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1978 Supreme(Cal) 312

High Court Of Calcutta
A. N. Sen, B. C. Basak
EASTERN INDIA MOTION PICTURES - Appellant
Versus
PERFORMING RIGHT SOCIETY LTD. - Respondent
Copyrightboard 5  Of  1973
Decided On : 04/25/1978

Advocates Appeared:
B.K.BACHAWAT, S.C.SEN

The composer of a lyric or musical work who has authorised a cinematograph film producer to make a cinematograph film of his work and has thereby permitted him to appropriate his work by incorporating or recording it on the soundtrack of a cinematograph film cannot restrain the author (owner) of the film from causing the acoustic portion of the film to be performed or projected or screened in public for profit or from making any record embodying the recording in any part of the sound-track associated with the film by utilising such sound-track or from communicating or authorising the communication of the film by radio-diffusion.

Headnote:

COPYRIGHT - Performing Right Society - Authority to grant license - Jurisdiction of Copyright Board - Reasonableness of rates - Interpretation of law.

Fact of the Case:

The Performing Right Society Ltd. , London, the respondent, is an association of Composers, authors and publishers of Music having its Head Office in London. The Society published a revised tariff for cinemas in the Gazette of India dated 13th of Feb. 1971. Objections were filed by various associations in India including the appellants herein. The Copyright Board passed an order upholding the tariff.

Finding of the Court:

The Court held that the Board had jurisdiction to decide the question of authority of the society concerned. On the merits of the case, the Court held that the composers, authors etc. have no copyright in the sound-track and accordingly their association cannot have a better right in spite of any alleged assignment. The Court also held that the Board's final order on the reasonableness of the rates was contrary to the observations made by it earlier and showed non-application of mind.

Issues: 1. Whether the Copyright Board had jurisdiction to decide the question of authority of the society concerned. 2. Whether the composers, authors etc. have copyright in the sound-track. 3. Whether the Board's final order on the reasonableness of the rates was justified.

Ratio Decidendi: 1. The Court held that the Board had jurisdiction to decide the question of authority of the society concerned. The Court reasoned that if the authority of the society is challenged the Board has the jurisdiction to go into the same. 2. The Court held that the composers, authors etc. have no copyright in the sound-track. The Court relied on the decision of the Supreme Court in the case of Eastern India Motion Pictures Association, (supra ) which held that the composer of a lyric or musical work who has authorised a cinematograph film producer to make a cinematograph film of his work and has thereby permitted him to appropriate his work by incorporating or recording it on the soundtrack of a cinematograph film cannot restrain the author (owner) of the film from causing the acoustic portion of the film to be performed or projected or screened in public for profit or from making any record embodying the recording in any part of the sound-track associated with the film by utilising such sound-track or from communicating or authorising the communication of the film by radio-diffusion. 3. The Court held that the Board's final order on the reasonableness of the rates was contrary to the observations made by it earlier and showed non-application of mind.

Final Decision: The appeal was allowed. The Board's decision was set aside. There would be no order as to costs.

B. C. BASAK, J.

( 1 ) THIS appeal under Section 72 of the Copyright Act, 1957 (hereinafter referred to as the said Act) is directed against an order of the Copyright Board constituted under the said Act (hereinafter referred to as the Board) passed under Section 35 of the said Act. The facts of this case are shortly as follows: the Performing Right Society Ltd. , London, the respondent No. 1, herein, is a Performing Right Society within the meaning of the said Act (hereinafter referred to as the Society ). The Society is an association of Composers, authors and publishers of Music having its Head Office in London. On the 13th of Feb. 1971 an advertisement was published in the Gazette of India dated 13th of Feb. 1971 the relevant portion of which is to the following effect. "tariffs For India The following is notified for general information :--Revision of Tariff. The Performing Right Society's Tariff (Statement of Fees, Charges or Royalties) relating to item No. 2 (Cinema) has been revised. The revised tariff erroneously published in the Statesman Calcutta and Indian Express Bombay dated the 9th Jan. 1971 and the Gazette of India Part IV dated 23rd Jan. 1971 is hereby withdrawn and substituted by the revised tariff and hereby published as required by Sub-section (1) of Section 33 of the Copyright Act, 1957. The said revised tariff will be effective as from 1st March 1972. Accordingly, the performing Right Society proposes to collect, until further notice fees, charges or royalties for the grant of licences for performances in public in India of the copyright musical works in its repertoire, in accordance with the undermentioned revised tariff as from 1st March 1971. Cinemas : tariff C for Cinemas published in the Gazette of India dated 28th June 1969 is withdrawn, and the following is substituted : tariff C for Cinemas. For the annual licence the royalty shall be calculated by taking one-half per centum (0. 5%) of the total monetary seating capacity of the Cinema at full evening prices (less only entertainment tax) multiplied by the number of performances during the year of the feature film or films (Excluding Indian films) plus the supporting programme (if any ). Minimum annual charge 100 rupees. "the position prior to publication of the said notification would appear from the order of the Board dated 30th of Jan. 1973 in the case No. 14 of 1969. From the same it appears that from 1947 to 1959 the Society was recovering the minimum annual license fee for a cinema at Rs. 40/- in accordance with the Tariff published by it in 1947. In 1958 the Society revised the scale which was challenged in Case No. 2 of 1958. The parties, however, arrived at a compromise in 1959 whereby the Society gave up the revised scale and therefore the objectors withdrew their objections. As a result the Original Tariff of 1947 was allowed to go on till 31st of March 1969. On 28th of June 1969 a fresh Tariff was published whereby the minimum annual licence fee for a cinema was raised from Rs. 40/- to Rs. 100/ -. Against the fresh Tariff objections were filed. The Tariff and objections covered Case No. 14 of 1969. While this case was pending the Society appears to have published a fresh Tariff changing the basis. The new basis was published in various newspapers and also in the Gazette of India. On Feb. 7, 1971 the Society withdrew the fresh Tariff and had the revised Tariff published in official Gazette dated the 13th of Feb. 1971. On 22nd Dec. 1970 the Performing Right Society Ltd. London addressed a letter to the Secretary, Copyright Board, New Delhi stating therein that the Board had been notified of the amendments of two tariffs, one of which was the tariff for cinemas which is the subject of Case No. 14 of 1969. It was stated that in view of the fact that the Society had promulgated a revised tariff for cinemas, it would be pointless to pursue the proceedings in Case No. 14 of 1969. The Society's letter came up before the Board at its meeting held

















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