In June 2024, the Ministry of Law and Human Rights (“Ministry“) passed the Ministry of Law and Human Rights Regulation No. 15 of 2024 on the Management of Royalties for Secondary Licensing of Copyright of Books and Other Literary Works (“Regulation“). This Regulation aims to provide legal certainty for all parties when duplicating books or other literary works in physical, digital, and/or virtual forms.
By way of background, royalties from literary works (“Books“) are compensation paid to the author or copyright holder for the economic rights arising from the use of the Books. The term “secondary use” includes activities such as making copies of the Books or utilising artificial intelligence or AI on the Books. The Regulation covers both commercial and non-commercial reproduction and distribution of Books. Notably, non-commercial uses will fall under the Regulation if they are reasonably detrimental to the legitimate interests of the author or copyright holder.
Before the enactment of the Regulation, although authors and copyright holders were entitled to receive royalties from the secondary use of their Books, they faced significant challenges in actualising these royalties. Consequently, many suffered financial losses. Moreover, this lack of legal protection undermined the value of their intellectual property and prevented them from benefitting from the full economic potential of their Books.
The Regulation marks a significant step forward in ensuring that authors receive fair remuneration for the use of their works.
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