Annual Report on 2015 Copyright in ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Culture, Sports and Tourism A Message from the Minister of

KOREA COPYRIGHT WHITE PAPER 2015 Opening message At the same time, we strengthened the domestic and overseas copyright protection and international cooperative networks to respond to new types of copyright infringement occurring with the development of digital technology. The period of access block to illegal foreign websites that are breeding grounds for copyright infringement has Congratulations on the publication of the 2015 Annual Report on Copyright. been reduced from three months to two weeks. Efforts have been taken to prevent the distribution of illegal reproductions, including planned investigations for illegal As cultural contents are creating diverse goods by converging with other fields, they links. Meanwhile, the Ministry has established a hotline between Korean and Chinese are emerging as a driving force for economic growth. Accordingly, the economic and businesses to promptly delete any illegal reproductions distributed overseas. The FTA industrial value of created works are growing, thus drawing attention to the significance procedures with China and Vietnam have been completed and we have solidified the of copyright. foundation for our copyrighted works to be protected.

As the copyright industry is becoming a prospective future growth engine with higher Furthermore, various types of customized copyright education and promotions added value, its impact on the development of the nation is increasing. It is thus very targeting youth, cultural artists, and small and medium-sized enterprises (SMEs) were meaningful that the annual report is being published to organize and evaluate the results carried out actively to enhance public awareness on copyright. The copyright education of policies conducted by the government, and to utilize it as a reference point to establish in schools was especially strengthened, expanding the contents on copyright in textbooks proper future copyright policies. for elementary, middle, and high schools. A campaign was conducted to settle the culture of proper use of copyright, developing a new copyright brand, ‘BandeutⒸ.’ For our contents, which are spreading worldwide, to be recognized for their true value and secure competitiveness, we need to establish an environment for smooth distribution Recently, the "Fourth Industrial Revolution," led by artificial intelligence, big data, etc. and protection of contents. It would be crucial to build a copyright ecosystem for the has been receiving increasing attention. To cope with this "Fourth Industrial Revolution" coexistence of creators and users. successfully, creativity and intellectual property based on convergence technology are the most essential requirements. We will thus need to create an environment that protects The Ministry of Culture, Sports and Tourism has carried out various policies to create a copyright and intellectual property rights effectively, in order for intellectual properties copyright ecosystem that harmonizes copyright protection and active use of copyrighted including new contents to be created and compensated according to what they deserve, works in 2015. As a result, there have been some outstanding achievements. and to lead to a new, creative industry.

To afford better treatment to creators and promote their rights and interests, we have The Ministry of Culture, Sports and Tourism will continue to support the continuing reorganized the copyright system, strengthened support in the field, and adjusted the growth and development of the contents industry, and strive to create a healthy copyright music transmission royalties for rights holders so that it increased by 17 to 91 percent. ecosystem. I hope that this Annual Report, containing much information on copyright- The MCST supported the expansion of legal advice and copyright education so that related policies conducted this year and other valuable material, will play an important cultural artists can protect the right to create on their own. role in preparing for the new era.

In addition, the MCST has expanded the creative common license to secure a basis for the public to use copyrighted works conveniently. The copyrighted works possessed by November 2016 the government, local entities, and public institutions are widely open to the public (3 million → 4.9 million works) so that they can serve as the foundation for creating new Cho Yoonsun contents and businesses in the private sector. The compensation standard for course Minister of Culture, Sports and Tourism support has been prepared to reduce the time and cost for permission to use copyrighted works, thereby providing high-quality education.

2 3 A Message from the Minister of Culture, Sports and Tourism 2

Introduction to Government and Public Institutions 8 I. Ministry of Culture, Sports and Tourism 8 II. Korea Copyright Commission 13 III. Copyright Protection Center 16

CONTENTS Introduction to the Copyright Act of Korea 19 2015 Annual Report I. History of the Copyright Act of Korea 20 on Copyright in Korea II. Overview of the Copyright Act of Korea 23 III.Key Points of Amendments Made in 2015 29 IV. International Trade Activities and Status of Membership of International Treaties 31 V. Major Legal Cases on Copyright 41

Copyright Protection Activities 47 I. Responses to and Crackdowns on Copyright Infringements 48 II. Copyright Education and Public Awareness Programs 63 III. Copyright Protection Technology 81

Facilitation of the Use of Copyrighted Works 75 I. Creation of an Environment for the Efficient Use of Copyrighted Works 76 II. Creation of an Environment for the Fair Use of Copyright 94

Copyright Collective Management Organizations 89 I. Creation of an Environment for the Efficient Use of Copyrighted Works 90 II. Creation of an Environment for the Fair Use of Copyright 107

Appendices 138 I. Overview 132 II. Current Status 134 III. Copyright Statistics 158

5 Introduction to Government and Public Institutions

Ⅰ. Ministry of Culture, Sports and Tourism 1. Organization and History 2. Policy Vision and Strategies for 2015

Ⅱ. Korea Copyright Commission 1. General Facts 2. Organizational Chart

Ⅲ. Copyright Protection Center 1. General Facts 2. Organizational Chart Introduction to Government Ministry of Culture, Sports and Public Institutions and Tourism 9 History of Structural Reorganization Concerning Copyright Concerning Reorganization of Structural History Trade Cooperation Team established Team Cooperation Trade Team‘ Division, ’Copyright protection Copyright Policy into integrated Team Cooperation Trade Division‘ ’Copyright Protection to promoted Division Copyright Policy into integrated Team Cooperation Trade Bureau in the Copyright Policy established Team and Trade Culture established Team & Trade Culture Copyright administration transferred from the Ministry of Education the Ministry from transferred Copyright administration and Public Information of Culture within the Ministry Copyright Division established Industry the culture to Bureau Policy the Culture from Copyright Division transferred Bureau “Copyright Division” to name changed from reorganization, a government Following May 2007 Copyright Team “Copyright Team” Industry and copyright Team Policy Copyright and divided into enlarged Copyright Team Team established General” Directorate The position of “Copyright Policy of Information the Ministry from transferred affairs protection-related program Computer the MCST to and Communication established Team Copyright Protection Bureau in the Copyright Policy established Team Cooperation Trade May 2009 May 2007 July 1968 July 2006 July Jan. 2009 Feb. 2008 Feb. Mar. 2008 Mar. Dec. 1987 Aug. 2012 Aug. 2005 Aug. 2008 Below Below is the current organizational chart with respect to copyright policymaking The history of structural reorganization with respect to copyright policy within the and implementation. regional regional offices inmajor cities of Korea (, Busan, Daejeon, Gwangju and Daegu) infringements. copyright on illegal down crack is to major responsibility and their as follows: MCST is shown Ministry of Culture, Sports and Tourism SportsMinistry and Culture, of and History Organization The human increase resource is primarily attributable to the appointment of a Culture, Culture, Sports and Tourism (then known as the “Ministry of Culture and Public With the advent of the digital network era, the creation, distribution, and usage of Currently, the government ministry in charge of the formulation and enforcement of the ministry of government in the charge and formulation Currently, enforcement 1 corps assigned to are of corps special copyright judicial These officers. police officers police work came under the control of the Ministry of of the Ministry under the control came work Information.” 20 Approximately years thereafter, it grew to have three divisions and from and the also number matters increased of of copyright staffs one in team charge about 60. 10 to copyrighted copyrighted works have become more diverse, leading to an increased demand for and functions of related policies, as well as the enlargement of related divisions. Initially there was only one division handling copyrigh t-related matters when such a wide range of activities to related copyright since protection 1987. several Following organizational reshuffles, the MCST currently has three copyright-related divisions (Copyright Policy Division, Copyright Protection Division, Copyright Industry Division) Team. and Trade and Culture copyright copyright policies in Korea is the Ministry of Culture, Sports and (hereinafter Tourism and implemented policies copyright established as “MCST”). The MCST has to referred Ⅰ.

2015 ANNUAL REPORT ON COPYRIGHT IN KOREA 8 Introduction to Government Korea Copyright Commission and Public Institutions 11 Main tasks FTAs/ including sector cultural policies in the of trade Planning/coordination such as the organizations international with copyright-related Cooperation and governments foreign (WIPO), Organization Property Intellectual World agencies and Strategies for 2015 Vision Policy In order to create a healthy copyright ecosystem in which the establishment of a 2 Division and Culture Team Trade virtuous cycle of creation-distribution-use will help to realize the Creative Economy, while allowing for comfortable creation, convenient distribution, and free use, the government set its policy goal to be “Creation of a Copyright Ecosystem Promoting Balance and Coexistence.” The government decided to pursue three main projects: (1) strengthening the copyright protection system; (2) supporting the active use of copyrighted works; and (3) forming the basis for further of development the copyright industry. Office Regional in Gwangju Office Trade Team in Busan Regional Culture & Culture Office General Division Regional in Daegu Copyright Protection Copyright Policy Office Division Industry Regional in Sejong Copyright Organizational Chart ‌Organizational MCST Office Policy in Seoul Division Regional Copyright Laying the foundation for transaction of copyright (registration/authentication); (registration/authentication); of copyright transaction for Laying the foundation Guiding and management technologies; protection copyright Standardizing brokerage and copyright management organizations and supervising copyright donation and copyright license statutory Managing copyright organizations; etc. systems, for online/offline;Support reproductions of illegal on distribution Crackdown of online Orderingsuspension Center; of the Copyright Protection the operation imposing fines and and or their deletion reproductions of illegal transmission and operation the development Support for measures; other appropriate taking etc. and management system, tracking reproduction of illegal Main tasks Supervising the systems; laws and institutional copyright-related Improving and public education copyright Promoting Copyright Commission; Korea overseas protection Enhancing copyright campaigns; awareness Cultural Content Industry Office Industry Content Cultural General Content Policy Content ※ Organizational Chart as of 2015 The following are the main tasks of each division in charge of handling copyright Division (including five offices) regional Copyright Division Industry Copyright Protection Copyright Policy Division Division matters:

2015 ANNUAL REPORT

ON COPYRIGHT IN KOREA 10 Introduction to Government Korea Copyright Commission and Public Institutions 13 Korea Copyright Commission Copyright Korea General Facts • Date of Establishment: July 23, 2009 July of Establishment: • Date 95 • Number of Staff: 112 of the Copyright Act Article Establishment: • Basis for Furthermore, Furthermore, it endeavors to raise public awareness of the importance of the The Korea Copyright Commission (hereinafter to referred as “KCC”) is one of the The KCC is faithfully fulfilling itsroles ranging from deliberating copyright-related 1 copyright industry, while providing support for the advancement of Korean copyrighted copyrighted of Korean the advancement support for providing while industry, copyright overseas. of their copyright and protection market the overseas into works Ⅱ. It plays a pivotal affairs. copyright-related to dedicated in Korea pubic organization key role in the protection of copyright, promotion of the legitimate use of works, and industry. of the copyright development issues, mediating copyright disputes, researching policies and legislations on copyright, providing copyright education and public awareness programs, to serving agency. registration as a copyright Infringement rate of Infringement rate market legal 14.4%(2014 Year-End) > 13.5%(2016) Open Public Works Copyrighted (2015) 5 million works (‘16) > 7 million works basis for further development of the copyright industry. of the copyright further development basis for Expand the range of copyrighted works for free use and create convenient convenient use and create free for works of copyrighted Expand the range environment etc. FTA, such as Cooperation trade by strengthening territory ‌ Expand the cultural Creation of a Copyright Ecosystem Promoting Balance and Coexistence and Coexistence Balance Promoting Ecosystem of a Copyright Creation 1-1. Enhance protection of rights and interests of creators of rights and interests protection 1-1. Enhance system management and convenient a transparent 1-2. Establish age the digital for laws and systems 1-3. Advanced and industry artists the support for 2-1. Strengthen 2-2. ‌ and sharing culture copyright for 2-3. Expand the respect infringement copyright to the response and diversify 3-1. Advance overseas system protection the copyright 3-2. Strengthening 3-3. Create environment for proper copyright use copyright proper for environment Create the competitiveness and strengthen works use of copyrighted Support the active net safety copyright a secure Construct Copyright Awareness Copyright Awareness among Teens 78.6 points(2015) > 80.0 points(2016) Goal Vision Projects Strategy

