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Discuss the Ownership and Assignment of Copyright

Copyright is the legal right that protects the creative works of authors, artists, composers, and other creators. In India, copyright is governed by the Copyright Act, 1957 as amended most recently by the Copyright (Amendment) Act, 2012. Copyright protects original literary, dramatic, musical, artistic works, cinematograph films, and sound recordings.

Two of the most important aspects of copyright law are:

  1. Ownership — Who owns the copyright in a work?
  2. Assignment — How can copyright be transferred from one person to another?

Understanding these concepts is essential because copyright, as a valuable intellectual property right, is the subject of complex commercial transactions and disputes in the modern creative economy.


Ownership of Copyright

First Owner of Copyright — Section 17

Section 17 of the Copyright Act, 1957 establishes the general rule that the author of a work is the first owner of copyright in it. However, the Act provides several important exceptions to this rule.


Who is the Author?

Under Section 2(d) of the Copyright Act, the author is defined differently for different types of works:

1. Literary or Dramatic Work — The person who creates the work (writer, playwright, poet)

2. Musical Work — The composer of the music

3. Artistic Work — The artist in case of a painting, sculpture, or drawing; the photographer in case of a photograph; the architect in case of a work of architecture; the person who makes the work in case of other artistic works

4. Cinematograph Film — The producer of the film

5. Sound Recording — The producer of the sound recording

6. Computer-Generated Work — The person who causes the work to be created


Exceptions to the General Rule — Author as First Owner

1. Works Created in the Course of Employment — Section 17(c)

If a work is made by an author in the course of his employment under a contract of service or apprenticeship, the employer is the first owner of copyright in the work (in the absence of any agreement to the contrary).

Example: If a journalist writes an article as part of his duties for a newspaper, the newspaper (employer) is the first owner of copyright in the article.

However, this exception applies only to works created in the course of employment — not to works created independently by the employee in his personal time.

2. Works Made Under Commission If a work is commissioned (ordered and paid for) by a person, the question of who is the first owner depends on the specific circumstances and any agreement between the parties.

3. Government Works — Section 17(dd) If a work is made or first published by or under the direction or control of the Government, a public undertaking, or a legislature, the Government, public undertaking, or legislature is the first owner of copyright.

4. Works of International Organizations — Section 41 If a work is made or first published by an international organization (like the United Nations), that organization is the first owner of copyright.

5. Works Made Under Contract of Service vs. Contract for Service It is important to distinguish between:

  • Contract of Service — Employee-employer relationship — employer owns copyright
  • Contract for Service — Independent contractor relationship — the contractor (creator) generally owns copyright unless the contract provides otherwise

Ownership of Copyright in Specific Works

1. Jointly Authored Works When a work is jointly authored by two or more persons, they are co-owners of copyright. Each co-owner has an equal and undivided interest in the copyright. However, neither co-owner can assign his share or license the work without the consent of the other co-owners.

2. Cinematograph Films — Section 13(4) The producer of a cinematograph film is the first owner of copyright in the film. However, the authors of underlying works (screenwriter, composer, lyricist) retain their individual copyrights in their respective contributions.

3. Composite Works In a composite work (like a newspaper, encyclopedia, or anthology), the editor or compiler owns copyright in the selection and arrangement, while the individual contributors own copyright in their respective contributions.

4. Photographs The photographer is the author and first owner of copyright in a photograph, whether taken for personal use or commercially.

5. Sound Recordings The producer of a sound recording is the first owner of copyright in it. The performers and composers of the underlying musical works retain their respective rights.


Special Provisions — Moral Rights

Section 57 of the Copyright Act recognizes the moral rights of the author — the right of paternity (to claim authorship) and the right of integrity (to object to distortion, mutilation, or modification of the work that would harm the author's reputation). These moral rights belong exclusively to the author and cannot be assigned or waived. They exist even after the copyright has been assigned to another person.


Duration of Copyright

Copyright subsists for the following periods under the Copyright Act:

  • Literary, dramatic, musical, and artistic works — Life of the author + 60 years
  • Posthumous works60 years from the year of publication
  • Anonymous or pseudonymous works60 years from the year of publication
  • Cinematograph films60 years from the year of publication
  • Sound recordings60 years from the year of publication
  • Government works60 years from the year of publication
  • Works of international organizations60 years from the year of publication
  • Photographs60 years from the year of publication

Assignment of Copyright

Meaning of Assignment

Assignment of copyright means the transfer of ownership of copyright from one person (the assignor) to another person (the assignee). Through assignment, the copyright owner transfers all or some of his exclusive rights under the copyright to the assignee. Assignment is different from licensing — in licensing, the copyright owner retains ownership and merely grants permission to the licensee to use the work.


Statutory Provisions — Sections 18 to 21

Section 18 — Assignment of copyright: The owner of copyright may assign the copyright wholly or partially and generally or subject to limitations and for the whole term of the copyright or any part thereof.

This means copyright can be assigned:

  • Wholly — All rights in the copyright transferred
  • Partially — Only some rights transferred (e.g., only the right to publish, not the right to make films)
  • Territorially limited — Only for specific countries or regions
  • Time-limited — Only for a specified period

Requirements for a Valid Assignment — Section 19

Section 19 lays down the requirements for a valid assignment of copyright:

1. Written Agreement — Section 19(1) Every assignment of copyright must be in writing and must be signed by the assignor or his duly authorised agent. An oral assignment of copyright is not valid.

2. Specific Work — Section 19(2) The assignment must specify the work being assigned and the rights being transferred.

3. Duration — Section 19(5) The assignment must specify the duration for which the assignment is made. If no duration is specified, the assignment is deemed to be for 5 years.

