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Composers - APRA

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Co-writers: put it in writing!<br />

Recent case highlights need for written agreements<br />

A recent Federal<br />

Court judgement 1<br />

about a dispute<br />

between a number<br />

of <strong>APRA</strong>’s writer<br />

members demonstrates<br />

how important it<br />

is for collaborators<br />

and business partners<br />

in the music industry<br />

to have clear written<br />

agreements.<br />

The issue in this case was<br />

who were the authors of two<br />

musical works and whether<br />

both or only one author<br />

controlled the copyright in<br />

the works. The music was<br />

composed for the TV series<br />

The Great Outdoors. There<br />

was no written agreement<br />

between the parties.<br />

One of the authors brought a<br />

legal action claiming breach<br />

of copyright and a claim for<br />

damages for infringement of<br />

copyright. Before this the<br />

parties had submitted their<br />

dispute to <strong>APRA</strong>’s dispute<br />

resolution procedure 2 .<br />

Judge Wilcox looked closely<br />

at the working arrangements<br />

of the parties, heard evidence<br />

from both composers and<br />

compared their version of<br />

events surrounding the<br />

composition of the musical<br />

works. The Judge also<br />

considered the information<br />

that had been provided<br />

to <strong>APRA</strong> by each party<br />

and the conduct of each<br />

party in disclosing relevant<br />

facts to <strong>APRA</strong>. Because the<br />

case turned on certain facts,<br />

what mattered was the ability<br />

of each party to show the<br />

Judge relevant evidence<br />

(such as floppy disks<br />

containing recordings) and<br />

to explain their version of<br />

events truthfully.<br />

The Judge declared that the<br />

composers were joint authors<br />

and owners of copyright. He<br />

found that both parties had<br />

made creative contributions<br />

to the making of the works.<br />

Critically, musical ideas were<br />

supplied by each writer and<br />

were translated into “musical<br />

noises” on equipment by<br />

both of them. The Judge also<br />

found that these ideas and<br />

musical compositions were<br />

incorporated in the final<br />

product. Although one writer<br />

clearly had the first ideas for<br />

the music, the Judge found<br />

these were only “embryonic”<br />

and that the other writer<br />

“made a major creative<br />

contribution” to these<br />

embryonic ideas. These<br />

findings of fact satisfied the<br />

Judge that the works created<br />

were “works of joint<br />

authorship” as defined by the<br />

Copyright Act. 3<br />

As a result, the writer who<br />

had claimed that they were<br />

the sole copyright author and<br />

owner had to:<br />

■ reimburse the other<br />

writer for the delay in<br />

receiving <strong>APRA</strong> royalties<br />

■ share the copyright<br />

earnings already received<br />

■ compensate the other<br />

writer for the lost<br />

opportunity to be jointly<br />

credited as a composer on<br />

the TV series music<br />

■ pay an amount as<br />

additional damages for a<br />

flagrant infringement of<br />

copyright, and<br />

■ pay the legal costs of the<br />

successful writer in bringing<br />

the legal action.<br />

The Judge accepted that the<br />

“lost kudos” for not being<br />

credited on the TV series<br />

was a “real and substantial”<br />

loss. He said, “Reputation is<br />

critical to a person who<br />

follows a vocation dependent<br />

on commissions from a<br />

variety of clients. Success<br />

breeds success, but only if<br />

the first success is known to<br />

potential clients. To deprive<br />

a person of a credit to which<br />

he was justly entitled is to do<br />

him a great wrong”. The<br />

Judge awarded damages of<br />

$40,000 as compensation.<br />

Could this have been<br />

avoided?<br />

For both writers, this case<br />

may have been avoided if a<br />

written agreement had<br />

outlined the terms on which<br />

they were working together<br />

and what their entitlements<br />

to any royalties would be.<br />

The Judge did find that<br />

one writer tried to verbally<br />

discuss their entitlement to<br />

<strong>APRA</strong> royalties with the<br />

other writer, but did not get<br />

a clear response and so<br />

sent in an <strong>APRA</strong> registration<br />

card without the signature<br />

of the other writer. When<br />

<strong>APRA</strong> received another<br />

registration card that<br />

conflicted with the first, it<br />

advised both writers that<br />

their entitlement to royalties<br />

for the work was in dispute.<br />

Under <strong>APRA</strong>’s distribution<br />

rules, where there is a<br />

dispute between writers over<br />

entitlement to <strong>APRA</strong> money,<br />

any money <strong>APRA</strong> has<br />

allocated is held in suspense.<br />

If you co-write a piece of<br />

work then at the time those<br />

works are being written and<br />

developed, you should<br />

clearly establish with your<br />

co-writers your respective<br />

interests in works created.<br />

The best way to avoid<br />

any ambiguity is to put<br />

the agreement in writing. A<br />

written agreement protects<br />

Marie-Louise Symons<br />

Assistant General-Counsel <strong>APRA</strong><br />

both parties because it gives<br />

unequivocal evidence as<br />

to the interests of both<br />

writers and should avoid<br />

later legal wrangles.<br />

If you want more help!<br />

For advice on documenting<br />

your working arrangements,<br />

contact <strong>APRA</strong>’s writer<br />

services department on<br />

1800 642 634.<br />

For legal advice, contact:<br />

■ Lawyers experienced in<br />

music copyright law. The<br />

Law Society in your state can<br />

refer you to a suitable lawyer.<br />

■ The Arts Law Centre of<br />

Australia.<br />

Tel: 02 9356 2566<br />

Fax: 02 9358 6475<br />

http://www.artslaw.com.au<br />

■ The Australian Copyright<br />

Council.<br />

Tel: 02 9318 1788<br />

Fax: 02 9698 3536<br />

http://www.copyright.org.au/<br />

Both organisations can help<br />

with contract terms and cowriting<br />

issues.<br />

■ Information on contracts<br />

can be found in The Law<br />

Handbook for your state–<br />

available from Redfern<br />

Legal Centre Publishing.<br />

Tel: 02 9698 3066; Fax: 02<br />

9698 3077 or your local or<br />

state library.<br />

1 Prior v Sheldon [2000] FCA 438,<br />

Wilcox J, Sydney, 7 April 2000.<br />

2 <strong>APRA</strong> has a dispute resolution<br />

procedure, by way of binding referral to<br />

an independent expert, for situations<br />

where writer members disagree on how<br />

royalty allocations should be shared. All<br />

parties must agree to submit to the<br />

procedure. (Distribution Rule 7.06).<br />

3 Section 10 of the Copyright Act 1968<br />

provides that a work of joint authorship<br />

is a work that has been produced by the<br />

collaboration of two or more authors and<br />

in which the contribution of each author<br />

is not separate from the contribution of<br />

the other author.<br />

[ 3]<br />

APrap

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