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THE EBU PROPOSAL ON ECL + APPLICABLE LAW

HEIJO RUIJSENAARS
HEAD OF INTELLECTUAL PROPERTY

EUROPEAN BROADCASTING UNION
The dilemma of broadcasters’ archives


l EBU Members: 28 million hours of
   European radio and TV content

l Problem is (orphan) rights, rather than orphan works:

    n PSB productions include many different works and performances;
       one “uncleared” segment blocks use of the whole production

    n Huge administrative costs: e.g. 72 million GBP to clear BBC archive

    n Diligent search for PSB’s archives would only exacerbate, not solve

l Need for specific solution recognised in InfoSoc report
The EBU proposal




   Ø ECL system, i.e. a “special/generic” model (CL agreement is
      decisive), should be available in each EU Member State;

   Ø For optional use only, i.e. national level to decide for which
      category of works and which use(s) it should be applied;

   Ø To be used only where need for collective licensing exists;

   Ø In connection with the ‘‘country-of-(licence-)origin’’ principle (i.e.
      one applicable law, also for online use).
EU Copyright :General need for simplifying rights clearance



  New media and multiplatform use (and audience reactions thereto) →
            urgent need for flexibility in rights clearance;


 Orphan works issue symptomatic of the more fundamental problem →
 administrative costs cannot be invested in new creations; important
                  for (all) users and right holders alike;


 Simplified regime for rights clearance allows for more legal (affordable
     and easy-to-use) online offers → best way to tackle piracy.
The Danish ECL experience


      l ECLs are applied to:
                   •   Educational use (Art. 13 and Art. 18)
                   •   Internal use in business enterprises, etc. (Art. 14)
                   •   Public libraries (Art. 16b)
                   •   Visually- and hearing-handicapped persons (Art. 17)
                   •   Reproduction of works of art (Art. 24a)
                   •   Broadcasting of published works (Art. 30)
                   •   Broadcasters’ archives (Art. 30a)
                   •   Simultaneous retransmission (Art. 35)
                   •   [Mandatory collective licence concerning public
                       performance of phonograms (Art. 68)]


         Plus: A generic ECL provision (Art. 50) for anything else!
The Danish provision on broadcasters’ archives



               l Works as part of broadcasters’ own [+ commissioned] productions
                  can be rebroadcast and made available, provided the requirements
                  of Art. 50 regarding extended collective licences are fulfilled;

               l This includes the making of copies needed for the reproduction;

               l It covers works which are part of the broadcasters’ productions
                  broadcast before 1 January 2007;

               l The author may prohibit the broadcaster from including his work;

               l (Applies mutatis mutandis to performances).
The (subsequent) collective agreements in Denmark


   2007: Framework agreement concerning on-demand use and use of clips in
                             new productions



   2008: Special agreement concerning re-runs of archive productions on DR’s
           two specialised TV channels (Children and Culture/History)



      Both: All right holders are represented jointly by a collective rights
  management organisation (CopyDan Arkiv, comprising several organisations)
What makes ECL so attractive?

                                       The Nordic
                                       ECL model
                                       has existed



                    It is a                                   Applied only
                  ‘‘future-                                    in cases
                   proof’’                                      where




                             ECL                     It requires a
                          generally                  consensus
                          allows for                 between the
Cross-border effect: Some preliminary questions



 Since when (and where) is mere reception of an authorized communication a separately restricted act under
                                                copyright?




   Does any of the Nordic provisions on ECLs explicitly prohibit the representation of foreign right-holders?




How could Art. 9(2) Sat-Cab Directive be implemented anywhere if the ’deemed to represent’’ would not include
                                            foreign right-holders?




          Is the main concern not so much the delocalization of the user, but rather the tariff-setting?
Cross-border effect: Combine ECL with country-of-(licence-)origin




Adapt the satellite            + Reciprocity agreements
broadcasting model (1993      among national and foreign
EU Directive)                       collective rights       = Same online use can be
• =        1 applicable law      management societies        agreed on all territories.
(usually that of the ECL       (such as currently applied
agreement)                             for music)
Some figures to compare


l EU broadcasting sector: ≥ 30 billion Euros to the EU copyright economy;           EBU
   Members: ≥ 10 billion Euros per year in original audiovisual productions; Largest bulk
   of that money goes to European right-holders.

l How much does iTunes contribute to EU right-holders? E.g. European performers
   claim to see almost no income from music online services.


   BBC issues 300.000 contracts to individual contributors per year, but re-clearance of
   rights to those contracts requires 250.000 work hours and 5 Million Euros p.a.;

   Any music online service provider can cover 80% of world's repertoire (probably 95%
   of most popular music) via 5 contracts only (with 4 major labels and one pan-
   European collective licence).

   Why focus of EU copyright reform (again) on music services only???
Conclusions



  l National ECLs to be introduced now (Green Paper too late; PSI
     Directive wrong instrument);

  l As simple as possible, special/generic model (= not limited to
     orphan works only, and not limited to the making-available right only);

  l Details to be decided by national laws/stakeholders (and allow
     continuation of any existing ECLs);

  l In countries where ECL is introduced for broadcasters’ archives:
     Scope + conditions to be determined by national law.

