the Copyright Society has the following
power:
i. To issue licenses under Section 30 in respects of any rights under the Act.

ii. To collect fees in pursuance of such licenses.

iii. To distribute such fees among owners of rights after making deductions for its expenses.

iv. To perform any other functions consistent with the provision of Section 35 i.e.; control
over the Society by the owner of rights.

8. Conditions subject to which a Copyright Society may accept authorization and an owner of
rights may withdraw such authorization:

According to Rule 14 G of the Copyright Rules, 1958, a Copyright Society may accept from
an owner of rights or his duly authorized agent, exclusive authorization to administer any
right in a work. If such owner or such agent enters into an agreement, in writing with the
Copyright Society specifying the rights to be administered, the duration for such rights are
authorized to be administered the quantum of fees agreed to and the frequency at which such
fees shall be paid by the Copyright Society in accordance with its scheme of Tariff and
Distribution.
10 Id

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The owner of copyright shall be free to withdraw authorization in case the copyright society
fails to fulfill its commitment as laid down in the agreement, but with a prior notice of sixty
days and without prejudice to the rights under the agreement.

9. Conditions, subject to which a Copyright Society may issue licenses, collect fees and
distribute such fees:

According to Rule 14 H of the Copyright Rules, 1958,

A Copyright Society may issue licenses and collect fees only in those works and for the
prescribed period they are authorized to administer in writing by the owners of the rights.
Copyright Society may issue license and collect fees in accordance with its Scheme of Tariff.

The distribution of fees collected shall be subject to a deduction not exceeding fifteen per
cent of the collection on account of administrative expenses incurred by the Copyright
Society.

10. Procedure for obtaining approval of owners of rights for collection and distribution of
fees, etc:

According to Section 14 I of the Copyright Rules, 1958, every Copyright Society shall
maintain the following registers at its Registered or Administrative Office.

i. A register of owners of copyright and other rights to be called the ‘Register of Owners’ in
respect of which the Copyright Society has been authorized by the owners to issue or grant
licenses.

The Register shall contain the:

a) names of the owners,

b) their addresses,

c) the nature of rights authorized to be administered by the Copyright Society,

d) date of publication of the work,

e) the dare on which the Copyright Society becomes entitled to and the duration of such
rights.

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ii. A Register to be called the “Register of Agreements” containing a copy of every
agreement entered into by the Copyright Society with owners for the purpose.

iii. A Register called “Register of Fees” containing particulars of fees and mentioning the
name of persons or organizations from whom the fees have been realized and the date of
realization.

iv. A Register to be called the “Disbursement Register”. It contains the details of


disbursements, made to each owner of copyright, category wise mentioning the name of the
owner, nature of his copyright and the date and disbursement made to him.

11. Tariff Scheme:

As per Rule 14 J of the Copyright Rules, 1958, Copyright Society shall frame a scheme of
tariff to be called the ‘Tariff Scheme’.

It helps to set out the nature and quantum of fees or royalties which it purposes to collect in
respect of such copyright or other rights administered by it within three months from the date
on which it has become entitled to commence its copyright business.

12. Distribution Scheme:

Rule 14 K of the Copyright Rules, 1958, the Copyright Society shall frame a scheme to be
called the “Distribution Scheme”. It set outs the procedure for collection and distribution of
the fees or royalties specified in the Tariff Scheme within three months from the date on
which Copyright Society has become entitled to commences its copyright business. Any
distribution under the Distribution Scheme shall, as far as possible, be in the proportion to the
income of the Copyright Society from actual use of the work or works of each owner of
rights.

13. Meeting of Copyright Societies:

As per Rule 14 L of Copyright Rules, 1958:

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i. After the preparation of the Tariff Scheme and the Distribution Scheme, the Copyright
Society shall call a general meeting of the owners of rights whose names are recorded in the
‘Register of Owners’ to approve the same.

ii. A notice shall be annexed with a copy of proposed Tariff Scheme and Distribution
Scheme, shall be given to each owners of rights of the meeting, of not less than twenty- one
clear days.

iii. The above notice shall specify that any owner of rights who objects to the Tariff Scheme
or Distribution Scheme shall be entitled to withdraw the authorization given to the Copyright
Society to administer any right in his work.

iv. The Copyright Society shall keep the record of the owners of rights who gave have given
their approval and those who have rejected thereto.

v. Approval by owners of rights for the Schemes shall be by a majority of such owner present
in person.

vi. The quorum for a general meeting shall be one- third of the members.

