Enterprise and Regulatory Reform Bill 2012-13: copyright and designs | Practical Law

Enterprise and Regulatory Reform Bill 2012-13: copyright and designs | Practical Law

An update on the copyright and design aspects of the Enterprise and Regulatory Reform Bill 2012-13. (Free access.)

Enterprise and Regulatory Reform Bill 2012-13: copyright and designs

Practical Law UK Legal Update 4-519-6189 (Approx. 4 pages)

Enterprise and Regulatory Reform Bill 2012-13: copyright and designs

by PLC IPIT & Communications
Published on 24 May 2012
An update on the copyright and design aspects of the Enterprise and Regulatory Reform Bill 2012-13. (Free access.)

Speedread

The government has published the Enterprise and Regulatory Reform Bill 2012-13, which includes a number of copyright and design-related provisions. The Bill repeals section 52 of the Copyright, Designs and Patents Act 1988 (CDPA) (relating to the exploitation of design derived from artistic work) and enables certain exceptions to copyright and performers' rights under the CDPA to be amended by secondary legislation.
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Background

Exploitation of design derived from artistic work

Section 52 of the Copyright Designs and Patents Act 1988 (CDPA) limits to 25 years the duration of copyright in artistic works that have been exploited with the copyright owner’s consent by making, using an industrial process, articles which amount to copies of the work.
An article is considered to have been made using an industrial process where more than 50 articles are made, or where the article consists of goods which are not hand-made and are manufactured in lengths or pieces (Article 2, Copyright (Industrial Process and Excluded Articles) (No 2) Order 1989 (SI 1989/1070)) (Copyright Order)). However, articles considered to be of a "primarily literary or artistic character" can be excluded from the operation of section 52 by order of the Secretary of State (section 52(4), CDPA). Pursuant to this, the Copyright Order excludes various articles from the operation of section 52, including works of sculpture and printed matter such as book jackets or calendars.

Review of copyright exceptions

Professor Hargreaves' Review of Intellectual Property and Growth published in May 2011 recommended, among other things, a range of new copyright exceptions (see Legal update, Hargreaves review of intellectual property published). The government's response to the review in August 2011 included a commitment to bringing forward proposals for a substantial opening up of the UK's copyright-exceptions regime (see Legal update, Government response to Hargreaves review of intellectual property published). In December 2011, the government consulted on the changes it proposes to make to copyright law in order to implement the review's recommendations, including revisions to the UK's current copyright exceptions (see Legal update, IPO launches consultation on proposals to modernise copyright system).

Facts

The government has published the Enterprise and Regulatory Reform Bill 2012-13, which includes a number of copyright and design-related provisions. The Bill's second reading is scheduled for 11 June 2012.

Repeal of section 52

First, the Bill repeals section 52 of the CDPA (clause 55). As a result, the Copyright Order will cease to have effect. Designers will benefit from the repeal because artistic works covered by the section will enjoy copyright protection for the period of a creator's life plus 70 years.
The IPO has indicated that this proposal is separate from the government's current review of copyright and design law following the Hargreaves Review.

Power to amend copyright exceptions

The Bill also enables the copyright exceptions set out in Chapter 3 of Part 1 to the CDPA to be amended by secondary legislation with the addition of a new section 28ZA of the CDPA (clause 56).
Similarly, the Bill also permits the exceptions to rights in performances set out in section 189 of, and Schedule 2 to, the CDPA to be amended by secondary legislation (clause 56). This will be achieved with the addition of a new section 189A of the CDPA.
This clause is significant because it permits the amendment of the exceptions through secondary legislation rather than EU law thereby avoiding a need to amend the level of criminal penalties as set out in current copyright legislation.

Comment

The proposed repeal of section 52 has been welcomed by designers who have petitioned for this change for some time. Among their complaints is the fact that the UK is currently one of only three member states (along with Estonia and Romania) with a provision equivalent to section 52. Although the repeal is clearly a positive development for the design industry, it is worth noting that the relevant copyright protection applies only to artistic works and that the repeal is not retrospective.
Both the Hargreaves review and the government's subsequent consultation on proposals to modernise the UK's copyright system included a significant number of plans to extend current copyright exceptions. The ability to amend these exceptions through secondary legislation is another step towards reform. In terms of further detail, this is likely to be set out in the government's pending response to the consultation and formal proposals for legislation in the form of an IP and Growth White Paper originally scheduled for publication in spring 2012.
Sources: Enterprise and Regulatory Reform Bill 2012-13, Enterprise and Regulatory Reform Bill 2012-13: Explanatory Notes and BIS press release.