Stipulations for Administration Trust Contract
December 28, 1939

Permitted

August 5, 1952

Amendment permitted

December 27, 1960

Amendment permitted

June 23, 1969

Amendment permitted

March 21, 1980

Amendment permitted

March 6, 1998

Amendment permitted

October 2, 2001

Notification

June 24, 2005

Notification of amendment

June 20, 2006

Notification of amendment

July 10, 2007

Notification of amendment

June 19, 2009

Notification of amendment

April 1, 2010

Notification of amendment

July 11, 2013

Notification of amendment

July 3, 2015

Notification of amendment

July 4, 2016

Notification of amendment

June 30, 2017

Notification of amendment

June 28, 2018

Notification of amendment

July 4, 2019

Notification of amendment

June 29, 2020

Notification of amendment

July 5, 2021

Notification of amendment

June 30, 2022

Notification of amendment

June 29, 2023

Notification of amendment

Japanese Society for Rights of Authors, Composers and Publishers

Stipulations for Administration Trust Contract

Table of Contents
Preamble
Chapter 1 General Provisions (Article 1 and 2)
Chapter 2 Procedure for Establishing Trust and Term of Trust, etc. (Article 3 - 11)
Chapter 3 Trustee's Duties, etc.
Section 1 General Provisions (Article 12 - 14)
Section 2 Request for Payment of Royalties, etc. (Article 15 - 18)
Section 3 Distribution of Royalties, etc. (Article 19 - 21)
Section 4 Expenditure for Business Serving the Common Purpose of Trustor (Article 22)
Section 5 Administrative Expenses, etc. (Article 23 and 24)
Section 6 Provision of Information, etc. (Article 25 and 26)
Chapter 4 Beneficiary Rights and Status of Trustor (Article 27 - 32)
Chapter 5 Termination of Trust (Article 33 - 38)
Chapter 6 Changes to Stipulations (Article 39)
Chapter 7 Auxiliary Provisions (Article 40 - 52)
Supplementary Provisions
These Stipulations define the terms and conditions of the "trust contract" provided
for in Article 2 (1)(i) of the Act on Management Business of Copyright and Neighboring
Rights (Act No. 131 of 2000; hereinafter called "Management Business Act") concluded
between the Japanese Society for Rights of Authors, Composers and Publishers(hereinafter called "Trustee") and a person who entrusts the administration of music
copyrights to Trustee (hereinafter called "Trustor"). Such contract is hereinafter called"Trust Contract."

Chapter 1

General Provisions

Definitions
1. The term "Music Copyrights" herein means the copyrights of lyrical works (including
the right to recite lyrics publicly as a literary work), copyrights of musical works, and- 1 -the share of such copyrights when the copyrights are owned jointly (hereinafter
called "Share of Jointly Owned Copyrights").
2. The term "Trust" herein means a trust established based on the execution of a TrustContract containing these Stipulations. However, the term "Individual Trust" is used
when determining an individual legal relationship concerning each existing
individual Trust.
3. The term "Purpose of Trust" herein means the purpose specified in the following
Article.
4. The term "Trust Property" herein means all property that belongs to Trustee andshould be managed under a Trust, and "Trustee's own property" means all property
that belongs to Trustee and does not fall under any of the following items:(1) Trust Property; and(2) All property that should be managed for a Foreign Trustor Organization
5. The term "Entrusted Copyrights" herein means the Music Copyrights belonging toTrust Property.
6. The term "Extent of Trust of Rights" herein means the extent of administration
entrusted to Trustee under each Individual Trust that is determined based on
selection by Trustor under Article 6, paragraphs 1 and 2.
7. The term "Music Publisher(s)" herein means a business operator to which Music
Copyrights are assigned by an author, composer, or any other holder of Music
Copyrights for the administration of such copyrights to promote the usage thereof.
8. The term "Copyright Agreement" herein means an agreement executed between aMusic Publisher and a holder of Music Copyrights for the purpose of assigning
Music Copyrights to the Music Publisher as provided in the preceding paragraph.
9. The term "Foreign Organization" herein means a foreign organization or business
operator that administers Music Copyrights. However, a Foreign Organization that
entrusts the administration in Japan of Music Copyrights administered by such
Foreign Organization is called "Foreign Trustor Organization" and a Foreign
Organization that is entrusted by Trustee under Article 13, paragraph 1 is called"Foreign Trustee Organization."
10. The term "Interested Parties" herein means the relevant persons and/or entities
specified in the following items:(1) In case the work is a combination of a lyrical work and a musical work (called"Vocal Musical Work" in c. below and the following paragraph): Persons and/or
entities specified in a. through c. below:-2-

a. Author of the lyrical work (if it is a derivative work, author of the relevant
lyrical work and the original work; the same shall apply hereinafter in this a.)or the person who has succeeded the copyrights of such lyrical work
(excluding the person specified in c. below and Trustee; if the work is
succeeded multiple times, the person who has succeeded the work mostrecently).
b. Composer of the musical work (if it is a derivative work, composer of therelevant musical work and the original work; the same shall apply hereinafterin this b.) or the person who has succeeded the copyrights of such musicalwork (excluding the person specified in c. below and Trustee; if the work is
succeeded multiple times, the person who has succeeded the work mostrecently).
c. Music Publisher that has an effective Copyright Agreement with all or someof the persons specified in a. or b. above (if it is a foreign Music Publisher,
including the Music Publisher in Japan that is authorized by such foreign
Music Publisher to administer the copyrights to promote the usage of therelevant Vocal Musical Work in Japan).
(2) In case the work is a musical work not combined with a lyrical work (called"Instrumental Musical Work" in b. below and the following paragraph): Persons
and/or entities specified in a. or b. below:
a. Composer of the musical work (if it is a derivative work, composer of therelevant musical work and the original work; the same shall apply hereinafterin this a.) or the person and/or entity who has succeeded the copyrights ofsuch musical work (excluding the entity specified in b. below and Trustee; if
the work is succeeded multiple times, the person who has succeeded thework most recently).
b. Music Publisher that has an effective Copyright Agreement with all or someof the persons and/or entities specified in a. above (if it is a foreign Music
Publisher, including the Music Publisher in Japan that is authorized by suchforeign Music Publisher to administer the copyrights to promote the usageof the relevant Instrumental Musical Work in Japan).
11. The term "Work(s)" herein means a Vocal Musical Work or an Instrumental MusicalWork, and "Administered Work(s)" means a Work falling under any of the following
items:-3-

(1) Work consisting of the lyrics and/or music related to Entrusted Copyrights in
any Individual Trust (hereinafter called "Entrusted Work(s)").
(2) Work consisting of the lyrics and/or music related to the Music Copyrights that
Trustee is authorized by a Foreign Trustor Organization to administer in Japan(hereinafter called "Copyrights Entrusted by Foreign Trustor Organizations").
12. The term "Publication" herein means the reproduction of a lyrical work or a musicalwork by printing or any other means to make it recognizable in the visual sense ortactile sense (including to make it visually recognizable by using electromagnetic
storage media and image display devices), excluding the following cases, and"Publication Right" means the right to publish, and "Published Works" means
reproductions created through Publication:(1) In case the relevant lyrical work or musical work is reproduced inelectromagnetic storage media by means of sound recording.
(2) In addition to the cases specified in the preceding item, in case the relevant
work is reproduced for the usage forms specified in 7 through 13 of Appendix
1.
13. The term "Games" herein means the programs, software or devices falling under allof a. through c. below:
a. Programs, software, or devices that are created for the purpose of satisfying thecompetitive spirit, sense of accomplishment, gambling spirit, and eagerness forentertainment of players (persons who use the programs, software or devices forentertainment; the same shall apply in b. below), excluding those created mainlyfor other purposes.
b. Programs, software, or devices that are operated or handled by players undercertain rules or other restrictions established by the creator.
c. Programs, software, or devices that present or provide results that are variable
depending on the operations or handling specified in b. above (including victoryor defeat, scores, images, etc. resulting from the value obtained througharithmetic processing of the operation or handling of data).
14. The term "FY" and "Fiscal Year" herein means a period from April 1 of each year to
March 31 of the following year.
15. In addition to what is provided in the preceding paragraphs, the terms defined in
the Copyright Act (Act No. 48 of 1970; hereinafter simply called "Copyright Act")and the Trust Act (Act No. 108 of 2006; hereinafter simply called "Trust Act") shall-4-have the meanings defined in such laws, unless otherwise provided for in these
Stipulations.

Purpose of Trust
Trustor shall establish a Trust to have Trustee administer Music Copyrights for the
purpose of ensuring the protection of such Music Copyrights and the smooth useof musical works, thereby contributing to the development and promotion ofculture and art.

Chapter 2

Procedure for Establishing Trust and Term of Trust, etc.