The Copyright Society shall not amend an approved Tariff Scheme or Distribution Scheme
except with the consent of the owners obtained at a subsequent general meeting called for the
purpose.
Payment of remuneration by Copyright Society:

A Copyright Society administering the rights in a particular works for the owners of rights
throughout India. The Central Government then may appoint that Society for the purposes of
framing a scheme for determining the quantum of remuneration payable to individual
Copyright owners. This is done in regard to the number of copies of the work in circulation.
This will be subject to the rules as prescribed by the Government in this behalf. Such scheme
will restrict the payment to the owners of rights whose works have attained a level of
circulation which is reasonable. (Section 34 A).

Control over the Copyright by the owner of rights:


Every Copyright Society will be subject to the collective control of the owner of rights whose
rights it administers in India.

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Foreign Societies are exempted from this power. It shall in such manner as may be
prescribed:
a) obtain the approval of such owners of rights for its procedure of collection and distribution
of fees,

b) obtain approval of the owners of rights for utilization of any amounts collected as fees for
any purpose other than distribution to the owners of rights,

c) and provide to such owner regular full and detailed information concerning all its activities
in relation to the administration of their rights.

d) All fees distributed among the owners of rights should, as far as may be, distributed in
proportion to the actual use of their works. (Section 35).

14. Annual general meeting of owners of rights:

As per the Rule 14 N of the Copyright Rules, 1958:

Every Copyright Society shall, within a period of twelve months (12 months) from the
holding of the meeting in pursuance of sub-rule (1) of Rule 14 L, hold a general meting of
owners of rights, herein called the annual general meeting of owners. However, a special
meeting of the owners of rights may also be held, if considered necessary.

The meetings of owners of rights shall be held in the town or city in which Registered or
Administrative office is situated and the notice calling the meeting shall specify the time, date
and address of the venue of the meeting.

15. Documents to be presented in the annual general meeting of owners of rights:


According to Rule 14 O of the Copyright Rules, 1958, every Copyright Society shall place
before its annual general meeting the following documents, namely:

i. An up-to-date list of the owners of rights, their names and addresses as recorded in the
Register of owners maintained by the Copyright Society.

ii. Audited accounts of the society for the previous year,

iii. The Tariff Scheme

iv. The Distribution Scheme,

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v. A statement approved by its Governing body (by whatever name called) setting out a full
and detailed account of all its activities during the previous year; and

vi. Details of the budget estimates for the succeeding year and a programme of action for the
succeeding year.

Submission of returns and reports:

Every Copyright Society should submit to the Registrar of Copyright such returns as may be
prescribed.

Any officer duly authorized by the Central Government in this behalf may call for any report
and also records of any Copyright Society for seeing that the fees collected are being utilized
or distributed in accordance with the provision of the Act (section 36).

16. Returns to be filed by the Copyright Societies with the Registrar:


Under the Rule 14 P of the Copyright Rules, 1958. Every Copyright Society shall file a return
called the Annual Return with the Registrar of Copyrights within one month from the
conclusion of each annual general meeting of owners setting out the following details,
namely:

i. The date of the annual meeting of the owners held immediately preceding the filing of the
Annual Return, the number of owners attended the meeting in person or by proxy, and the
minutes of such meeting;

ii. The up- to – date list of the owners of rights , their names and addresses as recorded in the
Register of owners maintained by the Copyright Society;

iii. Audited accounts of the Copyright Society;

iv. The Tariff Scheme;

v. The Distribution Scheme;

vi. A statement approved by its Governing body or Board of Directors setting out a full and
detailed account of all its activities during the year in relation to the rights of the owners.
Rights and liabilities of the Performing Right Societies:

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This provision relating to Copyright Societies will not affect any rights or liabilities in any
work in connection with the Performing Right Society which has accrued or were incurred on
or before the day prior to the commencement of the Copyright Act, 1994 or any legal
proceedings in respect of rights and liabilities on that day. (Section 36).

