The Court of Appeals (CA) emphasized that while the judicial system protects musicians' rights to their artistic creations, this protection is not automatic and requires proof of entitlement. In a recent decision, the CA upheld the lower court's ruling in favor of Raven Broadcasting Corporation (RBC), denying the appeal of the Filipino Society of Composers, Authors and Publishers, Inc. (FILSCAP). The CA stated that musicians seeking royalties or other fees must present sufficient evidence to support their claims.
Rey G. PanaliganWhile the country’s judicial system safeguards the rights of musicians for their artistic creations, “the protection is neither automatic nor unconditional,” the Court of Appeals declared.
FILSCAP is a non-stock, non-profit association of composers, lyricists, and music publishers that collectively enforces the public performance rights granted by law to copyright owners of musical works. RBC was granted a license for its radio station on March 27, 2017. For its online platform, it was granted a “Website License” covering the period from Jan. 1, 2017 to Dec.31, 2017, which will auto-renew annually unless a written termination notice is provided at least one month prior to expiration date. The license fee for the website was fixed at P33,600.00.12.
RBC denied financial liability. It said it has an existing license agreement with FILSCAP for the use of the songs of the artists for its radio business. But, it said, it has no financial obligation for its website license because it does not operate a business of hosting internet sites and does not stream music independently of its radio broadcasts.
The MeTC ruled that FILSCAP failed to submit as evidence the statements of account in relation to the demand letters dated June 15, 2018; July 25, 2018; Sept. 7, 2018; and the statement of accounts in connection with the final demand letter dated Oct. 4, 2018. “By sending a demand letter, the creditor places the debtor on notice that payment is due, default has already taken place, and a legal action may ensue if the debt is not settled.
“Based on the evidence, RBC was required to pay FILSCAP an annual license fee of P33,600 for its website. Records also reveal that RBC already paid a total of P91,483.40 as evidenced by receipts. FILSCAP was unable to prove that such amount did not cover the applicable license fee for its website, referenced as No. 17-1946.
MUSIC RIGHTS COPYRIGHT ROYALTY FILSCAP COURT OF APPEALS INTELLECTUAL PROPERTY
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