Page 23 - A Study on the Role of UGC Platforms in Copyright Law:An Intermediary-oriented Approach
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A Study on the Role of UGC Platforms in Copyright Law:                          Chapter 1 Introduction
 An Intermediary-oriented Approach

                 have proposed that compulsory licencing be advanced. For example, Lawrence Lessig
                 favoured a compulsory licence on amateur creations so that artists could ‘receive more
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                 money over the last ten years than they have’.  Peter Menell asserted that a compulsory
                 licence for user-generated videos was crucial to securing cultural freedom for the mashup
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                 generation.  Nevertheless, because many UGCs are used for non-commercial purposes,
                 requiring UGC creators to pay a licence fee, regardless of how small, would substantially
                 hinder its use. That is why compulsory licences under the US law have generally been
                 designated for professional users, such as player piano manufacturers’ mechanical
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                 reproduction of musical compositions,  and cable or satellite operators’ public performance
                                          66
                 of copyrighted programming.  Little research has investigated the justification for applying
                 compulsory licences to non-commercial amateur use.
                    Earlier in the history of copyright, the large-scale use of copyrighted works was often
                 addressed by levy schemes, such as the levy on audio recording devices for non-commercial
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                 home copying in the US and Canada,  and the levy on various kinds of reprographic and
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                 recording devices for private copying in the EU.  The essence of these levy schemes was
                 to require third parties to pay a pre-determined amount to the copyright owner to exempt
                 large numbers of users’ non-exploitative use of the work. Although UGC creation meets the
                 requirements for large-scale non-exploitative use based on ‘cognitive surplus’ theory and the
                 democratisation of creation,  little research has addressed the application of the levy scheme
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                                  70
                 to the UGC context.  A report by the UK Intellectual Property Office suggested that the levy
                 scheme could be expanded to include UGC creation, but it did not indicate how the levy
                 would work. 71
                 1.2.3 A UGC as a copyrighted work


                    Much attention has been paid to the creation of UGCs, (i.e., using pre-existing works to
                 create UGCs), whereas the exploitation of UGCs (i.e., using UGCs as copyrighted works),



                 62  Lawrence Lessig, Remix: Making Art and Commerce Thrive in the Hybrid Economy (Penguin 2008) 110
                 63  Peter S Menell, ‘Adapting Copyright for the Mashup Generation’ (2015) 164 U Pa L Rev 441, 443
                 64  See supra note 21.
                 65  17 U.S. Code § 115.
                 66  17 U.S. Code § 111 (c)(1).
                 67  17 U.S.C. § 1008; Copyright Act, R.S.C. 1985, ch. C-42, § 79 (Canada).
                 68  Martin Kretschmer, Private Copying and Fair Compensation: An empirical study of copyright levies in Europe (Intellectual
                    Property Office 2012).
                 69  See supra note 1 and accompanying text.
                 70  Yahong Li proposed a levy on media platforms based on the observation that some online platforms remunerate copyright
                    owners and remixers according to some content identification technology. Li (n 9) 31-32. Nevertheless, such remuneration
                    approach does not meet the current definition of a levy scheme since levies are aimed at addressing a large scale of use and
                    thus allow blanket use rather than individual use of copyrighted material.
                 71  Kretschmer (n 68) 9.


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