Distribution rules for Gramo
This is an unofficial translation. If there is any difference between the versions, the Norwegian version applies: Fordelingsreglement (in Norwegian).
Adopted by the board of Gramo on 4 March 2024
1. General
1.1. The distribution rules lay down provisions on the distribution and payment of remuneration funds1 for rights holders'2 repertoire3, for which Gramo collectively manages the rights4.
1.2. Mandatory statutory provisions and Gramo's articles of association take precedence over the distribution rules in the event of any conflict.
1.3. Gramo has the right to reclaim overpaid remuneration within three years of payment, or to set it off against later payments.
1.4. The provisions of these distribution rules apply in full to the distribution of remuneration funds, regardless of whether the settled remuneration is to be paid to the rights holder directly from Gramo or via agreements on the exchange of remuneration5 or representation agreements6.
1.5. The remuneration funds that Gramo has available for distribution shall be paid to the rights holders in accordance with Gramo's general distribution principles7.
1.6. Remuneration funds received by Gramo under agreements as referred to in point 1.4 are paid to the rights holder on the basis of information from Gramo's contracting party.
2. Special rules for performing artists ('performers')
2.1. The performer must provide information to Gramo, in the manner Gramo has specified, on 1) which sound recordings they have taken part in, 2) which rights mandates have been given to Gramo, and 3) in which territories these mandates apply.
2.2. If Gramo requests it, a performer must give reasons for and document the basis on which they claim to be a rights holder with regard to the sound recordings referred to in point 2.1.
2.3. If there is reasonable and justified doubt about the basis for a claim for remuneration made by a performer, Gramo has the right to suspend payment of remuneration linked to the use of the sound recording concerned until the rights issue has been satisfactorily resolved, if necessary by the Dispute Resolution Committee referred to in point 5.
2.4. The remuneration funds available for distribution shall be distributed among the individual performers who take part in the sound recordings, as far as possible according to effective playing time in relation to the individual contribution.
3. Special rules for producers of sound recordings ('producer')
3.1. Each producer must provide information to Gramo, in the manner Gramo has specified, on 1) which sound recordings they hold producer rights to, 2) which rights mandates have been given to Gramo, and 3) in which territories these mandates apply.
3.2. If Gramo requests it, a producer must give reasons for and document the basis on which they claim to be a rights holder with regard to the sound recordings referred to in point 2.1.
3.3. If there is reasonable and justified doubt about the basis for a claim for remuneration made by a producer, Gramo has the right to suspend the payment linked to the use of the sound recording concerned until the rights issue has been satisfactorily resolved, if necessary by the Dispute Resolution Committee as referred to in point 5.
3.4. In the event of a dispute about the right to remuneration between several producers, as referred to in point 3.1, Gramo refers these producers to the procedure for producers' double claims in point 4.
3.5. If several producers hold producer rights to the same sound recording, the remuneration will, without further specification from the producers concerned, be assumed to be distributed equally.
3.6. The remuneration funds available for distribution shall be distributed among the producers as far as possible according to effective playing time.
4. Procedure for double claims from producers
4.1. Gramo's own determination of double claims (competing claims) between producers
4.1.1. When two or more producers claim to be entitled to all or part of the remuneration that Gramo collects from users for the use of a sound recording, and these claims cannot be reconciled, there are competing claims. Competing claims are decided by Gramo's bodies by their own determination under the rules below.
4.1.2. Those who claim to have rights to the recording that cannot be reconciled are referred to below as 'the Parties'.
4.2. Notification of competing claims. Suspension of payments
4.2.1. When competing claims are registered with Gramo, Gramo shall immediately suspend any payment to the Parties linked to the recording concerned. Income from the exploitation of the recording is placed in line with Gramo's guidelines for the management of funds and paid to the correct rights holder after the dispute has been resolved.
4.2.2. The Parties shall be informed immediately of the suspension and of Gramo's rules for handling competing claims. Gramo shall also inform partner organisations of the competing claims.
4.3. When Gramo is to decide the dispute
4.3.1. Gramo encourages the Parties to settle the dispute amicably and to inform Gramo of the outcome if they reach agreement.
4.3.2. If the Parties do not agree within a time limit of three months from when Gramo registered that there are competing claims, Gramo will start its own procedure to decide the dispute, unless:
4.3.2.1. The dispute has been brought before a Norwegian court, an arbitration tribunal or another court whose decisions can be enforced in Norway. Gramo will pay remuneration to the Party that prevails in such a court decision, once the decision has become final.
