The Federal High Court in Abuja has upheld the Audiovisual Rights Society of Nigeria’s (AVRS) statutory right to license hotels and other business establishments for the public use of audiovisual works (movies and films) transmitted within their premises via Pay-TV subscriptions. This landmark ruling reaffirms the rights of Nigerian copyright holders and strengthens the creative ecosystem.
The case that Reiz Continental Hotel Limited filed against AVRS was dismissed by the court, which was presided over by Honourable Justice Egwuatu. The hotel had requested a ruling that it could not be forced to pay copyright fees for audiovisual content (movies and films) that was viewed through subscription-based broadcasting.
In a landmark decision rendered on Thursday, July 24, 2024, the Court determined that AVRS had established the legal foundation for its licensing activities and was authorized to grant copyright licenses to users of its audiovisual works, including the Plaintiff (by Reiz Continental Hotel Limited), due to its status as assignees of copyright in multiple audiovisual works and as an approved collective management organization (CMO) under Section 88 of the Copyright Act 2022.
The Court dismissed the Reiz Continental Hotel’s arguments that it was exempt from any AVRS license because it was only a recipient of transmissions from a paid subscription television service. The court found that Reiz Continental Hotel’s operations violated sections 11(b), (c), and (f) of the Copyright Act with regard to AVRS’s rights because it operates a profit-driven hospitality business and owns multiple television sets that broadcast audiovisual content. The Court further ruled that, absent an AVRS license, the Reiz Continental Hotel’s broadcast of audiovisual works violated section 36(1)(a) and (g) of the Copyright Act because it was done in the course of business.
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Additionally, the court ruled that Reiz was bound by the Hotel Owners Forum Abuja’s (HOFA) collective licensing agreement, of which it is a member, and that this prevented Reiz from contesting the legality of the deal with AVRS.
In addition to being a court win for AVRS and its members, this important ruling demonstrates Nigeria’s dedication to preserving copyright legislation and safeguarding creative endeavors. For the hospitality industry and other commercial users of protected content, it sets a solid precedent for copyright enforcement.
Mike O. Akpan, Esq., principal partner at Alpha-Edge Legal and legal counsel to AVRS, commented on the ruling:
“The Federal High Court’s ruling in Abuja marks a critical turning point in Nigeria’s copyright enforcement. It clarifies a topic that has long been disputed in the audiovisual and hospitality industries: that appropriate license is necessary for the commercial exploitation of copyrighted audiovisual content, whether through pay-TV or other channels.
Mr. Mahmood Ali-Balogun, the AVRS Chairman, expressed his joy by saying:
“This ruling is a significant event for AVRS members. It guarantees that copyright owners in the film and film industry are properly protected by the law and validates the validity of our collective licensing structure. It fortifies the framework that allows the creative economy to expand and draw in capital.
