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Global Artists' Issues: focus on the Russian Federation

in cra-briefings31 · November 15, 2005

The Russian Federation is still in the process of developing a market economy and ceding to the rules of the World Trade Organization. One of the barriers still standing the in the way of its admission as a member of the WTO is the status of its copyright law.

Russia first modernized its copyright law in 1993 with a law entitled number 5351. Though driven by the desire to join the WTO, the law nevertheless failed to meet the standards that were established by the TRIPS agreement two years later, such as protection for sound recordings created prior to 1973. TRIPs standards were not met until legislative amendments were proposed in 2004; however, some of these amendments, including those giving retroactive protection to musical works and securing the exclusive making available for creators, will not come into effect until September 2006. Though Russian copyright law has come a long way in a short time, it still has a way to go to give creators the protection that is expected on a global scale.

PROBLEMS FOR RUSSIAN CREATORS

Generally the problems for Russian creators are caused by a combination of weak law and high levels of piracy. Piracy is very prevalent in Russia. The 2004 Recording Industry Piracy Report indicated that 64% of all CD’s sold in Russia that year were pirated. The deterrent effect of Russia’s laws on piracy, moreover, is negligible given the limitations on liability. In order for the provisions of the criminal code to apply, the value of the pirated goods must be at least 50,000 rubles (approx $2,000 CDN) and most instances of individual infringement do not meet this threshold. Furthermore, police do not have the power to seize either infringing copies or the machines that are used to make them. Because of these weaknesses, Russia has repeatedly been listed on the Priority Watch List of the Office of the US Trade Representative.

However, government officials in Russia have been unwilling to accept exclusive blame for the levels of piracy in Russia, citing external pressures. Sergi Mescheryakor, head of the Russian Interior Ministry Economic Security Department, has stated, “Lack of monitoring and high prices set by foreign rights holders contribute to counterfeit production in Russia” (see www.en.rian.re). Despite this, the Ministry has pointed to its successes in the fight against piracy. According to Mescheryakor, more than 200 production facilities have been shut down, 4000 cases for counterfeit production have been filed, and approximately $30 million dollars worth of pirated merchandise seized since the beginning of 2005.

The law in Russia offering protection for creators’ rights is weak. This is best evidenced in a case that was brought by the estate of Vladimir Nabokov, famed author of Lolita, against a number of Russian publishers who had produced unauthorized translations and editions of his works in 2003. Though this case has apparently not been resolved yet, the publishing house involved has stated that it did nothing illegal because all of the works involved predate copyright protection and therefore there is no restriction on their publication. This case is a clear demonstration of laws considered inadequate elsewhere in the world being used to exploit creator rights. See: www.inauka.ru/englishnews/article37670.html. In bringing this suit, Nabokov’s heirs are not planning to benefit themselves, but have indicated any settlement would be paid to the St. Petersburg museum. (See archive.sptimes.ru.)

Though there is some licensing in Russia, it appears to be weak and ineffective because of the inability to license the wide range of uses demanded by users. Licensing that is offered in Russia by the Russian Multimedia and Internet Society www.roms.ru, a collective registered under Title IV of the Copyright Act, can cover physical goods (e.g. megs of ram, storage space instead of the items) rather than the digital content. Accordingly AllofMP3, an online music content provider, is able to purchase a license based on the amount of content circulated, number of megs rather than the digital file. Due to this loophole AllofMP3 charges its users approximately $5.00USD for 80 albums of music. Evident from these numbers is the fact that inadequate compensation is being paid to creators. Complaints made against AllofMP3.com by Russia’s computer crimes unit and the International Federation of Phonographic Industries have not led to any change in the law or any liability for the service providers. For more information on these loopholes in Russian law see www.law.bepress.com or www.out-law.com.

GROUPS INVOLVED IN CREATORS’ RIGHTS IN RUSSIA

Many of the creator groups in Russia remain grass roots movements with little power; however, several international organizations are actively involved in the Russia.

Corrections and Comments Updates