The collective rights management system in Ukraine is established by law but operates in a way that makes free sharing of copyrighted works illegal and provides minimal compensation to rights holders. There are 17 collective management organizations but no clear principles for distributing collected fees. Additionally, there are allegations of corruption involving government officials and private companies related to the founding and management of certain collective management organizations. A new law aims to establish principles for collective management, criteria for authorizing organizations, financial transparency requirements, and determine appropriate percentages of fees for administrative costs.

1. 1
Collective rights management in Ukraine –
the way it should not be
By:
Maksym Naumko
Andriy Bichuk

2. 2
The system
of Collective rights management
is established by Ukrainian legislation:
Law of Ukraine “On copyright
and related rights”
and number of secondary legislation acts

3. 3
Collective management organizations in Ukraine
are non-profit organizations, controlled by the State Intellectual Property Service of Ukraine - the structure of the Ministry of Economic Development and Trade of Ukraine

4. 4
17
Collective management organizations
operating in different spheres

5. 5
The Soviet heritage
Minimal rates of remuneration (royalty) for use of
copyright and related rights objects
!Makes free sharing illegal!

6. 6
The manufacturers of phonograms, and the performers have no right to allow or forbid:
- public performance or public demonstration of a phonogram;
- broadcast of a performance fixed on a phonogram;
- wire broadcast of a performance fixed on a phonogram.

7. 7
The only way to obtain permission for such uses is to pay remuneration to authorized collective management organizations.

8. 8
This position is based on a vague wording of the law but it is supported by the courts.
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CC0 http://pixabay.com/en/hammer-bid-sale-auction-court-311343/

9. 9
Principles of distribution of collected remuneration
NO PRINCIPLES

10. 10
There is a discussion between collective management organizations
- Based on reports provided by the HoReCa owners
- Based on the radio stations play lists
How to distribute collected remuneration?
CC0 http://pixabay.com/en/chat-discussion-meeting-talk-23713/

11. 11
CC0 http://pixabay.com/en/corrupt-error-problem-stamp-147974/

12. 12
Dmytro Tabachnyk
Minister of Education and Science of Ukraine (March 2010 – February2014)
Oleksiy Yanov
First Deputy Head of the State Service of Intellectual Property
(January 2011 – February2014)
Private company
Ukrainian League of copyright and related rights (founded 30.11.2010)
Private company
Organization of collective management of copyright and related rights (founded 15.12.2010)
Mykhaylo Tabachnyk
Brother of Dmytro Tabachnyk,
businessman
Oleksandr
Nikin
Legal counsel of
Ukrainian League of copyright and related rights
University classmates
provided services to Mykhaylo Tabachnyk firms

13. 13
Last summer State Intellectual Property Service of Ukraine introduced a draft of new law “On collective management of proprietary rights of copyrights and related rights holders”

14. 14
New Law
- Establishes principles of collective management in Ukraine;
Establishes criterions for appointing a collective management organization as “authorized”;
- Determines a percentage of collected remuneration to be used for the maintenance of collective management organizations;
- Establishes a responsibility of collective management organizations to inform public on their financial activities.
Andriy Bichuk
Maksym Naumko