By Ehis Osagiede
Music, like most artistic, literary and creative works, is an
intellectual property (IP), that needs to be protected.
Music creators (song writers, producers, composers and
publishers) are entitled to royalties as proceeds for use of their
musical works or sound recordings (intellectual property) in
commercial settings.
Users of music, especially restaurants, clubs, hotels, shopping
malls, live performers, and other public users who consume music
without obtaining copyright license, do so illicitly.
However, the Nigerian copyright laws makes room for the fair
usage of copyright materials without first obtaining the consent or
permission of the copyright holder in cases where the use is for
non-commercial, educational, research purposes, review, or
criticism and in reporting current events.
The Controversies
The Copyright Society of Nigeria (COSON), albeit enmeshed in
perennial controversies, and leadership tussles, collects monies
from public/commercial users, such as clubs, hotels, radio and Tv
stations, event halls, transport terminals, to mention, but a few,
and then distribute same to the IP owners in form of
royalties, that is to say, COSON already has so many
copyright holders subscribed to it for the collection of its
royalties.
The NCC, the statutory regulatory authority on the other hand
had on the 30th day of April, 2018, pursuant to
relevant provisions of the copyright Act and the Copyright
(Collective Management Organisation) Regulation, 2007, suspended
the license it granted to COSON to operate as a collecting society
following the refusal of the management of COSON to comply with
directives of the commission issued after an investigation into the
lingering dispute in the governing board of COSON which has
led to conflicting and counter claims by two groups claiming
legitimacy to the governing board of the society and
Consequently, the NCC has now recognized the Musical Copyright
Society of Nigeria (MCSN) as its collective Management
Organisation.
The Copyright Society of Nigeria (COSON), is currently at the
Federal High Court to seek redress and ask for damages amounting to
eight billion Naira from the Nigerian Copyright Commission (NCC)
for what they refer to as “the undemocratic, unlawful and
unconstitutional ‘suspension’ of the approval and operating license
of the Plaintiff” and another two billion Naira “for the
significant loss of Reputation and Goodwill suffered by the
Plaintiff and arising from the massive publicity sustained by the
NCC against COSON following directive that the bank accounts of the
Plaintiff be frozen.”
In its 63 paragraph Statement of Claim in suit No
FHC/L/CS/425/2020 filed, COSON pleads that It is a fact that the
Copyright Act in Section 39 (2) gives the Defendant the power to
approve collecting societies but nowhere under the law is the NCC
given the power to suspend, revoke or in any way restrict the
approval given to a collecting society or embark on an audit of a
collecting society or direct the freeze/restriction of the bank
accounts of a collecting society without an order of court.
COSON has therefore asked the Federal high Court to declare that
the provisions in the Copyright (Collective Management
Organizations) Regulations 2007, made by the NCC, by which the NCC
has assumed the power to unilaterally suspend or revoke the licence
of an approved Collecting Society or to require an approved
collecting society to apply to the NCC to renew its license as
undemocratic, unlawful, unconstitutional, null and void.
Conclusion:
The Nigerian Copyright holders and the entertainment industry in
general has lost billions of dollars in royalties, revenues and
opportunities as a result of unending crisis and controversies,
clumsiness and leadership predicament.
It is my considered view, that the business of music and music
licensing in Nigeria has been nothing short of sluggish and clumsy,
and with the unending crisis in the industry, the music licensing
and the music business in Nigeria might not experience the expected
bullishness in a long time, as it is said that when two elephants
are engaged in a brawl, it is the ground that takes the hit.
The copyright holder will continue to get the shorter end of the
stick, if there is no deliberate effort by stakeholders to resolve
all lingering crisis and take the stage as not just the biggest
music makers in Africa, but also the richest copy right holders in
the world, taking advantage of our increasingly growing population
and the music and entertainment enthusiasm among our young
population.