2015 ANNUAL REPORT

ON COPYRIGHT IN KOREA 12 Introduction to Government Korea Copyright Commission and Public Institutions 15 (Seoul) (Seoul) Center Service Service Copyright Counseling Customer Customer Team (Jinju) Team Escrow Team Team Escrow Conciliation & Registration & Registration Appraisal Team Team Appraisal Hanoi Office Team Team Center Education Education Education Education & Training & Training Education & Education Development Development Management Audit Examiner Team Team Team Online Division Fair-Use Fair-Use & Forensic & Forensic Technology & Research & Research Promotion Enforcement Manila Office SW Protection SW Protection Chairman Team Overseas Offices Overseas Center Strategic Strategic Copyright Copyright Information Distribution Policy Team Policy & Promotion & Promotion Technology Technology Bangkok Office Bangkok Team Office Policy Policy Offices Overseas Overseas Research Cooperation Cooperation International Law & Policy Deliberation & Deliberation Vice Chairperson Vice Research Team Research Research Team Research Beijing Office Office rights donated statistic ICopyright ICopyright registration, copyright authentication, and management of economic escrow data and technical codes source program IComputer ‌ I Conducting surveys on status of copyright trade and industry and generating activities forensicsrelated copyright and digital technology IR&D on copyright Chart Organizational - ‌ - ‌ - - ‌ Management Support Team Relations Team Administration Planning & Public 2 Management Team Copyright Information Copyright Information reproductions and requesting the MCST Minister to issue corrective orders corrective issue to the MCST Minister and requesting reproductions rights management information on copyright information provide awareness programs awareness with laws, etc in accordance the KCC of copyright disputes of copyright Issuance of recommendations for correction to of online for of correction Issuance recommendations service illegal providers Establishment Establishment and operation of a copyright information management system to technology information copyright into Research infringements, etc on copyright Appraisal Support for formulation of copyright policies and carrying out tasks entrusted to ‌ Support for formulation of policies on technological protection measures and Fair deliberation on fees and royalties of collective management organizations of collective and royalties on fees deliberation Fair use of works and fair of legitimate Promotion protection copyright for cooperation International ‌ Education and training on copyright, training of professional staffs, public Operation Operation of the dispute resolution system, including mediation and conciliation (Computer Programs Protection Commission) Protection Programs (Computer 2007: Apr. Establishment of the Illegal Software Reproduction Report Center in Commission)) Protection Programs CPPC. (Computer Aug. Aug. 2000 Delegation of additional responsibilities (copyright registration, determination) standards compensation license, statutory Jan. 2005 Establishment of the Digital Content Use Protection Center in CPPC. Copyright Commission and the Computer Programs Protection Commission. Protection Programs and the Computer Copyright Commission Programs Protection Commission” is established. Commission” Protection Programs Conciliation (formerly “Copyright Commission”) “Copyright Conciliation (formerly June 22, 2015 The Korea Copyright Commission moved to Jinju Innovation City Jinju Innovation to moved Copyright Commission June 22, 2015 The Korea July ‌ July 23, 2009: Launching the Korea Copyright Commission by merging the ‌ Dec. 29, 1987 The Program Deliberation Commission (formerly “Computer July ‌ July 1, 1987 Establishment of the Copyright Commission for Deliberation and - ‌ - ‌ - ‌ - ‌ - ‌ - - ‌ - ‌ - ‌ - - ‌ - ‌ ------• Main Functions • History

2015 ANNUAL REPORT

ON COPYRIGHT IN KOREA 14 Introduction to Government Copyright Protection Center and Public Institutions 17 Offline Team2 Audit Offline Team1 Team Clean Project Team Cyber Team Research Technology Director of Copyright Protection Center of Copyright Protection Director Secretary General Secretary Board of Directors Chairman of Directors Board Team & Public Relations Investigation Team Strategy Planning& Vice Chairman Vice Board of Directors Board Chart Organizational ment Team Support Organizational Chart as of 2015 Manage- 2 ※

Copyright Protection Center Protection Copyright General Facts Main Functions: Cracking down on illegal reproductions online and “Clean “Clean Project” aimed to protect copyright and conducting research and activities public awareness offline offline in with accordance provisions of “Notification of designation of organizations entrusted to crack down on illegal reproductions”, establishment of an IT-based system, and enforcement implementation of • • • Date of Establishment: April 2005 of Establishment: • Date 69 • Number of Staff: 1 Ⅲ.

2015 ANNUAL REPORT

ON COPYRIGHT IN KOREA 16 Copyright Policy and Institutional Improvement

Ⅰ. History of the Copyright Act of Korea

Ⅱ. Overview of the Copyright Act of Korea

Ⅲ. Key Points of Amendments Made in 2015

Ⅳ. International Trade Activities and Membership of International Treaties

Ⅴ. Major Legal Cases on Copyright ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

Enactment Date of Description Ⅰ. History of the Copyright Act of Korea &endments Promulgation

· Amendment‌ of the Copyright Act to reflect the content of 8th WTO TRIPS and bringing of the copyright protection level to Dec. 6, 1995 Amendment international standards for the accession to Berne Convention

9th · Introduction‌ of a hearing system for such cases as revocation of Dec. 13, 1997 Amendment copyright collective management services

· Introduction‌ of the right of interactive transmission, expansion Act of Korea History of the Copyright 10th of the scope of immunity for libraries, and imposition of more Jan. 12, 2000 Amendment rigorous penalties, etc.

· Provision‌ of sui generis protection of database produces and 11th clarification of the scope of responsibilities of online service July 10, 2003 Amendment providers, etc.

12th · Granting‌ of the right of interactive transmission to performers and Oct. 16, 2004 Since its enactment in 1957, the Copyright Act of Korea has undergone amendments Amendment phonogram producers 22 times, including full amendments in 1986 and 2006, to proactively accommodate and 13th · Change‌ of names of relevant Acts following the amendment to the Oct. 4, 2006 respond to the advancement of digital technology, the changing environment for using Amendment Library Act

copyrighted works, and international trends of copyright protection. · Introduction‌ of the concepts of public transmission and digital 14th sound transmission Amendment · Change‌ of the organization name to the Copyright Commission (2nd Dec. 28, 2006 granted with more responsibilities. Enactment Date of Complete Description · Introduction‌ of orders to collect, discard, delete and suspend &endments Promulgation Revision) illegal reproductions, etc. Enactment ·Enactment of the Copyright Act of Korea Jan. 28, 1957 15th · Amendment‌ of relevant provisions following the amendment to Feb. 29, 2008 ·Introduction of internationally recognized regimes to join Amendment the Government Organization Act 1st international conventions such as Universal Copyright Convention Dec. 31, 1986 Amendment (UCC) · Granting‌ of immunity to the National Library of Korea when it collects online materials for preservation purposes 2nd · Amendment‌ of relevant provisions following the amendment to 16th · Clarification‌ of the scope of specialized recording formats for the Dec. 30, 1989 Mar. 25, 2009 Amendment the Government Organization Act Amendment exclusive use by visually impaired persons, etc. · Introduction‌ of the right to claim remuneration for public 3rd · Amendment‌ of relevant provisions following the amendment to 1990. 12. 27 performances for performers and phonogram producers, etc. Amendment the Government Organization Act · Integration‌ of the Copyright Act and the Computer Program 4th · Change‌ of names of relevant Acts with the enactment of the Mar. 8, 1991 Protection Act Amendment Library Promotion Act 17th · Establishment‌ of the Korea Copyright Commission granted with Apr. 22, 2009 Amendment more responsibilities. 5th · Amendment‌ of relevant provisions following the amendment to Mar. 6, 1993 · Strengthening‌ of measures to prevent illegal online reproductions Amendment the Government Organization Act etc. 6th · Extension‌ of protection term of copyright neighboring rights and 18th · Change‌ of names of relevant Acts following the amendment to the Jan. 7, 1994 July 31, 2009 Amendment imposition of more rigorous penalties, etc. Amendment Act on the Advancement of Newspapers, etc.

7th · Change‌ of names of relevant Acts following the amendment to the 19th Mar. 24, 1994 · Reflection‌ of the Korea-EU Free Trade Agreement June 30, 2011 Amendment Libraries and Reading Promotion Act Amendment

20 21 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

Enactment Date of Description &endments Promulgation Ⅱ. Overview of the Copyright Act of Korea

20th · Reflection‌ of the Korea-US Free Trade Agreement Dec. 2, 2011 Amendment

21st · Permission‌ for reproduction for persons with hearing July 16, 2013 Amendment impairments

22nd · Permission‌ to freely use public works Dec.30, 2013 Amendment Act of Korea Overview of the Copyright

1 Purpose of the Copyright Act

The Purpose of the Copyright Act is to protect the rights of authors and the rights neighboring them and to promote the fair use of works in order to contribute to the improvement and development of culture and related industries (Article 1).

2 Definition and Types of Works

“Works” shall mean creative productions in which human ideas or emotions are expressed (Article 2, Paragraph 1). The Copyright Act specifies nine types of works, namely: literary works, musical works, theatrical works, artistic works, architectural works, photographic works, cinematographic works, diagrammatic works, and computer program works (Article 4). All other creative productions that meet the requirements of works shall be protected by the Copyright Act.

22 23 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

3 Authorship and Copyright 5 Limitations to Authors’ Economic Rights

In principle, authors shall be natural persons, yet exceptionally legal persons Authors’ economic rights are their rights to use their works exclusively. However, given (corporations, organizations and other employers) may be considered authors (Article 9). that works are created with direct or indirect support from society, unlimited recognition The works by legal persons are specifically termed as “works made during the course of of authors’ exclusive rights may not be in the public interest and may even hinder duty.” cultural development; thus economic rights can be limited in certain circumstances. The

Copyright consists of moral rights and economic rights. Moral rights include the right Copyright Act of Korea stipulates limitations to economic rights for works other than Act of Korea Overview of the Copyright to publicize, the right of paternity and right of integrity. computer programs in Article 23 through Article 38 and those for computer programs in Economic rights include the right of reproduction; the right of public performance; Article 101-3. the right of communication to the public (including the right of broadcasting, the right of interactive transmission, the right of digital sound transmission); the right of exhibition; the right of distribution; the right of rental; and the right of production of derivative works. 6 The Term of Protection for Economic Rights

In principle, economic rights shall continue to subsist during the lifetime of the author and 50 years after the death of the author. In the case of joint authorship works, the 4 Creation and Transfer of Copyright economic rights shall continue to subsist for a period of 50 1years from the death of the last surviving author. In the case of anonymous or pseudonymous works, works created for hire, cinematographic works, computer programs, economic rights shall continue to 1) Creation of Copyright subsist for a period of 50 years after they have been made public. The term of protection of the author’s economic rights shall be calculated from the beginning of the year Copyright exists the moment the work is created and it adopts the principle of following the date the author died or the work is made public. automatic protection which does not require any procedures or formalities (e.g., presentation of a specimen copy, deposit or registration).

