Philips fined for non-payment of royalties



    For the first time in Russia, a precedent arose when the prosecution of an importer of electronics for non-payment of royalties for personal copying of content in favor of copyright holders was successful. The plaintiff, the notorious organization RSP (Russian Union of Rights Owners), headed by Nikita Mikhalkov, acted as the plaintiff. The magistrate of the Basmanny district of Moscow declared the claims of the said organization legal and sentenced Sangfei SES Electronics Rus LLC, the exclusive seller of Philips phones in the Russian Federation, to pay a fine. Sang Fei, as a legal entity, was fined 30,000 rubles, while its head was fined 10,000.

    Andrei Krichevsky, First Deputy General Director of RSP,:

    Rightholders have a legal right to receive remuneration for copying music recordings and movies, and non-compliance with the law should be prosecuted

    It is worth recalling that the payers of the so-called "tax on discs" are importers and manufacturers of sound recording equipment, which include mobile phones and blank media (CD, DVD, etc.).

    It is curious that, in all likelihood, the problems first appeared not with the largest supplier of telephones, but larger players were next in line - the RSP considers several more companies to be violators and has already contacted the Prosecutor General’s Office regarding such non-payers. Among them are LLC Panasonic Rus, LLC Samsung Electronics Rus Company, Philips LLC and Dyhouse LLC (Apple official distributor).

    [ Source ]

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