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SELECT COMMITTEE ON ENTERPRISE AND SMALL BUSINESS díospóireacht -
Tuesday, 30 Nov 2004

Berne Convention for the Protection of Literary and Artistic Works: Motion.

The following motion was referred for consideration to the select committee by order of the Dáil of 25 November 2004:

That the proposal that Dáil Éireann approves the terms of the Berne Convention for the Protection of Literary and Artistic Works (Paris Act of 24 July, 1971, as amended on 28 September, 1979), copies of which were laid before Dáil Éireann on 2 June, 2004, be referred to the Select Committee on Enterprise and Small Business, in accordance with paragraph (1) of the Orders of Reference of that Committee, which, not later than 2 December, 2004, shall send a message to the Dáil in the manner prescribed in Standing Order 85, and Standing Order 84(2) shall accordingly apply.".

On behalf of the select committee, I welcome the Minister of State at the Department of Enterprise, Trade and Employment, Deputy Michael Ahern, who has responsibility for trade and commerce, and his officials. We will now consider the proposal. Briefing material thereon from the Department has been circulated to members. I invite the Minister of State to make his opening statement, which will be followed by a questions and answer session.

I appreciate the committee's making time available today to consider this matter. I join with the Chairman in congratulating the new Vice-Chairman on his appointment. I wish him success in his role. He has a hard act to follow in the Chairman.

The Berne Convention for the Protection of Literary and Artistic Works dates from 1886. The purpose of its introduction was to replace the complex network of bilateral treaties that had, up to that time, set the conditions by which copyright owners in one country might have their works protected in another. Indirectly, this resulted in the establishment of a basic standard of copyright protection among all members of the Berne Convention, domestic and foreign.

I am sure that the members of this committee will appreciate the vital importance of copyright for the health of our economy, especially as we move more towards an information society. For example, not only do our music and sound recording industries depend on copyright to obtain reward for their creativity and investment, but our computer software industry, a major component of our modern economy, is also critically dependent on copyright protection to secure return on its investment.

The Berne Convention has been updated over the years by the adoption of a number of Acts, or partial revisions of the convention. In that regard, Ireland is already party to the convention by virtue of its ratification of the Brussels Act of the convention of 1948, and its ratification of most of the provisions of the Stockholm Act of 1967. However, Ireland has yet to sign or ratify the Paris Act of 1971, which was later revised in 1979.

The Paris Act was mainly concerned with ensuring that the special needs of developing countries were recognised by the convention. The aim was to avoid a situation in which these needs required the conclusion of separate treaties governing developing and non-developing nations. This would have severely compromised the convention's basic rationale, that of establishing a basis for mutual protection for copyright works. However, it also made a number of substantive changes to the earlier convention that impacted on Ireland's obligations. Notable among these were the duty imposed on member states to provide for the moral rights of authors; that is to say, the right to be identified as the author, and the right to object to derogatory treatment of works. The Paris Act also extended and clarified the exclusive right of reproduction of works. Ireland's copyright statute at the time, the Copyright Act 1963, did not provide adequately for these changes and so it was not possible for Ireland to accede to the Paris Act at the time of its formulation, or subsequent revision in 1979. The Copyright and Related Rights Act 2000, No. 28 of 2000, which entered into force on 1 January 2001, brought Ireland's legislation in this field fully into line with the requirements in substance of the Paris act of the Berne Convention. It was always Ireland's intention to accede to the Paris act once these conditions were met.

The formalities of accession to the Paris Act were not seen as an immediate priority in the immediate aftermath of the commencement of the Copyright and Related Rights Act 2000, given that the substantive necessary provisions had been introduced into our domestic legislation. However, this position changed following a finding of the European Court of Justice that Ireland's failure to adhere fully to the Paris act was in a breach of its obligations under the European Economic Area Agreement and therefore placed Ireland in breach of European Community law.

The Commission's actions in this matter have placed Ireland under threat of the imposition of penalties should we fail to rectify this. In moving to do this, we encountered some technical difficulties. Chief among these was that, owing mainly to lapse of time, there were difficulties in establishing certain facts to provide a secure, valid basis for accession under Irish and international treaty law. It proved extremely difficult to establish, for example, such matters as whether Ireland had actually signed the Paris Act at the time, some 33 years ago. That needed to be established in order to determine whether, technically, we should ratify the instrument, or accede to it. I am glad to say that these difficulties have now been resolved and the Government is anxious to see the State accede to the Paris Act as soon as possible.

