
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 17USC801]

 
                          TITLE 17--COPYRIGHTS
 
             CHAPTER 8--COPYRIGHT ARBITRATION ROYALTY PANELS
 
Sec. 801. Copyright arbitration royalty panels: Establishment 
        and purpose
        
    (a) Establishment.--The Librarian of Congress, upon the 
recommendation of the Register of Copyrights, is authorized to appoint 
and convene copyright arbitration royalty panels.
    (b) Purposes.--Subject to the provisions of this chapter, the 
purposes of the copyright arbitration royalty panels shall be as 
follows:
        (1) To make determinations concerning the adjustment of 
    reasonable copyright royalty rates as provided in sections 114, 115, 
    116, and 119, and to make determinations as to reasonable terms and 
    rates of royalty payments as provided in section 118. The rates 
    applicable under sections 114(f)(1)(B), 115, and 116 shall be 
    calculated to achieve the following objectives:
            (A) To maximize the availability of creative works to the 
        public;
            (B) To afford the copyright owner a fair return for his 
        creative work and the copyright user a fair income under 
        existing economic conditions;
            (C) To reflect the relative roles of the copyright owner and 
        the copyright user in the product made available to the public 
        with respect to relative creative contribution, technological 
        contribution, capital investment, cost, risk, and contribution 
        to the opening of new markets for creative expression and media 
        for their communication;
            (D) To minimize any disruptive impact on the structure of 
        the industries involved and on generally prevailing industry 
        practices.

        (2) To make determinations concerning the adjustment of the 
    copyright royalty rates in section 111 solely in accordance with the 
    following provisions:
            (A) The rates established by section 111(d)(1)(B) may be 
        adjusted to reflect (i) national monetary inflation or deflation 
        or (ii) changes in the average rates charged cable subscribers 
        for the basic service of providing secondary transmissions to 
        maintain the real constant dollar level of the royalty fee per 
        subscriber which existed as of the date of enactment of this 
        Act: Provided, That if the average rates charged cable system 
        subscribers for the basic service of providing secondary 
        transmissions are changed so that the average rates exceed 
        national monetary inflation, no change in the rates established 
        by section 111(d)(1)(B) shall be permitted: And provided 
        further, That no increase in the royalty fee shall be permitted 
        based on any reduction in the average number of distant signal 
        equivalents per subscriber. The copyright arbitration royalty 
        panels may consider all factors relating to the maintenance of 
        such level of payments including, as an extenuating factor, 
        whether the cable industry has been restrained by subscriber 
        rate regulating authorities from increasing the rates for the 
        basic service of providing secondary transmissions.
            (B) In the event that the rules and regulations of the 
        Federal Communications Commission are amended at any time after 
        April 15, 1976, to permit the carriage by cable systems of 
        additional television broadcast signals beyond the local service 
        area of the primary transmitters of such signals, the royalty 
        rates established by section 111(d)(1)(B) may be adjusted to 
        insure that the rates for the additional distant signal 
        equivalents resulting from such carriage are reasonable in the 
        light of the changes effected by the amendment to such rules and 
        regulations. In determining the reasonableness of rates proposed 
        following an amendment of Federal Communications Commission 
        rules and regulations, the copyright arbitration royalty panels 
        shall consider, among other factors, the economic impact on 
        copyright owners and users: Provided, That no adjustment in 
        royalty rates shall be made under this subclause with respect to 
        any distant signal equivalent or fraction thereof represented by 
        (i) carriage of any signal permitted under the rules and 
        regulations of the Federal Communications Commission in effect 
        on April 15, 1976, or the carriage of a signal of the same type 
        (that is, independent, network, or noncommercial educational) 
        substituted for such permitted signal, or (ii) a television 
        broadcast signal first carried after April 15, 1976, pursuant to 
        an individual waiver of the rules and regulations of the Federal 
        Communications Commission, as such rules and regulations were in 
        effect on April 15, 1976.
            (C) In the event of any change in the rules and regulations 
        of the Federal Communications Commission with respect to 
        syndicated and sports program exclusivity after April 15, 1976, 
        the rates established by section 111(d)(1)(B) may be adjusted to 
        assure that such rates are reasonable in light of the changes to 
        such rules and regulations, but any such adjustment shall apply 
        only to the affected television broadcast signals carried on 
        those systems affected by the change.
            (D) The gross receipts limitations established by section 
        111(d)(1)(C) and (D) shall be adjusted to reflect national 
        monetary inflation or deflation or changes in the average rates 
        charged cable system subscribers for the basic service of 
        providing secondary transmissions to maintain the real constant 
        dollar value of the exemption provided by such section; and the 
        royalty rate specified therein shall not be subject to 
        adjustment.

        (3) To distribute royalty fees deposited with the Register of 
    Copyrights under sections 111, 116, 119(b), and 1003, and to 
    determine, in cases where controversy exists, the distribution of 
    such fees.