Procedure for Establishing Trust
1. A person or an entity who consents to the Purpose of Trust and intends to entrust
the administration of Music Copyrights to Trustee (hereinafter called "Applicant" inparagraph 3) shall agree that a Trust Contract executed with Trustee should containthese Stipulations and submit to Trustee an application for copyright trust contract
and the attached documents separately specified by Trustee.
2. If Trustee finds it appropriate to accept a trust based on the application made under
the preceding paragraph, Trustee shall accept the application and deliver to Trustor
a certificate of trust for the Individual Trust established by the acceptance of theapplication.
3. Notwithstanding the provisions of the preceding two paragraphs, procedures forestablishing trust may be taken in electromagnetic format (limited to those
designated by Trustee) by request of Applicant.

Beneficiary
1. Trustor shall be the beneficiary of the Individual Trust of Trustor.
2. Notwithstanding the preceding paragraph, Trustor may designate a third party as
the beneficiary of the Individual Trust of Trustor if the approval of Trustee is obtainedat the time of executing the Trust Contract.
3. Trustor shall have the right to change the beneficiary of the Individual Trust of
Trustor with the approval of Trustee.

Transfer of Music Copyrights to Trustee
1. Trustor shall transfer to Trustee any and all Music Copyrights owned by Trustor andto be acquired by Trustor in future (including those belonging to Trustor under
Article 37) and treat them as Entrusted Copyrights in the Individual Trust of Trustor.

-5-

2. The Music Copyrights transferred to Trustee under the preceding paragraph shall
include the rights provided in Article 28 of the Copyright Act.
3. When Trustor executes a Copyright Agreement with a Music Publisher (limited tothe persons specified in the following items), Trustor may assign the Music
Copyrights subject to such Copyright Agreement to the Music Publisher,notwithstanding paragraph 1:(1) Trustor of the relevant Trust(2) Member of or Trustor for the Foreign Trustor Organization or any other person
holding an equivalent position
4. With respect to school songs or company songs created upon request, Trustor(limited to authors and composers) may assign all or part of Music Copyrights to
the relevant person/company making the request with the prior approval of Trustee,
notwithstanding paragraph 1.

Selecting the Extent of Trust of Rights
1. With regard to copyrights in Japan, Trustor may exclude all or part of the categories
of rights or the usage forms provided in Appendix 1 from the Extent of Trust of
Rights.
2. With regard to copyrights in foreign countries, Trustor may exclude all or part of thecategories of rights specified below from the Extent of Trust of Rights for eachcountry or region:(1) Performing rights, dramatic performance rights, exhibition rights, public
transmission rights, communication rights, and recitation rights.
(2) Mechanical rights, distribution rights, lending rights, and assignment rights
pertaining to recordings.
(3) Publication Rights and assignment rights pertaining to Published Works.
3. "Region" in the preceding paragraph means the business region of the relevant
Foreign Trustee Organization.
4. Notwithstanding paragraph 1 of the preceding Article, the rights pertaining to thecategories excluded from the Extent of Trust of Rights under paragraph 1 or 2 shallnot be transferred to Trustee.
5. The preceding paragraph shall also apply to the Music Copyrights that are acquiredby Trustor, which is the Music Publisher, under a Copyright Agreement and are
exercised for use outside Japan and fall under category 3 and categories 7 through11 of Appendix 1 (limited to the rights related to the fixation of works for-6-

broadcasting or cable broadcasting with regard to category 11), unless such rights
are administered by a Foreign Trustee Organization.

Timing to Select the Extent of Trust of Rights
1. At the time of applying for the execution of a Trust Contract, Trustor may select the
Extent of Trust of Rights in accordance with the provisions of the preceding Article.
2. Trustor may change the Extent of Trust of Rights on April 1 every year in accordancewith the provisions of the preceding Article. In this case, Trustor shall notify Trustee
in writing to that effect no later than December 31 of the preceding year.

Establishment of More Than One Individual Trust on a Per-Division Basis
A Music Publisher (limited to corporations) may establish more than one Individual
Trust on a per-division basis.

Warranty of Entrusted Copyrights
1. Trustor warrants to Trustee the following matters with regard to all Music Copyrightsthat are treated as Entrusted Copyrights in the Individual Trust of Trustor inaccordance with Article 5, paragraph 1:(1) The Music Copyrights have been lawfully acquired by Trustor.
(2) The Music Copyrights are actually owned by Trustor at the time of the transfer
thereof to Trustee in accordance with Article 5, paragraph 1 and no third party
has legitimate interest in such transfer (if the rights to be transferred are theShare of Jointly Owned Copyrights, Trustor shall obtain the other co-owners'
consent to the transfer of the rights to Trustee and the administration of therights by Trustee).
2. Trustee may, with regard to the warranty set forth in the preceding paragraph,demand that Trustor submit relevant documentation if considered necessary. In thiscase, Trustor shall submit such documentation without delay.

Term of Trust
1. The term of each Individual Trust shall commence on the business day following
the date of acceptance of the relevant Individual Trust set forth in Article 3,
paragraph 2 belongs and expire on the first March 31 that comes after the lapse of
two years from such date.

Renewal of Term of Trust
The term of each Individual Trust shall be extended for three years upon expiry
thereof, unless Trustor of the relevant Individual Trust notifies Trustee in writing of
the intention not to renew the term at least three months prior to the expiration of
the term.
-7-Chapter 3

Trustee's Duties, etc.
General Provisions

Trustee's Duties
1. Trustee shall have the authority to perform the acts specified below and other acts
necessary for accomplishing the Purpose of Trust (hereinafter called "Trust Affairs")
in and outside Japan:(1) Granting a license for the use of Entrusted Works.
(2) Requesting the payment of consideration for the license set forth in thepreceding item (hereinafter called "Royalties") and receiving it.
(3) Receiving compensation as provided in the Copyright Act (limited to the cases
where Trustee has the right to receive compensation based on the Entrusted
Copyrights).
(4) Preventing and solving the infringement of Entrusted Copyrights (including theimplementation of civil and criminal legal measures).
(5) When the Entrusted Copyrights are infringed, requesting compensation fordamages or illicit profit (hereinafter they are collectively called "Damages")(including the implementation of civil legal measures) and receiving it.
(6) Providing Royalties, compensation set forth in item (3), or Damages set forth in
the preceding item (hereinafter called "Royalties, etc.") to the beneficiary(hereinafter called "Distribution" or "Distribute").
(7) Developing information processing systems used for the efficient and smooth
performance of the acts specified in the preceding items and other acts
incidental to the acts specified in the preceding items.

-8-

2. Trustee shall process Trust Affairs with the due care of a prudent manager inaccordance with not only these Stipulations but also the main object of trust.
3. The processing of Trust Affairs shall be performed in comprehensive considerationof social, economic, geographical, or technical conditions, expected amount ofexpenses, and other circumstances to the extent Trustee thinks reasonably feasible.

Entrustment of Processing of Trust Affairs to a Third Party
1. In the cases specified below, Trustee may entrust the processing of Trust Affairs to athird party. In such a case, Trustee shall entrust it to a person considered to beappropriate in light of the Purpose of Trust and perform necessary and appropriate
supervision.
(1) In case Trustee entrusts the administration of Entrusted Copyrights outside
Japan to a Foreign Organization.
(2) In case Trustee entrusts the development of information processing systems,
processing of legal affairs, or other acts that require professional expertise to aperson who has such professional expertise.
(3) In addition to the cases set forth in the preceding two items, in case Trustee
thinks that it is reasonable to entrust it to a third party for the effective
utilization of management resources of Trustee, etc.
2. Notwithstanding the provisions of this Chapter, when a Foreign Trustee
Organization performs the administration of Entrusted Copyrights outside Japan,
the method of determining the amount of Royalties and executing business by theForeign Trustee Organization shall be governed by the laws and ordinances of thebusiness region of such Foreign Trustee Organization and the stipulations of such
Foreign Trustee Organization.

Unified Administration and Differentiation
1. Trustee may administer Entrusted Copyrights in all Individual Trusts and Copyrights
Entrusted by Foreign Trustor Organizations together in a unified manner by themethods specified below:(1) Executing a blanket license agreement (which means an agreement to grant alicense for the use of all the Administered Works; the same shall apply in thefollowing item) with the users of Administered Works.
(2) Requiring the payment of blanket royalties (which means the Royalties whoseamount is fixed on a monthly or annual basis, calculated by multiplying theincome of the users by a certain rate, or calculated by any other blanket means-9-(any means other than the calculation of Royalties per use of each AdministeredWork); the same shall apply in Article 34, paragraph 2, item (4) a.) as Royalties
under the blanket license agreement.
(3) In addition to what is provided in the preceding two items, any method that is
considered reasonable in light of the main object of trust.
2. Trustee shall perform administration by differentiating the Entrusted Copyrightsfrom the Copyrights Entrusted by Foreign Trustor Organizations by a method which
records and stores information on the Interested Parties of all the Administered
Works, and by differentiating the Entrusted Copyrights in each Individual Trust.
3. Trustee may omit the registration of trust and the registration of transfer of
copyrights pertaining to the relevant trust as provided in Article 35, paragraph 1 of
the Copyright Act Enforcement Order (Cabinet Order No. 335 of 1970) (theseregistrations are simply called "Registration" in the following paragraph andparagraph 5).
4. Notwithstanding the provisions of the preceding paragraph, Trustee shall conduct
Registration to the extent necessary for accomplishing the Purpose of Trust in caseany of the following is applicable:(1) In case Registration is demanded by Trustor or the beneficiary.
(2) In case it has become clear that there is a possibility of the processing of Trust
Affairs by Trustee being interrupted by a third party claiming rights on Entrusted
Copyrights.
(3) In case a concrete need arises to assert to a third party that Entrusted
Copyrights appertain to Trust Property.
5. The expenses incurred for the Registration set forth in the preceding paragraph or
the deletion of such Registration shall be borne by Trustor of the Individual Trust
related to such Registration. In this case, the expenses may be reimbursed to Trusteefrom the Trust Property of the Individual Trust.
6. Trustee shall perform administration by differentiating the Royalties, etc. for
Entrusted Copyrights from the Royalties, etc. for Copyrights Entrusted by Foreign
Trustor Organizations by a method which clarifies calculations in accordance with
Article 19, paragraph 2 through 5, and by differentiating the Royalties, etc. of
Entrusted Copyrights in each Individual Trust.

