Introduction of the obligation of transparency as of 7 June 2022
As of 7 June 2022, the Dutch Copyright Act will contain a transparency obligation, as a result of European legislation. Read more about what this means here.
Content of obligation to provide transparency
The amendment to the Dutch Copyright Act, to be precise in Section 25ca, will take effect on 7 June 2022. This is still some time away, but it is wise to be prepared for this, as the amendment will apply immediately to all existing agreements at that time.
The obligation of transparency means that once a year, operators of copyright-protected material must keep the creators informed of how their work is being exploited. For example, the operator must inform the creator about the forms of exploitation, the income and the remuneration owed to the creator. This information must be up-to-date, relevant and complete.
Creators can use the overview they receive to check whether they are getting a 'fair' remuneration for the exploitation of their copyright. The remuneration must be "appropriate and proportionate".
Where the original operator has licensed the copyright or a sub-licence to a third party, that third party has a duty, in principle, to provide the information to the original operator. The original operator must then forward the information to the creator in unaltered form. If the original operator does not do so, the creator may also request the information directly.
There are exceptions to the transparency obligation, namely:
- If the creator's share in the creation of the entire work is not significant;
- If the administrative burden of providing the information would be demonstrably disproportionate in relation to the exploitation revenue of the work.
Breach of the transparency obligation
If the operator does not comply with the transparency obligation, the creator of the material may withdraw the licence or the assigned rights. However, he must give the operator a reasonable period of time to provide the information.
Questions about copyright or other intellectual property issues? Lawyers at SPEE lawyers & mediation are happy to help you.