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Creative Lawyers for Creative Business

January 2003

Changes to Copyright Law

Copyright means what it says, it's the right of a copyright owner to prevent others from copying. This means that generally you need permission from a copyright owner to copy. To this general rule there are certain exceptions, that is, uses which do not infringe copyright and which can be undertaken without a licence.

Changes relating to the exceptions to copyright which are to be made in the next few months may be relevant to you. The changes are the result of a European Union Directive, copyright and related rights in the information society and the bringing into force of the Copyright (Visually Impaired Persons) Act 2002 ("the 2002 Act").

Three areas covered here are:

1) Copying of copyright material for commercial research
2) Use of broadcasts in public by letting them be heard or seen
3) Access to copyright material for visually impaired people

1. Copying for commercial research

The change made in this area will limit the scope of permissible copying.

Currently there are two ways in which a business may make single copies for the purpose of research. Firstly, a business wishing to make a single copy of a short extract from any book, journal or newspaper for the purposes of research is able to do so. Alternatively, a business may also ask a librarian in a not-for-profit library to supply it with such a copy. In this event, the business must sign a declaration confirming the purpose of the copying.

Copying that extends beyond this however, such as the making of multiple copies and copying more than a short extract, must be licensed and in the UK there are two collective licensing organisations, the Copyright Licensing Agency, for books and journals and the Newspaper Licensing Agency for national papers.

The implementation of the European Union Directive limits copying that is for research for a commercial purpose. This means that many businesses that can currently enjoy the above exceptions will need a licence in the future. These licences will probably be available from the organisations indicated above.

Now is a good time to review the scope of the licence you have from the collecting societies mentioned above, or if you do not possess a licence, consider whether you need to get one.

2. Use of broadcasts in public by letting them be heard or seen

Again the changes in this area will limit the previous exception. Currently, a business that uses a radio or television in a public place where people have not paid for admission does not need a licence.

The exception to this has been where music is used in which case a licence will generally be needed from the Performing Right Society (PRS) which licenses this use on behalf of the owners of copyright in the music.

The European Union Directive narrows the exception so that commercial use of broadcasts to provide a musical ambience or musical entertainment in public will in future require a licence from Phonographic Performance Limited (PPL) which licences use on behalf of the owners of sound recordings as well as one from PRS.

If you are making a broadcast to members of the public whether they be your customers or your staff you may need to consider obtaining a licence for these activities.

3. Access to copyright material for visually impaired people.

The 2002 Act introduces a new exception to copyright that means not-for-profit bodies and educational establishments (so-called "approved bodies") will generally be able to make and supply accessible copies to visually impaired people without a licence. An "approved body" acting under the exception is required to notify the copyright owner(s) of this activity.

Previously, any organisation wishing to make accessible copies of copyright material in formats such as Braille, large print, electronic and on audio tape for visually impaired people, generally needed to get a licence from the copyright owner(s).

There are however a number of conditions and limitations applying to this new exception. The exception applies to commercially published literary, dramatic, musical and artistic works and published editions (but not databases). Further the exception will not permit the making of any accessible formats that provide the same or substantially the same degree of accessibility as copies of the copyright material that are commercially available. Making a recording of a performance of a musical work is also not permitted under the exception.

Finally, the exception will not apply where copyright owners have set up a licensing scheme(s) operated by a licensing body(ies) covering the making of alternative formats, so long as such schemes have been notified to the Secretary of State at the Department of Trade and Industry.

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