    (c) Rulings.--The Librarian of Congress, upon the recommendation of 
the Register of Copyrights, may, before a copyright arbitration royalty 
panel is convened, make any necessary procedural or evidentiary rulings 
that would apply to the proceedings conducted by such panel, including--
        (1) authorizing the distribution of those royalty fees collected 
    under sections 111, 119, and 1005 that the Librarian has found are 
    not subject to controversy; and
        (2) accepting or rejecting royalty claims filed under sections 
    111, 119, and 1007 on the basis of timeliness or the failure to 
    establish the basis for a claim.

    (d) Support and Reimbursement of Arbitration Panels.--The Librarian 
of Congress, upon the recommendation of the Register of Copyrights, 
shall provide the copyright arbitration royalty panels with the 
necessary administrative services related to proceedings under this 
chapter, and shall reimburse the arbitrators presiding in distribution 
proceedings at such intervals and in such manner as the Librarian shall 
provide by regulation. Each such arbitrator is an independent contractor 
acting on behalf of the United States, and shall be hired pursuant to a 
signed agreement between the Library of Congress and the arbitrator. 
Payments to the arbitrators shall be considered reasonable costs 
incurred by the Library of Congress and the Copyright Office for 
purposes of section 802(h)(1).

(Pub. L. 94-553, title I, Sec. 101, Oct. 19, 1976, 90 Stat. 2594; Pub. 
L. 99-397, Sec. 2(c), (d), Aug. 27, 1986, 100 Stat. 848; Pub. L. 100-
568, Sec. 11(1), Oct. 31, 1988, 102 Stat. 2860; Pub. L. 100-667, title 
II, Sec. 202(4), Nov. 16, 1988, 102 Stat. 3958; Pub. L. 101-318, 
Sec. 3(b), July 3, 1990, 104 Stat. 288; Pub. L. 102-563, Sec. 3(a)(1), 
Oct. 28, 1992, 106 Stat. 4247; Pub. L. 103-198, Sec. 2(a), Dec. 17, 
1993, 107 Stat. 2304; Pub. L. 104-39, Sec. 5(d)(1), Nov. 1, 1995, 109 
Stat. 348; Pub. L. 105-80, Secs. 8(a), 12(a)(19), Nov. 13, 1997, 111 
Stat. 1533, 1535; Pub. L. 105-304, title IV, Sec. 405(e)(1), Oct. 28, 
1998, 112 Stat. 2902.)

                       References in Text

    The date of enactment of this Act, referred to in subsec. (b)(2)(A), 
is Oct. 19, 1976.