4. Territorial Extent — Section 19(6) The assignment must specify the territorial extent of the assignment. If no territorial extent is specified, the assignment is presumed to extend within India.

5. Amount of Royalty — Section 19(3) If the assignment is for a royalty or other consideration, the rate and manner of payment must be specified.

6. Reversion of Rights — Section 19(6) and 19(7) If the assignee does not exercise the rights assigned within 1 year from the date of assignment (in the case of a work not yet in existence) or within a period specified in the assignment, the assignment shall be deemed to have lapsed in respect of such rights.


Assignment of Future Works — Section 18(1)

Copyright can also be assigned in future works — i.e., works that have not yet been created at the time of assignment. The assignment of a future work takes effect when the work comes into existence. However, the assignee must actually exercise the assigned rights within the time period specified in the assignment.


Rights of Assignee

After a valid assignment, the assignee becomes the owner of the assigned rights and can:

  • Exercise the assigned rights as the copyright owner
  • Sue for infringement of the assigned rights
  • Sub-assign the rights to third parties (unless the assignment agreement prohibits this)
  • Grant licenses under the assigned rights

Reversion of Assigned Rights — Section 19A

Section 19A (inserted by the 2012 Amendment) provides important protection for authors against unfair assignment agreements. If:

  • The copyright has been assigned to a film producer or sound recording producer
  • The author has assigned his copyright in a literary or musical work incorporated in a film or sound recording
  • The assignee does not exercise the rights under the assignment within the period specified, or within 1 year if no period is specified

Then the assignment shall be deemed to have lapsed in respect of the unexercised rights and the rights shall revert to the author.

This provision was introduced to protect composers and lyricists whose works are incorporated in films but whose rights are often assigned away for a lump sum payment without adequate royalties.


Compulsory License — Section 31

Even without the copyright owner's consent, a compulsory license can be granted by the Copyright Board (now the Intellectual Property Appellate Board / High Court) in the following circumstances:

Section 31 — If a published work has been withheld from the public — i.e., the copyright owner has refused to republish the work or allow it to be published, the Board can grant a compulsory license.

Section 31A — In the case of an unpublished work by an unknown author, the Board can grant a license to publish the work.

Section 31BCompulsory license for the benefit of disabled persons — Any person working for the benefit of persons with disabilities can apply for a compulsory license to reproduce a work in a format accessible to disabled persons.

Section 31CStatutory license for cover versions — Any person who wishes to make a cover version of a sound recording can do so after giving prior notice and paying royalties.

Section 31DStatutory license for broadcasting — Broadcasting organizations can broadcast any published literary, musical, or sound recording work upon giving prior notice and paying royalties.


Licensing of Copyright — Section 30

Copyright can also be licensed (as opposed to assigned). In a license, the copyright owner (licensor) grants permission to the licensee to use the work without transferring ownership. A license can be:

1. Exclusive License — Only the licensee (and not even the copyright owner) can exercise the licensed rights.

2. Non-Exclusive License — The copyright owner can grant the same rights to multiple licensees.

3. Compulsory License — Granted by the Copyright Board/Court without the consent of the copyright owner.


Copyright Societies — Section 33

Copyright Societies (also called Collecting Societies) are registered organizations that manage copyright on behalf of their members. They collect royalties from users of copyrighted works and distribute them to copyright owners. Examples include:

  • IPRS (Indian Performing Rights Society) — For musical works and lyrics
  • PPL (Phonographic Performance Limited) — For sound recordings
  • IRRO (Indian Reprographic Rights Organization) — For literary and artistic works

Important Case Laws

1. Eastern Book Company v. D.B. Modak (2008)

The Supreme Court held that for copyright to subsist in a work, the work must involve skill, judgment, and labour of the author. A mere mechanical arrangement of existing material without any creative input does not attract copyright.

2. R.G. Anand v. Delux Films (1978)

The Supreme Court held that ideas are not protected by copyright — only the expression of ideas is protected. Two works can deal with the same theme or subject but as long as the expression is different, there is no copyright infringement.

3. Amar Nath Sehgal v. Union of India (2005)

The Delhi High Court upheld the moral rights of a sculptor and held that the destruction of his mural by the government violated his right of integrity under Section 57 of the Copyright Act.

4. Zee Telefilms Ltd. v. Sundial Communications Pvt. Ltd. (2003)

The Bombay High Court held that for a valid assignment of copyright, the requirements of Section 19 must be strictly complied with — in particular, the assignment must be in writing and signed by the assignor.

5. Indian Performing Rights Society v. Aditya Pandey (2017)

The Supreme Court held that the authors and composers of literary and musical works in films retain their right to receive royalties for the performance of their works, notwithstanding any assignment of copyright to the film producer.

6. Tips Films Pvt. Ltd. v. MANU (2017)

The Bombay High Court held that Section 19A protects the rights of authors of literary and musical works incorporated in films by providing for reversion of rights if the assignee does not exercise them.


Conclusion

The law of ownership and assignment of copyright under the Copyright Act, 1957 reflects a careful balance between the rights of creators, the interests of the creative industry, and the needs of the public. The general rule that the author is the first owner of copyright is subject to important exceptions — particularly in the employment context — that reflect the commercial realities of creative production. The provisions relating to assignment of copyright ensure that transfers of this valuable right are made in a formal, transparent, and fair manner, with important protections for authors through provisions like the reversion of rights under Section 19A. The 2012 Amendment significantly strengthened the rights of authors and performers in the digital age and in the film industry, ensuring that the creators of India's rich cultural heritage receive fair remuneration for their contributions. Copyright ownership and assignment are not merely legal technicalities but lie at the heart of the creative economy, determining who benefits from the immense value generated by human creativity and artistic expression.

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