Copyright Act (CopA)

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In The Matter OfCopyright Act (CopA)
Exhibit A
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English is not an official language of the Swiss Confederation. This translation is provided for information purposes only and has no legal force.

Chapter 1 Areas Subject to Federal Supervision

Art. 40

1 The following are subject to federal supervision: a. the management of exclusive rights for the performance and broadcasting of non-theatrical works of music and the production of phonograms and audio-visual fixations of such works; abis. the assertion of exclusive rights under Articles 22, 22a–22c and 24b; b. the assertion of rights to remuneration provided for in this Act under Articles 13, 13a, 20, 24c, 35 and 35a. 2 The Federal Council may subject other areas of collective rights management to federal supervision if public interest so requires. 3 The personal exploitation of exclusive rights under paragraph 1 letter a by the author or his heirs is not subject to federal supervision.

Para. 1 let. abis — Inserted by No I of the FA of 5 Oct. 2007, in force since 1 July 2008 (AS 2008 2421; BBl 2006 3389). Para. 1 let. b — Amended by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591).

Chapter 2 Authorisation

Art. 41 Principle

Any person who exploits rights which are subject to federal supervision requires authorisation from the Swiss Federal Institute of Intellectual Property (IPI).

Name in accordance with Annex No 3 of the FA of 21 June 2013, in force since 1 Jan. 2017 (AS 2015 3631; BBl 2009 8533). This modification has been made throughout the text.

Art. 42 Requirements

1 Authorisation is only given to collective rights management organisations which: a. have been founded under Swiss law, are domiciled in Switzerland and conduct their business from Switzerland; b. have the management of copyright or related rights as their primary purpose; c. are open to all holders of rights; d. grant an appropriate right of participation in the decisions of the society to authors and performers; e. guarantee compliance with the statutory provisions, in particular in terms of their articles of association; f. give rise to the expectation of the effective and economic exploitation of rights. 2 In general, authorisation is only granted to a single collective rights management organisation per category of work and to a single collective rights management organisation for related rights.

Art. 43 Term; publication

1 Authorisation is granted for five years; on expiry, it may be renewed for the same term. 2 Notice of the granting, renewal, modification, withdrawal and non-renewal of such authorisation shall be published.

Chapter 2a Extended Collective Licences

Inserted by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591).

Art. 43a

1 A collective rights management organisation may also assert the exclusive rights of rights holders who are not represented by it for the use of a large number of published works and protected performances, and for which assertion is not subject to the authorisation requirement under Article 41, insofar as the following requirements are fulfilled: a. The licensed use does not impair the normal exploitation of protected works and performances. b. The collective rights management organisation represents a significant number of rights holders within the scope of the licence. 2 Works located in collections of public and publicly accessible libraries, archives or other memory institutions are considered to be published within the meaning of paragraph 1. 3 The collective rights management organisations shall make the extended collective licences known in an appropriate manner before they come into force, in particular via publication in easily accessible and traceable locations. 4 Rights ho

Chapter 3 Obligations of the Collective Rights Man

Art. 44 Obligation to administer rights

The collective rights management organisations have an obligation to the holders of rights to assert those rights that fall within their field of activity.

Art. 45 Principles of the conduct of business

1 The collective rights management organisations are required to conduct their business in accordance with proper business management principles. 2 They administer the rights in accordance with set rules and with the principle of equal treatment. 3 They may not aim to make a profit. 4 They shall conclude, wherever possible, reciprocal agreements with foreign collective rights management organisations.

Art. 46 Tariffs

1 The collective rights management organisations shall draw up tariffs for the remuneration that they collect. 2 They negotiate the terms of each tariff with the relevant associations of users. 3 They shall submit the tariffs to the Federal Arbitration Commission (Art. 55) for approval and shall publish the approved tariffs.

Art. 47 Joint tariff

1 Where more than one collective rights management organisation operates in the same field of use, they shall draw up a joint tariff applying uniform principles for use of the same works or performances and shall designate one of their number as the joint office for payment. 2 The Federal Council may enact further provisions concerning their collaboration.

Art. 48 Principles of distribution

1 The collective rights management organisations are required to draw up distribution regulations and to submit them to the IPI for approval. 2 With the approval of the supreme organ of the rights management organisation, a portion of the proceeds may be used for social welfare purposes and for the appropriate promotion of culture.

Para. 1 — Amended by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591).

Art. 49 Distribution of the proceeds

1 The collective rights management organisations must distribute the exploitation proceeds in proportion to the revenue derived from the individual works and performances. They must make all reasonable efforts to identify those who are entitled to a share of the proceeds. 2 If a distribution entails unreasonable expense, the collective rights management organisations may estimate the extent of revenue; the estimates are based on factors that are capable of verification and are appropriate. 3 The proceeds are divided between the original holders of rights and other entitled persons in such a way that an equitable share goes to the author and the performer. A different distribution is permissible where the expense would be unreasonable. 4 Contractual agreements made by the original holders of rights with third parties take precedence over the rules of distribution.