2) Transferability of Copyright

Economic rights may be transferred in whole or in part. However, moral rights are only owned by the author; thus they are neither transferred to nor inherited by another person.

1 The “no-prosecution-contrary to victim’s intent” offense refers to an offense which is not subject to prosecution because the victim expresses the intention that he or she does not want the prosecution of the suspect.

24 25 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

7 established and these rights are registered, the registered assignee or the registered Statutory License owner of the publication rights shall prevail over the duplicate assignee or the duplicate publication right holder. Under the statutory license, any person who, despite considerable efforts, could not identify or locate the holder of economic rights in a work or make contact even when the rights holder is known and thus is unable to obtain the authorization of the rights-holder for the work’s exploitation, may exploit the work upon obtaining the approval of the 9 Minister of Culture, Sports and Tourism. The Korea Copyright Commission is entrusted Neighboring Rights Act of Korea Overview of the Copyright with the function to grant a license on behalf of the MCST Minister (Article 50, Article 130). Neighboring rights are rights granted to those who have made capital investments or creative contributions in delivering copyrighted works to the public. The subjects of neighboring rights include performers, phonogram producers, and broadcasters. Performers have the right of indicating their names, the right of maintaining integrity, the right of reproduction, the right of distribution, the rental right, the right of public 8 Effect of Copyright Registration performances (live performances), the right of broadcasting performances (live performances), the right of interactive transmission, the right of claiming remuneration Legal protection of copyright is provided even when the copyright is not registered. for broadcasting commercial phonograms, the right of claiming remuneration for digital Copyright registration is handled by the Korea Copyright Commission. If it is registered, sound transmission, and the right of claiming remuneration for public performances however, the following legal benefits are provided: of commercial phonograms. On the other hand, phonogram producers have the right of reproduction, the right of distribution, the rental right, the right of interactive 1) Legal Presumption transmission, the right of claiming remuneration for broadcasting commercial phonograms, the right of claiming remuneration for digital sound transmission, and the A person whose real name is registered as the author of a registered work shall be right of claiming remuneration for public performances of commercial presumed as the author of the work. A work for which its date of creation or the initial phonograms. Broadcasters have the right of reproduction and the right of date of disclosure is registered shall be presumed to have been created or made public rebroadcasting. on the registered date. However, Neighboring rights shall be protected for a period of 70 years from the time when if a work is registered more than one year after its creation, it shall not be presumed the live performance, and the time when the phonogram is published in the case of to have been created on the date registered. In addition, when a registered work phonograms, and for a period of 50 years from the time when the broadcast is made in is infringed upon, it shall be presumed that the infringement has occurred due to the case of broadcasts. negligence at least.

2) Priority of Rights between Conflicting Parties

In case a party is assigned with economic rights or the right to publication is

26 27 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

10 Remedies for Infringement Ⅲ. Key Points of Amendments Made in 2015

Persons whose copyrights have been infringed may seek civil or criminal remedies. With respect to civil remedies, the copyright holder may file a lawsuit with the court against the alleged infringer to demand prevention of infringement, suspension of infringement, restitution of unjust enrichment, and compensation for damages, etc. The

time limit for claiming compensation is 10 years from the date of the illegal activity or Made in 2015 Key Points of Amendments three years from the date when the damage and the infringer are identified. In the case of criminal remedies, copyright infringement is an offense subject to prosecution upon complaint by the copyright owner within six months from the date when the alleged infringer is identified. Therefore, the investigation authorities may not prosecute the suspect upon a complaint filed by a third party whose copyright has not been infringed. 1 ‌Improvement on the process of statutory license and Yet, exceptions apply to cases where the copyrights are infringed for profit-making establishment of standard for imposing fines (Presidential purposes or repeatedly. If a person obtains with bad intent a reproduced program which has been made by infringing upon others’ copyright and uses it in the course of Decree No. 26398) performing his or her duty, such offense shall be categorized as a “no-prosecution- The process required for statutory license to use orphan works has been greatly contrary to victim’s intent” offense. simplified. Any person who infringes upon economic rights of an author or a performer, etc. may be subject to imprisonment for not more than five years or a fine of not more than Main points to simplification of statutory license is as follows: KRW 50 million or both. Any person who infringes upon moral rights may be subject to First, while previously the users were required to place a public notice to find the imprisonment for not more than three years or a fine of not more than KRW 30 million copyright holder on both the MCST homepage and on the copyright finding information or both. system (www.findcopyright.or.kr), causing the users to take ‘severe efforts,’ the information system is now unified into one. Also, additional processes to search for the copyright holder using online search tools have been have been supplemented to maximize the protection of right of copyright holders. Next, the period required for notice on the copyright finding information system is shortened from three months to two months so that the Minister of Culture, Sports and Tourism can take the users’ efforts, pursuant to paragraph 2 of Article 18 of the Enforcement Decree of the Copyright Act. The users can now go through the related process more conveniently and expeditiously. In addition, the process of notifying the application on the official gazette has been

28 29 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

excluded, and the period of notice has shortened from 15 days to 10 days to respond to Ⅳ. International Trade Activities and people’s desire to use the copyrighted works more swiftly. Status of Membership of International It is expected that this amendment will greatly contribute to prevent valuable works Treaties from dying out, facilitate the used of copyrighted works, and to promote the protection of economic rights of copyright holders. Membership of International Treaties International Trade Activities and

1 ‌Korea’s Active Pursuit of and Participation in Trade Negotiations

As of December 2015, intellectual property rights are included as a separate in all free trade agreements (FTAs) except for the Korea-ASEAN FTA among the 14 FTAs signed between Korea Among them, the Korea-U.S. FTA, the Korea-EU FTA, the Korea- Peru FTA, the Korea-Australia FTA, the Korea-Colombia FTA, the Korea-China FTA, the Korea-Vietnam FTA stipulate many TRIPS-Plus provisions that go beyond TRIPS negotiation criteria. Key points of the Korea-US FTA that went into effect in March 2012 include protection of temporary reproduction, introduction of fair-use provisions, introduction of exclusive publication rights, introduction of a procedure to request information on the alleged infringer, protection of encrypted broadcasting signals, anti-camcording, and expansion of the scope of infringement offences prosecuted ex officio.

In 2010, Korea held FTA negotiations with Australia, New Zealand, Turkey and Columbia. FTA with Turkey (basic agreement and trade agreement) was reached in March 2012 and went into effect on May 1, 2013, while FTA with Columbia was settled in June 2012, completed ratification process by the national assembly in April 2014, and

30 31 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

the the Constitutional Court of Colombia is examining the agreement of the performed Phase Country Description Description act with the constitution. FTA with Canada went into effect on January 1, 2015, and FTA Negotiations were launched in May 2007; The world’s with Australia went into effect on December 12, 2014. Furthermore, Korea-Vietnam FTA, negotiations were concluded in July 2009; largest EU Korea-China FTA, Korea-New Zealand FTA also went into effect on December 20, 2015. FTA was initialed in Oct.2009; FTA was signed in Oct. 2010; economy FTA went into effect in July 2011 (based on GDP)

FTA Status of the Republic of Korea Country rich Negotiations were launched in Mar. 2009; in natural (As of December 2015) Negotiations were concluded in Aug.2010; resources;

Peru Membership of International Treaties International Trade Activities and Phase Country Description Description FTA was signed in Mar.2011; Springboard for FTA went into effect in Aug. 2011. entry into Latin Korea’s 1st FTA; America Negotiations were launched in Dec.1999 FTA Springboard for Chile was signed in Feb. 2003; entry into the Turkey Negotiations were launched in Apr.2010; Springboard for FTA went into effect in Apr. 2004 Latin American (Framework FTA was initialed in Mar.2012; FTA was signed Agreement, entry in Europe markett in Aug. 2012 Agreement on and Central Asia Trade in Goods) FTA went into effect in May 2013. Negotiations were launched in Jan.2004; FTA Springboard for Singapore entry into the was signed in Aug.2005; Negotiations were launched in May 2009; Negotiations Country rich in ASEAN market FTA went into effect in Mar. 2006 were concluded in December 2013; natural resources; Australia FTAs in FTA was initialed in February 2014 and signed in a major market in Negotiations were launched in Jan. 2005; FTA Springboard for effect September 2014 Oceania EFTA was signed in Dec. 2005 entry into the (14 countries) (4 countries) FTA went into effect in Sept.2006. European Negotiations were launched in July 2005; ‌※ Switzerland, Norway, Iceland, Liechtenstein‌ Union market 15th negotiations were held in Mar. 2014. Advanced Canada Negotiations were concluded in March 2014 economy in Negotiations were launched in Feb. 2005; Trade in FTA was signed in September 2014 North America Goods Agreement was signed in Aug. FTA went into effect in Jan. 2015 2006; Trade in Goods Agreement went into effect in FTAs in June 2007; Trade in Service Agreement was signed effect FTA went into effect in Dec. 2015 One of leading (14 countries) in Nov.2007; Trade in Service Agreement went into Korea-China Trade Ministers’ Meeting was held in exporters; rd ASEAN effect in May 2009; Korea's 3 largest Apr.2011 Securing China (10 countries) Investment Agreement was signed in June trading partner Launch of negotiations was announced in May 2012 East Asia 2009; Investment Agreement went into effect in Sept. 8th round of negotiations were held in Nov. 2013 economic 2009; 14th negotiations were concluded in November 2014 Bloc ‌※ Indonesia,‌ Malaysia, Vietnam, Myanmar, the Philippines, Laos, Cambodia, Brunei, Thailand, Negotiations were launched in June 2009; Singapore 4th negotiations were held in May 2010. Resumption of negotiations was agreed in Dec. 2013. Negotiations were launched in Mar. 2006; FTA Key market in BRICs member; New Zealand 9th negotiations were held in October 2014. India was signed in Aug. 2009; Oceania Mega market Negotiations were concluded in November 2014. FTA went into effect in Jan. 2010 FTA was initialed in December 2014. FTA went into effect in Dec. 2015 Negotiations were launched in June 2006; FTA was signed in June 2007; Trade Ministers’ Meeting was held in Sept.2012; Additional negotiations were concluded in Dec. 2010; Mega advanced USA FTAs in 3rd round of negotiations were held in Oct. 2013. Springboard for Agreed documents were signed and exchanged economy effect Vietnam 9th negotiations were held and concluded in December entry into the in Feb.2011; (14 countries) 2014. ASEAN market FTA went into effect in Mar.2012 FTA went into effect in Dec. 2015

32 33 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

Phase Country Description Description Copyright and Related Rights (SCCR), which deals with major agenda on copyright, has mainly discussed such agenda issues as protection of broadcasters, protection of

Negotiations were launched in Dec. 2009; Country rich in rights of audiovisual performers and reinforcement of accessibility for visually impaired Conclusion of FTA negotiations was announced natural resources; FTAs persons. Discussions on the rights of audiovisual performers were concluded with the Columbia in June 2012; an emerging Concluded FTA was initialed in August 2012 and signed in February market in Latin adoption of the Beijing Treaty on Audiovisual Performances in June 2012. Discussions 2013 America on reinforcement of accessibility of visually impaired persons were concluded with the adoption of the In 2010, countries closely cooperated to facilitate early conclusion of the

Korea- Balanced regional Membership of International Treaties International Trade Activities and Launch of negotiations was announced in Mar. 2012; China- economic ACTA and meetings were held in Mexico in January, New Zealand in April, Switzerland 9th negotiations were held in December 2015 Japan cooperation in June and the United States in August. “Marrakesh Treaty to Facilitate Access to Published Works for Persons Who Are Blind, Visually Impaired, or Otherwise Print Launch of negotiations was announced in Nov 2012. RCEP Pushing for East 10th negotiations were held in Oct. 2015 Disabled” in June 2013. The treaty for broadcasting organizations is still at a standstill (16 Asia ※ ‌16 countries: Korea, Japan, China, India, Australia, countries) Community due to the differences between the broadcasting environments of each country. Through New Zealand, ASEAN member states two sessions in 2015, the countries discussed the reality and their stance on the treaty.

