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UK rightholder organisations distribution independently evaluated

Submitted by jboyd on Sat, 01/16/2016 - 09:22

The division between rightsholders of licensing revenues collected by UK rightholder organisations Copyright Licensing Agency (CLA) and NLA media access (NLA) has been independently determined for the first time ever in a valuation process. 

0rganisations representing UK publishers, authors and visual artists appointed FTI Consulting to determine how revenues for copying text and images in books, journals and magazines should be transparently and fairly distributed to rightsholders.

The valuation was commissioned by ALCS, ACS, BAPLA, DACS and PLS in order to achieve an objective split of revenues amongst their respective stakeholders that was fit for purpose.  A key objective of the valuation was to ensure that the outcome satisfies the requirements for transparency and fairness in the Collective Rights Management Directive due to be implemented into UK law in April 2016.

All five participating organisations having committed to the outcome, FTI Consulting undertook a year long process to gather, analyse and assess detailed evidence relating to usage and perceived value and rights ownership in material copied by CLA and NLA licencees in the education, business and public sectors.

Collective licensing delivers an important secondary revenue stream, worth £68.2m in 2014/15, to authors, publishers and visual artists.  The UK is a global leader in the creative industries, worth £8.8 million per hour to the British economy. 

Whilst the valuation does not affect the licences offered by CLA and NLA, it does mean that licensees can be confident that the fees they pay for the right to copy from books, journals and magazines are distributed to the appropriate rightsholders. 

See PLS Press release.