                               Amendments

    1998--Subsec. (b)(1). Pub. L. 105-304 substituted ``sections 
114(f)(1)(B), 115, and 116'' for ``sections 114, 115, and 116'' in 
second sentence.
    1997--Subsec. (b). Pub. L. 105-80, Sec. 12(a)(19)(A), substituted 
``shall be as follows:'' for ``shall be--'' in introductory provisions.
    Subsec. (b)(1). Pub. L. 105-80, Secs. 8(a)(1), 12(a)(19)(B), in 
first sentence, substituted ``To make'' for ``to make'' and ``116, and 
119'' for ``and 116''.
    Subsec. (b)(2). Pub. L. 105-80, Sec. 12(a)(19)(C)(i), substituted 
``To make'' for ``to make'' in introductory provisions.
    Subsec. (b)(2)(D). Pub. L. 105-80, Sec. 12(a)(19)(C)(ii), 
substituted ``adjustment.'' for ``adjustment; and'' at end.
    Subsec. (b)(3). Pub. L. 105-80, Sec. 12(a)(19)(D), substituted ``To 
distribute'' for ``to distribute''.
    Subsec. (c). Pub. L. 105-80, Sec. 8(a)(2), substituted ``panel, 
including--'' for ``panel'' and added pars. (1) and (2).
    Subsec. (d). Pub. L. 105-80, Sec. 8(a)(3), amended subsec. (d) 
generally. Prior to amendment, subsec. (d) read as follows:
    ``(d) Administrative Support of Copyright Arbitration Royalty 
Panels.--The Library of Congress, upon the recommendation of the 
Register of Copyrights, shall provide the copyright arbitration royalty 
panels with the necessary administrative services related to proceedings 
under this chapter.''
    1995--Subsec. (b)(1). Pub. L. 104-39 substituted ``sections 114, 
115, and 116'' for ``sections 115 and 116'' in two places in 
introductory provisions.
    1993--Pub. L. 103-198, Sec. 2(a)(1), amended section catchline 
generally. Prior to amendment, catchline read as follows: ``Copyright 
Royalty Tribunal: Establishment and purpose''.
    Subsec. (a). Pub. L. 103-198, Sec. 2(a)(2), amended subsec. (a) 
generally. Prior to amendment, subsec. (a) read as follows: ``There is 
hereby created an independent Copyright Royalty Tribunal in the 
legislative branch.''
    Subsec. (b). Pub. L. 103-198, Sec. 2(a)(3)(A), (B), inserted heading 
and substituted ``copyright arbitration royalty panels'' for 
``Tribunal'' in introductory provisions.
    Subsec. (b)(2)(A), (B). Pub. L. 103-198, Sec. 2(a)(3)(C)(i), (ii), 
substituted ``copyright arbitration royalty panels'' for ``Commission'' 
in subpar. (A) and for ``Copyright Royalty Tribunal'' in subpar. (B).
    Subsec. (b)(2)(D). Pub. L. 103-198, Sec. 2(a)(3)(C)(iii), inserted 
``and'' after semicolon.
    Subsec. (b)(3). Pub. L. 103-198, Sec. 2(a)(3)(D), substituted 
``119(b), and 1003,'' for ``and 119(b),'' and struck out at end ``In 
determining whether a return to a copyright owner under section 116 is 
fair, appropriate weight shall be given to--
        ``(i) the rates previously determined by the Tribunal to provide 
    a fair return to the copyright owner, and
        ``(ii) the rates contained in any license negotiated pursuant to 
    section 116A of this title; and''.
    Subsec. (b)(4). Pub. L. 103-198, Sec. 2(a)(3)(E), struck out par. 
(4) which read as follows: ``to distribute royalty payments deposited 
with the Register of Copyrights under section 1003, to determine the 
distribution of such payments, and to carry out its other 
responsibilities under chapter 10''.
    Subsec. (c). Pub. L. 103-198, Sec. 2(a)(4), amended subsec. (c) 
generally. Prior to amendment, subsec. (c) read as follows: ``As soon as 
possible after the date of enactment of this Act, and no later than six 
months following such date, the President shall publish a notice 
announcing the initial appointments provided in section 802, and shall 
designate an order of seniority among the initially-appointed 
commissioners for purposes of section 802(b).''
    Subsec. (d). Pub. L. 103-198, Sec. 2(a)(5), added subsec. (d).
    1992--Subsec. (b)(4). Pub. L. 102-563 added par. (4).
    1990--Subsec. (b)(2)(D). Pub. L. 101-318 substituted ``111(d)(1)(C) 
and (D)'' for ``111(d)(2)(C) and (D)''.
    1988--Subsec. (b). Pub. L. 100-568 inserted concluding provisions 
relating to determination of fairness of a return to a copyright owner 
under section 116.
    Subsec. (b)(3). Pub. L. 100-667 substituted ``, 116, and 119(b)'' 
for ``and 116''.
    1986--Subsec. (b)(2)(A) to (C). Pub. L. 99-397, Sec. 2(c), 
substituted ``section 111(d)(1)(B)'' for ``section 111(d)(2)(B)''.
    Subsec. (d)(2)(D). Pub. L. 99-397, Sec. 2(d), which directed the 
amendment of subsec. (d)(2)(D) by substituting ``section 111(d)(1)(C) 
and (D)'' for ``section 111(d)(2)(C) and (D)'', could not be executed 
because section did not contain a subsec. (d). See 1990 Amendment note 
above.


                    Effective Date of 1995 Amendment

    Amendment by Pub. L. 104-39 effective 3 months after Nov. 1, 1995, 
see section 6 of Pub. L. 104-39, set out as a note under section 101 of 
this title.


                    Effective Date of 1993 Amendment

    Section 7 of Pub. L. 103-198 provided that:
    ``(a) In General.--This Act [see Short Title of 1993 Amendment note 
set out under section 101 of this title] and the amendments made by this 
Act shall take effect on the date of the enactment of this Act [Dec. 17, 
1993].
    ``(b) Effectiveness of Existing Rates and Distributions.--All 
royalty rates and all determinations with respect to the proportionate 
division of compulsory license fees among copyright claimants, whether 
made by the Copyright Royalty Tribunal, or by voluntary agreement, 
before the effective date set forth in subsection (a) shall remain in 
effect until modified by voluntary agreement or pursuant to the 
amendments made by this Act.
    ``(c) Transfer of Appropriations.--All unexpended balances of 
appropriations made to the Copyright Royalty Tribunal, as of the 
effective date of this Act, are transferred on such effective date to 
the Copyright Office for use by the Copyright Office for the purposes 
for which such appropriations were made.''


                    Effective Date of 1990 Amendment

    Amendment by Pub. L. 101-318 effective Aug. 27, 1986, see section 
3(e)(1) of Pub. L. 101-318, set out as a note under section 111 of this 
title.


                    Effective Date of 1988 Amendments

    Amendment by Pub. L. 100-667 effective Jan. 1, 1989, see section 206 
of Pub. L. 100-667, set out as an Effective Date note under section 119 
of this title.
    Amendment by Pub. L. 100-568 effective Mar. 1, 1989, with any cause 
of action arising under this title before such date being governed by 
provisions in effect when cause of action arose, see section 13 of Pub. 
L. 100-568, set out as a note under section 101 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 104A, 114, 115, 802, 803 of 
this title; title 47 section 545.