Art. 50 Obligation to provide information and render account

The collective rights management organisations must provide the IPI with all the information and documents necessary for carrying out its supervisory duties, and also provide account of its activities in an annual report.

Name in accordance with No1 para. 1 of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591). This modification has been made in the provisions cited in the AS.

Chapter 4 Obligation to Provide Information to Col

Art. 51

1 Where it may reasonably be expected, the users of works must provide the collective rights management organisations with all the necessary information for the determination and application of the tariffs and for distributing the proceeds in a form that corresponds to the state of the art and allows for automatic data processing. 1bis Collective rights management organisations are entitled to exchange information received under this Article with one another, insofar as this is necessary for them to carry out their activities. 2 The collective rights management organisations are obliged to preserve trade secrets.

Para. 1 — Amended by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591). Para. 1bis — Inserted by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591).

Chapter 5 Supervision of the Collective Rights Man

Section 1 Supervision of the Conduct of Business

Art. 52 Supervisory authority

The IPI supervises the collective rights management organisations.

Art. 52 — Amended by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591).

Art. 53 Extent of supervision

1 The IPI supervises the conduct of business of the collective rights management organisations and ensures that they comply with their obligations. It examines and approves their annual reports. 2 It may issue directives concerning the obligation to provide information (Art. 50). 3 It may also call on agents not belonging to the Federal Administration to exercise its powers; such agents are bound by a duty of confidentiality.

Art. 54 Measures in cases of failure to comply with obligations

1 If a collective rights management organisation fails to comply with its obligations, the IPI shall set an appropriate time limit in which the situation must be remedied; if the time limit is not complied with, the supervisory authority shall take necessary measures. 2 In the event of refusal to comply with its decisions, the IPI may, after issuing a warning, restrict or withdraw authorisation. 3 The IPI may publish final decisions at the expense of the collective rights management organisation.

Section 2 Supervision of Tariffs

Art. 55 Federal Arbitration Commission for the Exploitation of Copyrights and Related Rights

1 The Federal Arbitration Commission for the Exploitation of Copyrights and Related Rights (Arbitration Commission) is responsible for approving the tariffs of the collective rights management organisations (Art. 46). 2 Its members are appointed by the Federal Council. It regulates the organisation and procedures of the Arbitration Commission in accordance with the Administrative Procedure Act of 20 December 1968. 3 The Arbitration Commission accepts no directives in taking its decisions; the staff of the Secretariat of the Commission are answerable for such activity to the Chairman of the Commission.

Para. 2 — SR 172.021

Art. 56 Composition of the Arbitration Commission

1 The Arbitration Commission consists of a chairman, two co-arbitrators, two deputies as well as additional arbitrators. 2 The additional arbitrators are nominated by the collective rights management organisations and the relevant associations of users of works and performances.

Art. 57 Quorum for taking decisions

1 The Arbitration Commission takes its decisions with a quorum of five members: the chairman, two co-arbitrators and two additional arbitrators. 2 The chairman designates the two additional arbitrators for each item of business, who must be competent in the matter at hand. One of the additional arbitrators is designated on a nomination by the collective rights management organisations and one on a nomination by the users’ associations. 3 The fact that a technically competent member belongs to a collective rights management organisation or to a users’ association does not in itself constitute grounds for his recusal.

Art. 58 Administrative supervision

1 The Federal Department of Justice and Police is the administrative supervisory authority for the Arbitration Commission. 2 The Arbitration Commission shall submit an annual report to the Department on its activities.

Art. 59 Approval of the tariffs

1 The Arbitration Commission shall approve the tariff submitted to it if its structure and individual provisions are fair and reasonable. 2 It may make modifications after hearing the collective rights management organisation and the users’ associations (Art. 46 para. 2) involved in the procedure. 3 Finally approved tariffs are binding on the courts.

Art. 60 Principle of equitableness

1 When determining remuneration, account is taken of: a. the proceeds obtained from the use of the work, performance, phonogram or audio-visual fixation or broadcast, or alternatively the costs incurred in such use; b. the nature and quantity of the works, performances, phonograms or audio-visual fixations or broadcasts used; c. the ratio of protected to unprotected works, performances, phonograms or audio-visual fixations or broadcasts as well as to other services. 2 Remuneration normally amounts to a maximum of ten per cent of the proceeds or costs incurred from the use of the copyright and a maximum of three per cent for related rights; however, it is determined in such a way that entitled persons receive equitable remuneration conditioned upon sound financial management for the administration of rights. 3 The use of the work under Article 19 paragraph 1 letter b is subject to preferential tariffs. 4 The rental of copies of works in accordance with Article 13 by public or publicly a

Para. 4 — Inserted by No I of the FA of 27 Sept. 2019, in force since 1 April 2020 (AS 2020 1003; BBl 2018 591).