- 10 -

Request for Payment of Royalties, etc.
Request for Payment of Royalties
1. In case Trustee has executed an agreement to grant a license for the use of Entrusted
Works, Trustee shall request that the other party to such agreement (hereinafter
called "User") pay Royalties to the extent specified in the Tariffs for Use of MusicalWorks (which means the tariffs determined by Trustee as the tariffs for use ofmusical works provided in Article 13, paragraph 1 of the Management Business Act;the same shall apply hereinafter) or the amount designated by Trustor underparagraph 1 or 2 of the following Article, except for the cases where Trustee follows
the instructions of Trustor under Article 17, paragraph 1 through 6.
2. In case Trustee thinks that it is unreasonable to request the payment of Royalties asprovided in the preceding paragraph (hereinafter simply called "Request for
Payment") due to a large-scale disaster or other special circumstances, Trustee may
suspend the Request for Payment to the extent and for the period required.

Rate Specified by Trustor
1. Trustor (excluding the persons to whom the proviso of Article 26, paragraph 1
applies; the same shall apply in the following paragraph) may specify the rate
(specify the amount of Royalties payable by the User; the same shall apply
hereinafter), when the works related to Entrusted Copyrights in the Individual Trustof Trustor are used in the following usage forms:(1) Reproduction for Games.
(2) Reproduction for advertisements (hereinafter called "Advertising Purposes").
2. When Entrusted Works of Trustor (which means the Works consisting of the lyrics
and/or music related to Entrusted Copyrights in the Individual Trust of Trustor; thesame shall apply hereinafter) are used in the following usage forms, Trustor may
specify the rate. However, Trustor may designate only the amount of the basic fee(Royalties concerning the fixation of the musical work) with regard to the usage form
set forth in item (3).
(1) Publication.
(2) Recording in films.
(3) Recording in videograms (excluding videograms used for karaoke in Japan).
3. In the case of use in Japan in the usage form specified in the items of the preceding
paragraph, Trustor who may specify the rate under the preceding paragraph shallbe limited to the person who holds the position of sub-publisher (which means a- 11 -

Music Publisher specified in parenthesis in Article 1, paragraph 10, item (1) c. or item
(2) b. in Japan) with regard to the Works used.
4. The usage form specified in paragraph 2, item (3) shall include the fixation of Works
for broadcasting or cable broadcasting outside Japan.

Limitation on Administration by Trustee
1. When Trustor (excluding Music Publishers) uses Entrusted Works of Trustor(including, in the case of item (1) below, Works whose usage is promoted by a Music
Publisher under a Copyright Agreement) (limited to the cases falling under any of
the following items), Trustor may prevent Trustee from making a request for thepayment of Royalties or from exercising Entrusted Copyrights. However, it shall not
apply if any of the other Interested Parties of the relevant Entrusted Works of Trustor
expresses its intention to the contrary:(1) In case Entrusted Works of Trustor are used without the payment to Trustor of
any consideration for the presentation or provision thereof for the purpose ofpromoting the usage thereof.
(2) In addition to the cases set forth in the preceding item, in case Entrusted Worksof Trustor are used within a certain scope specified by the Board of Directors ofTrustee.
2. In case Entrusted Works of Trustor (if Trustor is the author thereof, including theWorks whose usage is promoted by a Music Publisher under a CopyrightAgreement) were created upon a request for creation from a third party (limited tothe cases falling under any of the following items), if the third party making therequest uses the relevant Entrusted Works of Trustor within a certain scope specified
as the purpose of the request, Trustor may prevent Trustee from making a request
for the payment of Royalties or from exercising Entrusted Copyrights with the priorapproval of Trustee:(1) In case the party making the request for creation performs advertisement andthe purpose of the request is to use the Entrusted Works for advertising.
(2) In case the party making the request for creation is a producer of theatrical films
and the purpose of the request is to use the Entrusted Works as theme musicor background music for theatrical films.
(3) In case the party making the request for creation is a producer of broadcast
programs and the purpose of the request is to use the Entrusted Works astheme music or background music for broadcast programs.

- 12 -

(4) In case the party making the request for creation is a producer of Games andthe purpose of the request is to use the Entrusted Works for Games.
(5) In case the party making the request for creation is a producer or sponsor oftheatrical performances and the purpose of the request is to use the Entrusted
Works as theme music or background music for theatrical performances.
(6) In case the party making the request for creation is a producer or sponsor ofopera, musical, or ballet performances, etc. and the purpose of the request is toplay the Entrusted Works in a theatrical manner to portray a story along withacting or dancing.
(7) In case the party making the request for creation is a not-for-profit organizationthat serves the public interest (the scope of organizations falling under thisdefinition is separately determined by Trustee) and the purpose of the request
is to use the Entrusted Works for the business serving the public interest orcommon interest.
(8) In addition to what is provided in the preceding items, in case the party making
the request for creation is a company or any other business operator and the
purpose of the request is to use the Entrusted Works as a company song(including Works that should be considered to be equivalent to a company song
and are unlikely to be used by any person other than the party making therequest).
3. In case Entrusted Works of Trustor that will first be used in commercial recordings(which means the records, videograms and other recordings used for commercial
purposes; the same shall apply hereinafter in this paragraph and Appendix 2)(hereinafter called "New Musical Works" in this paragraph and Appendix 2) orcommercial transmissions (which means commercial interactive transmissions; thesame shall apply hereinafter in this paragraph and Appendix 2) are offered by
Trustor for the use in theatrical films or advertisement for the purpose of promoting
the sales of such commercial recordings or commercial transmissions, Trustor may
prevent Trustee from making a request for the payment of Royalties or fromexercising Entrusted Copyrights (the scope and period thereof is specified inAppendix 2) with regard to the use of the New Musical Works by the producer ofthe relevant theatrical films or the party making the relevant advertisement (called"Advertiser" in the following paragraph and Appendix 2). However, it shall not apply
if any of the other Interested Parties of the New Musical Works expresses its
intention to the contrary or if it may be contrary to the main object of trust.

- 13 -

4. In case Entrusted Works of Trustor that have been created upon a request for
creation from a producer of theatrical films (limited to those created as theme musicor background music for theatrical films; hereinafter called "Commissioned MusicalWorks for Films" in this paragraph and Appendix 2) are offered by Trustor for use inadvertisements for the purpose of promoting the performance of theatrical films
and the secondary use thereof, Trustor may prevent Trustee from making a request
for the payment of Royalties or from exercising Entrusted Copyrights (the scope andperiod thereof is specified in Appendix 2) with regard to the use of theCommissioned Musical Works for Films by the Advertiser. However, it shall not apply
if any of the other Interested Parties of the Commissioned Musical Works for Films
expresses its intention to the contrary or if it may be contrary to the main object oftrust.
5. Trustor (excluding Music Publishers) may designate those who undertake the
Publication of its Entrusted Works.
6. In case Trustor (limited to Music Publishers) publishes Entrusted Works of Trustor,
Trustor may prevent Trustee from making a request for the payment of Royalties orfrom exercising Entrusted Copyrights.
7. In case Trustor (limited to Music Publishers) uses Entrusted Works of Trustor bymeans of interactive transmission (limited to interactive transmission performed bytaking technical protection measures to prevent illegal reproduction, etc.) for the
purpose of promoting their usage, Trustor may prevent Trustee from making arequest for the payment of Royalties or from exercising Entrusted Copyrights.
However, it shall not apply if any of the other Interested Parties of the Entrusted
Works of Trustor expresses its intention to the contrary.
8. In case Entrusted Works of Trustor are recorded with translated lyrics or new lyrics,
Trustor (limited to Music Publishers) may designate such translated lyrics or new
lyrics.

Request for Payment of Damages
When making a request for the payment of Damages, Trustee shall determine theamount of damages in comprehensive consideration of the form and scale of theinfringement of Entrusted Copyrights, provisions of applicable laws and ordinances,and other circumstances.

