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y a collecting society. A rights holder who does not belong to a collecting society can theoretically claim his orher share of royalties from the broadcasters.8.3.3. Owing to the tariffs dispute, there are currently no agreements in place between SAMPRA and the broadcastersfor sound recordings.8.3.4. SAMRO has an agreement with the SABC for performance rights, which was signed in 1987 and to which noamendments have been made. This agreement covers all radio and television stations owned by the SABC andis indefinite, with no provision for a review date. Since 1987, the SABC has restructured its radio and TVstations several times and some of the radio stations (e.g. Radio Highveld) have been sold and new channelsintroduced. The technology has significantly changed and so have the tariffs. The current agreement does nottake into account the above-mentioned points. There is no agreement between SAMRO and the SABC withregard to mechanical rights. The SABC initially paid SAMRO arbitrary amounts (with no scientific basis) for acouple of years and then in September 2009 halted payment.8.3.5. SAMRO has performance rights agreements with M-NET and e.tv. The M-NET agreement was signed in 1990and no subsequent reviews have been conducted. A mechanical rights agreement between SAMRO and M-NET is still being negotiated. There is nothing abnormal about e.tv’s agreement, which was signed in 1999. Withregard to mechanical rights, there is no agreement with SAMRO. It should be noted that both M-NET and e.tvhad no agreements with SARRAL in respect of mechanical rights.8.3.6. Multichoice has no agreement with SAMRO based on the fact that it is not a broadcaster but provides a platformfor broadcasters. The content service providers are responsible for obtaining broadcasting licences.8.4 CONTRACTS BETWEEN COLLECTING SOCIETIES AND GENERAL MUSIC USERS8.4.1. Several contracts between SAMRO, SAMPRA and the respective music users were examined.8.4.2. With regard to SAMRO’s contracts, the following areas are earmarked for improvement:8.4.2.1. SAMRO’s contracts are indefinite and make no provision for review. Some have been in place for morethan 20 years without any reviews.8.4.2.2. There is conflict between SAMRO’s practice and the written agreements with users. According to thecontracts, usage is limited to SAMRO’s repertoire, but, in practice, SAMRO claims to have blanketagreements with users.8.4.2.3. Where a licensee has multiple sites governed by one contract, the contracts do not provide guidanceas to what should happen if sites are acquired or disposed of during the period.8.4.2.4. The contracts are silent on issues of change of ownership (e.g. merger, acquisition or restructuring).8.4.2.5. The contracts do not recommend any processes to be followed by the parties should a contractualdispute arise.- 66 -
8.4.2.6. The contracts are silent about the penalties that may arise as result of late payments (e.g. interest onlong overdue balances).8.4.2.7. The contracts are silent about the parties’ ability to cede their contracts, should the necessity arise.8.4.3. With regard to SAMPRA’s contracts, the following deficiencies were noted:8.4.3.1. Where a licensee has multiple sites governed by one contract, the contracts do not provide guidanceas to what should happen if sites are acquired or disposed of during the period;8.4.3.2. The contracts are silent on issues of change of ownership (e.g. merger, acquisition or restructuring);8.4.3.3. The contracts do not recommend any processes to be followed by the parties should a contractualdispute arise.8.4.3.4. The contracts are silent about the penalties that may arise as result of late payments (e.g. interest onlong overdue balances).8.4.3.5. The contracts are silent about the parties’ ability to cede their rights and obligations, should thenecessity arise.8.5 CONCLUSION AND RECOMMENDATIONS8.5.1. Collecting societies should address the above-mentioned gaps on all new contracts and develop a preferablestandard contract template.8.5.2. All contracts should provide for review or renewal dates so that the terms can be reviewed or revisited and,where appropriate, amended.9 LICENSING AGREEMENTS BETWEEN TERTIARY INSTITUTIONS ANDCOLLECTING SOCIETIES9.1 BACKGROUND9.1.1. Licensing agreements regarding the reprographic reproduction of literary works have been concluded betweenvarious tertiary institutions in South Africa and the Dramatic, Artistic and Literary Rights Organisation (Pty) Ltd(commonly known as DALRO).9.1.2. DALRO is a private company with limited liability registered under the companies’ legislation. It is a whollyowned subsidiary of SAMRO, which is its only member. (References in its financial statements to its 'members'are erroneous, as its representatives who gave evidence before the CRC conceded.) It is a copyright licensing- 67 -
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TABLE OF CONTENTSLIST OF ABBREVIATI
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11.8 RECOMMENDATIONS ..............
