High Court
Calcutta HC Restricts Vodafone Idea on Caller Tunes
Court rules telecom operator needs IPRS licence for underlying music and lyrics, not just sound recording rights.
MUMBAI: Vodafone Idea has just hit a sour note in its caller tune business. In a significant ruling delivered on 8 May, the Calcutta High Court held that Vodafone Idea cannot rely solely on agreements with sound recording companies to offer songs as caller tunes and ringtones. The Division Bench ruled that the telecom operator must secure separate permission from the Indian Performing Right Society (IPRS) for the underlying musical and literary works embedded in those recordings.
The dispute arose over Vodafone Idea’s value-added services that let customers set film and non-film songs as caller tunes. The company had argued that its agreements with Saregama India, which owns sound recording rights, were sufficient. However, the court sided with IPRS, clarifying that literary works, musical compositions, and sound recordings are distinct copyrights under Indian law.
The Bench emphasised that ownership of a sound recording does not automatically extend to the lyrics and music within it. Following the 2012 amendments to the Copyright Act, authors of literary and musical works are entitled to royalties for commercial exploitation of their creations, with limited exceptions.
The court noted that Saregama lacked the authority to grant licences for these underlying works and directed that all amounts held in deposit be transferred to IPRS. It also rejected Vodafone Idea’s request for a stay on the judgment.
The verdict reinforces stricter copyright compliance norms for telecom value-added services and could have wider implications for how music is licensed across the industry for ringtones and caller tunes.
