IFPI helps CD plants stay on the right side of copyright law
January 10, 2001 - The recording industry has produced a new set of guidelines to help CD manufacturing plants comply with copyright rules when reproducing music. Failure to verify copyrights cost replicators millions of dollars in the past year alone, as the music industry stepped up its worldwide 'zero tolerance' campaign against commercial CD piracy.
"Copyright for Replicators - How to Protect Your Business," prepared by IFPI, trade body of the recording industry, in cooperation with BIEM, representing rights collection societies for songwriters and authors, has been circulated to approximately 750 CD plants worldwide.
CD piracy is a massive, illegal global industry, estimated to be worth US$4.5 billion per year. The problem is spurred by the massive overcapacity of CD manufacturing plants The total global manufacturing capacity of plants is estimated at nearly double legitimate demand-and that is only the plants that have been identified.
The leaflet, issued this week,outlines to plants how to avoid the inadvertent manufacture of pirate recordings. The guidelines stress plants' obligation to ensure they see proof of copyright clearance. Plants need to ensure their customers have shown they either own or hold a license both from the owner of the rights in the composition and from the owner of rights in the sound recording before processing orders.
CD plants leave themselves open to claims from copyright holders if they fail to confirm that their customers own or hold the proper licenses.
Since IFPI's new Litigation Department was set up last year, the organisation has reached agreements for the payment of nearly US$3 million from plants found to be producing infringing CDs.
Geoff Taylor, IFPI's Director of Litigation & Regulatory Affairs says, "These cases illustrate the massive costs to replicators of failing to put in place strict procedures to ensure they respect copyright law. IFPI wants to help manufacturers understand their obligations and avoid orders from music pirates. We aim to make life for legitimate CD plants clearer and safer as a result of this initiative."
The new leaflet is being circulated together with an updated version of IFPI's standard anti-piracy guidance, the Good Business Practices for CD Mastering and Manufacturing Plants. IFPI also strongly supports replication industry initiatives, such as the Anti-Piracy Compliance Standards & Procedures, produced and administered by the International Recording Media Association.
Contact: Adrian Strain, Fiona Harley IFPI Communications Department