NOTHING TO BE WRITTEN IN THIS MARGIN
138.033009 Up.863
it a restricted act for Rediffusion (Hong
Kong) Ltd. to relay the new commercial 7.V.
service without the permission of the new
authority This puts the new authority in a
controlling position in which they can prevent
diffusion of their service by Rediffusion
(Hong Kong) should they so desire. It would,
therefore, appear that the simplest and most
direct method of acquiring royalties for the
composers providing material for the new
service would be for the H.K.T.V.B. to pay the
royalties and for the extending Order (by retention of 40(3) of the Copyright Act 1956)
to absolve the diffusion service from
payment to the composers in respect of this
material. The terms agreed between the
authority and the diffusion service for the
right to relay the broadcast would natrually
be arrived at with the cost of the royalties
in mind. Thus, we would be in favour of
extending Section 40(3) of the Copyright Act
1956, suitably amended, to Hong Kong.'
t#
6. Mr. Wallace concludes: "If, however,
it is regarded as essential that the relay
company pay the composers etc. directly, it
would appear right that they romîd be given
a licence of right to relay without the prior
permission of the copyright owners but making
payments to them which, if not agreed, would
be settled by some form of arbitration".
7.
In the light of your Saving despatch
No. 683 of 8 May you may feel that some of
the above has been overtaken by events, but
we should now be grateful for your comments.