- 14 -

Distribution of Royalties, etc.
Method of Distributing Royalties, etc.
1. Trustee shall distribute Royalties, etc. in June, September, December, and March ofeach Fiscal Year.
2. Trustee shall identify the Administered Works for which Royalties, etc. should be
distributed on each distribution date (hereinafter called "Work(s) Subject toDistribution") based on the distribution documentation (user's reports on the use ofsongs, statements of distribution provided by Foreign Trustee Organizations, andother equivalent documents recording the title of the Works used and otherinformation; the same shall apply hereinafter) and calculate the amount of Royalties,
etc. by type for each Work Subject to Distribution (hereinafter called "Amount
Distributed for Each Work" in this Article).
3. Trustee shall determine the Interested Parties of each Work Subject to Distribution(hereinafter called "Subject Right Holder(s)" in this Article) and the distribution rate
to be applied to each Subject Right Holder (which means the rate of the amount tobe distributed to the relevant Subject Right Holder against the Amount Distributedfor Each Work by type; the same shall apply hereinafter) based on work
documentation (which means the notification of Works, notification of arrangement,
or notification of translated lyrics submitted in the form prescribed by Trustee,
documents provided by Foreign Trustor Organizations, and other documents
recording the title of Works, Subject Right Holders, distribution rate to be applied
to each Subject Right Holder, and other information related to the relevant works;
the same shall apply hereinafter).
4. Trustee shall calculate the amount of Royalties, etc. for each Subject Right Holder
based on the identification and calculation set forth in paragraph 2 and thedetermination set forth in the preceding paragraph.
5. Trustee shall split the Royalties, etc. to be distributed on the relevant distribution
date into the Royalties, etc. for Entrusted Copyrights and the Royalties, etc. for
Copyrights Entrusted by Foreign Trustor Organizations based on the results ofcalculation performed under the preceding paragraph and distribute the Royalties,
etc. for Entrusted Copyrights to the Trust Property of each Individual Trust.
6. Trustee shall remit the Royalties, etc. distributed to the Trust Property of each
Individual Trust under the preceding paragraph to the bank account designated by
the beneficiary of the relevant Individual Trust (hereinafter called "DesignatedAccount") by the twenty-fifth (25th) day of the month to which the relevant- 15 -

distribution date belongs. In this case, Trustee shall prepare a document that clarifies
the Amount Distributed for Each Work by type under each Individual Trust andprovide it to the beneficiary of the relevant Individual Trust.
7. In case any of the following items applies to an Individual Trust, Trustee may suspend
a remittance or provision of a document under the preceding paragraph until the
relevant cause is resolved. In this case, the payment of interest shall not be required.
(1) In case the remittance directed to the Designated Account does not reach suchbank account.
(2) In case the execution of a pledge, coercive collection or other seizure isconducted against the right to demand distribution (which means the right toreceive the distributed amount under the provisions of this Article; the same
shall apply hereinafter).
(3) In case the notification set forth in Article 26 does not reach the recipient on
three or more consecutive occasions.
(4) In case the person who should submit notification under Article 29, paragraph
2 or 3 does not submit such notification.
8. In addition to what is provided in this Article, the detailed matters related to theDistribution of Royalties, etc. by type shall be determined separately by Trustee
through investigation and discussion by the committee established by Trustee inaccordance with the Articles of Association of Trustee.

Suspension of Royalty Distribution, Licensing, and Exclusion from Trust
1. In case any of the following items applies to the Works Subject to Distribution,
Trustee may suspend the determination set forth in paragraph 3 of the preceding
Article, calculation set forth in paragraph 4 of the preceding Article, or distribution
set forth in paragraph 5 of the preceding Article to the extent and for the periodrequired:(1) In case no work documentation is submitted.
(2) In case multiple items of work documentation are submitted and the content
thereof is inconsistent.
(3) In addition to what is provided in the preceding items, in case there is asufficient reason for suspecting that the copyrights are not vested in Trustor
who has submitted the work documentation.
(4) In case there is a sufficient reason for suspecting that the term of copyrights
has expired.

- 16 -

(5) In case complaints are filed or actions are brought concerning the infringementof copyrights of other works, or in case Trustee receives notification from those
who claim their copyrights to be infringed.
2. In case item (3) or (4) of the preceding paragraph applies and distribution issuspended, if Trustee considers it difficult to resolve the doubt, Trustee may suspend
licensing for use of the relevant works and a request for the payment of Royalties,
etc. to the extent and for the period required (called "Suspension of Licensing" in
the following paragraph).
3. In case any of the following items applies, even if the copyrights of the relevant
works belong to the Trust Property of any Individual Trust, Trustee may exclude such
copyrights from the Trust Property and have them belong to Trustor of such
Individual Trust to the extent required:(1) In the case of Suspension of Licensing, if there is no prospect of resolving the
doubt and Trustee comes to consider it difficult to accomplish the Purpose ofTrust.
(2) In case paragraph 1, item (5) applies and distribution is suspended, anddecisions and other judicial judgments acknowledging the fact of infringement
are finalized, or it is acknowledged that the fact of infringement is clear.
4. When Trustee takes any of the measures provided in the preceding three paragraphs,
Trustee shall notify the person specified in each item to that effect depending on
the case set forth in each item:(1) In case paragraph 1, item (1) applies and distribution is suspended: Trustor
described as the author of the relevant works in distribution documentation.
(2) In case paragraph 1, item (2) applies and distribution is suspended: Trustor who
submitted work documentation for the relevant works.
(3) Cases other than the preceding two items: Trustor and the beneficiary of the
Individual Trust related to the Works.

Extinctive Prescription on Right to Demand Distribution
1. Extinctive prescription on the right to demand distribution shall be in accordancewith the provisions of the Trust Act and other laws and ordinances.
2. In case Trustor is a member of Trustee (which means a member provided in the
Articles of Association of Trustee), Trustee may receive a membership fee bytransferring the amount of membership fee payable by Trustor to Trustee under the
Articles of Association of Trustee from the Trust Property in the Individual Trust of
Trustor to Trustee's own property.

- 17 -

3. In case remittance is made under Article 19, paragraph 6, if Trustee has a monetaryclaim against the beneficiary of the relevant Individual Trust, Trustee may set off theamount of such monetary claim against the amount of the beneficiary's right todemand distribution, whether the repayment of the monetary claim is due or not.
In this case, the obligations of the beneficiary shall naturally be accelerated.
4. With respect to the Entrusted Works whose usage is promoted by a Music Publisher
under a Copyright Agreement between Trustor and the Music Publisher, Trustee may,upon an inquiry from Trustor (excluding Music Publishers), disclose the status ofDistribution of Royalties, etc. to such Music Publisher.

Expenditure for Business Serving the Common Purpose of Trustor

1. In case distribution is suspended (limited to the cases where Article 20, paragraph
1, item (1) applies; the same shall apply hereinafter) and Trustee has taken measures
to resolve the relevant cause (the content of such measures shall be separately
determined by Trustee), if work documentation is not submitted for any work evenafter ten (10) years have passed from the commencement of the suspension of
distribution, Trustee may use the amount corresponding to the Royalties, etc. whose
distribution has been suspended for the relevant work for ten (10) years or morefrom the commencement of the suspension of distribution as expenditure for thebusiness serving the common purpose of Trustor for the purpose of accomplishing
the Purpose of Trust.
2. The content of business set forth in the preceding paragraph shall be determinedby the Board of Directors of Trustee (hereinafter simply called "Board of Directors"
in this paragraph) through investigation and discussion by the committee
established by a resolution of the Board of Directors.

Administrative Expenses, etc.
Definition
1. The term "Trust Account" in this Section and Articles 25 and 44 means the accountof Royalties, etc. (including Royalties, etc. for Copyrights Entrusted by Foreign
Trustor Organizations) that are received by Trustee.
2. The term "General Account" in this Section and Article 44 means the account ofTrustee's own property.

- 18 -

Administrative Expenses, etc.
1. When splitting and distributing Royalties, etc. under Article 19, paragraph 5 on each
distribution date, Trustee may transfer the amount calculated by multiplying such
Royalties, etc. by the administration expense rate for each type (which means therate separately determined by Trustee within the scope of administration expense
rate specified in Appendix 3) to the General Account as administrative expenses(which means remuneration for Trustee as provided in Article 11, paragraph 1, item(4) of the Management Business Act; the same shall apply hereinafter in this Article).
2. In case it is necessary to use a fund to pay the expenses necessary for the
performance of operations, Trustee may transfer a part of the original Royalties in
the Trust Account (which means the Royalties, etc. received by Trustee before
splitting or distribution under Article 19, paragraph 5; the same shall apply
hereinafter in this Article and Article 44) to the General Account as the advancepayment of a fund necessary for the performance of operations, provided that suchpayment can be securely settled with the administration expenses set forth in thepreceding paragraph on the subsequent distribution date (which means the
distribution date that comes after the application of the provisions of thisparagraph).
3. When receiving the advance payment of a fund necessary for the performance of
operations under the preceding paragraph, Trustee shall determine it by a resolutionof the Board of Directors to clarify the amount of the fund and the deadline forsettlement.
4. Trustee may transfer the amount of fruits arising from Royalties, etc. before
Distribution under Article 19 to the General Account to use such amount to pay the
expenses necessary for the performance of operations.
5. In case the total amount of current revenue in the General Account for a Fiscal Year(excluding the membership fees received; the same shall apply in paragraph 7)
exceeds the amount of current expenditure (limited to business expenses andadministration expenses; the same shall apply in paragraph 7), Trustee shall transfer
the excess amount (hereinafter called "Difference between Revenue andExpenditure"; the same shall apply in the following paragraph and paragraph 7) tothe original Royalties in the Trust Account.
6. The provisions of Article 19, paragraph 8 shall apply mutatis mutandis to the methodof distributing the Difference between Revenue and Expenditure transferred to theoriginal Royalties under the preceding paragraph.

