22/06/2023
Our Managing Partner, Zuka Bezhashvili, recently delivered a comprehensive presentation at the Georgian Public Broadcaster (ბიზნესპარტნიორი / Businesspartner) concerning the latest amendments proposed in the draft legislation of "Copyright and Neighbouring Rights." The focus of his discourse was specifically on the newly introduced Collective Management Organization (CMO) chapter within the aforementioned legal framework.
The newly enacted legislation encompasses several vital components, including the following:
1. Enhancement of Private Copying regulations to ensure the proper collection and reproduction of works by individuals for personal use.
2. Introduction of accreditation procedures and the preservation of the One Stop Shop principle.
3. Precise delineation of the functions, rights, and obligations of Collective Management Organizations (CMOs) within the legislative framework.
4. Regulation of targeted deductions to establish clear guidelines for deductions for CMO.
5. Establishment of fundamental rules governing the collection and distribution of royalties.
6. Provision of guarantees for rights holders, safeguarding their entitlements in relation to the use of their works.
7. Imposition of an obligation to provide comprehensive information pertaining to rights management and licensing activities.
8. Specification of the rights of international sister organizations (CMOs) and their corresponding obligations.
9. Introduction of the obligation to publicly disclose necessary information, particularly with regard to undistributed and unidentified royalties.
10. Mandate for CMOs to produce annual transparency reports, ensuring accountability and transparency in their operations.
11. Refinement of membership rules for CMOs, outlining the criteria and procedures for admission.
12. Determination of the primary rights of the general counsel of the CMO.
13. Obligation to establish a supervisory board within the CMO to oversee its activities.
14. Clear delineation of the obligations of managing personnel within the CMO.
15. Imposition of an audit requirement, necessitating the submission of audit statements by CMOs.
However, the recognition and precise definition of reciprocal representation agreements as a necessary prerequisite for accreditation remains a significant challenge addressed by this legislation.
We express our sincere gratitude to the The USAID Economic Security Program for their invaluable contribution in facilitating the smooth progression of the process, involving all stakeholders. Additionally, we extend our appreciation to the Commercial Law Development Program(CLDP) for providing the opportunity for the participation of international experts, including representatives from CISAC, IFRO, WIPO, and IFPI. Their expertise and insights have greatly enriched the process.
It is our sincere expectation that the new law will fully align with the directives of the European Union.
