Over the past year, AGICOA’s Executive Committee and its Management have looked into possible ways of simplifying AGICOA’s processes. We are glad to report on the results of that assignment in the form of new rules effective January 1, 2012.
Change in reversals’ practice - Starting January 2012, AGICOA will terminate the system of automatically reversing royalties paid to the incorrect rightsholder, which mostly concerns resolved conflicts. If rightsholders believe they are owed royalties previously paid to another rightsholder, they will have to settle the matter directly with the paid party.
Statute of limitation - AGICOA will implement a prescription rule based on the Swiss Code of Obligations which states that a payment made over 10 years ago is prescribed. As a consequence, receivables (in effect a debt towards AGICOA) in rightsholders’ journals, arising out of payments made on or before 31 December 2001, will be written-off.
Enforcement of rightsholders’ representative’s responsibility - As of January 1, 2012, amounts due to rightsholders’ representatives (such as agents and collecting societies) will be netted out when a payment occurs. This means that receivables will be offset against royalties payable to that rightsholders’ representative, across all catalogs managed by that representative.
AGICOA will send you, by year end, an account statement disclosing rightsholders under your representation whose debt will be netted out when the above rule is activated. This information will encompass the amounts at stake. |