4.3.2.2. The dispute has been brought before another court or dispute resolution body, and the Parties notify Gramo that they agree that the remuneration from Gramo shall be paid in accordance with that dispute resolution body's decision.
4.3.2.3. If the dispute is brought for decision under 4.3.2.1 or 4.3.2.2 after Gramo has started its own procedure, Gramo shall stop its consideration of the matter.
4.4. Decisions by Gramo's administration
4.4.1. When Gramo starts its own procedure to decide the dispute, the Parties shall be notified that after three weeks the case will either be referred to Gramo's Dispute Resolution Committee or decided by Gramo's administration.
4.4.1.1. Gramo's administration shall only make decisions in the following disputes where there are double claims:
- When it is undisputed who registered first, and it is obvious that the claim from a later alleged acquirer is not justified.
- In the event of clear errors and/or omissions in the underlying data.
4.4.2. Each of the Parties may appeal the administration's decision to Gramo's Dispute Resolution Committee. The deadline for appeal is three weeks from when the Parties received the administration's decision. The appeal is sent to Gramo's administration, which forwards it to the Dispute Resolution Committee.
The appellant must also send a copy of the appeal to the other Party or Parties.
5. The Dispute Resolution Committee
5.1. Regulated by separate provisions for Gramo.
The Dispute Resolution Committee
1.1. Election and composition of the Dispute Resolution Committee
1.1.1. The Dispute Resolution Committee shall consist of three members with relevant experience. The chair shall be a lawyer with expertise in relevant areas of law.
1.1.2. Each committee member shall have a personal deputy.
1.1.3. The members of the Dispute Resolution Committee and their deputies are appointed by Gramo's board for three years at a time. The board sets the amount of the committee's fees.
1.1.4. The rules on disqualification in chapter 6 of the Norwegian Courts of Justice Act apply as far as appropriate.
1.2. The Dispute Resolution Committee's consideration of the case
1.2.1. When the Dispute Resolution Committee receives a case from Gramo's administration, it shall ask the Parties to submit documentation for their claim and any legal arguments in support of the claim within a time limit of 2 months. The Dispute Resolution Committee may grant an extension.
1.2.2. The Dispute Resolution Committee shall give the Parties a time limit, normally of three weeks, to comment on the other Party's submission and to present any supplementary documentation. The submissions with comments and supplementary documentation shall be sent both to the Dispute Resolution Committee and directly to the opposing party.
1.2.3. Unless it has been agreed with the Dispute Resolution Committee that further written submissions will be accepted, additional submissions will not necessarily be taken into account in the consideration of the case.
1.2.4. When the Dispute Resolution Committee considers the exchange of written submissions to be concluded, it informs the Parties that the case will be taken up for consideration.
1.2.5. If the Dispute Resolution Committee finds it appropriate, it may in exceptional cases, both when requested by one of the Parties and in other cases, decide to hold an oral hearing before the dispute is decided.
Notice of an oral hearing is given in writing, no later than six weeks before the hearing is to take place.
1.2.6. No later than two weeks before the date of the oral hearing, the Parties shall send a statement of claims, with a copy to any opposing party. The statement of claims shall contain the parties' prayers for relief and claims and an indication of the evidence to be presented at the meeting, corresponding to a final written submission under section 9-10 (2) of the Norwegian Dispute Act.
1.2.7. Before any oral hearing, the chair of the Dispute Resolution Committee will hold a preparatory planning meeting by telephone with the Parties' representatives.
1.3. The Dispute Resolution Committee's decision
1.3.1. If the Parties disagree about the facts of the case, the Dispute Resolution Committee shall base its decision on the course of events it finds most probable.
1.3.2. The Dispute Resolution Committee's decision shall be reasoned and in writing.
1.3.3. Gramo will base its payment of remuneration funds on the Dispute Resolution Committee's decision. The Parties are free to bring the issue in dispute before the ordinary courts at any time, including after the Dispute Resolution Committee has made its decision. If the dispute is brought before the courts while the case is being considered by the Dispute Resolution Committee, the committee shall stop its work, see point 4.2.3.2 of the distribution rules.
1.3.4. The Parties bear their own costs in connection with the consideration of the competing claims, regardless of the outcome of the case.