17. Application for registration by performing rights society:

According to Rule 13 of the Copyrights Rules, 1958, a performing rights society functioning
in accordance with the provisions of Section 33 on the date immediately before the coming
into the force of the Copyright (Amendment) Act, 1994, and desirous of carrying on the
business as a Copyright Society under the Act.

Then it shall submit an application in Form II- C to the Registrar of Copyrights as early as
possible but not later then ten months from the date of commencement of the said Act.

Accounts and Audit:

Every Copyright Society must maintain proper accounts and other relevant records and
prepare an annual statement of accounts.

They have to maintain the accounts in the form and the manner as prescribed by the Central
Government in consultation with the Comptroller and Auditor General.

The accounts of each Copyright Society in relation to the payments received from the Central
Government will be audited by the Comptroller and the Auditor General of India.

And if expenses incurred in connection with such audit, then it will be payable by the
Copyright Society to the Comptroller and the Auditor General.

The Comptroller and the Auditor General or any other person appointed by him in connection
with the audit of accounts has the right to demand the production of books, accounts and
other documents and papers and to inspect any of the officers of the Copyright Society for the
purpose only of such audit.

The accounts of each of the Copyright Societies as certified by the Comptroller and Auditor
General together with the Central Government who shall cause the same to be laid before
each House of Parliament.

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As per Rule 14 M of the Copyright Rules, 1958,

Every Copyright Society shall maintain proper accounts of the fees and royalties collected in
a financial year, payments made out of such collections to the owners of rights and other
expenditure incurred for meeting administrative expenses and related matters with the
approval of the owners or rights. However, a Copyright Society shall not spend more than
fifteen percent of its collection towards its administrative expenses.

Every Copyright Society shall get its accounts audited by a Chartered Account annually.

COPYRIGHT SOCIETIES IN INDIA AND UK:

INDIA
Copyright Society:

A copyright society is a registered collective administration society. Such a society is formed


by copyright owners. The minimum membership required for registration of a society is
seven. Ordinarily, only one society is registered to do business in respect of the same class of
work. A copyright society can issue or grant licenses in respect of any work in which
copyright subsists or in respect of any other right given by the Copyright Act.

Functions of Copyright Society


A copyright society may:

1) Issue licenses in respect of the rights administered by the society.

2) Collect fees in pursuance of such licenses.

3) Distribute such fees among owners of copyright after making deductions for the
administrative expenses. 11

(1) Society for Copyright Regulations of Indian Producers of Films and


Television (SCRIPT) for cinematography films, 135 Continental Building, Dr. A.B. Road,
Worli, Mumbai 400 018, (for cinematograph and television films).

11 N.S. Gopalakrishnan and T.G. Agitha, Principles of Intellectual Property 256 (2009)

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(2) The Indian Performing Rights Society Limited (IPRS) for musical works, 208,
Golden Chambers, 2nd Floor, New Andheri Link Road, Andheri (W), Mumbai- 400 058 (for
musical works).

(3) The Phonographic Performance Limited (PPL) for sound recordings,


http://www.iprs.org. Flame Proof Equipment Building, B.39, Off New Link Road, Andheri
(West), Mumbai 400 053 (for sound recordings).

Role of PPL :-

Copyright is a bundle of rights, which comprises the right to authorize reproduction of


the sound recording, the performance of the sound recording in public, its broadcast
and inclusion in a program service. In practice, no copyright owner administers his
copyright alone. As it is beyond the ability of any individual record manufacturer to
authorize every use of his sound recording or to enforce his rights effectively with
every potential music user worldwide. Collecting societies were established to
authorize the use of sound recordings and to negotiate their terms of remuneration
with high volume users
Phonographic Performance Limited (PPL-India) is the copyright society in
respect of sound recording, registered with the Government of India.
Functions of PPL:-