Launch of negotiations was announced in June 2015 Entry into the FTAs GCC 2nd negotiations were held in Dec. NOV. 2015 new Central With respect to international protection of traditional cultural expressions/Expression (6 countries) ※ 6‌ countries: Panama, Costa Rica, Guatemala, American under of Folklore, which are drawing attention as a new type of intellectual property, WIPO set negotiation Honduras, El Salvador, Nicaragua market (5 cases) up the Intergovernmental Committee on Intellectual Property and Genetic Resources, Country rich in Traditional Knowledge and Folklore (IGC) at the General Assembly held in October natural resources Ecuador Launch of negotiations was announced in Aug. 2015 and Springboard 2000. Starting with the first session in April 2001, the discussions continued on to the for entry into 28thsession in July 2014. Latin America

In June 2015, the Korean government participated in the WIPO sub-regional workshop Complementing Launch of negotiations was announced in Dec.2012. DDA held in Ulan Bator in Mongolia. WIPO sub-regional workshop was held first in Shanghai, TISA 15 rounds of negotiations were held until Dec. 2015 negotiations & China in August 2013, in Seoul, Korea in April 2014, and in Mongolia for the third time, making progress for the four Northeast Asian countries (Korea, China, Russia, and Mongolia) to the current state of copyright development and experiences as well as to promote cooperation within the region. It is expected to rigidify the copyright cooperation system between the Northeast Asian countries. 2 ‌Reinforcement of Copyright-related international Cooperation In addition to collaborative activities led by WIPO, the Korean government also attends the Intellectual Property Experts Group Meetings (IPEG) under the Asia- Pacific Economic Cooperation (APEC), which are held twice a year to introduce Korea’s Multilateral discussions on copyright on the international level are mainly led by advanced copyright system and gain insights into the policies of other member states, the World Intellectual Property Organization (WIPO). WIPO’s Standing committee on being engaged in vigorous exchange of policy information.

34 35 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

and Morocco (33 countries when EU member countries are counted). 3 ‌Status of Membership of Copyright-related International

Treaties and Conventions ACTA was originally proposed to resolve the problems regarding the products violating the rights of trademarks or copyrights crossing the borders. However, as the Since it became the signatory of the Universal Copyright Convention in 1987, the discussions progressed, the agreement came to include a wide range of contents related Republic of Korea joined the Convention for the Protection of Producers of Phonograms to execution of intellectual property including civil and criminal executions, measures for against Unauthorized Duplication of their Phonograms in 1987, the TRIPS Convention in borders, and execution of intellectual property rights in digital environments, which was Membership of International Treaties International Trade Activities and 1995, the Berne Convention for the Protection of Literary and Artistic Works in 1996, the not specified in the TRIPS Agreements. The Korean government actively participates World Intellectual Property Organization (WIPO) and the WIPO Copyright in the negotiations on ACTA, leading the discussions in order to effectively protect the copyrighted works in the digital environment particularly. Treaty(WCT) in 2004, bringing Korea’s copyright laws up to international standards. Furthermore, in an effort to strengthen the rights of performers and producers of Furthermore, discussions on facilitation of visually impaired persons’ access to phonograms and further solidify international cooperation in the area of protection published works, which had been launched in November 2003, were concluded of copyright neighboring rights, the Korean government acceded to the International in Marrakesh, Morocco on June 27, 2013 featuring the participation of 600 people Convention for the Protection of Performers, Producers of Phonograms and including delegations from 160 WIPO member states and representatives from 57 Broadcasting Organizations and the WIPO Performances and Phonograms Treaty(WPPT) intergovernmental organizations and NGOs with the adoption of the “Marrakesh Treaty in 2008, while joining the Convention Relating to the Distribution of Programme- to Facilitate Access to Published Works for Persons Who Are Blind, Visually Impaired, or Carrying Signals Transmitted by Satellite in 2011. In 2015, Marrakesh Treaty to Facilitate Otherwise Print Disabled.” Access to Published Works for Persons Who Are Blind, Visually Impaired, or Otherwise Print Disabled has been ratified. The Treaty includes the limitations or exceptions provided in national copyright laws to the right of reproduction, the right of distribution, and the right of making available The Korean government has also actively participated in multilateral negotiations to the public to facilitate the availability of works in alternative format copies for visually on the Anti-Counterfeiting Trade Agreement (ACTA), contributing to the formation of impaired persons by authorized entities; permitting authorized entities to distribute international norms. The ACTA negotiations were launched in Geneva, the Switzerland legitimately produced accessible alternative format copies to an authorized entity or a in June 2007 based on a draft jointly drawn up by the United States and Japan. In 2010, beneficiary person in another Contracting Party; and the obligation to perform the three- countries closely cooperated to facilitate early conclusion of the ACTA and meetings step test on limitations and exceptions under the Berne Convention, TRIPS and WCT. were held in Mexico in January, New Zealand in April, Switzerland in June, and the United States in August. As a result, the treaty text was provisionally agreed in Tokyo, This Treaty is the first treaty that has adopted limitations and exceptions as principles, Japan in October 2010, and the final text was released in December 2012. Korea officially departing from the framework of the existing treaties on copyright protection. It carries signed the ACTA on October 1, 2011. significance in that it promotes balance between copyright protection and use of copyright and has come up with international norms for visually impaired persons who ACTA standardizes the regulations on intellectual property rights (execution of civil had not benefitted from technological and cultural advancements in the past. and criminal cases and in digital environment), participated by 11 countries including Korea, US, Japan, EU, Australia, Canada, New Zealand, Singapore, Switzerland, Mexico, Korea not only contributed to the drafting of the treaty through active participation

36 37 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

in the WIPO diplomatic negotiations in Marrakesh, but also is preparing domestic International Treaties and Year of Date of Description‌‌ regulations to guarantee visually impaired persons’ access to published works. Korea Conventions Conclusion Accession signed the Marrakesh Treaty on June 26, 2014, deposited the instrument of ratification International Convention for • Framework‌ Convention on neighboring on Oct. 8, 2015 in the WIPO general assembly, and became the 11th ratified country. the Protection of Performers, rights; Dec.18, Producers of Phonograms, • Protection‌ provisions for neighboring 1961 2008 and Broadcasting rights; Status of Korea’s Conclusion and/or Accession into Copyright-related International Treaties and Conventions Organizations • Protection‌ period: 20 years

International Treaties and Year of Date of Membership of International Treaties International Trade Activities and Description‌‌ • ‌‌Protection of performances and Conventions Conclusion Accession phonograms in the age of the Internet; • Treaty‌ that has updated provisions on The WIPO Performances and Dec.18, The Convention Establishing performances and phonograms among 1996 • Stipulates the establishment of WIPO Mar.1, Phonograms Treaty; WPPT 2008 the World Intellectual 1967 the content of the Rome Convention to suit • Signed when joining WIPO 1979 Property Organization the digital age; • Protection‌ period: 50 years. • Coordination‌ between formality and • ‌‌Sufficient obligatory provisions designed nonformality concerning copyright Brussels Convention Relating The Universal Copyright Oct.1, to prevent illegal distribution of program- protection (Application of © Mark) 1952 to the Distribution Of Dec.19, Convention 1987 carrying signals transmitted by satellites; 1974 • Most‌ countries pursued non-formality, Program-Carrying Signals 2011 • Short‌ excerpts or quotations are having little effect. Transmitted by Satellite exceptions. The Convention for the • Provisions‌ prohibiting unauthorized Protection of Producers • ‌‌Granting performers moral rights; duplication of phonograms; July 1, of Phonograms against 1971 • Granting‌ reproduction rights and • Only‌ single content is regulated; having 1987 Beijing Treaty on Audiovisual Unauthorized Duplication of distribution rights for fixed performances; 2012 - little effect. Performances Their Phonograms • Protection‌ period has been extended to 50 years. • Some‌ provisions of the Berne Convention and the Rome Convention are incorporated • ‌‌OObligation to limit in national laws into TRIPS; the right of reproduction, the right of The Agreement on Trade- • Comprehensive‌ provisions on copyright distribution, and the right of making Related Aspects of and related rights; Jan.1, available to the public to facilitate 1995 Intellectual Property Rights; • It‌ is possible to bring disputes among 1995 the availability of works in accessible TRIPS countries to the dispute settlement body; Marrakesh Treaty to Facilitate alternative format copies for visually Access to Published impaired persons by authorized entities; • WTO’s‌ general principles such as National Oct. 8, Works for Persons Who Are • ‌‌Authorized entities’ right to distribute 2013 Treatment (NT) and Most-Favored-Nation 2015 Treatment (MFN) are applied. Blind, Visually Impaired, or legitimately produced accessible lternative Otherwise Print Disabled format copies to an authorized entity or a beneficiary person in another Contracting The Berne Convention for the • Framework‌ Convention on copyright; May 21, Party; Protection of Literary and • Protection‌ provisions for copyright; 1886 1996 • ‌‌Obligation to comply with the three-step Artistic Works • Protection‌ period: 50 years test on limitations and exceptions under the Berne Convention, TRIPS and WCT. • Copyright‌ protection in the Internet era; • Treaty‌ that has updated the Berne Mar.24, WIPO Copyright Treaty; WCT 1996 Convention to suit the digital age; 2004 • Protection‌ period: 50 years

38 39 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

Ⅴ. Major Legal Cases on Copyright 3 ‌Supreme Court 2011 Da 101148 decided on April 9, 2015. Decision: Termination of collective management

[1] ‌Whether the user of the copyrighted work can countervail against the copyright holder in case the collective management has terminated and the copyright has returned to the , the original copyright holder, for the use of the work after the return

of the copyright, citing that the use was permitted by the collective management Copyright Major Legal Precedents on organization (negative in principle) [2] ‌Cases in which partial use of literary works, musical works, or cinematographic works is not considered to infringe the right of integrity and whether the same can be applied for intellectual properties in cases the use has not been permitted (positive)

