New points of Decree 18 on press royalties regime

On the afternoon of April 2, the Ministry of Information and Communications (MIC) held a press conference on Decree No. 18/2014/ND-CP dated March 14, 2014 of the Government regulating the royalty regime in the field of press and publishing.

Deputy Minister of Information and Communications Truong Minh Tuan speaks at the Press Conference

1/ The entire Decree has replaced the phrase "work owner" with the phrase "copyright owner" to comply with the Law on Intellectual Property.

2/ The Decree has supplemented the framework regulations on complaints and denunciations regarding the royalty regime in the fields of press and publishing in Article 5 of the Decree.

3/ The Decree clearly stipulates the royalties and remuneration paid to authors or copyright owners and those who participate in work related to journalistic works, based on the genre, quality of the work, the level of influence of the work on the economy and society, the level of contribution to the work, regulations on encouraging the creation of works and regulations of the press agency using the work. The author's royalties are not lower than the remuneration of those who participate in work related to works of the same genre.

4/ Republished press works that cite sources from other press agencies that have agreed to share information according to copyright and royalties regulations are decided by the press agencies.

5/ No later than 60 days from the date the work is posted or published, the party using the work must pay all royalties to the author or copyright owner according to the decision.

In case the press agency has contacted and notified the recipient of royalties and remuneration at least 3 times but received no response, the royalties and remuneration will be transferred to the Royalties Fund of the following year.

This regulation serves as a basis for press agencies to implement and account for, ensuring the rights of those receiving royalties and remuneration.

6/ The royalty framework for the press in the Decree only stipulates the maximum coefficient but not the minimum coefficient. Based on the actual conditions of many press agencies, the minimum coefficient of the royalty framework in Decree 61/2002/ND-CP is too high and difficult to pay, especially the Party newspapers of provinces and centrally run cities have not been able to pay royalties according to the minimum coefficient for some press genres. Therefore, the Ministry of Information and Communications has proposed not to stipulate the minimum coefficient but only the maximum coefficient in the royalty framework and this was accepted by the Government in Decree 18/2014/ND-CP.

7/ Regarding the value of a unit of royalty coefficient for the press: The Decree has stipulated that the value of a unit of royalty is equal to 10% of the basic salary applied to cadres, civil servants, public employees and armed forces instead of 10% of the minimum salary to comply with salary regulations.

8/ About the Royalties Fund:

For press agencies including print, electronic, radio and television: The Decree clearly stipulates the sources of the Royalties Fund from the following sources: Revenue from press activities; Revenue from economic activities of press agencies; Support and sponsorship from domestic and foreign organizations and individuals; and Support from the state budget (if any).

For press agencies that self-finance operating costs or radio and television stations that operate under special mechanisms, the royalty fund is decided by the press agency based on the financial balance of the unit.

For press agencies that have not yet covered operating costs, the governing body is responsible for providing funding for the press agency to set up a royalty fund based on the budget estimate as prescribed in Clause 2, Article 8, Clause 2, Article 11 of Decree 18/2014/ND-CP.

9/ Royalties and remuneration for printed and electronic newspaper works:

The Decree has added: the subjects receiving remuneration are those who collect documents and provide information to serve the creation of journalistic works. At the same time, it is clearly stipulated that leaders of press agencies and editors are entitled to remuneration; the press genre is online, media in the royalty framework, and at the same time, it is clearly stipulated that for the signed genre, it is 1 period. For electronic newspapers, royalties and remuneration for information provided by readers will be decided by the Editor-in-Chief, except in cases where there is another agreement, and for interviews, the interviewer and the interviewee are paid royalties by the press agency according to the regulations of the press agency.

10/ Royalties and remuneration for audio and visual press works:

Compared to the provisions of Decree 61/2002/ND-CP, Decree 18/2014/ND-CP has more clearly defined and supplemented the subjects entitled to remuneration such as: leaders of radio and television press agencies, editors, and sound technicians. The Decree has added the category of Discussion and Exchange in the royalty framework to suit reality.

The Decree also has provisions referring to legal regulations on royalties in other fields. Point c, Clause 5, Article 10 of Decree 18/2014/ND-CP stipulates: For theatrical works and other performing arts, cinematographic works, authors or owners of works shall enjoy royalties at the corresponding royalty level according to the provisions of law on royalties for theatrical works and other performing arts, royalties for cinematographic and video works.

To be more consistent with the actual operation of radio and television, at Point b Clause 6 Article 10 Decree 18/2014/ND-CP stipulates: For the genres of radio bridges, television bridges, live radio programs, live television programs and other genres not specified in this Decree, depending on the nature and scale. The General Director (or Director) of the Radio and Television Stations shall decide on the level of royalties and remuneration for authors or copyright owners and related persons performing those programs.

Mr. Hoang Huu Luong, Director of the Press Department of the Ministry of Information and Communications, said that after more than 10 years of implementation, this is a very important legal basis for publishers and press agencies to establish a royalty fund and pay royalties to authors and owners of works; creating unity; at the same time, for press agencies and publishers operating mainly on the State budget, this is the basis for the governing agencies to consider funding support.

This Decree takes effect from June 1, 2014, accordingly Chapters II, V, and VI of Decree No. 61/2002/ND-CP dated June 11, 2002 of the Government on royalty regime cease to be effective.

Deputy Minister Truong Minh Tuan said that the new royalty rate under this Decree not only helps creativity but also helps press agencies to be more autonomous in their royalty sources, thereby screening to obtain better quality press works and publications. For the Decree to take effect, the Ministry of Information and Communications will have guiding circulars and inspection activities.

The Ministry of Information and Communications also requested press agencies to promote well and strictly implement this Government Decree, Deputy Minister Truong Minh Tuan suggested.

According to ICTPress