Chapter Eleven “i” of CNRA contains provisions on multi-territorial licensing of online rights in musical works. These regulations also apply to the licensing of online rights in literary works related to music, as well as musical works included in films or other audio-visual works. This chapter’s scope does not cover the licensing of online rights in musical works in the form of sheet music. This chapter does not apply to the cases where collective management organisations grant multi-territorial licenses of online rights in musical works of radio and television organisations, whose programmes are used online simultaneously or after their first broadcast, including in materials such as previews and self-promoting announcements which are auxiliary to the original radio or television programme.
Collective management organisations are the only entities authorized by the law to perform multi-territorial licensing of online rights in musical works. These organisations’ basic functions are the following: processing data by electronic means in an efficient and transparent manner, identifing repertoire and monitoring its use. They collect rights revenue and distribute the amounts due to rightholders.
A collective management organisation shall:
1. identify accurately the musical works which it is authorised to represent (whether in whole or in part),
2. identify accurately with respect to each relevant territory, the rights and their corresponding rightholders for each musical work or share in a musical work which it is authorised to represent (whether in whole or in part);
3. make use of unique identifiers in order to identify rightholders and musical works, taking into account, as far as possible, voluntary industry standards and practices developed at international or European Union level;
4. make use of adequate means in order to identify and resolve in a timely and effective manner inconsistencies in data held by other collective management organisations granting multi-territorial licences for online rights in musical works.
The law defines accuracy and transparency of information as fundamental principles in licensing of online rights in works.
In response to a duly justified request, an organisation shall make available up-to-date information relating to the works it represents, their rights in them and the scope of representation per territory. It shall, without a request made, on its own initiative, make available to Internet service providers up-to-date information which enables the identification of the musical repertoire which it is authorised to represent. This information shall be accurate and up to date, and it shall be made available in accordance with the standards and practices regarding data exchange at international or European Union level.
Amounts due to rightholders shall be distributed accurately and without delay. Delays are permissible only for reasons attributable to the online service provider.
Collective management organisations conclude representation agreements, under which one organisationauthorises another organisation to grants multi-territorial license for the online rights in musical works of its own repertoire. Such agreement may only be of a non-exclusive nature. The authorisingorganisation shall inform its members on the main terms of the agreement, including its duration
andthe costs of the services provided by it. The authorisingorganisation shall inform the authorisedorganisation of the terms of licensing online rights in the repertoire, subject to the agreement, including the types of rights and works, the amount of remuneration, the duration of the license, the accounting periods and the territories covered.