1 ‌Supreme Court 2012 Do 13748 decided on March 12, 2015. Decision: The case on Internet Link 4 ‌Supreme Court 2011 Do 10872 decided on June 11, [1] ‌Whether the act of adding an internet link is illegal copying and transmission of copyrighted works according to the Copyright Act (negative) 2015. Decision: Copyrights for pornographic works [2] ‌Whether the linking itself is an act of aiding and abetting the infringement of copyright in case an internet user posts the copyrighted works without permission by clicking [1] ‌The conditions for copyrighted works to be protected under the Copyright Act and the link, or send the user a link that directly connects to a web page, etc. that infringes whether the work can still be protected under the act even if the copyrighted work the right of reproduction or public transmission of the copyright holder (negative) contains unethical and illegal elements (positive)

2 ‌Supreme Court 2013 Da 14378 decided on March 12, 5 ‌Supreme Court 2013 Da 58460, 58477 decided on June 2015. Decision: The case of Dead of Winter plagiarism 24, 2015. Decision: Oeuvre Composite Case

[1] Whether‌ the cases or backgrounds typically used in dealing with a type of an abstract [1] ‌The copyrighted works that multiple persons were involved in the creating process but person or a certain theme in fictions would be protected by copyright (negative) can be divided according to activities of each person (= Oeuvre Composite) [2] ‌A case in which a foreign song composed of lyrics and melody was remade with lyrics rewritten by A and melody rearranged by B, entrusted by a foreign song managing company C with a written confirmation saying that the company ‘will not claim any

40 41 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

right regarding above song, including lyrics and melody,’ to corporate D, the trustee to created works under the Copyright Act, and how to determine the infringement of under the collective management contract. After C received the royalty for the use of right of reproduction in disputes are on reproduction of a part of the original work in copyrighted work, A filed a complaint against C for making unjust enrichment on the copyright infringement cases of copyrighted musical works amount that rightly belonged to the lyric writer. The original verdict decided that C [2] Standard‌ for judging the creativity of musical works return the part of the royalty to A regardless of B’s relinquishment of his share of the intellectual property, since the song is not a joint work of A and B. Copyright Major Legal Precedents on 8 ‌Supreme Court 2012 Da 204587 decided on Aug. 27, 2015. Decision: Case of removal of the mural painting 6 ‌Supreme Court 2015 Do 3352 decided on July 9, 2015. in Dorasan Station Decision: Case on the technological protection measure

[1] ‌Whether it is an illegal act that violates the personal rights apart from the infringement [1] ‌Definition of “Technological protection measures” stated in Article 2, Paragraph 28, (a) of the right of integrity under the Copyright Act, in case the author’s personal benefit and (b); and standard for judging whether the protection measures in question applies has been violated due to the destruction of the copyrighted work (positive) to (a) or (b). [2] ‌Definition of ‘ordinance violations’ in government compensation and standard to judge [2] ‌Corporation A, a singing equipment manufacturer, has been providing new songs whether the act of destruction of a copyrighted works by public officials is an illegal to singing rooms monthly with the permission of reproduction and distribution of act that lacks objective legitimacy copyrighted musical works by Association B. The new song files were protected so that [3] ‌In the case where A produced and installed mural paintings on the walls and columns they will not be played on the equipment without a series of verification procedures. in Dorasan Station, requested by the government, and the government removed However, defendants B and others were charged with manufacturing and distributing and incinerated the paintings approximately three years after the installation, the the devices to disable the protection measures. It was decided that the right of court decided that the government provide compensation to A according to Article 2, reproduction and distribution applied to (a) of Article 2, Paragraph 28 of the Copyright Paragraph 1 of the State Compensation Act. Act, and the right of public performance applied to (b) of the same paragraph.

9 7 ‌Supreme Court 2013 Da 219616 decided on Dec. 10, ‌Supreme Court 2013 Da 14828 decided on Aug. 13, 2015. Decision: Streaming of commercial phonogram 2015. Decision: Material similarities of copyrighted and performance compensation musical works

[1] ‌The legislative purposes of Article 76-2, Paragraph 1 and Article 83-2, Paragraph 1 [1] ‌Whether the part without creativity should be affected by the right of reproduction of of the Copyright Act that requires the users of commercial phonograms to make a original works (defensive) in case when the original copyrighted work generally applies considerable compensation to the performers or the phonogram producers

42 43 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Act of Korea Introduction to the

[2] ‌Whether all of the phonograms provided through sales of any form applies to the ‘commercial phonograms’ stated in the above regulations (positive) [3] ‌Whether an indirect use of commercial phonograms through streaming, etc. applies to the ‘use’ stated in the above regulations (positive) Copyright Major Legal Precedents on 10 ‌Supreme Court 2015 Do 11550 decided on Dec. 10, 2015. Decision: Aggravating and mitigating factors in violation of the Copyright Act and the Unfair Competition Prevention Act.

[1] ‌The defendant imported and distributed rag dolls of a personified rabbit figure character and was charged with infringement of the author’s property rights of the Jap anese incorporated company A, and infringement of trademark rights of B who distributes the same products under the commercialization contract with A. In the case charged with violations of the Copyright Act, the Unfair Competition Prevention and Trade Secret Protection Act, and the Trademark Act, the court decided that the violations of the Copyright Act and the Unfair Competition Prevention and Trade Secret Protection Act are crimes of conceptual concurrences, and the violation of the Trademark Act is a crime of substantive concurrence.

44 45 Copyright Protection Activities

Ⅰ. Responses to and Crackdowns on Copyright Infringements 1. Overview of Copyright Protection 2. Copyright Protection Policies and Activities 3. Copyright protection overseas and exchange·cooperation activities

Ⅱ. Copyright Education and Public Awareness Programs 1. Overview 2. Copyright Education Activities and Outcomes 3. Public Awareness Programs 4. Assessment and Outlook

Ⅲ. Copyright Protection Technology 1. R&D Projects for Copyright Protection and Facilitation of Use of Copyrighted Works 2. Copyright Technology Performance Evaluation and Guidelines on Technological Measures ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

Responses to and Crackdowns on In addition, to respond to offline copyright infringement, it has continued on the Ⅰ.  guidance to the use of authentic software in small and medium-sized enterprises and Copyright Infringements crackdown activities focusing on the distribution bases for illegal reproductions such as memory chips (SD cards) of illegal copy of music, illegal DVDs of cinematographic works, and illegal reproductions of books. A significant effort is put in the crackdown of illegal reproductions of characters from popular movies and animations which has dramatically increased recently. on Copyright Infringements Responses to and Crackdowns

2 Copyright Protection Policies and Activities

1 Overview of Copyright Protection 1) Investigation of Copyright Infringement Cases

In an effort to create a "copyright ecosystem of balance and shared prosperity," the In order to facilitate immediate responses to online and offline illegal reproductions Korean government has conducted projects such as “establishment of an airtight and the increasingly secretive and diversified copyright infringement offences, regional copyright protection network” and “copyright awareness in daily lives,” and expanded offices of the Copyright Special Judicial Police in Seoul, Busan, Gwangju, Sejong and the investigation against violations of the Copyright Act. Furthermore, in a bid to actively Daegu are under operation respond to the copyright infringements by attaching links, a newly magnified type of infringement, it has launched planned investigations by the copyright special judicial in regional centers, including Seoul, Busan, Gwangju, Daejeon and Daegu. police officers and investigated a total of 15 websites operated by iframe/embed and The regional offices are in charge of crackdowns and investigation into copyright direct links, forwarded the operators to public prosecutor’s office under the charge of infringement cases in their respective jurisdictions, enhancing the efficiency of aiding and abetting the violation of the Copyright Act, and to be judged by the law for investigation into copyright infringement offenses. copyright infringement. Moreover, the government is seeking specialization of investigation into copyright Recently, the distribution routes of infringement have relocated to overseas sites in infringement offences by strengthening the operation of scientific investigation methods response to active crackdown of copyright infringement in the domestic sites. In order to such as investigation support through digital evidence collection and analysis. shut off this balloon effect and to resolve the issues regarding blind zones, the number of illegal overseas sites blocked for access has increased, advertisements that are the The numbers of cases in which copyright infringers are sent to the prosecution by major source of profits to these sites are blocked simultaneously, preventing the illegal the Copyright Special Judicial Police rose significantly from 11 persons in 2008 to 312 sites from becoming the vehicle for copyright infringement. persons in 2009, 539 persons in 2010, 1,115 persons in 2011, 1,803 persons in 2012, 1,192 persons in 2013, 2,136 persons in 2014 and 1,091 persons in 2015.

48 49 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

2) ‌Expanded Operation of the Digital Copyright Evidence Collection & accordance with the integrated Copyright Act, issuing 35,345 recommendations in the Analysis Investigation Support System year. It issued 85,085 recommendations in 2010, followed by 107,724, 250,039, 170,867, 296,360, and 264,982 in 2011, 2012, 2013, 2014, and 2015 respectively, increasing every Digital copyright forensics investigates digital storage devices of companies or year. However, the number of recommendations issued in 2015 has decreased by 10.6% individuals that make profits by illegally distributing or using digital works protected compared to the previous year. It is analyzed to result from the increase of infringement under the Copyright Act without the authorization of copyright owners. It refers to a set sites that have overseas servers such as torrents, etc. illegally distributing Korean of procedures involving collection, analysis, storage and report of the data in such digital copyrighted works to avoid the recent crackdown activities in Korea. storage devices based on logically standardized procedures and methods to make the

data possess weight of evidence in legal procedures in the form of digital evidence. Numbers of Correction Recommendations Issued by the KCC by Year on Copyright Infringements Responses to and Crackdowns

No. of Correction Recommendations The forensic science technology for digital copyright infringements is used to collect Classification Annual Results Deletions/ related evidences such as screen captures of contents transactions, the transacted Account Warnings Suspensions of Suspensions contents, database, and web sources in torrents, P2P, and webhard in charge of illegal Transmissions transactions, and to analyze the distribution routes, IP and account information of the 2009 35,345 13,466 21,840 39 uploader, and illegal activities. 2010 85,085 42,794 42,200 91

The numbers of digital copyright forensic investigation support cases have steadily 2011 107,724 54,504 53,106 114

increased from 94 cases in 2010 to 291 cases in 2011, 323 cases in 2012, 372 cases 2012 250,039 130,304 119,560 175

in 2013, 398 cases in 2014, and 454 cases in 2015. In 2015, evidences of copyright 2013 170,867 86,455 84,412 - infringement have been analyzed and investigated on the streaming link sites (15) 2014 296,360 150,722 145,638 - that causes a massive copyright infringements by illegally posting links, responding 2015 264,982 133,146 131,768 68 rapidly to new types of violations of the Copyright Act. We seek to further systemize and increase efficiency of copyright infringement offence investigations. Since 2011, the KCC is operating the “Citizens’ Open Monitoring System” for citizens to voluntarily participate in reporting websites distributing illegal reproductions, which have become increasingly diversified and complex. This system suppressed 3) Administrative Measures against Copyright Infringement the distribution of illegal reproductions in various routes, and improved the public awareness of copyright protection. Outstanding participants are compensated with The Korea Copyright Commission investigates the information networks of online basic activity expenses ( voucher of up to 200,000 KRW). Thirty regular monitors are service providers (OSPs) and issue correction recommendations such as warnings to recruited yearly for facilitation of the system and strengthening monitoring. You may the user responsible for copying and transmitting the illegal reproductions and deletion report an illegal reproduction at www.copy112.or.kr. The reported illegal reproductions and termination of transmission, in case transmissions of illegal reproductions, etc. has will receive warnings, request of deletion and termination of transmission with occurred, pursuant to Article 133 (3) of the Copyright Act. correction recommendations to OPS.