Written by Ehis Osagiede Lead Consultant
Starlion Legal, www.starlionlegal.com
By Ehis Osagiede
Music, like most artistic, literary and creative works, is an
intellectual property (IP), that needs to be protected.
Music creators (song writers, producers, composers and
publishers) are entitled to royalties as proceeds for use of their
musical works or sound recordings (intellectual property) in
commercial settings.
Users of music, especially restaurants, clubs, hotels, shopping
malls, live performers, and other public users who consume music
without obtaining copyright license, do so illicitly.
However, the Nigerian copyright laws makes room for the fair
usage of copyright materials without first obtaining the consent or
permission of the copyright holder in cases where the use is for
non-commercial, educational, research purposes, review, or
criticism and in reporting current events.
The Controversies
The Copyright Society of Nigeria (COSON), albeit enmeshed in
perennial controversies, and leadership tussles, collects monies
from public/commercial users, such as clubs, hotels, radio and Tv
stations, event halls, transport terminals, to mention, but a few,
and then distribute same to the IP owners in form of
royalties, that is to say, COSON already has so many
copyright holders subscribed to it for the collection of its
royalties.
The NCC, the statutory regulatory authority on the other hand
had on the 30th day of April, 2018, pursuant to
relevant provisions of the copyright Act and the Copyright
(Collective Management Organisation) Regulation, 2007, suspended
the license it granted to COSON to operate as a collecting society
following the refusal of the management of COSON to comply with
directives of the commission issued after an investigation into the
lingering dispute in the governing board of COSON which has
led to conflicting and counter claims by two groups claiming
legitimacy to the governing board of the society and
Consequently, the NCC has now recognized the Musical Copyright
Society of Nigeria (MCSN) as its collective Management
Organisation.
The Copyright Society of Nigeria (COSON), is currently at the
Federal High Court to seek redress and ask for damages amounting to
eight billion Naira from the Nigerian Copyright Commission (NCC)
for what they refer to as “the undemocratic, unlawful and
unconstitutional ‘suspension’ of the approval and operating license
of the Plaintiff” and another two billion Naira “for the
significant loss of Reputation and Goodwill suffered by the
Plaintiff and arising from the massive publicity sustained by the
NCC against COSON following directive that the bank accounts of the
Plaintiff be frozen.”
In its 63 paragraph Statement of Claim in suit No
FHC/L/CS/425/2020 filed, COSON pleads that It is a fact that the
Copyright Act in Section 39 (2) gives the Defendant the power to
approve collecting societies but nowhere under the law is the NCC
given the power to suspend, revoke or in any way restrict the
approval given to a collecting society or embark on an audit of a
collecting society or direct the freeze/restriction of the bank
accounts of a collecting society without an order of court.
COSON has therefore asked the Federal high Court to declare that
the provisions in the Copyright (Collective Management
Organizations) Regulations 2007, made by the NCC, by which the NCC
has assumed the power to unilaterally suspend or revoke the licence
of an approved Collecting Society or to require an approved
collecting society to apply to the NCC to renew its license as
undemocratic, unlawful, unconstitutional, null and void.
Conclusion:
The Nigerian Copyright holders and the entertainment industry in
general has lost billions of dollars in royalties, revenues and
opportunities as a result of unending crisis and controversies,
clumsiness and leadership predicament.
It is my considered view, that the business of music and music
licensing in Nigeria has been nothing short of sluggish and clumsy,
and with the unending crisis in the industry, the music licensing
and the music business in Nigeria might not experience the expected
bullishness in a long time, as it is said that when two elephants
are engaged in a brawl, it is the ground that takes the hit.
The copyright holder will continue to get the shorter end of the
stick, if there is no deliberate effort by stakeholders to resolve
all lingering crisis and take the stage as not just the biggest
music makers in Africa, but also the richest copy right holders in
the world, taking advantage of our increasingly growing population
and the music and entertainment enthusiasm among our young
population.
Written by Ehis Osagiede Lead Consultant
Starlion Legal, www.starlionlegal.com