- 19 -

7. In case the total amount of current revenue in the General Account for a Fiscal Yearis less than the total amount of current expenditure, Trustee shall make up theshortage with the Difference between Revenue and Expenditure for the Fiscal Yearfollowing the relevant Fiscal Year.
8. The provisions of this Article shall not preclude the application of Article 48 of theTrust Act.

Provision of Information, etc.
Provision of Information
1. Trustee shall provide the beneficiary with the information specified in the following
items by the means specified in each item:(1) Titles of Works related to all Entrusted Copyrights in the Individual Trust of thebeneficiary, Interested Parties, and distribution rate for the beneficiary:
Provision for inspection by the use of the Internet or by any other appropriate
means.
(2) Amount of Royalties, etc. distributed to the Individual Trust of the beneficiaryon each distribution date under Article 19, paragraph 5: Provision of documentsin accordance with the latter part of Article 19, paragraph 6.
(3) Revenue and expenditure of the Trust Account for each Fiscal Year and thedetails thereof: Written notice or provision for inspection by the use of theInternet.
(4) The balance sheet of the Trust Account as of the end of each Fiscal Year: Written
notice or provision for inspection by the use of the Internet.
2. Trustee may provide information under the preceding paragraph, instead of a report
made under Article 37, paragraph 3 of the Trust Act.
3. The beneficiary may not make a demand under Article 38, paragraph 1 of the Trust
Act for any information other than the information specified in the items of Article
38, paragraph 4 of the Trust Act.
4. In case a demand is made under Article 38, paragraph 1 of the Trust Act, if any of
the following items applies, Trustee may refuse to meet such demand:(1) In case meeting the demand would constitute a breach of obligations under the
Personal Information Protection Act and other laws and ordinances.
(2) In case meeting the demand would constitute a breach of obligations under the
principle of good faith.

- 20 -

(3) In case meeting the demand would constitute a breach of obligations under aconfidentiality agreement or any other agreement executed with a third party.
(4) In addition to the cases set forth in the preceding items, in case any of the itemsof Article 38, paragraph 2 of the Trust Act applies.
5. Trustee shall make public the following tariffs, etc. by the use of the Internet or by
any other appropriate means, and notify Trustor and the beneficiary of any
amendment thereof:(1) Tariffs for Use of Musical Works provided in Article 15, paragraph 1.
(2) Detailed matters related to the method of distributing Royalties, etc. for eachtype provided in Article 19, paragraph 8.
(3) Administration expense rate provided in Article 24, paragraph 1.
(4) Method of distributing the Difference between Revenue and Expenditureprovided in Article 24, paragraph 6.

Notifications
1. Notifications from Trustee to Trustor under these Stipulations shall be directed tothe address or contact of Trustor of each Individual Trust that is notified by Trustorof such Individual Trust (called "Notified Address, etc." in item (1)). However, in caseany of the following items applies to the Individual Trust, Trustee may suspend
notification until the relevant cause is resolved:(1) In case notifications directed to the Notified Address, etc. do not reach suchaddress on three or more consecutive occasions.
(2) In case the person who should give notification under Article 31, paragraph 2
or 3 does not give such notification.
2. Notifications from Trustee to the beneficiary under these Stipulations shall bedirected to the address or contact of Trustor of each Individual Trust that is notified
by Trustor or the beneficiary of such Individual Trust (called "Notified Address, etc."
in item (1)). However, in case any of the following items applies to the Individual
Trust, Trustee may suspend notification until the relevant cause is resolved:(1) In case notifications directed to the Notified Address, etc. do not reach suchaddress on three or more consecutive occasions.
(2) In case the person who should give notification under Article 29, paragraph 2
or 3 does not give such notification.

- 21 -

Chapter 4

Beneficiary Rights and Status of Trustor

Prohibition of Unauthorized Assignment or Pledge of Beneficiary Rights
1. The beneficiary (excluding any person specified in the following paragraph) may
assign or pledge beneficiary rights, only when authorization is obtained fromTrustee.
2. A person who has acquired beneficiary rights by the designation or amendment of
the beneficiary may assign or pledge beneficiary rights, only when authorization is
obtained from Trustee and Trustor of the relevant Individual Trust.
Prohibition on Unauthorized Assignment or Pledge of Right to DemandDistribution
1. The right to demand distribution may be assigned or pledged, only whenauthorization is obtained from Trustee.
2. The provisions of paragraph 2 of the preceding Article shall apply mutatis mutandis
to the assignment or pledge of the right to demand distribution.

Succession of Beneficiary Rights
1. Beneficiary rights under a Trust may be inherited.
2. A person who has succeeded to beneficiary rights under a Trust by inheritance or
testamentary gift (including gifts that become effective upon the death of theperson giving such gifts; the same shall apply hereinafter) or by a company merger
or split shall promptly notify Trustee to that effect.
3. In case multiple persons jointly succeed to beneficiary rights under the same
Individual Trust, such successors shall notify Trustee of one person who represents
and exercises the beneficiary rights under the Individual Trust.

Transfer of Status of Trustor
Trustor may transfer the status of Trustor under the Individual Trust of Trustor to athird party with the consent of Trustee and the beneficiary of such Individual Trust.

Succession of Status of Trustor
1. The status of Trustor under a Trust may be inherited. In this case, the right set forthin Article 4, paragraph 3 shall also be inherited, unless Trustor expresses its intention
to the contrary.
2. A person who has succeeded to the status of Trustor under a Trust by inheritance or
testamentary gift or by a company merger or split shall promptly notify Trustee tothat effect.

- 22 -

3. In case multiple persons jointly succeed to the status of Trust under the same
Individual Trust, such successors shall notify Trustee of one person who represents
and exercises the rights of Trustor under the Individual Trust.
4. In case the person who should give notification under the preceding two paragraphs
is the same as the person who should give notification under Article 29, paragraph
2 and 3, notification under the preceding two paragraphs shall suffice.

Exceptions on the Status of Trustor and Exercise of Rights
1. In case Trustor appoints or changes a beneficiary or assigns the beneficiary rights
before the death of such Trustor, if the person who thereby acquires beneficiaryrights (including the person who acquires beneficiary rights upon the death of such
Trustor) is the only beneficiary or becomes the only beneficiary under the relevant
Individual Trust upon the death of such Trustor, the status of Trustor under the
Individual Trust shall be transferred to the only beneficiary upon the death of such
Trustor.
2. In case the status of Trustor is succeeded to by inheritance or testamentary gift, if
any other beneficiary under the Individual Trust exists besides the successors, thefollowing rights of Trustor may not be exercised unless consent is obtained fromsuch another beneficiary. However, it shall not apply if it is clear that the interests ofsuch beneficiary are not prejudiced:(1) Rights provided in Article 4, paragraph 3.
(2) Rights provided in Article 6, paragraph 1 and 2.
(3) Right to give notification under Article 11.
(4) Rights provided in Article 33, paragraph 1 and 2(5) Rights provided in Article 39, paragraph 3.
3. In case Trustor assigns or pledges the beneficiary rights owned by Trustor under the
Individual Trust of Trustor or the right to demand distribution, the rights of Trustor
specified in the items of the preceding paragraph may not be exercised unlessconsent is obtained from such assignee or pledgee. However, this shall not apply if
it is clear that the interests of such assignee or pledgee are not prejudiced.
4. For the application of Article 16, paragraph 1 and 2 when Trustor is not thebeneficiary of the Individual Trust of Trustor, the term "Trustor" in said paragraphs
shall be read as "beneficiary." However, if the parties agree that Trustor may specify
the rate, the parties shall comply with such agreement.

- 23 -

Chapter 5

Termination of Trust

Cancellation by Trustor
1. Trustor may cancel its contract (Trust Contract executed with Trustee that contains
these Stipulations; the same shall apply in the following paragraph and Article 39,
paragraph 3) by notifying Trustee in writing. In this case, the Individual Trust
concerning such contract terminates on the first March 31 coming after two (2)months following the day on which the notification of cancellation reaches Trustee.
2. Trustor may cancel its contract without notification, in case a fact contravening theprovisions of the items of Article 46, paragraph 1 is discovered with respect toTrustee.
3. Trustor shall not be liable for any losses incurred by Trustee due to the cancellation
stipulated in the preceding two paragraphs.

