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What is collective management of rights? Authors and subjects of related rights (i.e. performers, producers of video- or phonograms, broadcasting organizations) have exclusive rights entitling them to allow or forbid the use of their own works (phonograms, videograms) by other persons. As a rule, this right should ensure such work (or its recording) to be used in behalf of its authors. Such right could be exercised in fuller measure, if a holder thereof decides on the conditions of using his/her works (recordings), i.e. manages own rights alone. However, in practice such individual management of rights is not always possible or advisable. For example, it is inconvenient for theatres to enter into separate contracts with each single author the plays thereof these theatres are putting on as well as for broadcasting organizations – with each single author and/or performer of works, phonograms or videograms broadcast thereby. On the other hand, as a rule a holder of right has no opportunity to trace the use of his/her own works (recordings); negotiate for payment of proper remunerations for such use as well as to collect these remunerations alone. These functions have been taken care of by organizations of collective management of proprietary rights. According to Article 49 of the Law of Ukraine “On Copyright and Related Rights” collective management organizations shall be authorized to enter into contracts with users on behalf of subjects of copyright and (or) related rights, coordinate amounts of remuneration under these contracts, to collect such remunerations as well as to distribute and pay out the remunerations collected. Minimum fee and royalty rates payable for the use of objects protected by copyright and related rights have been established by the Decree of the Cabinet of Ministers of Ukraine # 72 of 18.01.2003. Under agreements with foreign collective management organizations any royalty payable for the use of works and recordings in Ukraine is to be paid out to foreign copyright holders while Ukrainian ones may receive any royalty due to them for the use of their works (recordings) abroad through domestic collective management organizations.
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