In 2009, the KCC started to issue correction recommendations for the first time in

50 51 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

reproduction activities. This initiative was introduced in consideration of the fact that, despite the ongoing crackdown on illegally reproduced software, many companies are still unaware of the hazards of illegal software reproduction; and particularly SMEs have relatively poor software management systems.

During the preventive activities, companies were informed of how to utilize and manage software, free open-source software, and inexpensive replacement software to prevent illegal reproduction through ongoing management. The Copyright Special

Judicial Police visited a total of 2,401 companies in 2013, 2,504 in 2014 and 2,510 in on Copyright Infringements Responses to and Crackdowns 2015. According to a survey taken among the companies at the end of the year, the scores for satisfaction with preventive activities and change in perceptions on software copyright stood at 93.4 points and 90.8 points, respectively.

The KCC’s “Copy 112” Online Piracy Reporting Website

5) Special Investigation into New Types of Copyright Infringements 4) Creation of an Environment for Fair Use of Software Copyright In addition to its intensive investigation efforts regarding illegal copying and

The Ministry of Culture, Sports and Tourism (MCST) has reinforced inspection transmission of copyrighted works via online platforms such as torrent programs and activities against illegal reproduction of software among government and public webhards, the Copyright Special Judicial Police launched a special investigation into agencies and small and medium-sized enterprises (SMEs), while expanding distribution copyright infringement cases of private game servers, a new type of offence. Private of the Software Management Guide, server software management guide and software game servers, also known as free servers, are servers that obtain profit by illegally inspection programs to prevent copyright infringements that occur due to negligent providing modified game program connection IPs to users via a separate website or software management and lack of awareness. torrent sites without the permission of the copyright holder, who provides gaming services through an official server.

According to surveys on the use of software in the public sector including the central administrative agencies, local governments, and public corporations, conducted Streaming link sites are different from webhards where copyrighted works are directly pursuant to the Presidential Directive “Regulations on Software Management of Public uploaded and downloaded in that they enable the use of works by clicking on the posted Institutions,” the rates of illegal production generally showed a downward trend with link address (URL). 0.10% in 2013, 0.07% in 2014 and 0.06% in 2015. The links to illegal reproductions cause a significant gap in copyright protection since

Since 2013, in addition to efforts to investigate into or crack down on illegal software copyrighted works can be used conveniently without a process of download or storage cases, the Copyright Special Judicial Police visited small and medium-sized enterprises space for the contents. This can eventually lead to destruction of the copyright protection (SMEs) to encourage the use of authentic software and prevent illegal software system that has been established with so much effort. Therefore, the copyright special judicial police officers conducted a planned investigation targeting 15 sites that are

52 53 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

operated on iframe/embed and direct link bases, and forwarded the case to the public Copyright Infringement Crackdown Results by the Copyright Protection Center under the KFCO prosecutor’s office to be judged by the law for posting links to illegal reproductions. 2014 2015 Change (%) Classification No. of No. of No. of No. of No. of No. of Classes Articles Classes Articles Classes Articles 6) Enhanced Response to Online/ Offline Copyright Infringements Musical 87,336 3,698,703 202,397 3,809,227 131.75% 2.99% Works

The Copyright Protection Center under the Korea Federation of Copyright Cinema- Organizations (hereinafter referred to as ‘the Copyright Protection Center) operates a tographic 1,651,744 4,360,602 2,039,814 3,660,622 23.49% 16.05% Works

unit that cracks down on copyright infringement around the clock, responding to online/ on Copyright Infringements Responses to and Crackdowns Literary offline copyright infringement cases in a prompt and flexible manner. Commissioned 47,002 37,261,640 39,033 32,914,749 16.95% 11.67% Online Works by the Minister of Culture, Sports and Tourism, the Copyright Protection Center Games 45,706 50,007 13,384 34,046 70.72% 31.92% has collected, discarded, and deleted offline illegal reproductions since 2007, while Comics 64,949 96,327,928 46,911 76,962,139 27.77% 20.10% requesting suspension of reproduction or transmission of illegally reproduced works on behalf of copyright holders. Software 37,910 40,614 53,340 74,418 40.70% 83.23% Subtotal 1,934,647 141,739,494 2,394,879 117,455,201 23.79% 17.13%

The number of cases of illegal reproductions that the Copyright Protection Center Musical 935 15,320,691 996 14,420,282 6.52% 5.88% Works collected and discarded in 2015 is 2,037 (14,548,965 pieces), increased by 19.1% in cases compared to the previous year. The number of cases of deletion of online illegal Cinema- tographic 382 380,419 527 106,748 37.96% 71.94% reproductions is 2,394,879 (117,455,201 pieces), increased by 23.8% in cases compared Works

to the previous year. The number of cases of illegal reproductions that the Copyright Offline Literary 392 33,576 510 16,697 30.10% 50.27% Protection Center cracked down in 2015 is 2,396,916, 132,004,166 pieces in total. It Works increased by 23.78% in cases and decreased by 16.17% in number of pieces. Games 1 409 2 208 100.00% 49.14%

Characters 0 29 2 5,030 17,244.83%

Subtotal 1,710 15,735,124 2,037 14,548,965 19.12% 7.54%

Total 1,936,357 157,474,618 2,396,916 132,004,166 23.78% 16.17%

54 55 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

7) ‌Analysis of distribution environment of illegal reproductions and various campaigns, to enhance the public awareness of copyright protection. In addition, encouragement of legal copyrighted works newsletters are distributed to OSPs and to the general public monthly to promote Clean Sites and to encourage more active participation in Clean Site Designation. The Copyright Protection Center publishes an annual report every year on the analysis of distribution environment of illegal reproductions in consequence of changes in the copyright environment and the study of the size of illegal reproduction market. In addition, it publishes ‘C STORY’ to provide related information on distribution of illegally 2 ‌Copyright protection overseas and exchange·cooperation reproduced works and crackdown statistics and ‘Overseas Copyright Protection Trend activities (formerly Global Copyright Protection)’ every quarter. Furthermore, they have published on Copyright Infringements Responses to and Crackdowns the first issue of ‘CPC Report’ (English edition of C STORY), a technical journal to provide overseas organizations and media with information on copyright protection in June The amount of exports of in 2015 was 7.05 billion dollars, increased 2015. by 2.4% compared to the previous year, cultural contents export with the most growth among them. Korean wave’s production inducement effect in 2015 was 15,640.6 In addition, in response to the aggravation of conflict between the parties interested in billion won, added value inducement effects was 5,771.2 billion won, and employment copyright infringement because of the boundaries of legal and illegal services becoming inducement effect was 112,705 persons, a significant influence to the economy. increasingly ambiguous, more objective and reliable indicator on online service providers (OSP) was necessary. The Clean Site Designation Project was launched. ‘Clean However, despite these economic effects, the copyright holders that creates these Site’ refers to websites providing contents by online service providers that promotes the Korean wave contents such as movies, dramas, music (K-pop), etc. do not make the use of legal contents by the consumers and manages the site according to legitimate profit equivalent to its popularity, due to copyright infringement overseas. Therefore, processes, thereby contributing to vitalization of the copyright industry. the MCST and the Korea Copyright Commission have conducted various projects to protect the copyrighted works of Korea and create the base for legitimate distribution Clean Site Designation process is conducted based on the clean site guideline and through the actions against infringements. The Copyright Protection Centers were set clean index. Clean site guideline is made for online service providers (OSP) that want to up in Beijing, China in April 2006, and in Bangkok, Thailand in May 2007 to establish be designated as a Clean Site or seek to be switched to a legitimate service. protection in major regions for Korean wave. The Copyright Centers were additionally set up in Manila, Philippine in December 2011, and in Hanoi, Vietnam in December 2012 An OSP that is designated as a Clean Site is granted a “Clean Mark” that certifies to protect Korea’s copyrighted works in major areas with Korean wave contents and to the site as a Clean Site, and provided with supports for promotion and awareness strengthen the regular support system to expand the legal market. enhancement. Furthermore, the revaluation system is established to continuously monitor Clean Site activities by operating the Appraisal board to secure fairness and The Korea Copyright Commission Copyright Centers performs various tasks such transparency. as promoting private exchanges for facilitating legal distribution, etc. in addition to law consulting and taking measures to respond to illegal distribution of Korean contents Thirty nine Clean Sites were added in 2015, making a total of 108 designated Clean and copyright infringement in China and Southeast Asian regions. Furthermore, they Sites. The Copyright Protection Center promotes Clean Sites through Copyright actively exchange and cooperate with the government and major related organizations Protection Leaders Forums (held 4 times), Copyright Clean Forums (held 2 times), and in the areas with low awareness for copyright protection through co-hosting copyright

56 57 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

forums and seminars to enhance the copyright awareness and provide information on At the same time, they cooperate with the authorities in the areas with the Copyright copyright protection and uses. Centers regarding copyright infringement to preserve the evidences, dispatch warnings, request for administrative punishments and civil and criminal lawsuits to support step-by-step measures for each infringement issue. In 2015, a total of 676 measures 1) Creating local copyright protection and an environment for legal use including dispatches of warnings and preservation of evidences were taken.

1200 The MCST and the Korea Copyright Commission support customized measures 1,040 1000 for situations overseas through the Copyright Centers, such as providing professional 852 800

consulting through local affiliated law firms, preserving the evidences and dispatching 676 on Copyright Infringements Responses to and Crackdowns warnings for major infringements to take legal measures, and providing law 600

services in cases of administrative penalties, civil and criminal lawsuits. In addition, 400 365 345 they have expanded the exchange and cooperation with the local government and 200 119 114 97 major organizations that can help protect the copyrighted works to create amicable 0 environment for the Korean industry to advance into the overseas market. 2008 2009 2010 2011 2012 2013 2014 2015

Status of measures taken for overseas infringement In 2014, the MCST and the Korea Copyright Commission have started the incubating service for small and medium-sized companies to use the offices in the Copyright Centers. In 2015, a joint consultative group composed of the MCST, copyright related Aside from these measures for infringement, monitoring and deletions for illegal agencies, and contents industry was formed and a total of six meetings for overseas reproductions are also being progressed in response to the recent expansion of online copyright protection cooperation were held. Furthermore, in order to respond to a rapid distributions of illegally reproduced works. Active response to the infringement such increase of legal demand for local copyright protection, a total of 595 cases of overseas as immediate deletion of illegal copyrighted works of Korean contents such as movies copyright advices and consulting were provided in 2015. and dramas, utilizing the monitoring system of the Copyright Protection Center of China (CPCC) since 2011. In 2015, 3,708 link addresses (URL) for 375 works had been 800 immediately deleted. 670 700 642 595 600 573 489 The Korea Copyright Commission supports the legal use contract for Korean contents 500 in local communities, along with efforts for overseas copyright protection, so that the 400 368 302 illegal distribution of copyrighted works will be switched to legal services and create 300 253 200 economical profits. In 2015, eleven exchange gatherings promoting legal distribution 100 were held targeting the Korean copyright holders that have entered or are planning 0 2008 2009 2010 2011 2012 2013 2014 2015 to enter the overseas markets, and given the opportunities to meet with the local distribution industry. The number of support cases for legal use contracts of overseas Status of legal consulting in overseas Copyright Centers copyrights were 88 in total, increased by 8.6% from 81 cases of the previous year.

