The European Union adopted in February 2014 the Directive on collective management of copyright and related rights and multi-territorial licensing of rights in musical works for online uses in the internal market. The Collective Rights Management Directive is an essential part of Europe's copyright legislation.

The Collective Rights Management directive aims at ensuring that right-holders have a say in the management of their rights, and at improving the functioning and accountability of Collective Management Organisations (CMOs). It also intends to facilitate the multi-territorial licensing by collective management organisations of authors’ rights in musical works for online use who are subject to several requirements.

The specific objectives of the Directive are:

  • improving the way in which CMOs established in the Union are managed by establishing common governance, transparency and financial management standards,
  • setting common standards for the multi-territorial licensing by authors' CMOs of rights in musical works for the provision of online services,
  • creating conditions that can expand the legal offer of online music.

New standards on governance and transparency for CMOs

In order to achieve those objectives, CMOs have to improve their standards on governance and transparency:

  • by ensuring among others adequate participation of rightholders in the decision-making process,
  • by ensuring adequate financial management of the revenues collected on behalf of the rightholders they represent,
  • by increasing their transparency vis-à-vis rightholders, other CMOs, service providers and the public at large.

Licencing rights for online uses on a multi-territorial basis

Furthermore, CMOs managing authors' rights in musical works, for the multi-territorial licensing of those rights for online uses, will be subject to several requirements adapted to the digital era, such as enhanced capability to process large amounts of data, accurate identification of the works used by the service providers, fast invoicing to service providers and timely payment to right-holders.

Lists of competent authorities and of CMOs per Member State

Pursuant to Articles 36 and 39 of the CRM Directive, Member States have to notify the Commission of the competent authorities designated for the purpose of monitoring CMOs established in their territory and also provide the Commission with the list of CMOs established in their territories.

This information will be regularly updated with further information received from Member States.

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