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THE EBU PROPOSAL ON ECL + APPLICABLE LAW

  • 1. THE EBU PROPOSAL ON ECL + APPLICABLE LAW HEIJO RUIJSENAARS HEAD OF INTELLECTUAL PROPERTY EUROPEAN BROADCASTING UNION
  • 2. The dilemma of broadcasters’ archives l EBU Members: 28 million hours of European radio and TV content l Problem is (orphan) rights, rather than orphan works: n PSB productions include many different works and performances; one “uncleared” segment blocks use of the whole production n Huge administrative costs: e.g. 72 million GBP to clear BBC archive n Diligent search for PSB’s archives would only exacerbate, not solve l Need for specific solution recognised in InfoSoc report
  • 3. The EBU proposal Ø ECL system, i.e. a “special/generic” model (CL agreement is decisive), should be available in each EU Member State; Ø For optional use only, i.e. national level to decide for which category of works and which use(s) it should be applied; Ø To be used only where need for collective licensing exists; Ø In connection with the ‘‘country-of-(licence-)origin’’ principle (i.e. one applicable law, also for online use).
  • 4. EU Copyright :General need for simplifying rights clearance New media and multiplatform use (and audience reactions thereto) → urgent need for flexibility in rights clearance; Orphan works issue symptomatic of the more fundamental problem → administrative costs cannot be invested in new creations; important for (all) users and right holders alike; Simplified regime for rights clearance allows for more legal (affordable and easy-to-use) online offers → best way to tackle piracy.
  • 5. The Danish ECL experience l ECLs are applied to: • Educational use (Art. 13 and Art. 18) • Internal use in business enterprises, etc. (Art. 14) • Public libraries (Art. 16b) • Visually- and hearing-handicapped persons (Art. 17) • Reproduction of works of art (Art. 24a) • Broadcasting of published works (Art. 30) • Broadcasters’ archives (Art. 30a) • Simultaneous retransmission (Art. 35) • [Mandatory collective licence concerning public performance of phonograms (Art. 68)] Plus: A generic ECL provision (Art. 50) for anything else!
  • 6. The Danish provision on broadcasters’ archives l Works as part of broadcasters’ own [+ commissioned] productions can be rebroadcast and made available, provided the requirements of Art. 50 regarding extended collective licences are fulfilled; l This includes the making of copies needed for the reproduction; l It covers works which are part of the broadcasters’ productions broadcast before 1 January 2007; l The author may prohibit the broadcaster from including his work; l (Applies mutatis mutandis to performances).
  • 7. The (subsequent) collective agreements in Denmark 2007: Framework agreement concerning on-demand use and use of clips in new productions 2008: Special agreement concerning re-runs of archive productions on DR’s two specialised TV channels (Children and Culture/History) Both: All right holders are represented jointly by a collective rights management organisation (CopyDan Arkiv, comprising several organisations)
  • 8. What makes ECL so attractive? The Nordic ECL model has existed It is a Applied only ‘‘future- in cases proof’’ where ECL It requires a generally consensus allows for between the
  • 9. Cross-border effect: Some preliminary questions Since when (and where) is mere reception of an authorized communication a separately restricted act under copyright? Does any of the Nordic provisions on ECLs explicitly prohibit the representation of foreign right-holders? How could Art. 9(2) Sat-Cab Directive be implemented anywhere if the ’deemed to represent’’ would not include foreign right-holders? Is the main concern not so much the delocalization of the user, but rather the tariff-setting?
  • 10. Cross-border effect: Combine ECL with country-of-(licence-)origin Adapt the satellite + Reciprocity agreements broadcasting model (1993 among national and foreign EU Directive) collective rights = Same online use can be • = 1 applicable law management societies agreed on all territories. (usually that of the ECL (such as currently applied agreement) for music)
  • 11. Some figures to compare l EU broadcasting sector: ≥ 30 billion Euros to the EU copyright economy; EBU Members: ≥ 10 billion Euros per year in original audiovisual productions; Largest bulk of that money goes to European right-holders. l How much does iTunes contribute to EU right-holders? E.g. European performers claim to see almost no income from music online services. BBC issues 300.000 contracts to individual contributors per year, but re-clearance of rights to those contracts requires 250.000 work hours and 5 Million Euros p.a.; Any music online service provider can cover 80% of world's repertoire (probably 95% of most popular music) via 5 contracts only (with 4 major labels and one pan- European collective licence). Why focus of EU copyright reform (again) on music services only???
  • 12. Conclusions l National ECLs to be introduced now (Green Paper too late; PSI Directive wrong instrument); l As simple as possible, special/generic model (= not limited to orphan works only, and not limited to the making-available right only); l Details to be decided by national laws/stakeholders (and allow continuation of any existing ECLs); l In countries where ECL is introduced for broadcasters’ archives: Scope + conditions to be determined by national law.