Balancing Commerce and Creativity: Economic and Moral Rights in Copyright Law
Introduction
The Copyright Act, 1957 (hereinafter referred to as “the Act”) governs the protection of creative works in India and extends beyond the mere concept of copyright ownership. Every copyrighted work involves two essential actors the author and the owner. These two entities are vested with distinct sets of rights, namely moral rights and economic rights, respectively. Although these rights may sometimes vest in the same person, they are never identical in nature or scope. Economic rights are proprietary rights held by the copyright owner for a specific statutory duration, whereas moral rights are personal rights that permanently remain with the author. This article examines the concept, scope, and evolution of economic and moral rights under Indian copyright law, supported by judicial interpretations and international conventions.
Table of Contents
Intellectual Property Rights: Concept and Classification
Intellectual Property Rights (IPR) are intangible rights arising out of human intellect and creativity. Though not physically perceptible, their existence is legally recognised as products of human ingenuity and knowledge. IPRs are often described as “knowledge goods” or creations of the human brain. Intellectual property rights (IPR) can be divided into two broad categories: Industrial Rights (includes patents, designs and trademarks) and Copyrights which also include moral rights. Copyright law is primarily concerned with the protection of creative works that fall within this definition of expression.
Copyright and Related Rights
Copyright is a right to protect one’s work, and to stop others from copying the work. There are rights under copyright for a copy of the original work and also for the use of that original work as a derivative or adaptation of that original work. The owner of the copyright has rights associated with the ownership of that work. In order for a work to be protected by copyright, the work must have three basic elements, these are originality, fixation and that it be authored by a human being. Section 14 of Copyright Act, “Copyright means an exclusive legal right granted to the creator or copyright owner to authorise others to carry out the specified acts relating to the copyright work.1
Copyright also includes certain rights, in addition to those identified in sections 1 to section 39.2 The Copyright Act also encompasses both radio and television broadcasting rights and performer rights (the latter is governed by the Copyright Act, 1957). It is established by the Court of Appeal in its judgement that an author’s moral rights stem from the author’s ability to maintain the integrity of the work. Therefore, any mutilation or distortion of a work, that in any way damages the author’s reputation constitutes an infringement of the author’s moral rights.
The copyright consists of four individual rights
- the right of paternity to have the author identified as the creator
- the right to disclose/publication, is an economic right
- the moral right of integrity to protect the integrity of the work
- the right to retract the copyright.
Except for the right to disclose, which has an economic purpose, the remaining three rights derive from the author’s creative personality and exclusive connection with the work.
Economic Rights under the Copyright Act
Economic rights are exclusive rights conferred upon the copyright owner under Section 14 of the Act. These rights are negative in nature, as they empower the owner to restrain third parties from copying or exploiting the protected work. Copyright does not protect ideas; it protects only the expression of ideas. Thus, while multiple individuals may independently create similar works, copying the expression of an existing work is prohibited.
Economic rights are owner-centric, transferable, and work-specific. They may be assigned, licensed, or transferred like tangible property. The nature and extent of these rights vary depending on the type of work, such as literary, dramatic, musical, artistic works, cinematograph films, and sound recordings.
The primary economic right is the right to reproduce the copyright work in any material form. It is medium and technology neutral, also including control over the creation of works that are substantially derived from the original as opposed to those that are independently created. The right to reproduce copies includes the publishing and selling of new copies of copyright works by authors in accordance with the doctrine of exhaustion or first sale upon the lawful sale of the copyrighted product. Once a copyrighted product has been lawfully sold, the owner no longer has control over that copy of the product, thereby permitting the resale of that copy, lending of that copy to another and permitting the making of further copies.
The right to adapt or change works falls under the category of adaptation and includes the ability to adapt a play to film or to adapt a literary work into film, etc. Section 2 of the Act provides further information on what types of adaptations fall under this category of economic rights. Additionally, the right to perform and communicate copyright works to the public includes the ability to communicate through various forms of presentation and exhibit that can be heard or seen by an audience. The right also includes the right to divulge and spread copyright works; however, this right does not extend to private audiences.
The Act also gives the owner of the work the right to license or assign ownership of the work for money. To make a valid transfer, there are requirements set out by the Act that must be met. These include identifying the work and the rights being transferred, stating the type of licence and any geographical limitations, specifying what is being paid or the amount of the royalty, and providing for the possibility of renewal or revocation of the licence. If the owner does not specify which rights are being transferred, all of the owner’s rights will be assumed as transferred under Section 19.
There are also economic rights that include transmission and broadcasting, translation, making movies, recording music, and creating computer programs and software. All economic rights are subject to Section 53 exceptions. Economic rights continue for the life of the author plus 60 years, with some exceptions in Sections 22-29.
Moral Rights under the Act
Moral rights reflect the recognition of creativity as a vital component of human progress. Initially, the unamended Act of 1957 did not explicitly recognise moral rights. The amendment of 1994 marked a significant development by incorporating moral rights under Section 57.
The purpose of moral rights is to protect both the author’s right to be recognised as the creator of his or her work and to protect the author’s personal relationship with the work. The legal basis for moral rights is derived from Article 6 of the Berne Convention, and moral rights do not expire even when economic rights are transferred. They are both independent of and perpetual.
Author’s reputation as an artist is based on their artwork; and by allowing the author to be recognised as the creator of the work, an author’s reputation as an artist is established. Justice Pradeep Nandrajog stated this in Amar Nath Sehgal v. Union of India.3 Any mutilation, distortion, or improper treatment of the work, when exposed to the public, may cause reputational harm. Moral rights therefore safeguard the author’s honour, integrity, and esteem.
International Instruments and Rationale for Moral Rights
Several international conventions reinforce the protection of moral rights by recognising creative works as part of a nation’s cultural heritage. UNESCO and UNIDROIT conventions, along with the International Covenant on Economic, Social and Cultural Rights, impose obligations on States to protect, preserve, and respect cultural property. From the instruments, the State has three main responsibilities: to respect people’s cultural rights by ensuring that they are not interfered with or destroyed; to protect these rights from being infringed upon by others; and to safeguard and restore cultural works so that they will be preserved for the long term.
Limitations and Remedies
Unless the author waives their rights voluntarily, moral rights remain in effect and cannot be limited by statute. The case law in Amar Nath Sehgal and Mannu Bhandari v. Kala Vikas Pictures Ltd.4 recognised the following remedies: a declaration that there has been an infringement; a public apology; a permanent injunction against further infringement; compensation for reputational harm; and restoration of the work at the infringer’s own expense.
Conclusion
The Copyright Act 1957 is divided into two areas that provide different types of protection for authors and artists. The first type provides an author or artist with economic rights, which allow the author to receive financial benefit from the sale or distribution of their creation; the second type provides moral rights to the author or artist, allowing the creator to maintain a continued association with their creation as well as protecting their name and reputation. Both types of copyright protection work together to create an equitable system that balances the creator’s financial needs with the need to protect the nation’s cultural heritage.
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