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#108
Pre-1972 Royalties on Recordings Protected, says Judge in
N.Y. High Court
Yes90 -
April 6, 2005 / New York's highest court ruled Tuesday that
common law protects a record company's copyright on
recordings made before 1972 -- a decision that could have
industrywide ramifications for everything from Bach to the
Beatles. That lawsuit involved..
New York's highest court ruled Tuesday
that common law protects a record company's copyright on
recordings made before 1972 -- a decision that could have
industrywide ramifications for everything from Bach to the
Beatles.
That lawsuit involved Franklin,
Tenn.-based Naxos of America Inc., which restored and
marketed 1930s classical records made in England by another
company, the Gramaphone Co., after the 50-year British
copyright had expired.
Hollywood-based Capitol Records Inc.,
which currently holds the rights to those recordings, sued.
A federal court dismissed Capitol's
suit, saying federal copyright law protected only recordings
since 1972, and Capitol had no common-law protections under
New York state law.
Capitol appealed the common-law finding
to the New York Court of Appeals, which ruled in its favor.
A federal appeals court will now rule on the company's
lawsuit using the state court's decision.
"I hope the companies who have been
inclined to copy older classical recordings realize the New
York court has spoken definitively on this and end any
unlicensed copying," said Philip Allen Lacovara, the
attorney for Capitol Records, of the 7-0 decision released
Tuesday. "It does have enormous importance."
He said the result was that artists,
their estates and others involved in recordings made before
1972 could collect royalties in the United States for their
performances.
Naxos, which bills itself as "the
world's leading classical music label," said it would
appeal.
"There's a certain insanity" to the
decision, said Naxos attorney Maxim Waldbaum, noting that
the court, for the first time, said copyright infringement
could be proved even if there was no bad-faith effort or
harm proved. He also said the law would prevent firms such
as Naxos from recovering and reintroducing lost works.
The New York court ruling applies to
all recordings marketed in New York even if no other state
or foreign law or common law was still in force, according
to the decision.
Most of the recordings at issue feature
classical performances, dramatic readings and oral
histories. But the court argument also included "British
invasion" rock and pop groups from the 1960s, some of which
will soon lose copyright protection under British law.
Tuesday's decision involved the 1930s
classical performances originally recorded on shellac discs
in England by Gramaphone, now known as EMI Records. In 1996,
EMI Group licensed exclusive U.S. marketing rights for the
original recordings to one of its units, Capitol Records.
The same year, Naxos began selling its
own restorations of the recordings.
///
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