The Music Copyright Society of Kenya (MCSK) has been temporarily barred from collecting royalties after a court injunction issued by Milimani Court Magistrate Rawlings Liluma Musiega. The order stems from a legal suit filed by the Performing and Audio Visual Rights Society of Kenya (PAVRISK), challenging MCSK’s collection methods.
The dispute centers around allegations that MCSK continued to collect royalties under a defunct joint licensing agreement involving the Kenya Association of Music Producers (KAMP), the Performers’ Rights Society of Kenya (PRISK), and MCSK. PAVRISK asserts that this joint venture was terminated in June 2024 after the expiration of provisional licenses issued to the three entities.
Allegations Against MCSK
According to PAVRISK, MCSK has been issuing joint KAMP-PRISK-MCSK invoices to music users and collecting royalties under the guise of the terminated agreement. The plaintiff claims this practice misrepresents the arrangement and violates PAVRISK’s exclusive rights as the sole Collective Management Organisation (CMO) for royalties in Kenya.
In its suit, PAVRISK is seeking orders to:
- Restrain MCSK from collecting royalties or exploiting Trademark No. 95006.
- Freeze MCSK’s Revenue Collection Account Number 5527990048 held at NCBA Bank, Westlands Branch, and Safaricom MPESA Paybill Number 5129000.
- Compel MCSK and Safaricom to provide certified statements detailing all transactions made into these accounts.
- Transfer 24.5% of cumulative deposits from the frozen accounts to PAVRISK, representing its rightful share since 18th June 2024.
Court Rulings
Justice Musiega has issued an injunction preventing MCSK from collecting royalties or using the joint KAMP-PRISK-MCSK licensing model until the case is resolved. The court has also directed NCBA Bank and Safaricom to freeze MCSK’s accounts and submit certified transaction statements.
In his ruling, Justice Musiega stated, “Pending the hearing and determination of the main suit, this honorable court is pleased to issue a temporary order of injunction restraining the defendant, whether by itself, its agents, or servants, from issuing joint KAMP-PRISK-MCSK invoices and licenses, or in any way whatsoever from exploiting the plaintiff’s Trademark No. 95006.”
The matter is set for mention on 28th January 2025, with fresh directions issued for parties who failed to attend the initial proceedings to be served with notice.
Background of the Dispute
PAVRISK was registered as the sole CMO by the Kenya Copyright Board on 7th June 2024, granting it a unified license to represent authors, composers, publishers, producers, and performers of sound recordings and audiovisual works. Following this recognition, PAVRISK terminated the joint operations via a letter dated 10th June 2024.
Despite this termination, PAVRISK claims MCSK continued to collect royalties for all rights holders, misrepresenting its authority to do so. PAVRISK argues that these actions undermine its mandate as the sole CMO and breach the termination notice communicated to MCSK in June 2024.
Implications for the Industry
This legal battle highlights the complexities of royalty collection in Kenya’s music industry and raises questions about the governance of CMOs. The court’s intervention ensures accountability and sets a precedent for clarity and compliance in royalty management.
As the case unfolds, the court’s decision will significantly impact how royalties are collected and distributed, potentially reshaping Kenya’s music copyright landscape.