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2) ‌Facilitation of use agreements through Korean contents copyright 3) ‌Strengthening international copyright exchange and cooperation to authentication in China create overseas copyright protection environment

The Beijing Office of the Copyright Center is the only authentication organization Since 2009, Korea has been excluded from the Watch List for intellectual property of ratified from the National Copyright Administration of China in November 2006 to the United States Trade Representative (USTR). This is the result of the continuous and perform tasks of identifying copyright information of Korean copyrighted works. It has multilateral efforts of the Korean government in policies to strengthen the intellectual since been performing authentication tasks for copyrights of Korean movies, music, and property protection. dramas and related information on the permissions for use. A total of 1,366 cases were

authenticated for copyrights in 2015. To reflect Korea’s international position, the MCST and the KCC holds Seoul Copyright on Copyright Infringements Responses to and Crackdowns Forum, Korea-China, Korea-Japan, Korea-Thailand, and Korea-Philippines Copyright China requires the contract to be registered to CPCC for foreign movies, musical Forums every year to cooperate with major Korean wave target countries. works, or TV dramas to be published in China. One of the required documents is the evidence of authentication for copyright. In case of Korean contents, the Chinese The ‘Korea-China Copyright Forum’ (May) that was held for the 11th time in 2015 and government accepts the authentication from the Beijing Copyright Center as a the ‘Korea-Japan Copyright Forum’(Dec.) held for the 7th time are the international documentary evidence, making the procedure significantly more convenient than events leading the copyright issues in Asia. In April, May, and September of 2015, translating and notarizing processes to prove the copyright. copyright forums and seminars with various countries such as Vietnam, Malaysia, and Thailand were held to strengthen the exchange and cooperation with countries in The copyright authentication tasks of Beijing Copyright Center identify the copyright Southeast Asia and to protect the copyright of Korean contents in each country. related issues more quickly and helps rapid legal responses, supports safe copyright transactions, simplifies the entry process of content products such as cinematographic In addition, the MCST co-operates various domestic training programs with the World works to greatly contribute to the entry of Korean contents industry into China, copyright Intellectual Property Organization (WIPO). In September 2015, the World Intellectual protection, and facilitation of contracts. Property Organization (WIPO), the MCST, and the KCC held the ‘WIPO-MCST-KCC (Unit : Case) Inter-Regional Workshop on Copyright Enforcement’ to learn about Korea’s copyright

3,000 protection system and the status with major copyright enforcements including 19 judges 2,571 and prosecutors, and to share the experience and cases of other countries. 2,500

2,000 2,070 1,853 1,493 1,366 1,500 4) Expansion of provision of information on overseas copyright 1,000 1,240 1,121 853 500 The Korea Copyright Commission operates the ‘Overseas Copyright Information 601 Plus (Copy112)’ site to provide the copyright information of major foreign countries. It 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 provides copyright-related information of major countries including USA, China, Japan, Thailand, Philippines, Vietnam, etc. online legal advices related to overseas copyrights, Copyright authentication status

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and information on overseas contents-related companies in China, Thailand, and Ⅱ. Copyright Education and Public Vietnam to enhance user satisfaction. Awareness Programs

In 2015, the site had posted the copyright guide information of 15 major countries and 375 postings on overseas copyright trends and special materials, sent monthly newsletters and held quiz events. In addition, it alerts the schedules of yearly international events including Seoul, Korea-Japan, Korea-China, Korea-Thailand, Korea-Philippines, and Korea-Vietnam Copyright Forums and seminars, and posts

reference materials to provide wide range of information on copyright for the users. Public Awareness Programs Copyright Education and

1 Overview

In order to create a healthy "copyright ecosystem" in which authors are respected and high-quality works are smoothly distributed and consumed, it is still insufficient to merely make related legal improvements and develop IT technology. What is ultimately required is to change the perceptions and attitudes of people, who are members of the copyright ecosystem, toward a more desirable direction. To this end, the MCST has concentrated its policy capabilities on education and public awareness programs designed to raise awareness of the importance of copyright, and has implemented a wide range of policy measures.

Projects aimed for copyright education have been implemented mainly in two aspects online and offline: development and operation of diverse education curriculums and enhancement of infrastructure such as development of high-quality education contents and establishment of systems. Education curriculums have been specialized in two areas: namely, education on prevention of copyright infringement; and education to train professional personnel. A total of 2,657,133 persons were educated online and offline under the programs from 2008 to 2015. In order to enhance the infrastructure, efforts were put into contents developments of various distance learning education and system establishment, and cooperation of local educations offices. The copyright education base for youth has been fortified by reflecting copyright-related contents in textbooks

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of elementary, middle, and high schools, and developing and distributing textbooks for hands-on education in schools.

On the other hand, public awareness programs are designed to boost citizens’ awareness of copyright protection and establish a culture of legitimate use of copyrighted works. The public awareness initiatives have been implemented in the form of a range of campaigns via various media channels and participatory contests to raise copyright awareness in everyday life, contributing to advancement in copyright Hands-on Copyright Classes

awareness. Public Awareness Programs Copyright Education and

Hands-on copyright classes started in 2006 with 20 classes being offered in the Seoul Metropolitan Area. The numbers of participating classes increased each year, with hands-on classes being administered in 117 classes in 2009, and 294 classes in 2015, 2 Copyright Education Activities and Outcomes nationwide.

Status of Hands-on Class Operation by Year

1) Education on Prevention of Copyright Infringement Classification 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total

No. of Classes 20 20 79 117 198 99 100 193 195 294 1,315 Education programs on prevention of copyright infringement have been implemented in three categories: education for youths education for the general public and education No. of Students 921 763 3,479 4,095 10,669 5,827 6,997 8,996 8,790 12,762 63,299 individuals pertaining to suspensions of prosecution conditional upon the receipt of copyright educated Teachers 20 20 80 120 151 79 74 148 195 294 1,181 education designed for copyright infringers.

(1) Copyright Education for Youths B. On-site Copyright Education Program The On-site Copyright Education Program for youth is an education program in which A. Hands-on Copyright Classes instructors visit the schools on requests to deliver special lectures. The program is Hands-on copyright classes are an education project in which copyright education conducted to respond to the demand for copyright education in elementary, middle, is provided in school classes set aside for discretionary activities in the regular school and high schools nationwide and to enhance the youth awareness through expansion of curriculum for a certain amount of hours (more than six hours) in order to enhance copyright education. copyright awareness of teachers and students. The project is mainly operated with the focus placed on hands-on programs designed to help students recognize the importance of copyright while being engaged in hands-on creative activities.

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Status of On-site Copyright Education Program Operation (Youth) (2) Copyright Education for the General Public

Classification 2008 2009 2010 2011 2012 2013 2014 2015 Total A. On-site Copyright Education Program No. of individuals 14,265 74,938 254,130 294,035 354,868 354,299 376,330 393,063 2,115,928 educated The On-site Copyright Education Program for the general public is a customized

No. of education education program for the teaching staff at elementary, middle, and high schools and 19 130 2,028 3,008 3,016 7,981 8,314 8,940 33,436 session the workers of enterprises and organizations. A total of 274 sessions targeting 14,855 individuals were conducted in 2015. Young copyright instructors trained by the KCC visit the schools to offer education

free of charge. Students can learn basic concepts and definition of copyrights in daily Status of the On-site Copyright Education Program Operation (the General Public) Public Awareness Programs Copyright Education and life tailored for youth, cautions to take in the changing environment, etc. in a friendly Classification 2008 2009 2010 2011 2012 2013 2014 2015 Total manner and be equipped with proper understanding and attitude towards the copyright. No. of individuals 7,340 19,039 28,726 21,473 18,844 16,951 18,292 14,855 145,520 educated

No. of education 103 244 431 403 358 371 313 274 2,497 session

In addition, On-site Copyright Education Program targeting the cultural artists launched to prevent disputes in the field and boost the response ability by making the cultural artists aware of the concept of copyright and cautions to take in signing contracts, etc. Starting with 100 individuals educated in 5 sessions in 2013, a total of 708 individuals were educated in 2015 in 12 sessions. On-site Copyright Education Program

B. Training to strengthen the copyright education basis D. Online Copyright Education for Youth Trainings for the education offices started in 2008, trainings for textbook authors Online copyright education for youth that are offered free of charge year-round is started in 2009, and trainings for scenario writers started in 2010년. Each training composed of four courses, three sessions in each course. An accumulative total of 7,338 was held once in 2015. These trainings contribute directly and indirectly to copyright students completed the courses as of 2015, obtaining basic knowledge about copyrights education cooperation and enhancement of public awareness. and enhancing their awareness of copyright protection. The KCC offers training programs for copyright education and enhancement of public awareness, including copyright trainings for municipal education offices, the textbook In 2015, two courses were added to provide various level based education: ‘Must-know authors, and scenario writers. copyright information in school’ (1) for middle and high school students and copyright

education material video (1) targeting the upper grade students in elementary schools C. Launching General Education Course on Copyright at Universities to conduct online copyright education for youth more effectively. Amid rampant copyright infringement cases in university campuses such as copying academic papers and reports and illegal bookbinding of class materials, the project

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of launching general education course on copyright at universities was launched in E. Online Copyright Education for School Parents 2013 with an aim of raise proper awareness of copyright among university students. The online copyright education programs for parents of elementary school students The project was funded by undistributed compensation of the Korea Reproduction and and middle school students are operated to prevent the copyright issues that can Transmission Rights Association with a purpose of contributing to the development of occur in family and daily lives, and to educate the parents to guide their children for a copyright environment by returning the share of the existing creators to prospective copyrights. The courses are programmed for the parents to easily approach to copyright creators. Through the project, KCC has opened a general education course on copyright knowledge through everyday life examples, and to educate the children of proper at 19 universities and a total of 2,246 university students completed the course in 2015. copyright awareness.

D. Online Copyright Education for University Students and the General Public The online education program for school parents that are offered free of charge since Public Awareness Programs Copyright Education and Online education targeting university students and the general public focuses on June 2011 consists of 3 sessions by course. An accumulative total of 1,266 parents educating of basic knowledge on copyrights and enhancement of understanding of completed the program as of 2015, making a good guideline for parents of elementary proper use of copyrights works through various examples that can happen in daily lives. and middle school students who are vulnerable to copyright issues.

