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France takes a creative approach to protecting artists’ rights
29/11/2010

Although the level of online copyright infringement in France is relatively high, it is also a nation that champions the rights of artists and creators. In an effort to resolve this conundrum some interesting new schemes have been launched to persuade consumers to source legitimate content online.

 

1. Carte Musique

 

In March this year the French Government proposed the establishment of the Carte Musique scheme, whereby people aged 12 to 25 could purchase an online music credit card at half price. Customers would pay 25 Euros for a 55-Euro credit card and the government would pay the other half. The cards could then be used at a variety of online digital music stores.

 

Prior to the launch of the Carte Musique in October, the proposal went to the EU Commission for approval, to ensure it did not run counter to EU competition policy. Checks and balances applying to the scheme include a limit of one card per individual per year and a cap of 5 million Euros on the total government funding provided to any one music retailer. [1]

 

Those in favour of the Carte Musique praise its stated aim to “develop the habit for consumers, when they are still young, to use legal music distribution channels over the Internet” [2]. Critics, such as a spokesperson for Internet lobby group La Quadrature du Net, argue along the following lines: “There is no evidence that this would be useful to anything but bringing a bit more money in the pockets intermediaries of distribution of digital music.” [3]

 

2. YouTube and SACEM

 

After three years in negotiations, the French music collecting society SACEM has signed a deal with the video streaming website YouTube [4]. Whilst details of the agreement have not yet been announced, it will essentially see royalty payments flowing from YouTube to SACEM and then from SACEM to creators. It will cover music used on the YouTube website from 2007 to 2012.

 

Cooperation between Internet sites like YouTube and traditional collecting societies is an important step in providing income streams for music creators, as such websites have become destinations on which users seek out and discover new music.

 

3. HADOPI

 

On the opposite end of the spectrum to Carte Musique, the French Government's graduated response scheme commenced this year after several years of negotiation and amendment. The scheme creates a new agency called Haute Autorité pour la Diffusion des Œuvres et la Protection des Droits sur Internet (HADOPI).

 

Rightsholders participating in the scheme monitor Internet networks for infringing activity, collect the IP addresses of infringing users and refer them to HADOPI. HADOPI then sends a warning notice to the relevant ISP, and the ISP must pass the warning notice on to the user connected to that IP address. After three warnings users risk fines or suspension of their Internet account, following a court order. An appeal process exists for users that wish to challenge a finding. [See last month’s newsletter for a detailed look at international graduated response measures.]

 

Supporters of HADOPI argue that the warning notices alone will serve as a deterrent and begin to reduce infringing activity online. Other arguments in favour suggest that HADOPI will allow rightsholders to focus on larger-scale, repeat infringers who have been warned multiple times that their activity is illegal. Critics argue that the scheme oversteps the bounds of privacy and imposes a sanction disproportionate to the offence.

 

Many countries are closely watching developments in France and the success of these three measures will influence whether similar arrangements are introduced in other jurisdictions.

 

[1] EU Press Release, 21 October 2010

http://europa.eu/rapid/pressReleasesAction.do?reference=IP/10/1320&format=HTML&aged=0&language=EN&guiLanguage=en

[2] ibid

[3] Farivar, Cyrus, ‘France to start Carte Musique digital music subsidy plan’ DW-World, 27 October 2010

http://www.dw-world.de/dw/article/0,,6158141,00.html

[4] SACEM Press Release, 30 September 2010

http://www.sacem.fr/cms/site/en/home/about-sacem/documentation/the-last-one/sacem-youtube