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May 2009

Copyright : A joint owner of a copyright, without the consent of the other joint owner cannot grant licence or interest in the copyright : Copyright Act, 1957.

By Dr. K. Shivaram, Ajay R. Singh, Advocates
Reading Time 3 mins

6. Copyright : A joint owner of a copyright, without the consent of the other joint owner cannot grant licence or interest in the copyright : Copyright Act, 1957.

    The petitioner sought injunction restraining the respondents from transferring, licensing or sub- licensing any rights in the copyright of the film ‘Victoria No. 203’ to any third party.

    The facts giving rise to the controversy between the parties are that the petitioner is the producer and first owner of copyright in the film ‘Victoria No. 203’. By an agreement dated 26th July 2007, the petitioner assigned to the respondent alongwith him joint ownership in the ratio of 50 : 50 of the rights in the negative of the film. There was some dispute between the parties as to whether copyright in the film or only in the negatives of the film are assigned. That would be decided by the Arbitral Tribunal. Clause No. 8(d) of the agreement provides that the respondents shall be entitled to enter into an agreement in respect of his rights (under the agreement) by making the petitioner the confirming party to the agreement. The agreement provides that all disputes and differences arising between the parties in connection with the agreement shall be resolved by mutual consent, failing which the disputes shall be referred to arbitration. Pending constitution of the Arbitral Tribunal and reference, the petitioner has claimed interim injunction.

    The Hon’ble Court observed that the petitioner was the producer and original holder of the copyright in the film. Perusal of clause No.8 of the agreement prima facie showed that the petitioner had made the respondents joint owners of the copyright to the extent of 50%, the petitioner had further given the right to the respondents to exploit the said copyright by entering into an agreement with others, but subject to petitioner being made the confirming party to the agreement. According to the petitioner, the respondents have negotiated with a third party for exhibiting of the film abroad without the consent of the petitioner.

    Placing reliance on the decision of the Supreme Court in M/s. Power Control Appliances vs. Sumeet Machines P. Ltd., (1994) Vol. 2 SCC 448, it was held that in respect of joint ownership of a copyright, the use of the copyright must be made jointly by the co- owners and individual use by any one of the co- owners is not permissible.

    A joint owner of a copyright cannot, without the consent of the other joint owner, grant a licence or interest in the copyright. The respondents cannot exploit the copyright singly or individually. The exploitation of the copyright must be jointly made by the petitioner and respondents, as they are the joint owners. The respondents are not entitled to grant licence for exploitation of the film ‘Victoria No. 203’ without the concurrence of the petitioner. In view of above, the petitioner was entitled to an injunction pending the arbitration.

    [Angath Arts P. Ltd. vs. Century Communications Ltd. & Anr. AIR 2009 Bom. 26.]

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