PART 3Multi-territorial Licensing and Collective Management Organisations

Payment to right holders

27.—(1) A collective management organisation which grants multi-territorial licences for online rights in musical works must distribute amounts due to a right holder accruing from multi-territorial licences for online rights in musical works accurately and without delay after the actual use of the work is reported unless this is not possible for reasons attributable to the online service provider (but see paragraph (3)).

(2) A collective management organisation must provide at least the following information to a right holder together with each payment it makes under paragraph (1) (but see paragraph (3))—

(a)the period during which the uses took place for which amounts are due to the right holder and the territories in which the uses took place;

(b)the amounts collected, deductions made and amounts distributed by the collective management organisation for each online right in any musical work which the right holder has authorised the collective management organisation to represent wholly or in part; and

(c)the amounts collected for the right holder, deductions made and amounts distributed by the collective management organisation in respect of each online service provider.

(3) Where a collective management organisation (“the mandating collective management organisation”) mandates another collective management organisation (“the mandated collective management organisation”) to grant multi-territorial licences for online rights in musical works under regulations 28 (agreements between collective management organisations) and 29 (representation of other collective management organisations) then—

(a)the mandated collective management organisation must—

(i)distribute the amounts referred to in paragraph (1) accurately and without delay to the mandating collective management organisation; and

(ii)provide the information referred to in paragraph (2) to the mandating collective management organisation;

and

(b)the mandating collective management organisation has responsibility for—

(i)the subsequent distribution of the amounts referred to in sub-paragraph (a)(i) to right holders, and

(ii)the subsequent provision of the information referred to in sub-paragraph (a)(ii) to right holders,

unless the mandating and mandated collective management organisations agree otherwise.