The publication, performance and digital distribution of a musical work operate inside the framework defined by the copyright statute: the author or other holder of the copyright decides who, where and how the work is used. This page explains what property rights the author holds, how an exclusive licence differs from an ordinary one, what terms a licence contract must contain, and how the collective-management organisation works — under the norms that govern this field in Georgian legislation.
The Author's Property Rights
Under Article 18 of the statute, the author or other copyright holder has the exclusive right to use the work in any form — the right to carry out, permit or prohibit: reproduction of the work; distribution of the original or copies by sale or other transfer of ownership; import of copies; public display; public performance — the right on which concerts and appearances stand; public communication, including communication in such a way that the work is available to any person at a time and place chosen by that person — the basis of streaming; as well as translation, adaptation and rental. The author is entitled to a royalty for any form of use. The exhaustion rule also matters: the right over further distribution of a copy is exhausted by its first sale in Georgia, while for a musical work expressed in notes, a work on a phonogram and a computer program the rental right remains with the author regardless of ownership of the copy.
The Exclusive Licence
Under Article 37, by an exclusive-licence contract the author or other copyright holder grants only the licensee the exclusive right to use the work in the manner and within the limits defined by the contract, and gives the licensee the right to prohibit such use of the work by other persons — including the author. An exclusive licence means the licensee occupies an exclusive market position within the rights taken. Where the licensee does not enforce the right, the author may exercise the prohibition — a default leaving the author a tool against a passive licensee.
Essential Terms of the Licence Contract
Article 40 prescribes what a licence contract must provide: an exact description of the work to be used — its title, volume and genre; the specific type of use of the work; the term and territory of the contract; the method of determining the royalty or the amount of the royalty for each type of use, and the procedure and deadline for its payment; and any other conditions the parties regard as essential. The supplementary rules are equally practical: every right of use not directly provided belongs to the author; where no specific type of use is provided, the contract covers what the parties' intention requires; where no territory is provided, it operates only in Georgia; where no term is provided, the author may cancel after 3 years with 6 months' written notice. Rights granted by the licence may be passed on to other persons only where this is directly provided, and where the royalty for reproduction is a fixed sum, the maximum print run must be established.
Collective Management and Tariffs
Under Article 66, the collective-management organisation negotiates with users on behalf of right holders over the amount of royalties and the conditions of use, grants licences within the limits of its mandate, collects royalties and distributes them to right holders in due time — observing the principle of equality and in proportion to actual use. Every work performed publicly, transmitted on air or made available to the public enters the organisation's repertoire, and in that case the burden of proof lies with the user: it is precisely this rule that resolves the situation where a concert organiser or venue does not know to whom a particular song belongs. The amount of the royalty is fixed by contract between the management organisation and the user, and where they fail to agree — by the decision of a commission created by order of the chairperson of Sakpatent, which may be appealed to court within 2 months of its adoption; the appeal does not suspend the decision, so the user pays under the commission's tariff until the court decision enters into force. The organiser of a public performance, the user and the owner of the premises share responsibility under a written contract, and in its absence their liability is joint and several.
How does an exclusive licence differ from an ordinary one?
The exclusive licence gives the licensee the right to prohibit use of the work by other persons, including the author; an ordinary licence creates no such exclusivity.
What happens if territory or term is not indicated in the contract?
Without territory the contract operates only in Georgia; without term the author may cancel after 3 years with 6 months' written notice.
How is the royalty fixed?
By contract between the management organisation and the user; failing agreement, by the tariff of the commission created by the chairperson of Sakpatent, appealable within 2 months.
Who bears the burden of proof for public performance?
Publicly performed works fall within the collective repertoire, and the burden of proof lies with the user.
How We Help on Legal.ge
The Legal.ge team works with authors and publishers as well as with users — radio stations, platforms and event organisers. We prepare licence contracts containing every essential term, assess whether an exclusive licence is needed, structure the royalty relationship with the collective-management organisation and defend your interests when rights are violated. Contact us for a consultation on which forms of use must be licensed in your case.