Cancellation by Trustee
1. Trustee may cancel the Trust Contract related to the relevant Individual Trust without
notification, if any of the following items applies:(1) In case Trustor has lost all the Entrusted Copyrights.
(2) In case a fact contravening the provisions of the items of Article 46, paragraph
1 is discovered with respect to Trustor.
2. Trustee may cancel the Trust Contract related to the relevant Individual Trust uponprior notification in writing with a grace period of at least two (2) weeks, in case anyof the following items applies. However, this does not prevent Trustee from claiming
damages:(1) In case Trustor makes duplicate assignments of Entrusted Copyrights.
(2) In case Trustor fails to perform the warranty obligation specified in Article 9 andother obligations of Trustor specified in these Stipulations.
(3) In addition to what is provided in the preceding two items, in case Trustor has
performed any of the acts listed below or any other act that may interfere withthe performance of Trust Affairs by Trustee (including a case where Trustor has
performed such acts using a third party):a.

Persistently and repeatedly calling Trustee by telephone, sending e-mails toTrustee, or visiting Trustee beyond the extent acceptable under social
convention.

- 24 -

b. Performing an act that may damage the physical and mental safety,
peaceful social life or the honor of persons engaging in the business ofTrustee.
c.

Transmitting any false information related to Trustee that may damage thecredibility of Trustee to an unspecified or large number of persons(excluding cases where Trustor erroneously believes that the information istrue and there is a reasonable ground for believing so).

(4) In case Trustor has performed any of the acts listed below or any other act thatmay damage the common interest of other Trustors and Beneficiaries (including
cases where Trustor has performed such acts using a third party).
a.

Intentionally being involved in the use of its own Entrusted Works beyond
the extent recognized as appropriate in light of normal commercial
practices and thereby unfairly receiving a distribution related to blanket
royalties.

b. In addition to what is provided in a. above, unfairly receiving a distributionbyintentionally

includingfalse

information

in

the

distribution

documentation.
c.

Performing an act that infringes Music Copyrights administered by Trustee
or failing to perform the obligation to pay Royalties for works in accordancewith the license agreement executed with Trustee.

(5) In case a fact contravening the provisions of the items of Article 46, paragraph
2 is discovered with respect to the beneficiary (except the beneficiary who is
Trustor).
3. Trustee shall not be liable for any losses incurred by Trustor or the beneficiary due
to the cancellation stipulated in the preceding two paragraphs.

Reasons for Termination
1. In case any of the events specified in the following items occurs, the Individual Trustshall terminate:(1) In case the term of trust has expired (excluding the cases where the term isrenewed under the provisions of Article 11).
(2) In case March 31 provided in the latter part of Article 33, paragraph 1 has
passed.
(3) In case a notice of termination under Article 33, paragraph 2, or Article 34
paragraph 1 or 2, or Article 39, paragraph 3 has arrived.

- 25 -

(4) In case Trustor (limited to Music Publishers) has dissolved itself due to thedetermination of commencement of bankruptcy proceedings or for any otherreason.
(5) In case the whereabouts of Trustor (limited to Music Publishers) are unknown(which means that Trustor has changed or left its address without giving thenotification set forth in Article 43, paragraph 1, item (2) and reasonable
investigation by Trustee cannot find the whereabouts of Trustor; the same shallapply hereinafter).
(6) In addition to the cases set forth above, in case any reason for termination of aTrust arises as provided in the Trust Act.

Settlement
1. The Individual Trust terminated under the preceding Article (hereinafter called "Trust
to Be Settled") shall be deemed to exist pursuant to the provisions of the Trust Act
until the completion of settlement.
2. Trustee shall perform the following duties with regard to the Trust to Be Settled:(1) Completion of current duties.
(2) Collection of claims belonging to the Trust Property and payment of debts
concerning trust claims.
(3) Payment of debts related to distribution claims as a beneficiary (excluding
claims for the provision of remaining property).
(4) Provision of remaining property.
3. Remaining property in the Trust to Be Settled shall belong to Trustor of the Trust to
Be Settled. However, if Trustor (excluding Music Publishers) designates a third party
as the right owner with consent from Trustee, the remaining property shall belong
to such third party.

Exceptions on Ownership of Entrusted Copyrights
1. Among Entrusted Copyrights in the Trust to Be Settled (limited to the trusts
terminated due to the event set forth in Article 35, item (4)) any copyright acquiredby Trustor under a Copyright Agreement shall be vested in the other party to such
Copyright Agreement, notwithstanding the provisions of paragraph 3 of thepreceding Article. However, it shall not apply if the other party to the CopyrightAgreement is not Trustor of another Individual Trust.
2. With respect to the Trust to Be Settled (limited to the cases where Trustor is a Music
Publisher), if the whereabouts of Trustor are unknown, any Entrusted Copyrights in- 26 -

the Trust to Be Settled that have been acquired by Trustor under a CopyrightAgreement shall be vested in the other party to such Copyright Agreement,
notwithstanding the provisions of paragraph 3 of the preceding Article and thepreceding paragraph.

Exceptions to Distribution of Royalties, etc.
With respect to the Trust to Be Settled (limited to the cases where Trustor is a Music
Publisher), if the whereabouts of Trustor are unknown, all Royalties, etc. belonging
to the Trust Property of the Trust to Be Settled that are to be distributed to the Works
for which copyrights have been acquired by Trustor under a Copyright Agreement
shall

be

distributed totheother party

tosuch CopyrightAgreement,

notwithstanding the provisions of Article 19, paragraph 3 through 6.

Chapter 6

Changes to Stipulations

1. Pursuant to the provisions of Article 548-4 of the Civil Code (Act No. 89 of 1896),
Trustee may change these Stipulations and thereby change the content of the TrustContract for each Individual Trust without individually executing an agreement withthe relevant Trustor and beneficiary. In this case, the content of such change shallbe determined through investigation and discussion by the committee establishedby Trustee in accordance with the Articles of Association of Trustee.
2. When changing these Stipulations under the preceding paragraph, Trustee shallannounce such change and the content of the changed Stipulations (including theeffective date thereof) and also give notification to Trustor and the beneficiary.
3. Trustor objecting to the changes notified under the preceding paragraph may cancel
its contract within three (3) months from the day of the receipt of notification.
4. The right to cancel mentioned in the preceding paragraph shall be exercised inwriting.

Chapter 7

Auxiliary Provisions

Changes in Entrusted Copyrights Due to Termination of CopyrightAgreement, etc.
Entrusted Copyrights in an Individual Trust whose Trustor is a Music Publisher shallcease to be Entrusted Copyrights in such Individual Trust, in case a CopyrightAgreement or Sub-Publishing agreement (agreement executed by the Music- 27 -

Publisher who is Trustor with a foreign Music Publisher for the purpose of receiving
the authority to administer copyrights as provided in parenthesis in Article 1,
paragraph 10, item (1) c. or item (2) b.) related to the Entrusted Copyrights is
terminated.

Succession of Contractual Status under License Agreement
1. In cases where the Music Copyrights owned by Trustor become Entrusted
Copyrights due to the transfer of Music Copyrights under Article 5, paragraph 1 ora change of the Extent of Trust of Rights under Article 7, paragraph 2, if there is any
effective license agreement for the rights becoming Entrusted Copyrights, the statusof the licensor (which means the party granting such license; the same shall apply
in the following paragraph) under the agreement shall not be succeeded to by
Trustee.
2. In cases where there is any effective license agreement (hereinafter called"Agreement in Force" in the following paragraph) for the rights that will cease to be
Entrusted Copyrights (hereinafter called "Rights Ceasing to Be Entrusted
Copyrights" in this paragraph) as a result of a change of the Extent of Trust of Rights
under Article 7, paragraph 2, provision of remaining property under Article 36,
paragraph 3 or Article 37, or changes in Entrusted Copyrights under the preceding
Article (hereinafter they are collectively called "Changes in Rights" in this Article), if
such agreement is not a blanket license agreement (which means a blanket license
agreement provided in Article 14, paragraph 1, item (1); the same shall apply in thefollowing paragraph), the status of the licensor under the agreement shall be
succeeded to by the person who acquires the Rights Ceasing to Be Entrusted
Copyrights as a result of Changes in Rights; provided, however, that if the person
who has acquired the Rights Ceasing to Be Entrusted Copyrights as a result of
Changes in Rights or the execution of a Copyright Agreement or Sub-Publishingagreement thereafter is the Trustor of another Individual Trust and the Rights
Ceasing to Be Entrusted Copyrights become Entrusted Copyrights of such anotherIndividual Trust, the status of the licensor shall be retained by Trustee.
3. In the case set forth in the main text of the preceding paragraph, if the Agreementin Force is a blanket license agreement, the Works related to the Rights Ceasing to
Be Entrusted Copyrights shall naturally cease to be the subject matters of theAgreement in Force as a result of Changes in Rights.

Trustor's Obligation to Notify Seal Impression
1. Trustor shall notify Trustee of its seal impression.

