17 U.S.C. § 801 : US Code - Section 801: Copyright Royalty Judges; appointment and functions

Search 17 U.S.C. § 801 : US Code - Section 801: Copyright Royalty Judges; appointment and functions

(a) Appointment. - The Librarian of Congress shall appoint 3 full-
time Copyright Royalty Judges, and shall appoint 1 of the 3 as the
Chief Copyright Royalty Judge. The Librarian shall make
appointments to such positions after consultation with the Register
of Copyrights.
(b) Functions. - Subject to the provisions of this chapter, the
functions of the Copyright Royalty Judges shall be as follows:
(1) To make determinations and adjustments of reasonable terms
and rates of royalty payments as provided in sections 112(e),
114, 115, 116, 118, 119 and 1004. The rates applicable under
sections 114(f)(1)(B), 115, and 116 shall be calculated to
achieve the following objectives:
(A) To maximize the availability of creative works to the
public.
(B) To afford the copyright owner a fair return for his or
her creative work and the copyright user a fair income under
existing economic conditions.
(C) To reflect the relative roles of the copyright owner and
the copyright user in the product made available to the public
with respect to relative creative contribution, technological
contribution, capital investment, cost, risk, and contribution
to the opening of new markets for creative expression and media
for their communication.
(D) To minimize any disruptive impact on the structure of the
industries involved and on generally prevailing industry
practices.
(2) To make determinations concerning the adjustment of the
copyright royalty rates under section 111 solely in accordance
with the following provisions:
(A) The rates established by section 111(d)(1)(B) may be
adjusted to reflect -
(i) national monetary inflation or deflation; or
(ii) changes in the average rates charged cable subscribers
for the basic service of providing secondary transmissions to
maintain the real constant dollar level of the royalty fee
per subscriber which existed as of the date of October 19,
1976,
except that -
(I) if the average rates charged cable system subscribers
for the basic service of providing secondary transmissions
are changed so that the average rates exceed national
monetary inflation, no change in the rates established by
section 111(d)(1)(B) shall be permitted; and
(II) no increase in the royalty fee shall be permitted
based on any reduction in the average number of distant
signal equivalents per subscriber.
The Copyright Royalty Judges may consider all factors relating
to the maintenance of such level of payments, including, as an
extenuating factor, whether the industry has been restrained by
subscriber rate regulating authorities from increasing the
rates for the basic service of providing secondary
transmissions.
(B) In the event that the rules and regulations of the
Federal Communications Commission are amended at any time after
April 15, 1976, to permit the carriage by cable systems of
additional television broadcast signals beyond the local
service area of the primary transmitters of such signals, the
royalty rates established by section 111(d)(1)(B) may be
adjusted to ensure that the rates for the additional distant
signal equivalents resulting from such carriage are reasonable
in the light of the changes effected by the amendment to such
rules and regulations. In determining the reasonableness of
rates proposed following an amendment of Federal Communications
Commission rules and regulations, the Copyright Royalty Judges
shall consider, among other factors, the economic impact on
copyright owners and users; except that no adjustment in
royalty rates shall be made under this subparagraph with
respect to any distant signal equivalent or fraction thereof
represented by -
(i) carriage of any signal permitted under the rules and
regulations of the Federal Communications Commission in
effect on April 15, 1976, or the carriage of a signal of the
same type (that is, independent, network, or noncommercial
educational) substituted for such permitted signal; or
(ii) a television broadcast signal first carried after
April 15, 1976, pursuant to an individual waiver of the rules
and regulations of the Federal Communications Commission, as
such rules and regulations were in effect on April 15, 1976.
(C) In the event of any change in the rules and regulations
of the Federal Communications Commission with respect to
syndicated and sports program exclusivity after April 15, 1976,
the rates established by section 111(d)(1)(B) may be adjusted
to assure that such rates are reasonable in light of the
changes to such rules and regulations, but any such adjustment
shall apply only to the affected television broadcast signals
carried on those systems affected by the change.
