Music Royalty Society Nepal Sends 34,000 Notices for Unpaid Royalties
Kathmandu. Music Royalty Society Nepal has sent 34,000 letters at once targeting 56 types of stakeholder associations-organizations across the country that have not paid royalties.
The society has sent these letters urging them to pay the royalties that should be paid according to the rules for using music creations quickly. According to Sapana Gharti Magar, the society's legal officer, these letters have been sent as a final warning to organizations that have been neglecting to pay royalties despite repeated verbal and written requests. The Copyright Act, 2059, Section 3 protects the intellectual property of creators and artists. According to the legal provision of Section 25 (A) of the same Act, intellectual property protected cannot be used without permission. Legal officer Gharti Magar informed that the letters have been sent urging royalty payment based on the same legal arrangement.
“A total of 34,000 letters have been sent at once as a final notice this time. Those who ignore the letters will be reminded and informed twice via phone,” said legal officer Gharti Magar. “If they do not come into contact within 3 months even after reminders, a complaint will be filed with the police and the process of action will be initiated.” Gharti Magar stated that cases related to copyright are criminal in nature and fall under Schedule-1 of the Muluki Criminal Procedure Code, 2074. Therefore, after a case is registered, the accused public user will be arrested by the police, detained, and the case will be resolved only by the court. Hence, it is requested to take this matter very seriously.
Which sectors received letters?
The 56 types of sectors for which the society has sent letters include media to service-oriented business establishments. These include radio, television, FM radio, internet service provider organizations, five-star deluxe hotels, star hotels, heritage and boutique hotels, other hotels and lodges, resorts, and homestays. Similarly, casinos, coffee shops, cafes, restaurants, lounges & bars, discos, clubs, dohori salons, public transport, tourist vehicles, airports and airlines have also been sent letters. Furthermore, the society has urged digital media, movie halls, fun parks, parks, picnic spots, schools, colleges, vehicle workshops, car showrooms, big marts, gyms, spas, beauty parlors, and sports stadiums to pay royalties.
200 organizations paid royalties
So far, more than 200 associations and organizations have joined the Music Royalty Society and are paying royalties. These associations and organizations joined the royalty system based on the letters previously sent by the society for royalty payment. The affiliated associations and organizations include radio, television, FM radio, and hotels.
In the recent past, due to strict legal action against associations and organizations not paying royalties, more than 100 associations and organizations have joined the royalty system this year alone. “Previously, there were about 100 organizations affiliated with royalties,” says legal officer Gharti Magar. “More than 100 new organizations have joined the royalty system in the current fiscal year alone.”
Why distribute 'green' and 'red' stickers?
To systematize and make transparent the commercial use of songs and music and to collect royalties, Music and Royalty Society Nepal has implemented a 'green' and 'red' sticker distribution system. This system has been implemented for easy identification of organizations that pay royalties and those that do not use music. According to the society, more than 200 business organizations have received 'green stickers' by paying royalties so far. This sticker is affixed to public and commercial establishments that obtain permission to use music by paying royalties according to the rules.
On the other hand, a 'red sticker' has been arranged for organizations that commit not to use music for their commercial purposes. Legal officer Gharti Magar states that this sticker is provided as a 'No Music Zone' to organizations that pledge not to use music. So far, red stickers have been affixed to more than 100 business firms across the country. Those who have received red stickers mainly include homestays, tattoo houses, small guesthouses, beauty parlors, and some media outlets that do not use music commercially. She mentioned that action will be taken if music is found to be used during the monitoring of organizations affixing red stickers.
What is royalty?
The law states that royalty must be paid for using someone's intellectual property. Songs and music are intellectual property. Using songs and music (intellectual property) without paying royalties is a legal offense. The Copyright Act, 2059, also provides for penalties for this.
Music Royalty Collection Society Nepal is the only organization authorized by the Government of Nepal for royalties. This society was established by the government through special provisions under the United Nations. It collects royalties for music used worldwide in Nepal. Music Royalty Collection Society Nepal is established under Section 39 of the Copyright Act, 2059.
The current chairman of the society is musician Suresh Adhikari.
What is the penalty for not paying royalties?
If royalties are not paid, the legal provision is the Copyright Act, 2059. According to the extent of the offense specified in this Act, there will be a fine of ten thousand rupees to one hundred thousand rupees or imprisonment for up to six months or both. From the second time onwards, there will be a fine of twenty thousand rupees to two hundred thousand rupees or imprisonment for up to one year or both penalties for each offense. In case of misuse, there is a legal provision for confiscation of materials and compensation for damages. It is mentioned that the compensation can be as claimed by the creator, so the compensation can be any amount.
This specific news has been automatically translated by AI. As a result, there may be some inaccuracies or language errors.
