Copyright (Amendment) Rules 2021: A Complete Guide

The Department for Promotion of Industry and Internal Trade (DPIIT), working under the Ministry of Commerce and Industry, by way of Notification, issued on 30.03.2021, has notified the Copyright Rules 2021. Further, the said Copyright rules will come into effect from the date of their publication in the Official Gazette.

Also, it shall be noted that the Copyright Rules 2021 seek to make certain changes in the principal law, i.e., Copyright Rules 2013. Moreover, the circular of the amendment was passed under the ambit of the powers provided under section 78 of the Copyright Act 1957.

In this learning article, we will discuss the notion of Copyright, together with the key provisions of the Copyright Rules 2021.

Concept of Copyright

The term Copyright denotes a form of Intellectual Property Right (IPR), other than the Trademarks, Design, and Patent registered in India. Further, the provisions of section 14 of the Copyright Act 1957 defines the word Copyright.

It shall be noted that the definition of copyright comprises of various forms of rights that exist in different kinds of work, such as follows:

1. Literary Work, which includes pamphlets, books, magazines, etc.;
2. Musical Work;
3. Dramatics;
4. Artistic Work, such as Photography;
5. Films;
6. Architectural Works;

Also, it shall be noted that the prime focus behind copyright registration is to reward the creator for his/ her creation by safeguarding it.

Key Provisions of the Copyright Rules 2021

The key provisions of the Copyright Rules 2021 can be summarised as:

Substitution in Rule 2 Sub rule (1)

The amendments made in Rule 2 Sub rule (1) can be summarised as:

Clause b

It shall be noted that in clause (b) of sub rule (1), the words ‘a Copyright Board as defined in subsection (1) of’ will be substituted with the words ‘the Appellate Board as provided in’.

Clause d

After the provisions of clause (d), a new clause, namely (da) has been inserted, which deals with the term ‘journal’, and defines the same as the copyright Journal, which is made accessible at the official website of the Copyright Office.

Substitution in Chapter II

In the principal rules, the title of Chapter II, ‘THE COPYRIGHT BOARD’ will be substituted with the title ‘THE APPELLATE BOARD’.

Substitution in Rule 3

In the provisions of Rule 3, the term appellate board means that the chairman and other board members will be appointed based on the provisions of the Trademarks Act 1999^[1].

However, it shall be noted that the Technical Member of the Appellate Board for all the purposes of the Act will have the qualifications as prescribed in the Tribunal, Appellate Tribunal, and other Authorities (Qualifications, Experience & other Conditions of Service of Members) Rules 2020.

Substitution in Rule 7

The amendments made in Rule 7 can be summarised as:

Sub rule (1)

In the provision of sub rule (1), after the words ‘the owner of the copyright’, the words ‘through electronic means or’ will be inserted.

Sub rule (5)

In the provision of sub rule (5), the words ‘published in the journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 11

The amendments made in Rule 11 can be summarised as:

Sub rule (4)

In the provision of sub rule (4), the words ‘registrar of copyrights’ shall be substituted for the words ‘register of copyrights’.

Sub rule (6)

In the provision of sub rule (6), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 16

In the provision of Rule (16), the words ‘as required’ shall be substituted for the words ‘if decides to make a request’.

Substitution in Rule 18

The amendments made in Rule 18 can be summarised as:

Sub rule (1)

It shall be noted that in the provisions of sub rule (1), after the words ‘shall be served’ on both the places wherever they occur, the words ‘through electronic means or’ shall be inserted.

Sub rule (5)

In the provision of sub rule (5), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 19

In the provision of Rule (19), the word ‘board’ shall be substituted for the words ‘copyright’.

Substitution in Rule 23 Sub rule (1)

In the provision of the second proviso of sub rule (1) in Rule 23, the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 27 Sub rule (2)

In the provision of sub rule (2) of Rule 27, the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 29 Sub rule (1)

In the provision of sub rule (1) in Rule 29, the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 31

The amendments made in Rule 31 can be summarised as:

Sub rule (1)

It shall be noted that in the provisions of sub rule (1), the words ‘immediately after its constitution’ will be omitted.

Sub rule (2)

In the provision of sub rule (2), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Sub rule (3)

In the provision of sub rule (2), the words ‘such notice’ shall be substituted for the words ‘public notice’.

Substitution in Rule 33 Sub rule (1)

In the provision of sub rule (1) in Rule 33, the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 34

The amendments made in Rule 34 can be summarised as:

Sub rule (1)

In the provision of sub rule (1), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Sub rule (3)

In the provision of sub rule (3), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Sub rule (6)

In the provision of sub rule (6), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 39

The amendments made in Rule 39 can be summarised as:

Sub rule (1)

In the provision of sub rule (1), the words ‘through electronic means or’ shall be inserted after the words ‘application shall be served’.

Sub rule (5)

In the provision of sub rule (5), the words ‘published in journal’ shall be substituted for the words ‘notified in the Official Gazette’.

Substitution in Rule 49 Sub Rule (1)

It shall be noted that in the provision of sub rule (1) of Rule 49, the words ‘one hundred and eighty days’ shall be substituted for the words ‘sixty days’.

Substitution in Rule 50 Sub Rule (2)

It shall be noted that in the provision of clause (a) of sub rule (2) of Rule 50, the words ‘not below the rank of the Deputy Secretary to the Government of India’ shall now be omitted.

Substitution in Rule 55

The amendments made in Rule 55 can be summarised as:

Sub rule (2)

In the provision of sub rule (2), the words ‘rule 67’ shall be substituted for the words ‘rule 71’.

Insertion of Sub rule (3)

The copyright society in respect to the collection of royalty under sub rule (1) and distribution of royalty under sub rule (2) of this rule, will create a mechanism of payment by way of electronic modes and will establish a system by which the payments so made are easily traceable.