(D) The gross receipts limitations established by section
111(d)(1)(C) and (D) shall be adjusted to reflect national
monetary inflation or deflation or changes in the average rates
charged cable system subscribers for the basic service of
providing secondary transmissions to maintain the real constant
dollar value of the exemption provided by such section, and the
royalty rate specified therein shall not be subject to
adjustment.
(3)(A) To authorize the distribution, under sections 111, 119,
and 1007, of those royalty fees collected under sections 111,
119, and 1005, as the case may be, to the extent that the
Copyright Royalty Judges have found that the distribution of such
fees is not subject to controversy.
(B) In cases where the Copyright Royalty Judges determine that
controversy exists, the Copyright Royalty Judges shall determine
the distribution of such fees, including partial distributions,
in accordance with section 111, 119, or 1007, as the case may be.
(C) The Copyright Royalty Judges may make a partial
distribution of such fees during the pendency of the proceeding
under subparagraph (B) if all participants under section
803(b)(2) in the proceeding that are entitled to receive those
fees that are to be partially distributed -
(i) agree to such partial distribution;
(ii) sign an agreement obligating them to return any excess
amounts to the extent necessary to comply with the final
determination on the distribution of the fees made under
subparagraph (B);
(iii) file the agreement with the Copyright Royalty Judges;
and
(iv) agree that such funds are available for distribution.
(D) The Copyright Royalty Judges and any other officer or
employee acting in good faith in distributing funds under
subparagraph (C) shall not be held liable for the payment of any
excess fees under subparagraph (C). The Copyright Royalty Judges
shall, at the time the final determination is made, calculate any
such excess amounts.
(4) To accept or reject royalty claims filed under sections
111, 119, and 1007, on the basis of timeliness or the failure to
establish the basis for a claim.
(5) To accept or reject rate adjustment petitions as provided
in section 804 and petitions to participate as provided in
section 803(b) (1) and (2).
(6) To determine the status of a digital audio recording device
or a digital audio interface device under sections 1002 and 1003,
as provided in section 1010.
(7)(A) To adopt as a basis for statutory terms and rates or as
a basis for the distribution of statutory royalty payments, an
agreement concerning such matters reached among some or all of
the participants in a proceeding at any time during the
proceeding, except that -
(i) the Copyright Royalty Judges shall provide to those that
would be bound by the terms, rates, or other determination set
by any agreement in a proceeding to determine royalty rates an
opportunity to comment on the agreement and shall provide to
participants in the proceeding under section 803(b)(2) that
would be bound by the terms, rates, or other determination set
by the agreement an opportunity to comment on the agreement and
object to its adoption as a basis for statutory terms and
rates; and
(ii) the Copyright Royalty Judges may decline to adopt the
agreement as a basis for statutory terms and rates for
participants that are not parties to the agreement, if any
participant described in clause (i) objects to the agreement
and the Copyright Royalty Judges conclude, based on the record
before them if one exists, that the agreement does not provide
a reasonable basis for setting statutory terms or rates.
(B) License agreements voluntarily negotiated pursuant to
section 112(e)(5), 114(f)(3), 115(c)(3)(E)(i), 116(c), or
118(b)(2) that do not result in statutory terms and rates shall
not be subject to clauses (i) and (ii) of subparagraph (A).
(C) Interested parties may negotiate and agree to, and the
Copyright Royalty Judges may adopt, an agreement that specifies
as terms notice and recordkeeping requirements that apply in lieu
of those that would otherwise apply under regulations.
(8) To perform other duties, as assigned by the Register of
Copyrights within the Library of Congress, except as provided in
section 802(g), at times when Copyright Royalty Judges are not
engaged in performing the other duties set forth in this section.
(c) Rulings. - The Copyright Royalty Judges may make any
necessary procedural or evidentiary rulings in any proceeding under
this chapter and may, before commencing a proceeding under this
chapter, make any such rulings that would apply to the proceedings
conducted by the Copyright Royalty Judges.
(d) Administrative Support. - The Librarian of Congress shall
provide the Copyright Royalty Judges with the necessary
administrative services related to proceedings under this chapter.
(e) Location in Library of Congress. - The offices of the
Copyright Royalty Judges and staff shall be in the Library of
Congress.