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Kenya Copyright Board chairman Joshua Kutuny (right) receives progress report from PAVRISK chairman Edwardo Waigwa. [File, Standard]
A court has temporarily stopped the Music Copyright Society of Kenya (MCSK) from collecting music royalties.
The order by Milimani magistrate’s court stays in force until the suit challenging society’s mode of collecting royalties is heard and determined.
According to the ruling issued on Friday, December 20, MCSK was restrained from collecting revenue and issuing it using a joint venture.
The ruling follows a case filed by the Performing and Audio Visual Rights Society of Kenya (PAVRISK) against MCSK on claims that the defendant was using the joint venture that had already been terminated to collect royalties.
In the suit, PAVRISK wants the MCSK, its agents, or servants stopped from issuing the joint KAMP-PRISK-MCSK invoices and licenses, or in any way whatsoever from exploiting its trademark No. 95006.
According to the plaintiff, the joint venture was terminated in June, of this year.
The argument contained in the documents filed in court states that the joint venture is no longer in operation and anyone issuing the invoices was doing so in bad faith.
The court also froze and restricted transactions on the MCSK Revenue Collection Account Number 5527990048, held at NCBA Bank, Westlands Branch, and Safaricom MPESA Paybill Number 5129000, pending the hearing and determination of the suit.
It also compelled MCSK to furnish and submit court-certified statements showing all transactions made into the bank account.
Similarly, Safaricom was ordered to submit to court Certified Statements showing all transactions made into Paybill.
In its case, PAVRISK states that MCSK has been issuing users of copyrighted works with joint KAMP-PRISK-MCSK invoices and licenses as per the Consolidated Tariff.
It further states that the society has been collecting the full tariff amount through the revenue collection account in the name of the Music Copyright Society Kenya Limited.
In line with the Joint Licensing Operations, the Government then published Music Tariffs providing for a consolidated and unified rate to guide the joint licensing.
With the Consolidated Tariff, it became impossible for an individual Collective Management Organization (CMO) to independently collect royalties for its specific category of rights.
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In this case, NCBA Bank PLC and Safaricom have been listed as 1st and 2nd interested parties respectively.
PAVRISK case states that the joint venture collapsed upon the expiry of the provisional Licenses issued to MCSK, Kenya Association of Music Producers of Kenya (KAMP), and Performers Right Society of Kenya (PRISK), now renamed PAVRISK on May 8, 2024.
Kenya Copyright Board on June 7, 2024, registered the plaintiff as the sole CMO and issued the company with a unified License for all rights to represent the Author, Composer, Publisher, Arranger, Producer, and Performers of Sound Recording and Performers of Audio Visual Works category of related rights for one year.
Following this decision, the Plaintiff said it terminated the Joint Operations vide the letter dated June 10, 2024, notifying KAMP and MCSK of its exit from the joint arrangement since it was now authorized to collect royalties on behalf of all right holders as per the License granted on June 7, 2024.
Justice Musiega ruled the matter to be mentioned on January 28, 2025, for further directions and ordered the plaintiff to serve parties that failed to attend court despite having been served with fresh motion of notice.
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