Substitution in Rule 56 Sub Rule (1)

In the provision of sub rule (1) of Rule 56, the words ‘and publish’ shall be inserted after the words ‘frame’.

Insertion in Rule 58

The sub rules to be inserted after sub rule (2) of Rule 58 can be summarised as:

Sub rule (11)

A copyright society should ensure that the case in which the royalty cannot be distributed within the time prescribed in sub rule (8), as the pertinent author or other right owner could not be identified or located, then, in that case, such royalties are to be kept separate and distinct in the accounts of the copyright society.

Sub rule (12)

 A copyright society needs to take all required measures to identify and find the authors and other owners and also publish on its official website, at the end of each quarter, the information as follows:

1. The actual title of the work;
2. The name of the pertinent author and other right owners of the said work, as available, and;
3. Any other pertinent available information which could help in identifying the right holder;

Sub rule (13)

If in case the royalty due to the author and other right owners remains undistributed at the end of the period of three consecutive years, starting from the end of the fiscal year in which the collection of the royalty occurred, then, in that case, the copyright society will transfer such an amount to the welfare fund of the said copyright society.

Substitution in Rule 59 Sub Rule (7)

It shall be noted that the tenure of the Chairman and other members of the “Governing Council” will be two years, and they will be eligible for re-election as well.

Insertion in Rule 62

It shall be noted that after the provisions of clause (viii) of Rule 62, a new clause (ix) will be inserted, which states that ‘the annual transparency report as mentioned under rule 65A’.

Substitution in Rule 64

It shall be noted that in the provision of Rule 64, the words ‘in the physical or digital format’ shall be substituted for the words ‘maintain the following registers’.

Insertion in Rule 65

The clauses to be inserted in Rule 65 can be summarised as:

Clause (viii)

It shall be noted that after the provisions of clause (vii) of Rule 65, a new clause (viii) will be inserted, which states that ‘the annual transparency report as mentioned under rule 65A’.

Insertion of Rule 65A

It shall be noted that after the provisions of Rule 65, a new Rule 65 has been inserted, which states as follows:

1. The copyright society should draw up and formulate a special report to be termed as the ‘annual transparency report’ for each fiscal year within a period of six months, following the end of that fiscal year. Further, the copyright society will publish on its official website the ‘annual transparency report’ and confirm that the said transparency report remains will be available on its official; website for at least three financial years.
2. The annual transparency report should contain the information as follows:
3. Report on the operations and activities in the financial year;
4. Total number of refusals to issue a licence;
5. Detailed Financial Information on the total royalties collected;
6. Details of the total royalties paid to the author and other right owners;
7. Details of the total royalties collected, however, not yet attributed to the actual author and other right owners;
8. Details of the total administrative deductions made from the collected royalty;
9. Details and use of the deducted amounts for the activities carried out under the welfare scheme as specified under rule 67, and;
10. Information of the amounts received from and paid further to the foreign societies or organisation;

Insertion in Rule 66 Sub Rule (1)

The clauses to be inserted in Rule 66 sub rule (1) can be summarised as:

Clause (m)

The facility to search from the database of works that forms a part of the range of the copyright society;

Clause (n)

The ‘Annual Transparency Report’ as approved by the General Body.

Clause (o)

The details and information of the undistributed royalties on account of the work belonging to the authors and other right owners who could not be determined or located.

Substitution in Rule 69 Sub Rule (1)

The substitution in the provisions of sub rule (1) Rule 69 sub rule (1) can be summarised as:

1. In the provision of sub rule (1), the words ‘physical or electronic’ shall be substituted for the words ‘physical and electronic’.
2. In Part VI of the Act, the words ‘tables & compilations including computer databases’ shall be omitted.

Substitution in Rule 70 Sub Rule (5)

It shall be noted that for the words ‘the source & object code”, the words ‘at least first 10 & last 10 pages of the source code, or the complete source code if below 20 pages, with no blocked out and redacted portions’, shall be substituted.

Substitution in Rule 72

1. In the provision of sub rule (1), the words ‘physical or electronic’ shall be substituted for the words ‘both in physical and electronic’.
2. Provisions of sub rule (2) shall be omitted.

Omission of Chapter XVI

It shall be noted that the provision of Chapter XVI shall now stand omitted.

Substitution in Rule 82

The provisions of Rule 82 deals with the Mode of Communications by the Copyright Office, etc., and states that every written intimation or communication from the Board, the Copyright Office or the Copyright Registrar will be deemed to have been duly informed to any person if such an intimation is sent to the address known of such person by way of electronic means or by registered post.

Substitution in Second Schedule, Serial No 09, in Clause (b)

The substitution in the provisions of clause (b), serial no (9), second schedule can be summarised as:

1. The term ‘Literary or’ shall stand omitted;
2. It shall be noted that after the words ‘goods’, the word ‘or services’ will be inserted.

Substitution in Second Schedule, Serial No 10, in Clause (b)

The substitution in the provisions of clause (b), serial no (9) second schedule can be summarised as:

1. The term ‘Literary or’ shall stand omitted;
2. It shall be noted that after the words ‘goods’, the word ‘or services’ will be inserted.

Omission of Second Schedule, Serial No 19

It shall be taken into consideration that in the provisions of serial no 19, second schedule stands omitted, together with the relating entries.

Conclusion

In a nutshell, DPIIT, working under the Ministry of Commerce and Industry, by way of a Notification, issued on 30.03.2021, has notified the Copyright Rules 2021. These amended rules will come into effect from the date of their publication in the Official Gazette and seek to make an amendment to the Copyright Rules 2013.

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