The current motion is submitted to the House in recognition of the fundamental importance of the Paris Act of the Berne Convention in the regulation of international copyright relations. These, in turn, are central to the health of the Irish economy in this information age. The appreciation of the House of the importance of copyright and the underlying principles of the Paris Act of the Berne Convention was recognised in its passing of the Copyright and Related Rights Act 2000. The commitment of the Government and of this House to maintaining Ireland's position in the forefront of effective intellectual property protection for the new millennium remains absolute. Subject to the approval of the House of the motion before the committee today, the deposit of instruments of accession to the Paris Act of the Berne Convention with the depository authority, the World Intellectual Property Organisation, will be done without delay. I commend the motion to the committee.

The Copyright and Related Rights Act 2000 was probably one of the most important Bills which we passed in the Oireachtas since our accession to full membership of the EU. We have been admired by many of the 25 member states of the EU for the great work our civil servants in the Minister's office and the Government undertook on the Act. As the Minister of State correctly pointed out, it has been a major backbone of our computer industry.

The Minister of State has with him today some very senior officials to whom I wish to make the point that below-cost selling in any industry is unacceptable, certainly to me as a democrat. It is unacceptable to those people who are trying to survive in various family industries. I do not want any hand, act or part in a Fianna Fáil-led Government in such a scenario. I say that as a member of the Fianna Fáil Party as well as Chairman of this committee.

I wish to ask the Minister of State and his officials to address the issue of the demeaning of the music industry through free CDs being given away in Sunday newspapers, about which I will arrange a time and date suitable to the Minister of State, his officials and members. How would the Sunday newspapers like it if their newspapers were given away free of charge to sell something else? It is appalling. It is demeaning the small family shops which have been keeping the music industry going for years. They operate in every small and large town in Ireland, form the backbone of an industry and keep many people in work. I have a personal vested interest in this matter. The newspapers are demeaning the quality of the product because anything given away for free is not appreciated. We know how all these issues have arisen before.

When the chairman of the Competition Authority, Dr. Fingleton, appeared before the committee, he informed us that there was no legislative framework in place to protect against the abuse which is taking place on Sundays. He did not use the word "abuse" but I use it intentionally. Will the Minister of State and his officials, as a matter of urgency, examine this conduct, which is being allowed to continue and which is demeaning people's livelihood in Ireland in the run up to Christmas?

I thank the Chairman for his contribution. I am sure he could have written to the Minister of State and he would have looked after him.

I am amazed about a number of issues in regard to the rush to ratify the Berne Convention. I note from the Minister of State's contribution that it proved extremely difficult to ascertain if Ireland signed the Paris Act 33 years ago, which is a new admission. The Minister of State also referred to the political and policy position following a finding of the European Court of Justice, and that Ireland's failure to adhere fully to the Paris Act was in breach of its obligations. However, he did not elucidate on the finding, the case and why the case was taken in the first place. He stated that central to his purpose is that Ireland has yet to sign or ratify the Paris Act. However, we have now discovered that it was not signed, which is why the Berne Convention is required also. There are a number of issues about the delay in addressing this issue, how it was discovered and what case emerged that brought it to our attention.

A reference was made in the briefing documentation about the imposition of penalties on Ireland in regard to this matter. What are the penalties which are likely to be imposed on Ireland and can the Minister of State quantify them? Are we talking about a couple of million euro or a thousand euro? It is a very serious matter or the European Commission would not be bringing it to the attention of Ireland and we would not be hastily trying to correct the matter.

The penalties which would accrue after 6 December, provided that the Commission moved on the matter, are €3,600 per day.

To whom would the penalties apply?

The Government. Deputy Hogan asked why it was so difficult to establish whether Ireland had signed the Paris Act 33 years ago. The problem was in finding the records.

Were they in Ireland or in Paris?

In Ireland. Deputy Hogan also asked why this is being rushed. When the Copyright and Related Rights Act 2000 was enacted, it brought Ireland into substantive compliance with the Paris Act. Unlike directives, no date was specified for acceding to or ratifying that Act.

Deputy M. Brady took the Chair.

What case triggered that? Is the Commission taking a case against Ireland?

No, it was not against Ireland.

Was there an individual case?

I would say it was a Commissioner tightening up these areas that have not been ratified by other countries, not just Ireland. On this occasion, Ireland was used as the guinea pig.

When was the finding made in the European Court of Justice? Who took the case?

In 2000, the European Commission initiated a case against Ireland in the European Court of Justice, alleging that Ireland was in breach of its obligations under the economic area agreement, as a result of its failure to adhere to the Paris Act of the Berne Convention. Following the commencement of the copyright and related Acts, there was full substantive compliance with the Paris Act. Completing the formality of ratification or accession was not seen as a priority. That is why the Government did not move at the time. We are now in full adherence with the Act.

We are now.

We were always in compliance with the Act but we had not ratified it.

The compliance was down to our legislation.

Yes. The legislation was brought in 2000.

Did the Commission begin the case against Ireland?

Will Ireland's laws on copyright remain the same if this Act is ratified?

No changes will be made whatsoever.

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