The Collective Management of Copyright (EU Directive) Regulations 2016

Deductions U.K.

11.—(1) A collective management organisation must ensure that where a right holder authorises it to manage that right holder's rights, the collective management organisation provides the right holder with information on—

(a) management fees (see paragraph (3)), and

(b) other deductions from the rights revenue and from any income arising from the investment of the rights revenue (see paragraph (2)),

before obtaining the right holder's consent to manage the right holder's rights.

(2) A collective management organisation must ensure that deductions—

(a) are reasonable in relation to the services provided by the collective management organisation to right holders (including, where appropriate, the services referred to in paragraph (5)); and

(b) are established on the basis of objective criteria.

(3) A collective management organisation must ensure that management fees do not exceed the justified and documented costs incurred by the collective management organisation in managing copyright and related rights.

(4) A collective management organisation must ensure that the requirements in these Regulations relating to the use, and the transparency of the use, of amounts deducted or offset in respect of management fees apply to any other deductions made in order to cover the costs of managing copyright and related rights.

(5) A collective management organisation must ensure that where it provides social, cultural or educational services funded through deductions from rights revenue or from any income arising from the investment of rights revenue, such services are provided on the basis of fair criteria, in particular in relation to access to, and the extent of, those services.