Republic of the Philippines
HOUSE OF REPRESENTATIVES.
Quezon City, Metro Manila

ts 4.0 PA

BY:

SIXTEENTH CONGRESS
Second Regular Session

5557

House Bill No.

Introduced by Representative Emmeline Y. Aglipay-Villar, DIWA Party-list

EXPLANATORY NOTE

With the advent of the Internet and access to easy tools for digital publishing and
distribution, more and more Filipinos are creating books, music, cinema, and other work of
artistic and educational merit. Many are becoming creators at an earlier age, some while still in
school, and amassing a following for their work. But with the increased attention comes
inereased risk of exploitation, There has been an increase in the number of individuals and
entities that seek to take advantage of the increase in new creators by enticing them to enter into
contracts which prove detrimental to the creators in the long-term.

Pursuing advantageous terms in a contract, often to the detriment of the other party, is a
part of any industry. However, in situations where the parties often start at a great disparity in
terms of advantage, there comes into being an element of coercion which the State must regulate,
particularly when what is at stake could be the well-being of the creative and cultural landscape
of the country. This bill seeks to level the playing field, and strives to guarantee that in any
transaction that involves the transfer of copyright, creators ~- particularly the new and the young
-- have a better chance of understanding their rights.

Lente. Kilo
EMMELINE Y. AGLIPAY-VILLAR
Representative, DIWA Party-list


Republic of the Philippines

HOUSE OF REPRESENTATIVES,
Quezon City

SIXTEENTH CONGRESS
Second Regular Session

5557

HOUSE BILL NO.

Introduced by Representative Emmeline Y. Aglipay-Villar, DIWA Party-list

AN ACT MANDATING CONTRACTUAL PRE-REQUISITES FOR THE TRANSFER
OR ASSIGNMENT OF COPYRIGHT, FOR THE BENEFIT OF THE ORIGINAL
AUTHORS.

Be it enacted by the Senate and House of Representatives of the Republic of the Philippines in
Congress assembled:

SECTION Short Title. This Act shall be known as the "Creator Protection Act.”

SECTION 2. - Declaration of Principles and Policies. - The State recognizes that an
effective intellectual property system is vital to the development of domestic and creative
activity, to the benefit of our intellectual and cultural heritage. It shall protect and secure
the exclusive rights of creators to their intellectual property and creations, particularly
when beneficial to the people, and shall ensure that any transfer of the same shall have

been made with the full knowledge and consent of the creators.

SECTION 3. Definition of Terms. - For purposes of this Act, the following terms are
defined:

(a) "duthor’" is the natural person who has created the work, or if the original author
has passed away, his or her heirs who retain the copyright or economic rights or the share
thereof previously possessed by the deceased, in the case of a creation of multiple authors;
(b) "Copyright" or "Economic Rights” refer to Copy or Economic rights as defined in
the Intellectual Property Code, consisting of the exclusive right of the Author to carry out,
authorize or prevent specific actions;

(©) "Transferee" refers to the person or entity that seeks to acquire copyright over a
work, or a license to exploit the same, whether or not in return for compensation;

(4) "Work" refers to literary and artistic works, or protected derivative works, as
defined in the Intellectual Property Code.

SECTION 4. Copyright Transfer Pre-Requisites. - No transfer, assignment, or license
of copyright shall be valid, if the contract does not contain, in a language understood by

a)


the author:

(a) The Copyright Primer Clause in Section 6 of this Act;

(>) A term, or if the assignment is in perpetuity, the contract must state the same
explicitly;

(©) Asanannex, the full text of the Copyright Primer in Section 5 of this Act;

The author must have been in knowing possession of a physical or digital copy of the
contract for at least forty-eight (48) hours before he or she can validly sign the contract and
consent to the transfer/assignment of copyright.

None of the abovementioned pre-requisites may be waived.

SECTION 5. Copyright Primer. - The following are some of the major rights that belong
to the creator or author of a work under the Intellectual Property Code, and they remain
with the creator/author until the creator/author assigns or transfers all or a part of these
rights to another person by way of a written contract or by force of law:

(1) The Right to Reproduce - The right to make a copy of the work.
(2) The Right to Transform - This right includes acts such as adaptation, translation,
dramatization, and abridgment.

(3) The Right to Distribute - The right to transfer ownership of the work or copies of the
same.

(4) The Right to Rent

(5) The Right to Public Display of the Work

(6) The Right to Public Performance of the Work

(7) The Right to Communicate the Work to the Public

Each of the abovementioned rights may be transferred as a whole to another person or
entity, or in part, and may be qualified with regard to language, territory, exclusivity,
format, term, or contingency. (An author may limit the right to reproduce his or her work
to the Philippines alone, for instance, or limit the right to show to a period of ten days.)

‘The author is also entitled to Moral Rights, which include the following:
(1) To require that the authorship of the works be attributed to him/her, in particular, the
right that his/her name, as far as practicable, be indicated in a prominent way on the copies,
and in connection with the public use of his/her work;

(2) To make any alterations of his/her work prior to, or to withhold it from publication;

(3) To object to any distortion, mutilation or other modification of, or other derogatory

action in relation to, his/her work which would be prejudicial to his/her honor or
reputation; and


(4) To restrain the use of his/her name with respect to any work not of his/her own creation
or ina distorted version of his work.

SECTION 6. Copyright Primer Clause. - Every transfer or assignment of copyright shall
contain the following provision, in a language understood by the author, as a separate and
stand-alone provision, verbatim; provided, that the terms in brackets substituted by the
terms used in the actual contract:

"In compliance with the Creator Protection Act, the [Transferee] hereby warrants that the
[Author] has been appraised of [his/her] rights under the Intellectual Property Code, that
the [Author] has read the Copyright Primer annexed to this [Agreement], and that the
[Author] understands these rights and has been in knowing possession of a physical or
digital copy of this [Agreement] for at least forty-eight (48) hours before [he/she] has
signed the same.

A breach of this warranty shall render this [Agreement] null and void."

SECTION 7. Implementing Rules and Regulations. - The Intellectual Property Office,
in coordination with the National Commission for Culture and the Arts, the National Book
Development Board, and in consultation with representatives from creators and publishers,
shall issue the necessary rules and regulations for the effective implementation of this Act
within ninety (90) days after its effectivity.

SECTION 8. Separability Clause. - If any provision of this Act is declared
unconstitutional, the same shall not affect the validity and effectivity of the other
provisions hereof.

SECTION 9. Repealing Clause. - All laws, executive orders, presidential decrees,
presidential proclamations, rules and regulations or parts thereof inconsistent with the
provisions of this Act are hereby repealed or modified accordingly.

SECTION 10. Effectivity Clause. - This Act shall take effect fifteen (15) days from its
publication in the Official Gazette or at least two (2) national newspapers of general circulation.

Approved.

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