License
One of the Key functions of PPL is to negotiate terms of use, typically on a blanket basis,
with representative trade associations of users, in the broadcasting, television Internet or other
category of users namely Hotels, Discotheques, Restaurants cinemas etc. PPL collects the
royalties due direct from each licensee, according to the terms of the license.
Musicreporting
The license requires the licensees to provide data, on electronic reporting formats where
possible, listing each work performed by the licensee, the title, the duration, the labels using
standard ISRC codes, where possible. The amount of reporting required from each licensee is
calculated according to a statistical sample, and relates to the revenue collected.
Documentation
PPL maintains a database of members sound recordings, enabling it to identify and pay the
RECORDING COMPANIES in every recording used, according to the agreed tariff.
Distribution

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PPL matches/ analyses performances against its database of sound recordings in order to
allocate

(4) Indian Reproduction Rights Organization (IRRO) for authors and publishers,
http://www.pplindia.org

Mission: - Its mission is to protect the rights of our right holders by managing their rights,
to make sure that their work gets paid, so that they are motivated to contribute more in the
world of literature and creativity

Vision: - Its vision is to bring all the authors and publishers of India with us, so that they
can get the benefit of the Copyright Act, and make sure every user who use the copy righted
material should pay remuneration for it12.

These societies, particularly the PPL and the IPRS, have been active in anti-piracy work. The
PPL has even set up a special anti-piracy cell headed by a retired Director General of Police
and it has been working in tandem with the police.

CASE LAWS:
1. IPRS Limited v Hello FM Radio (Malar publications Limited).

FACTS:

According to this case the Indian Performing Rights Society Limited (IPRS) secured an
injunction from the Delhi High Court against Hello FM Radio (Malar Publications Limited).

The defendants were broadcasting the songs without obtaining licenses from the Indian
Performing Rights Society Limited (IPRS).

In this case IPRS wanted either Hello FM Radio (Malar Publications Limited) should obtain
license or have to stop broadcasting the songs, or both13.

HELD:
In this case the Delhi High Court granted the injunction. By restricting the Hello FM Radio
from playing music without obtaining license from the Indian Performing Rights Limited
(IPRS).

12 www.irro.in; visited on 12th october, 2013.


13 V.K.Ahuja, Law Relating to Intellectual Property Rights, Pg.108, (2007).

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IPRS is a non-profit making company authorized under section 33 of the Copyright Act 1957
to operate as a copyright society for 'musical works' and 'literary works' performed along with
the 'musical works'. IPRS has more than 1500 members who are local composers, lyric
writers and publishers and also represents international music. All users of music including
radio stations, television stations need to obtain a 'license for public performance' whenever
they broadcast or perform or play these literary and musical works, prior to the event or
broadcast, if it is to avoid being in a violation of the Copyright Act, 1957.

This order is a warning to other similar establishments operating without a license and
violating copyright laws.

2. Phonographic Performance Limited v Hotels14

In the past also Mumbai High Court directed hotels to pay towards copyright license fee for
playing music in the new-year parties organized by them where an entry fee was charged.
Phonographic Performance Ltd (PPL), a copyright society registered under the Copyrights
Act, which took the hotels to court for failing to pay copyright license fees. PPL is the sole
authority to administer the broadcasting, telecasting and public performance rights and to
collect license fees on behalf of the music industry.

To turn the focus on the law; Copyright is a bundle of rights including inter alia rights of
reproduction, communication to the public, adaptation and translation of the ‘work’. Work in
copyright law corresponds to original literary, dramatic, musical & artistic works and also
cinematograph films and sound recordings. The copyright law protects these rights but in
cases of ‘fair deal’ provides for exceptions under which others can use the copyrighted
protected work under authorization.

3. M/s Phonographic Performance Ltd. v M/s Hotel Gold Regency & Others 15
FACTS:
In this case the Delhi High Court decision has made the life of the Copyright owners and the
Copyright Societies more complicated. As we known that the Copyright Societies in their
capacity as licensees usually institute copyright infringement suits in their names on behalf of
all their members who are actual copyright owners.

14  2008 (37) PTC 587 (Del)


15 (MANU/DE/0942/2008)

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HELD:
This judgment however has put an end to the practice by holding that as per the scheme of the
Copyright Act, 1957.

According to this judgment the Copyright Societies do not have any right to institute a suit
for copyright infringement in their name and therefore only a copyright owner or an exclusive
licensee can sue for copyright infringement.