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LIST OF TABLESTable 1: Cases of Non
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NORMOSPsPOSAPPLPPL (India)ProLitter
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These problems are addressed in the
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xxi.The report considers developmen
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1.3.8. Determine whether all money
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1.4.9. The CRC derived considerable
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2.3 SUBMISSION BY THE DEPARTMENT OF
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Aspects of Intellectual Property Ri
Page 22 and 23: (1) Subject to the provisions of th
Page 24 and 25: Copyright Tribunal or an arbitrator
Page 26 and 27: society, the South African Recordin
Page 28 and 29: 3.2.14. With the liquidation of SAR
Page 30 and 31: the final rate or rates to be appli
Page 32 and 33: (a)that payment is to be made to th
Page 34 and 35: information as to their use to enab
Page 36 and 37: The WCT and WPPT oblige members to
Page 38 and 39: Once the handset technology changed
Page 40 and 41: 4.3.16. In 2009, in what was coined
Page 42 and 43: 4.4.6. In exchange for the above li
Page 44 and 45: operators are licensed by NORM to p
Page 46 and 47: 5.2 FUNCTIONING OF COLLECTING SOCIE
Page 48 and 49: the grant of licences. Article 17 o
Page 50 and 51: 6.1.3. The CRC’s assessment of th
Page 52 and 53: 6.3.3. SAMPRA should be given one y
Page 54 and 55: Corporate Governance GapsKing II Re
Page 56 and 57: King IIIPrincipleKing IIIRequiremen
Page 58 and 59: King IIIPrincipleKing IIIRequiremen
Page 60 and 61: 8 COLLECTION OF MUSIC ROYALTIES8.1
Page 62 and 63: 8.1.4.2. Needletime royalties are n
Page 64 and 65: 8.1.7.4. For the past five years, V
Page 66 and 67: PRS (UK)SPRE (FRANCE)SUISA(SWITZERL
Page 68 and 69: DetailsPerformance RightsSound Reco
Page 70 and 71: 8.2.7 Comparative Study Performed b
Page 74 and 75: agency, its rights being derived fr
Page 76 and 77: Mr Robinson said DALRO assumed the
Page 78 and 79: 10.1.6. The distribution to publish
Page 80 and 81: 10.4.4. Most of the other collectin
Page 82 and 83: 10.6.3.4. South African English-lis
Page 84 and 85: 10.10 CONTRACTUAL RELATIONSHIPS BET
Page 86 and 87: 10.12.2. The Regulations should rec
Page 88 and 89: licence that the licensee comply wi
Page 90 and 91: 11.4.6. The details of ICASA’s ta
Page 92 and 93: RecommendationsTimelines for Recomm
Page 94 and 95: enterprises. There was a suggestion
Page 96 and 97: Copyright as it relates to copyrigh
Page 98 and 99: 13.4 DEPARTMENT OF ARTS AND CULTURE
Page 100 and 101: Table 28: Comparative Study’s Key
Page 102 and 103: KEY ITEMS BRAZIL FRANCE INDIA NORWA
Page 104 and 105: KEY ITEMS BRAZIL FRANCE INDIA NORWA
Page 106 and 107: about 30%, which is the highest amo
Page 108 and 109: 15.1.3. The Copyright Tribunal’s
Page 110 and 111: 15.1.20. Local music content requir
Page 112 and 113: for the selected artists. The outco
Page 114 and 115: King III Report by Institute of Dir
Page 116 and 117: Paranagua Pedro, “Strategies to I
Page 118 and 119: Copyright Amendment Act of 1984Copy
Page 120 and 121: APPENDIX 1(B): SUMMARY OF ORAL REPR
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Due to the fact that the existing c
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Mr BrottelProtection of copyright m
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1.1.3. LIST OF ENTITIES VISITED AND
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In the 2009 Annual Report of ABRAMU
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The implementation of this law led
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ecordings. In respect of audio-visu
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In 1995, ECAD distributed 72% of it
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niches in the market to ensure fair
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Proprietary rights allow authors to
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International royalty distribution
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3.2. Relevant LegislationsThe prese
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IPRS uses the standard tariffs in r
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Ad-hoc workshops on copyright are c
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meaningful living out of their crea
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4.1.3. LICENSING AND LEGAL REGIMESI
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Ballet teachers; Teachers in the fi
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It was founded in 1928 by the Norwe
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6.2. STRUCTURE OF COLLECTING SOCIET
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6.5. COLLECTION OF MUSIC ROYALTIEST
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1957, when the Managing Director of
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16.4.14 SWISSPERFORM: CHF4 millionI
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Cross-border licensing of digital r
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algorithm could be used to determin
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Collecting societies in the UK all
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APPENDIX 3: RECOMMENDATIONS BY MITT
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1.PREAMBLEThe Music Industry Task T
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The environment in which the music
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3.1.3 IMPLEMENTATION AND ACCESSION
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In this regard, the Minister should
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3.5.6 OMBUDSMANThe music industry s
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RECOMMENDATION 23:The MITT recommen
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The MITT further recommends that DA
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APPENDIX 4A: EXTRACTS FROM COPYRIGH
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(f)(g)doing, in relation to an adap
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(i)requiring notice of any intended
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(b)any organization claiming to be
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PERFORMERS’ PROTECTION ACTNO. 11
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the parties may agree to refer the
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ANNEXURE 5: COPY OF SARRAL’S CONT
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ANNEXURE 6: SARRAL’S AUDIT REPORT
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TERMS OF REFERENCESNO’SREQUIREMEN
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