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MUMBAI:
DVD
rental businesses across the country have come under heavy
legal scrutiny following the judgment by the Delhi High Court
to curb DVD rentals from issuing DVDs copyrighted by the Motion
Pictures Association.
In a judgment that is expected to have far-reaching impact
on the film rental business in India, Justice Reva Khetrapal
of the Delhi High Court has passed orders restraining the
rental library, 'Cinema Paradiso' from renting out any films
copyrighted by Motion Picture Association (MPA) member companies
including Warner Bros. Entertainment Inc., Columbia Pictures
Industries, Inc. Disney Enterprises, Inc., Paramount Pictures
Corporation, Tristar Pictures, Inc., Twentieth Century Fox
Film Corporation, Universal City Studios, LLP., New Line Productions,
Inc. and Orion Pictures Corporation.
Head
of Operations and legal counsel for the MPA in India Chander
M Lall, said, "Although copyright law does not permit the
unauthorized rental of films, rental libraries are functioning
all over the country without licenses and without the authorization
of the copyright owners. This ruling by the High Court sends
a strong message that India is committed to the protection of
copyright and intellectual property, not only to the benefit
of MPA member companies, but to the benefit of local filmmakers
and everyone in the film industry in India."
The
development has resulted in many DVD rental outlets scurrying
for permission from respective licensees.
Excel Home Videos MD MN Kapasi says, "There has been
a sudden growth in rental license applications from DVD rental
outlets across the country. There is scarce knowledge among
rental companies due to the lack of awareness of copyright
laws. Due to this many innovations in rentals end up being
on the wrong side of the law. We are happy plus ready to offer
rental specific legal products and license support to whoever
wanting to do rental business in India."
Piracy
in India affects the Indian film industry more than American
producers and distributors. It is estimated that only 20 percent
of pirated goods infringe the copyrights of foreign film titles.
The remaining 80 percent of pirated product infringes the
copyrights of domestic films. According to Government estimates,
the entertainment industry loses up to 1,700 crores annually
on account of piracy. Since the beginning of 2004, the MPA
has conducted close to 1,000 raids and seizure operations
in India in cooperation with law enforcement authorities.
Additionally, civil raids have been conducted through court-appointed
Local Commissioners in civil suits initiated by MPA member
companies.
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