#PRcopyright

WHO IS DALRO? DALRO is a copyright management agency, that has been operating since 1967.

Simply…it collects royalties on behalf of copyright owners when their work is used. These include authors, publishers, playwrights and visual artists.

HOW DOES THIS ACTIVITY AFFECT YOU AND YOUR BUSINESS?

DALRO has been mandated by local newspaper publishers to collect royalties for the use of their published work. This use is the copying and distribution to clients and internally in companies.

To fulfill this function, DALRO launched these two licences: 1. Media Monitoring Licence 2. Business Licence

As a PR company you must have a licence to legally copy clippings of copyright-protected works to distribute to your clients…even if you have received them from a media monitor.

You DO NOT need a licence to receive the clippings…only to copy them in order to send on.

If you don’t make copies of clippings available to your clients, you don’t need a licence. For example, if all your client have direct access to your MMO’s database, you don’t need a licence, as you are not making copies of any clips.

The same applies to a business that makes copies of clippings or articles available internally. This is another copy of the work.

What is the legal basis for this?

Basis of Licence – Section 6 of The Copyright Act Copyright in a literary work vests the exclusive right to do or to authorise (amongst other acts): (a) Reproducing the work in any manner or form; (b) publishing the work if it was hitherto unpublished; (f) making an adaptation of the work; -Meltwater Case Basis of revenue calculation

Basis for Licence Mandates from publishers Determine what rights can be licensed – Basic principle of agency/collective management What rights are granted? To what works or material? Reporting requirements? Duration of the licence?

What are the cost implications for media monitors and PR companies? 8% of press-clipping revenue attributed to DALRO publishers. This is NOT 8% of total revenue!

Examples: 1. Your total revenue per month is R The revenue from sending clippings is R5000 DALRO’s publishers make up 80% of those clippings = 8% of R4000 = R320/month 2. Your total revenue per month is R The revenue from sending clippings is R DALRO’s publishers make up 85% of those clippings = 8% of R = R1020/month

The calculation is not based on profit made from clipping. It is the billed amount.

Media Monitors should be licensed to send you clips. We are engaging with the industry body, SAMMA, to license press- clipping activity in SA.

There is more than one licence for each clip. Why? Every time a copy is made of the clip, the owner of the copyright should be compensated…all through the value- chain. The chain here is: Media Monitor > PR Agency > Client > Internal Distribution 3 copies of one clip

The Business Licence Your clients do not need a licence to receive clips from you. They do need a licence to copy and send those clips internally.

Business Licence Pricing This is based on the industry and the number of professional employees in each company. There is a pricing schedule in your information pack.

How will it be monitored? DALRO is a licensing agency, not a law enforcement agency. We’re an enabler. that is positioned to make it easier for you to do the right thing in compensating copyright owners. We will be educating and sensitising businesses, your clients, about our activities, so they will be aware, and would have the expectation their suppliers are good corporate citizens. It is essentially a legal issue, but being a socially responsible organisation is your choice.

Why now? DALRO has focused its efforts on the Higher Education Sector – but in line with international copyright activity and based on mandates from publishers we are working to compensate these rightsholders.

Press releases are a contentious issue! PR agencies write releases and they are printed in papers. The copyright rests in the printed edition, so the published press release is the copyright of the newspaper and becomes part of the licence. Based on Section 11A of the Copyright Act.

Why is this licensing important? Not simply another way to take money from hard-working companies. Copyright protects the effort, investment and ideas of the owner. Compensation for this work maintains the quality and worth of the information you distribute.

Questions?

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