The reasons given in the judgment revolve around a combination of various provisions of the
Copyright Act namely Sections 33, 34, 54, 55 & 61. To start of with the judgment upholds
the defendant’s contention that as per Section 55 only a copyright owner can institute a suit
for infringement of his work. As per Section 54 the definition of copyright owner includes an
exclusive licensee. Therefore an exclusive licensee has a right to institute a suit.

While in the current case the plaintiff himself had stated that it was not an exclusive licensee
the Delhi High Court has interpreted the law to hold that a copyright society can never be an
exclusive licensee because of the proviso to Section 33(1) which states that “an owner of
copyright shall, in his individual capacity, continue to have the right to grant licenses in
respect of his own works consistent with his obligation as a member of the registered
copyright society”.

Further the Delhi High Court held that from a bare reading of Section 34 it was obvious that
the legislature had vested the copyright societies with only rights of administration that
included the right to issue licenses and collect royalties and distribute the earnings amongst
owners.

The Court held that if in case there were disputes regarding the violation of these licenses
issued by the society then in that case the copyright society would have the right to sue in its
name since it was a contractual dispute and not a case of copyright infringement. Ultimately
the Court ended up rejecting the plaint in this suit.

Comment:
This basically means that all pending suits filed by Copyright Societies are likely to be
rejected in the Delhi High Court and because of this the Copyright Owners have to start the
litigation on their individual name.

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This judgment is definitely going to have quite an impact on the operation of copyright
societies and we can expect to see several more rounds of litigation on this point.

4. The Indian Performing Rights v Kolkata knight Riders

FACTS:
A suit on copyright violation against Kolkata Knight Riders (KKR) was filed on May 14th,
2008 by The Indian Performing Rights Society (IPRS). The allegation was about playing 14
popular Hindi film songs like "Om Shanti Om" during IPL matches at Eden Gardens without
permission.

HELD: The Kolkata High Court refused the application for injunction on the use of the songs
and directed the parties to file affidavits. This matter is yet to be decided.

5. Indian Performing Rights Society v Eastern India Motion Pictures Association & Others16

In this case the Supreme Court held that the author/ composer of a lyrics or musical work and
thereby permitted him to appropriate his work by incorporating or recording it on the sound
track of a cinematograph film cannot restrain the owner of the film from causing the accosted
portion of the film to be performed or projected or screened in public for profit or from
making any record embodying the recording in any part of the sound track associated with
the film by utilizing such sound track or from communicating or authorizing the
communication of the film by radio diffusion as Section 14(1)(c) of the Copyright Act
permits the owner of the Copyright of the cinematograph film to do all these things.

6. Eastern India Motion Pictures v The Indian Performing Right Society 17


FACTS:
When a Cinematograph film producer commissions a composer of music or a lyricist for
valuable consideration for film or composing music or lyrics for that film, i.e.; the sounds for
incorporation in the sound track, he becomes the first owner of the copyright therein’ No
Copyright subsist in the composer of the lyrics or music so composed unless there is a
contract to the contrary between the composer of the music and the film producer.

16 AIR 1977 SC 1443


17 AIR 1978 Cal 477

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HELD:
Following the decision of the Supreme Court in AIR 1977 SC 1443, the High Court allowed
the appeal and the order under appeal was set aside.

7. Radio Today Broadcasting Limited v. Indian Performing Rights Society18

FACTS:
Radio today broadcasting, the petitioner’s, plan to run a radio station through the F.M band
with the name Radio Today. They applied for a license from the Central Government and
also secured a provisional license. The petitioner’s intent is to play both film and non- film
songs on this proposed station. The dispute arouse due to the fact that Radio Today was not
willing to pay royalties to the IPRS. And IPRS in turn threatened to bring a legal action for
infringement of copyright.

Radio Today’s main contention was that once the song is composed and marketed through
the producers, they were only required to seek permission from the Producer’s society only
and not from IPRS as once the song was prepared and marketed, the complete product would
attract royalties and the individuals performers are entitled to such royalties.

The IPRS told to Radio Today that if the station played the songs, it would amount to
copyright violation. Alerted by the threats, Radio Today filed a lawsuit u/s 60 of the
Copyright Act, 1957, which provides for remedies in the case of groundless threats of legal
proceedings.