- 28 -

2. Trustee shall not be liable for indemnifying or compensating any loss or damage
resulting from the fraudulent use by a third party of the notified seal of Trustor(which means the seal impression notified by Trustor under the preceding
paragraph; the same shall apply hereinafter).
3. The provisions of the preceding two paragraphs shall be applied mutatis mutandis
to seal impressions of Beneficiaries (excluding Beneficiaries who are also Trustors).
4. The provisions of paragraph 1 shall not apply to Trustors who established individual
Trust by the electromagnetic format specified in Article 3, paragraph 3 (hereinafter
called “Trustors concluding electronic agreements”).
5. Excluding cases where the cause should be attributed to Trustee, Trustee shall not
be liable for indemnifying or compensating any loss or damage resulting from thefraudulent use by a third party of personal identification information of Trustors(which means passwords and other credentials set up by Trustors during the processof concluding electronic agreements).

Duty of Notification by Trustor
1. In case any of the following occurs (limited to the cases where Trustor is a Music
Publisher with regard to item (4), and limited to the cases where Trustor is a
corporation with regard to items (7) through (9)), Trustor shall notify Trustee without
delay and follow other prescribed procedures. The same shall also apply in case anyof item (1), (2), or (5) through (9) occurs to beneficiaries (excluding beneficiaries who
are also Trustors):(1) Loss of the certificate of trust or notified seal.
(2) Change to the name, address, email address, or notified seal.
(3) Acquisition of new Music Copyrights.
(4) Termination of a Copyright Agreement or Sub-Publishing agreement (whichmeans the Sub-Publishing agreement specified in Article 40).
(5) Change to the substitute recipient of notifications (which means the substituterecipient specified in paragraph 3; the same shall apply in the following item).
(6) Change to the name or address of the substitute recipient of notifications.
(7) Change to the representative or the name of the representative.
(8) Merger, demerger, or reorganization.
(9) Dissolution due to the determination of the commencement of bankruptcy
proceedings or for other reasons.

- 29 -

2. When giving notification related to item (3) of the preceding paragraph, Trustor shallalso notify Trustee of the information on the categories of rights excluded from the
Extent of Trust of Rights under Article 6, paragraph 1 or 2.
3. In case Trustor resides abroad, Trustor shall notify Trustee of the name and addressof the substitute recipient of notifications (which means the person who receives
notifications in Japan on behalf of Trustor under these Stipulations).
4. In case the beneficiary resides abroad, the beneficiary shall notify Trustee of thename and address of the substitute recipient of remittances and notifications (whichmeans the person who receives remittances and notifications in Japan on behalf ofthe beneficiary under these Stipulations; the same shall apply in the following
paragraph).
5. In case any of the following occurs, the beneficiary shall notify Trustee to that effectwithout delay:(1) Change to the designated bank account.
(2) Change to the substitute recipient of remittances.
(3) Change to the name or address of the substitute recipient of remittances.
6. Trustee shall not be liable for paying compensation or damages for any loss ordamage resulting from a failure of Trustor or the beneficiary to give notification orreport under the preceding paragraphs.

Use of Entrusted Works by Trustee
Trustee may use Entrusted Works by transferring the amount of Royalties specified
in the Tariffs for Use of Musical Works (or the amount of the specified rate, if suchrate is specified under Article 16, paragraph 1 or 2) from the General Account to theoriginal Royalties in the Trust Account.

Return of Rights for Filing Lawsuits
1. Trustor may, when filing a lawsuit due to the infringement of Entrusted Copyrights
in the Individual Trust of Trustor, have the Entrusted Copyrights returned to Trustor
to the extent and for the period necessary for such lawsuit, provided that there is aconsiderable reason to file a lawsuit and the appropriate execution of Trustee's
copyright administration operations is not interfered with.
2. When requesting the return of Entrusted Copyrights as provided in the preceding
paragraph, Trustor shall notify Trustee to that effect in a written document stating
the reason for the return and obtain approval from Trustee.

- 30 -Elimination of Anti-Social Forces
1. Trustor and Trustee respectively warrant to the other party the following matters:(1) It (including its officers, if it is a corporation; the same shall apply in thefollowing item) is not and will not be Anti-Social Forces.
(2) It will not be engaged in any Anti-Social Act.
(3) It will not have a third party engaged in any Anti-Social Act.
2. In the event Trustor appoints or changes a beneficiary or assigns the beneficiaryrights and thereby a third party becomes a beneficiary of the Individual Trust of
Trustor, Trustor warrants to Trustee the following matters:(1) The beneficiary (including its officers, if it is a corporation; the same shall apply
in the following item) is not and will not be Anti-Social Forces.
(2) The beneficiary will not be engaged in any Anti-Social Act.
(3) The beneficiary will not have a third party engaged in any Anti-Social Act.
3. The term "Anti-Social Forces" used in this Article shall mean:(1) an organized crime group;(2) a member of an organized crime group;(3) a person for whom five years have not passed since such person ceased to bea member of organized crime group;(4) a quasi-member of an organized crime group;(5) a company affiliated with an organized crime group;(6) a corporate extortionist;(7) a group engaging in criminal activities under the pretext of conducting social
campaigns, etc.;(8) a crime group specialized in intellectual crimes; or(9) any other party similar to the above.
4. The term "Anti-Social Act" used in this Article shall mean:(1) violent demands;(2) illegal demands beyond legal responsibility;(3) threatening words or acts or acts using violence with respect to business
transactions;(4) discrediting the other party or preventing the other party from doing businessby spreading rumors, using fraudulent means, or exercising force; or(5) giving benefits to Anti-Social Forces or any other act to promote the activities
of Anti-Social Forces.

- 31 -

Secure Management of Personal Data
1. Trustee shall take necessary and appropriate measures for the prevention of leakage
and otherwise secure management with regard to personal data of Trustor and thebeneficiary (including their personal numbers) in its possession.
2. When Trustor receives the personal data of a third party from Trustee based on these
Stipulations, Trustor shall take necessary and appropriate measures for theprevention of leakage and otherwise secure management.

Provision of Personal Data to a Third Party
1. In case any of the following items applies, Trustee may provide personal data ofTrustor (excluding its personal number) to a third party. However, (2) to (8) arelimited to provision to the extent necessary for the administration of Entrusted
Copyrights:(1) In case information such as the name or pseudonym, author/composerclassification, and titles of major works created with regard to Trustor who has
established a new Individual Trust or has terminated an Individual Trust or those
who have succeeded to the status of Trustor or have added pseudonyms are
published on a newsletter of Trustee.
(2) In case information regarding Entrusted Works are provided to users and otherthird parties (including foreign music publishers and users).
(3) In case information regarding Entrusted Works are provided to Foreign
Organizations and business operators engaged in the administration of Music
Copyrights in Japan.
(4) In case the notification of Works and other work documentation which list
multiple Interested Parties have been submitted, and the information describedor recorded in such work documentation is provided to Interested Parties otherthan the person who has submitted such documentation.
(5) With respect to works for which the notification of Works and other work
documentation have not been submitted, in case a request for confirming thefacts is made to the author of such works who is described or recorded inreports on the use of songs and other distribution documentation.
(6) With respect to Administered Works for which multiple Interested Parties exist,
in case the Interested Parties are notified of information regarding theDistribution of Royalties for such works.
(7) In case measures to prevent or resolve the infringement of Entrusted Copyrights
are taken.

- 32 -

(8) In case any provision besides the aforementioned is required for theadministration of Entrusted Copyrights.

Use of Personal Numbers
Trustee shall use the personal number provided by Trustor or the beneficiary only
for the purpose of preparing and submitting a report pursuant to the provisions of
the Income Tax Act (Act No. 33 of 1965).

Utilization of Electromagnetic Format
1. Notification, reporting, or submission of documents to Trustee based on these
Stipulations may be conducted in an electromagnetic format designated by Trustee.
2. Notification or submission of documents to Trustor or the beneficiary (hereinafter
called“Trustors,etc.”)

based

on

these

Stipulations(hereinafter

called“Notifications, etc.”) may be conducted in an electromagnetic format. However,for Trustors, etc. who are recognized as unable to receive Notifications, etc. in anelectromagnetic format due to inevitable reasons, this shall not necessarily apply.

Announcements
Announcements under these Stipulations shall be made by the use of the Internet
or by any other appropriate means.

Governing Law and Jurisdiction
The Trust shall be governed by the laws of Japan, and any dispute arising inconnection with the Trust (including arbitration procedures of the court) shall be
submitted to the Tokyo District Court or the Tokyo Summary Court having exclusive
jurisdiction in the first instance.

Supplementary Provisions
Date of Enforcement
These Stipulations shall come into force on January 1, 2020. However, the provisions
specified in the following items shall come into force on the date specified in each
item:
(1) Provisions of Article 22: Day after January 1, 2020 that is determined by the
Board of Directors of Trustee.
(2) Provisions of Article 39: April 1, 2020

- 33 -

Article 2 to Article 4

DeletedSupplementary Provisions
Article 1.

Date of Enforcement

These Rules (Rules for partial amendment to the Stipulations for Administration TrustContract) shall come into force on September 1, 2020. However, the provisions
specified in Article 3 and Article 10 of the amended Stipulations for Administration
Trust Contract (hereinafter called "New Stipulations") shall apply to Individual Trusts
whose term of trust begins on or after the said date.

Article 2 to Article 4

DeletedSupplementary Provisions
Article 1.

