Copyright is not for sale. This is a truth that is put to the test when film composers are bought out of their own works and production companies remain as copyright holders.
/ 09/03/2020 / Kristian DugstadImagine you are a film composer. You have been contacted by a well-known American production company that is working on a new major venture. They want you to write music for the film.
What an opportunity! But the company has one requirement: You get a lump sum for the work and then you transfer the copyright to them. For all time to come, it is the production company that holds the economic rights to the work.
Such Buy-Outs is a well-known practice in the film and television industry in the United States. Creators in Norway and Europe have largely been spared from this type of agreement. This is changing.
The entertainment revolution of video streaming has contributed to the new media world. Having movies and series available at the touch of a button can be wonderful, but it has also brought challenges.
– The streaming services are international, but the services and companies are American. Now they are coming to Europe to produce content and want to continue the American tradition of buying out rights. It is very problematic, says Inger Elise Mey, Department Director for Online Media at TONO.
– Authors should have the right to participate in all future value creation related to their intellectual property, says Inger Elise Mey, Department Director for Online Media, TONO
In Europe and Norway, composers and songwriters are protected by law against the transfer of copyright. They cannot give up the creation itself. However, they are free to make agreements about the economic rights.
– If you sign a Buy Out agreement, you give up the right to participate in the future value creation associated with your work. The lump sum the author receives does not reflect the value of the economic rights from today until 70 years after your death.
The Buy Out issue is high on the agenda of TONO and the international copyright organizations. They will first increase authors' knowledge of what rights they have. And what they are giving up.
“The most important thing we can do is raise awareness among composers and songwriters. It can be difficult to see the consequences of a name change when an international player offers you a deal,” says Mey.
Another challenge is the balance of power between the young composer and the American giant. It is not necessarily an easy negotiating climate for a young composer.
– The big film companies have infinite power. They can pick and choose composers. If one says no to a Buy Out, they can move on to the next. That is precisely why it is important that we raise awareness among composers. Everyone will benefit from standing together against this unfair practice.
You're a film composer again. The major American production company offers you a Buy Out, and you accept a lump sum that seems fair.
The film is a success. Revenue flows in from cinema tickets, Blu-ray, streaming services, soundtracks on both CD and vinyl, concert performances, use of the music in computer games, action figures humming the theme tune, and two or three sequels.
– The author should have the right to participate in all future value creation related to their intellectual works. If only the producer should earn money throughout the life of the musical work, it is extremely unfair, says Inger Elise Mey.