Held:
The Court held that IPRS was legitimately entitled to threaten the Plaintiff and they were also
entitled to initiate proceedings by taking records to process of law to protect the interest of
the members.

Comment:
The moot question that is addressed whether Radio Today would be obliged to pay any
royalty or license fee to IPRS. If the songs are broadcast through the radio station in addition
to the license fees paid to the producers (PPL a society of producers).

18 2007 (34) PTC 174 (CAL)

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8. Indian Performing Rights Society v/s Debashis Patnaik and Another’s 19, 2007.
In this case Justice Geeta Mittal of the Delhi High Court while examining the claim of the
copyright infringement made by the IPRS against the a hotel in Orissa, held that the
defendants are liable for the infringement of copyright by communication of musical works
of the plaintiff to the public in the hotel rooms in the defendant’s hotel without authorization
of or permission from the IPRS.

Held:
Even if the defendant stayed away from the judicial proceedings, a plaintiff could not be
deprived of its claim for damages.

The Court decreed the suit in favour of IPRS, granting a sum of RS. 141788/- towards the
actual the compensatory damages and the sum of three lakh rupees as punitive damages,
along with the interest of 10% a year on the amount from the date of decree till payment.

9. Phonographic Performance Limited and Others vs. Music Broadcast Private Limited and
Others [BOMBAY HIGH COURT] was delivered by : D.K. Deshmukh, J.All

In this case the Phonographic Performance Limited filed an appeal in the High Court of
Bombay to which the FM Radio companies filed a cross – appeal. For the first time, a court
interpreted the Compulsory License Provision could be granted for the Copyrighted work.

Differentiating between the thresholds for approaching the Copyright Board in a Section 31
compliant.

Held:
In this case the Court held that a reasonable royalty rate is only a criterion when entertaining
a complaint for compulsory licensing relating to broadcasts. In respect of each other types of
publication, the complainant had to establish that the work the work had been withheld from
the public by virtue of the copyright owner’s refusal to grant a license.

UNITED KINGDOM

There are many Copyright Societies in United Kingdom which are as follows:
Collecting Society:
19 2007 (34) PTC 201

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The aim of a collecting society is to generate returns on repetitive uses of copyright material
such performances, photocopying and now electronic distribution, which it would be too
costly for owners to demand on an individual basis.20

There are different Copyright Societies in United Kingdom; some of them are as follows:
1. Performing Right Society (PRS):

It had both the members, composers and their publishers. It acts on behalf of its two
categories of members ---- composers and lyricist, publishers, to license the public
performance, broadcasting and cabling of music, mainly.

2. The Mechanical Copyright Protection Society (MCPS):


In the United Kingdom the Mechanical Copyright Society is the principal body through
which licenses to record musical works are obtained by record producers, film producers,
broadcasters and others from composers, lyricists and their publishers.21

The MCPS is owned by the Music Publishers Association and operators not as assignee of
the relevant copyright but as exclusive management agent for the copyright owners.

In music industry practice the composer will normally assign copyright to the individual
publishers, save for the performing rights, which go to the PRS.

3. Author’s Licensing and Collecting Society (ALCS):


The Author’s licensing and Collecting Society (ALCS) represents the interests of all United
Kingdom writers and aims to ensure writers are fairly compensated for any works that are
copied, broadcast or recorded. Run by writers for writers

The Writers' House, 13 Haydon Street, London, EC3N 1DB

Tel: 020 7264 5700, Fax: 020 7264 5755, Email: alcs@alcs.co.uk, www.alcs.co.uk

4. British Association of Pictures Libraries and Agencies (BAPLA)

BAPLA is the United Kingdom trade association for pictures libraries and the largest
organization of its kind in the world. 22

20 Copinger and Skone James on Copyright 13th editon Sweet and Maxwell london 1997 Pp. 234-235

21 Id
22 Supra, Note 11

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5. Directors and Producers rights society (DPRS):
The DRPS is the collecting society which represents British film television directors. It
collects and distributes money due to directors for the exploitation of their work.

