LANDMARK DECISION OF IPAB: IPRS, MEMBERS ENTITLED TO CLAIM ROYALTY FROM FM RADIO STATIONS | 5 January, 2021

The Intellectual Property Appellate Board (IPAB) gave music directors, lyricists and music companies a New Year’s Eve gift by pronouncing a landmark judgement on 31st December, upholding the rights of the Indian Performing Right Society Limited and its lyricist- music composer- and music publisher-members to claim royalties in respect of the broadcast of lyrics and music underlying sound recordings by FM radio stations in India. The IPAB is headed by chairman Justice Manmohan Singh and has as its technical members N. Surya Senthil and S.P. Chockalingam, all three of who comprise the expert tribunal under the Copyright Act, 1957.

The judgement specifically recognises the rights of lyricists and music composers to claim royalties on the basis of the 2012 amendments to the Copyright Act, 1957. It also establishes separate royalty rates payable by radio broadcasting stations across India through 2021 in respect of sound recordings as well as literary works and musical works.

The proceedings before the IPAB saw the participation of all major FM radio companies, music companies and IPRS to fix royalty rates for radio broadcasting under the statutory licence provision of the Copyright Act, 1957.

IPRS chairman Javed Akhtar welcomed the judgement of the IPAB on behalf of IPRS, its Board and all its members. Akhtar stated, “This landmark decision has applied the law by recognising the rights of creators like lyricists and music composers to an equal share of royalty from the utilisation of the lyrics and music in any form. This judgement will greatly benefit impoverished creators and their families as well as the entire creative community in India and internationally. We sincerely thank the honourable IPAB for its clear and unambiguous recognition of the rights of creators in line with the law and hope that our colleagues in the radio broadcast sector can now move forward with the creative community in harmony in view of this judgement.”

Rakesh Nigam, CEO of IPRS, said, “This judgement is a fundamental game-changer which will pave the way for IPRS to deliver greater benefits to the creative community in India.”