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2 December 2008
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Commission reopens Pandora's Box on artists' rights[de

Published: Friday 15 February 2008   

The European Commission has reopened the sensitive dossier of copyright levies with the launch of a public consultation to simplify the way the tax is imposed across the 27 EU member states.

Background:

Copyright levies are imposed on a wide variety of devices, ranging from photocopiers to DVDs, mobile phones and MP3 players, as a way of compensating rights holders when their copyright-protected material is copied.

Commissioner McCreevy has already tried to modify copyright levies to take in account recent technological developments which, according to many, make levies outdated. 

In November 2006 he presented a plan which should have brought the Commission to approve a recommendation, “the softest legal instrument” in the hand of the European Executive, in order to change the rules.

The plan was strongly opposed by artist associations. France backed their position and the Commission was forced to admit in December 2006 that there were no grounds for an agreement among the parties involved. The debate was postponed “without a specific time” to re-approach it.

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The move, immediately welcomed by the consumer electronics industry, was tempered by a simulataneous proposal to extend copyright protection of artists' rights from 50 to 95 years.

"There is need to look at how the levies are applied," saidexternal Internal Market Commissioner Charlie McCreevy, acknowledging at the same time the artist's right to compensation over private copying.

"It should be possible to envisage some workable solution that assures the rights holders of their due compensation and at the same time applying the levies in a way that is commensurate with the loss caused by private copying," said McCreevy diplomatically.

The concrete action implies the launch of a public consultation which will last until 18 April. An open hearing will follow in June with the aim of finding a shared solution.

Despite all the diplomatic efforts by the Irish commissioner, it is clear that the move will not please the artistic community, though it has already triggered praise from the technology industry. Scrapping the levies means the elimination of a sort of hidden tax imposed upon producers of electronic devices such as computers or CD players. The levies are imposed on the presumption that these items might be used to create personal copies of copyright works.

On the other hand, the artistic community would lose a basic source of revenues. It is therefore not a coincidence that on the same day McCreevy announced the re-launch of the copyright levies debate, he revealed his intention to prolong copyright protection for European performers from 50 to 95 years, thus closing a gap with the protection time enjoyed by producers of artwork.

"I have not seen a convincing reason why a composer of music should benefit from a term of copyright which extends to the composer's life and 70 years beyond, while the performer should only enjoy 50 years, often not even covering his lifetime," saidexternal the Commissioner. "It is the performer who gives life to the composition and while most of us have no idea who wrote our favourite song, we can usually name the performer," he added.

Positions:

The European digital technology industry immediately applauded the announcement that the European Commission would relaunch its reform of the copyright levy system in the European Union. 

Mark MacGann, the director general of EICTA, the organisation which represents the information and communications technology (ICT) and consumer electronics industries in Europe, commentedexternal : "As an industry, we fully support fair and proper compensation for artists, creators and other rightholders. Industry is not advocating for private copy levies to be abolished, but has repeatedly demonstrated that the current system of "rough justice" is opaque, unfair to consumers and industry, and does not fulfil the stated purpose of fairly remunerating right holders".

"I raised the matter of levies with the Commissioner again in December so I am delighted he is launching a new consultation," commentedword the Liberal Democrat MEP Sharon Bowles, spokesperson on intellectual property rights for her party. "It is interesting that at the same time he announced extending the copyright term. This makes a much more attractive package if the two are eventually put together," she added.

"The music sector applauded Commissioner McCreevy’s timely initiative which has the potential to have a very positive impact on the livelihoods of tens of thousands of people working in the European music sector", reads a press releaseword jointly issued by several music organisations. "We call on the Commission to use this opportunity to harmonise the terms of protection for co-written musical works and eliminate the discrepancy for performers as regards when term will expire", continued the note signed by FIM (the International Musicians’ Union), GERA Europe, (Global Entertainment Retail Association-Europe), GIART (International Organisation of Performing Artists), ICMP (International Confederation of Music Publishers), IFPI (Representing the Recording Industry Worldwide), IMPA (International Music Publishers Association) and IMPALA (Independent Music Companies Association).

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