Date of Enforcement

This Stipulation (Stipulation Partially Revising the Stipulations for Administration
Trust Contract) shall come into force on April 1, 2022; provided, however, that theprovisions revising Article 14 and Article 34 shall come into force on August 1, 2021.

Article 2 to Article 5

DeletedSupplementary Provisions
Article 1.

Date of Enforcement

This Stipulation (Stipulation Partially Revising the Stipulations for Administration
Trust Contract) shall come into force from the day that is determined by the Board of
Directors of Trustee.

Article 2.

Transitional Measure Related to Selection of the Extent of Trust of Rights

1. The Extent of Trust of Rights for an Individual Trust pursuant to the Stipulations for
Administration Trust Contract before revision by this Stipulation (hereinafter called"Former Stipulations"), existing at the time of enforcement of this Stipulation(hereinafter called "Existing Trust") and selected by the Trustor of the relevant
Existing Trust pursuant to the provisions of the Former Stipulations, shall bedeemed to be selected pursuant to the provisions of the New Stipulations(Stipulations for Administration Trust Contract after revision by this Stipulation;same hereinafter).

- 34 -

2. When selecting the Extent of Trust of Rights pursuant to the provisions of Article
6, paragraph 1 of the New Stipulations, if Trustor wholly or partially excludes
categories (11) through (13) listed in Appendix 1 of the New Stipulations from the
Extent of Trust of Rights, the overseas rights of the excluded categories that areoutside the scope of administration by Foreign Organizations shall not betransferred to Trustee, notwithstanding the provisions of Article 5, paragraph 1 of
the New Stipulations.

Article 3.

Transitional Measure Related to the Term of Trust

With respect to a trust for the period until the extinguishment of copyright (anExisting Trust whose term is until the extinguishment by expiration of all the
Entrusted Copyrights of such Individual Trust), the term of such trust shall not bechanged even after the enforcement of this Stipulation, and the provisions of Article
11 of the New Stipulations shall not apply upon the expiration of the term.

Article 4. Transitional Measure Related to Withholding or Restriction of Administration
The Trustor of an Existing Trust that continues to withhold or restrict administration
as provided in Article 11, paragraph 1, item (2) of the Stipulations for Copyright TrustContract (established on June 27, 2018) at the time of enforcement of this Stipulation
may continue to withhold or restrict administration as provided in the said item evenafter the enforcement of this Stipulation.

Article 5.

Partial Amendment of the Stipulation Partially Revising the Stipulations for

Administration Trust Contract
The Stipulation Partially Revising the Stipulations for Administration Trust Contract(enforced on April 1, 2022) shall partially be amended as follows:
Article 2 to Article 5 of the Supplementary Provisions shall be amended as follows.
Article 2 to Article 5

Deleted- 35 -

(in relation to Article 6)(1) Performing rights,(2) Mechanical rights, etc.

(3) Publication(4) Lending

rights, etc.

rights

etc.
(7)

(8)

Film-showing,

Recording in

Recording in

BGM, etc.

films

videograms

(6)

(9)

(10)

Places of

Reproduction

Reproduction forentertainment,

for Games

Advertising Purposes(5)

karaokeperformances,
etc.

(11) Broadcasting/cable broadcasting(12)

Interactive transmissions(13)

On-line karaoke for business use

1. Categories of rights(1) Performing rights, etc.
Category consisting of performing rights, dramatic performance rights,
exhibition rights, public transmission rights, communication rights, andrecitation rights (excluding rights in relation to usage forms provided for in 5,
6, and 11 through 13).
(2) Mechanical rights, etc.
Category consisting of mechanical rights, distribution rights, and assignment
rights pertaining to recordings (excluding rights in relation to usage forms
provided for in 11 through 13).
(3) Publication rights, etc.
Category consisting of publication rights and assignment rights pertaining to
Published Works.

- 36 -

(4) Lending rights
Category consisting of lending rights.
2. Categories of usage forms(5) Film-showing, BGM, etc.
Category in which the following acts of usage are subject to:a. Showing of works in films (excluding those falling under category 6 or 11)
b. Performance or communication of works (limited to those conducted byusing Pachinko machines, or used for the purpose of BGM (backgroundmusic), excluding those falling under category 11)(6) Placesofentertainment,

karaokeperformances,

etc.

Category in which the following acts of usage are subject to:a. Performance or communication (both excluding those falling under category
5 b.) of works conducted for business purposes of places of entertainment
b. Performance, exhibition, or communication conducted by using karaoke
machines, and singing to karaoke accompaniment (all excluding those fallingunder category 11)(7) Recording in films
Category in which the fixation of works along with a series of images torecording media such as theatrical films and the duplication or distribution ofsuch fixed material, all for the purpose of public exhibition in theaters and otherplaces (excluding those falling under category 10), is subject to.
(8) Recording in videograms
Category in which the fixation of works along with a series of images torecording media such as videotapes and videodiscs and the duplication or
distribution of such fixed material (excluding those falling under any of
category 7, 9, 10, or 11), is subject to.
(9) Reproduction for Games
Category in which the reproduction of works in electromagnetic or optical
recording media and the distribution of such reproduction, all for the purposeof being offered for Games (non-commercial Games are limited to those whichhave a series of images), is subject to.
(10) Reproduction for Advertising Purposes
Category in which the reproduction of works and the distribution of such
reproduction, all for the purposes of advertisement, is subject to.
(11) Broadcasting/cable broadcasting- 37 -

Category in which the (public transmission of works either by broadcasting orby cable broadcasting (hereinafter called "Broadcasting, etc.") or reproductionof works for Broadcasting, etc. and use by methods other than public
communication, accompanying Broadcasting, etc., is subject to.
(12) Interactive transmissions
Category in which the public transmission of works by methods other than
Broadcasting, etc. or reproduction of works accompanying said public
transmission and use by methods other than public communicationaccompanying said public transmission (all excluding those falling undercategory 13) is subject to.
(13) On-line karaoke for business use
Category in which the fixation of works to karaoke databases for the purposeof being sung at karaoke facilities and places such as entertainment venues,
their public transmission to terminals, etc. placed in such venues, and their
fixation to such terminals, etc., is subject to.
3. In case Trustor excludes the rights in category 2 from the Extent of Trust of Rights,
usage forms 7 through 10 shall naturally be excluded from the Extent of Trust of
Rights.
4. With regard to the details concerning the use of categories stipulated in paragraphs
1 and 2 (called “Category Selectable from the Extent of Trust of Rights” in the next
paragraph), the matters practically required shall be determined separately by
Trustee. In this case, the contents of the relevant determination shall be made known
to Trustors and Beneficiaries by the use of the Internet or by any other appropriate
means.
5. The table preceding paragraph 1 is created for convenience of overviewing theentire picture of the Category Selectable from the Extent of Trust of Rights and is
not intended to affect the interpretation of the stipulations in the relevant paragraphand paragraph 2.

- 38 -

(in relation to Article 17)
Usage forms for
Category ofCategory of

works

usage

which

Termination date of the period ofadministration bylimitation of administration by

Trustee may be

TrusteelimitedDay on which three (3) monthsa) Synchronization

Use in
New Musical(limited towhich the sale of the commercial

cases where therecording commenced or from thework isdate on which commercial

recorded astransmissions commenced,

theme music)

whichever comes first (hereinafter
called "Release Date" in this table)

theatrical films

Works

have passed from the date onb) Exhibition of

Day on which three (3) months

films in relation

have passed from the ReleasetoDate (in case all Interested Parties

synchronizationagree on the postponement ofin a) above

this termination date, such dateagreed upon by the parties;
limited to one (1) year from theRelease Date)
Day on which three (3) months
have passed from the first public

Use inCommissioned
Musical Worksfor Films

advertisements

Use inperformance of the relevant

advertisements bytheatrical film (hereinafter called

the Advertiser that

"Date of First Public Performance"

is designated byin this table) (in case all Interested

Trustor

Parties agree on the
postponement of this termination
date, such date agreed upon theparties; limited to one (1) year
from the Date of First Public
Performance)- 39 -

Appendix 3 (in relation to Article 24)
Administrative
Expense Rates

Royalty Category
General Performances
Background MusicRoyalty based on the Tariffs

Lending (Records)
Online Karaoke for Commercial Use
Broadcasting
Cable Broadcasting
Interactive Transmissions
Film
Publications
Audio Recordings
Music Boxes
CD Graphics, etc.
Karaoke IC Memory Cards
Videogram Recordings
Reproduction for Advertisements
Reproduction for Games
OthersIncome from Abroad
Remuneration

25%
10%
10%
25%

6%

10%
25%
5%
20%

Notes
1 The categories indicated in the Royalty Category column shall correspond to theprovisions of Article 1 to 17 of Chapter 2 of the Tariffs for Use of Musical Works.
2 Royalty based on the Tariffs shall include damages equivalent to the royalties.
3 Income from Abroad shall mean royalties received from foreign societies.
4 Remuneration shall mean remuneration stipulated in the Copyright Law (excluding
private audio remuneration and private video remuneration).

- 40 -