However when we extend the Act to overseas territories we do not extend section 40(3) because the copyright owners have not been paid by the BBC and ITV for the increased audience outside the United Kingdom. As far as BBC and ITV broadcasts received in Hong Kong are concerned therefore section 40(3) would not be extended.
7. Local Hong Kong broadcasts are a different matter. As we under- stand it local broadcasters will, under the ordinance be given the right to control diffusion of their broadcasts. Since they are in a position to control and hence to charge the diffuser and their payments to copyright owners can take account of all the potential audience,it seemed undesirable to us to compel the diffuser to seek out and negotiate with the individual copyright owners, who would moreover be paid twice. Therefore, as far as Hong Kong broadcasts are concerned (and assuming broadcasters are to be given the right to control àiffusion) section 40(3) should be extended. This could be done by modifying section 40(3) to refer to Hong Kong Organisations instead of to BBC and ITV or else by achieving the effect of section 40(3) in the local ordinance.
See para b 2 and pera 8 2 (3), 1968-69 file.
༣
Another point of confusion arises from the Broadcasting Organisa- tions Order. We consider that the extension of this order to Hong Kong would automatically protect Hong Kong broadcasts in Hong Kong.
The order, moreover, does not extend section 40(3) of the Copyright Act. If therefore these broadcasts are to be protected by the ordinance and in addition the effect of extending section 40(3) is to be achieved in relation to them it would be necessary to modify the Broadcasting Order to specifically exclude them from protection under the Order. It is difficult for us to advance this further until we have a sight of the local ordinance and until we know whether or not Hong Kong broadcasts are to get the diffusion right.
Section 48
9. The maofication to this Section should be deleted. Our opinion and that of the Board of Trade Solicitor is that sub-section (3) as it stands covers diffusion both of the diffuser's programmes and those of other persons.
In other words the whole of Section 48 can be extended to Hong Kong without modification.
Section 51
10.
• We do not think that power can be given to the Governor to bring his own powers to make regulations into operation. Those powers should come into force at the same time as the Order. This will enable the Governor to make any regulations necessary under the Act. The rest of the Order could come into operation on a date to be agreed which would give the Governor time to bring the regulations into force.
Schedule 2, Paragraph (iv)
mentioned.
Il. We think the reference here should be to "any country described in paragraph (2)(b)
" because strictly speaking no countries are
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