6. Federation against Copyright Theft (FACT):


FACT is the leading representative trade body that is committed to protecting the interests of
the UK’s film and broadcast industry in the fight against pirate films and DVDs and the
increasing threat from online piracy. 23FACT deals primarily with Customs, the Police and
Trading Standards Offices, providing expert technical examination services for evidential
purposes and the gathering of evidence to justify enforcement action or prosecution by the
relevant authority. FACT also undertakes private prosecutions on behalf of its members.

7. British Academy of Composers and Songwriters – BACS:


BACS represents the interests of music writers across all genres, providing advice on
professional and artistic music matters.

Website: www.britishacademy.com

8. British Music Rights – BMR:


British Music Rights is an umbrella organization which represents the interests of composers,
songwriters and music publishers. Formed in 1996 by the British Academy of Composers &
Songwriters, the Music Publishers Association (MPA), the Mechanical-Copyright Protection
Society (MCPS) and the Performing Right Society (PRS), it provides a consensus voice
promoting the interests of creators and publishers of music at all levels. Website:
www.bmr.org

CASE LAWS:
1. Performing Right Society v/s Police Department Lancashire
The advocate for the Performing Right Society has filed asking for an injunction against the
police in the UK, citing copyright infringement. The accused in this case is the Lancashire
Police Department. In an unusual move, the advocate for the Performing Right Society, also
called the PRS, has filed a writ in court asking the judge to issue an injunction against the
department. The position of the Society and their advocate is that the police are violating
copyright laws when they play music in the stations and headquarters without having a valid
license to do so. PRS is the society responsible for collecting royalties that are owed to music
artists and songwriters in the country, and the advocate for the society has submitted the writ

23 Id

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asking for an injunction to the High Court, asking that the Chief Constable of Lancashire,
Steve Finnigan, cease and desist these activities and pay an amount in damages to PRS for
the infringement of copyrights concerning the music. Police officers and constables from all
over the UK have reported to the society that music is played in many different situations,
including at the police stations, in the staff gyms, during parties at the office, played to callers
who are put on hold, in training videos, and during conferences and presentations. The
position taken by the PRS and their advocate is that music which is played loud enough for
others to hear should be considered a public performance, and as such require a license and
the payment of royalties for the music being performed. The Lancashire Police Department,
as well as several other police forces, has refused to pay for a license or to obtain one, which
puts them in violation of copyright laws according to the PRS. This is not the first time that
the society has brought an action concerning copyright infringement and music playing. Last
year, the advocate for the society filed suit against the car repair business Kwik Fit. In that
case the society filed for an injunction and damages because mechanics who worked for the
company frequently played their radios loudly, so that customers and people walking by
could hear the music. This could be a big warning for anyone who plays their music too loud,
and allows others to overhear it. Apparently PRS does not believe that music on the radio
should be heard by the masses unless they profit from it.

CONCLUSION
There are copyright societies in different countries. The aim of the Copyright Societies is to
collect the royalty and to take appropriate actions against any infringement in various
copyrighted works. Thus different Copyright Societies helps the copyright owners to make
association with foreign countries. Thus the Copyright Societies play an important role in
order to make the Copyright owners to associate with business people easily and to earn
money.

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BIBLIOGRAPHY

BOOKS REFERENCES:

(1)Wadehra. B.L., Law Relating to Intellectual Property, Fourth Edition, Universal


Law Publicattion Co. Pvt. Ltd., (2007).

(1) Narayanan. P., Intellectual Property Law, Third Edition, Eastern Law House Pvt.
Ltd., Kolkata,(2001).

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(2) Narayanan. P., Law of Copyright and Industrial Design, Fourth Edition, Eastern Law
House Pvt. Ltd., Kolkata, (2007).

(3) Ahuja.V.K., Law Relating to Intellectual Property Rights, LexisNexis, New Delhi;
(2007).

(4) Copinger and Skone James on Copyright 13th editon Sweet and Maxwell london
1997
(5) N.S. Gopalakrishnan and T.G. Agitha, Principles of Intellectual Property 256 (2009)

Legislation:

Copyright Act, 1956

Websites:

● www.irro.org
● www.iprs.org
● www.ppl.org
● www.britishacademy.com
● www.alcs.co.uk

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