The courses for university students provide basic knowledge with common examples of copyright infringement that can occur in the university, such as copying academic (3) Education Pertaining to Suspensions of Prosecution Conditional upon the papers and reports. The courses for the general public includes the proper use of Receipt of Copyright Education copyrighted works in music, photographs, movies, and internet. Cases of copyright infringement in internet space occur frequently with advances in Online copyright education for university students, in particular, has collaborated with information technology. They are particularly targeting literary works, images, musical the general education projects in copyright in universities since 2013 to be provided works, and photographic works illegally uploaded on Internet blogs and community as credit courses. Through cooperation with e-learning centers of 13 universities cafes run by youths and the general public who have insufficient understanding of the nationwide, the courses are offered for credit or extension courses for more university Copyright Act. students to be equipped with basic understanding of copyright. In the meantime, there was a case of a high school student in Damyang, Jeollanamdo KCC has participated in the Nationwide University e-learning Conference in 2015 committing suicide in November 2007 for being charged with uploading a downloaded and e-learning Korea in 2015 to push forward various copyright education cooperation literature file on a blog. In response, the government introduced "suspensions of with e-learning support centers of universities, and worked hard to extend copyright prosecution conditional upon the receipt of copyright education (hereinafter referred to education and enhance the awareness by promoting copyright education for the general as "Copyright Protection Education") to prevent harmful effects caused by reckless filing public. of charges and establish an order for legitimate use of copyrighted works.

The free monthly online education courses for university students and the general The "Copyright Protection Education" was launched in July 2008, operated by the KCC public consists of 15 sessions by course. An accumulative total of 12,755 individuals commissioned by the Public Prosecutors’ Office. completed the courses from 2010 to 2015. In the initial stage, the "Copyright Protection Education" was administered only for

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teenagers (minors) selected from copyright infringement cases under the jurisdiction of is an intensive training program for copyright that are operated for 2 to 5 days with the Seoul District Prosecutors’ Office. However, the scope of the "Copyright Protection a maximum of 30 individuals in each course, targeting the workers of enterprises Education" was extended nationwide in March 2009 and also included adults in addition (and organizations) in contract with the KCC. In 2015, 215 individuals completed the to youths. In 2015, KCC administered the "Copyright Protection Education" to 2,366 (2,343 three courses offered in 10 sessions: ‘General Introduction to Copyright’ (4 sessions), adults and 23 minors). ‘Understanding Copyright system’ (1 session), ‘Example exercises in each field and copyright contract businesses’ (5 sessions). Meanwhile, a complaint rejection system filed against youths was temporarily operated for a year from March 1 2009 to February 28 2010 where, if the youth involved Status of Completion of the Course for Enhancement of Performance in Copyright Field

is a first-time offender with mild infringement, the complaint lodged against him or Classification 2015 Total Public Awareness Programs Copyright Education and her is rejected without investigation. The system was deemed effective and has been No. of Individuals Completing the 215 (Held 10 times) 215 (Held 10 times) extended by a year each year. Program

Status of the "Copyright Protection Education" Operation by Year

Classification 2008 2009 2010 2011 2012 2013 2014 2015 Total (2) Intensive Training Courses for Copyright Businesses and Professional Courses

- 9,551 3,337 3,473 3,020 2,695 2,671 3,022 27,769 (Undistributed Compensation Business) Adults No. of Education 171 332 55 82 103 50 34 23 850 Minors Requests The intensive courses for copyright business in each field consists of six courses 171 9,883 3,392 3,555 3,123 2,745 2,705 3,045 28,619 Subtotal divided into industry fields including broadcasting, cinematography, music, and

Adults - 7,492 3,397 2,581 2,760 2,395 2,442 2,343 23,410 publication and functional fields including public officials, judicial officers, and teachers. No. of 163 individuals completed a total of 8 sessions. Individuals Minors 161 320 47 76 96 31 19 23 773 Educated The Consortium for HRO Ability Magnified Program alone cannot realize the purposes Subtotal 161 7,812 3,444 2,657 2,856 2,426 2,461 2,366 24,183 and the contents of former Culture School and Academy education programs. Therefore, the intensive training courses for copyright business and professional courses in each field were operated additionally as undistributed compensation business 2) Training of Copyright Professionals Status of Intensive Training Courses for Copyright Businesses and Professional Courses

(1) Course‌ for Enhancement of Performance in Copyright Field (Consortium for Classification 2015 Total No. of Individuals Completing the HRO Ability Magnified Program) 163 (Held 8 times) 163 (Held 8 times) Program

The educational courses such as the Copyright Culture School (operated since 1988) The training course for teachers of offered as a 5-day (30-hour) intensive training and Copyright Academy (operated since 2005) have been switched to the Consortium course with less than 40 individuals. Major programs include necessary education such for HRO Ability Magnified Program (Strategy field) project, and newly organized as the as introduction to the Copyright Act, citing a copyrighted work, actual cases in copyright ‘Course for Enhancement of Performance in Copyright Field.’ This education program

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education and examples, copyright infringement and measures to resolve disputes. (4) e-learning Copyright Education for workers in the field The training courses for teachers is a program that not only helps the teachers to recognize the importance of copyright, but spreads a proper use of copyrighted works Since 2010, e-learning copyright education was provided simultaneously to overcome to the youth at school in the future. It is operated by the KCC, designated as the special the time and geographical limitations of offline education and to broaden the opportunity field training organization (Course name: Copyright Academy School Faculty Training) to obtain knowledge. by Seoul Metropolitan Office of Education (Education Training Institute). The online course for workers in copyright industry was established and operated On the other hand, copyright professional courses (15-week, 100 hours) was launched since 2010, targeting the workers in music, publishing, and internet field. A total of 12

to train professional workforce to reflect the demand for professional education in education courses are being operated, with contents in various fields including software, Public Awareness Programs Copyright Education and copyright. 22 copyright field professionals were trained through operation of intensive games, broadcasting, character design, mobile and contents export industry, business courses targeting workers of copyright industry and lawyers. founders and comics (webtoon) creators.

In addition, to compensate the capacity limitation of online education and expand the (3) Distance Teachers Training education opportunity, copyright education contents were provided since 2013 targeting the organizations who signed the copyright education cooperation MOU and greatly For expansion of copyright education opportunities for teachers and effective copyright expanded the online education participation by the workers in the field. As a result, the education for youth, Distance Teachers Training course was developed and operated numbers of individuals who participated in the courses stood at 675 persons in 2010, 778 since 2007, in addition to Intensive Training Courses for Copyright Businesses. The in 2011, 652 in 2012, but greatly increased to 5,149 in 2013, 8,761 in 2014, and 14,869 in course was entrusted to an external online training institute until 2009. However, after 2015. Since 2014, a workshop is held yearly targeting MOU or collaborated organizations the KCC was officially approved by the Ministry of Education, Science and Technology as to strengthen the cooperation and active promotion, expanding the network. a "copyright long distance education and training institute" in 2010, the KCC has directly administered the online teacher training course since then. (5) Operation of Copyright Education Body The Distance Teachers Training consists of 7 courses: four 15-hour courses, one 30-hour course, and two 45-hour courses. Since its establishment, a total of 61,220 To respond to a more specialized, subdivided, and rapidly rising demand for copyright teachers completed the course as of 2015. education, a copyright education body (instructor pool) is being operated since 2009. The copyright instructors are composed of specialized instructors and beginner instructors Status of Completion of Distance Teachers Training who give lectures to the general public mostly, and youth instructors who are in charge

Classification 2008 2009 2010 2011 2012 2013 2014 2015 Total of youth education. The appointed term is one year.

No. of teachers 2,727 3,305 3,308 10,526 13,813 7,426 10,848 9,267 61,220 educated

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Status of Appointment of Copyright Instructors

(As of 2015)

Classification Specialized Beginners Youth Total

No. of Instructors 55 56 124 235

In addition, instructor refresher trainings are conducted for obtaining necessary Copyright Brand ‘BandeutⒸ’ BI Advertisement for Copyright Campaign information and technology regarding new issues and in the copyright field, and for

interactions between instructors. In 2015, youth instructor refresher course (held 2 In addition, various campaigns were carried on to induce the public to copyright Public Awareness Programs Copyright Education and times) and beginner and specialized instructor refresher course (held 1 time) were counseling and participation in proper use of copyrighted works, collaborating with conducted. ‘World Intellectual Property Day Event (April 22)’, ‘World Book and Copyright Day Event (April 23)’, ‘The 18th Bucheon International Comics Festival (Aug. 12~16)’, ‘The 8th Jeju Haevichi Art Festival (Sep. 15~16),’ etc. On the Culture Day of August, the last Wednesday, ‘Respect for Copyright and Sharing Concert’ was held to casually deliver 3 Public Awareness Programs the purpose of the campaign to the audience and communicate.

1) Raising public awareness of copyright

(1) Development of copyright brand and campaigns

In October 2015, a copyright brand ‘BandeutⒸ’ was developed to enhance the public The World Book and Copyright Day Respect for Copyright and Sharing Concert awareness of copyright and to recognize it in a friendlier manner. ‘BandeutⒸ’ is a brand

for the ‘campaign to create a clean copyright culture.’ The Brand Identity(BI) stands for the creators of the copyrighted works and the users who protected the works (2) Promotion of copyright utilizing social networking service (SNS) with proper use expressing ‘Thumbs up’ to compliment each other, symbolizing the communication and sympathy between the two. The campaign put in efforts to create Through ‘the 4th Copyright Reporters’ and operation of the official Facebook, blog, and a clean culture of copyrighted use under the slogan ‘Clean use of copyright instructor YouTube pages, the KCC sought to raise public awareness of online copyright. ‘The 4th makes clean Korea, delivering campaign advertisement to terrestrial broadcasting, etc. Copyright Reporters engaged in copyright experience activities each month, including copyright education, and visits to cultural contents production sites for approximately six months, from May to November. Afterwards, they shared copyright-related information they learned from the activities in the form of online articles, widely promoting copyright

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among the general public. In September, a copyright promotion contents competition Sangmyung University for his paper titled “Judgement on Actual Similarities between for the reporters was held to promote copyright through webtoons and UCC videos. Copyrighted Games.”

In addition, KCC utilized its Facebook page as a channel for interacting with the A total of 10 prizes were awarded, including two second prizes, four honorable public and explaining the concept of copyright in an easy and friendly manner by mentions and three selected papers. Prizewinners were awarded prizes and delivering information that is closely linked to their daily lives. KCC also created a scholarships, in addition to an overseas training program, through which they can blog in May to increase the readability of copyright information, uploaded six clean become familiar with China’s copyright policies and trends and explore issues with copyright awareness promotion videos by the types of copyrighted works to expand their Korean copyright protection policies.

promotion method, etc. and thus to help improve the citizens’ awareness of copyright Public Awareness Programs Copyright Education and issues. (2) The 11th National Youth Copyright Writing Contest

The National Youth Copyright Writing Contest was launched in 2006 with an aim of encouraging children and youths to experience copyright through creative activities, thereby raising their awareness of copyright protection and proper use of copyrighted works in their daily lives. In 2012, starting from the 8th contest, the WIPO Special Prize was added to the contest, further boosting its status. A total of 2,308 entries were

The 4th Copyright Reporters YouTube Promotional Videos submitted in the 11th writing contest in 2015. An essay titled "Mistletoe" written by Byun Seung-min from Hanmin High School was selected as grand prize winner (Premier Award) after going through two rounds of screening process. In addition, a total of 64 2) Copyright-related Contests entries won prizes, including first-prizes, special prizes, second-prizes, honorable mentions, and selected works by categories of elementary, middle, and high schools. (1) The‌ 10th Copyright Research Paper Contest for Undergraduate and Graduate Students (3) Publication of Quarterly and Monthly Magazines Copyright Culture KCC has hosted a research paper contest for undergraduate and graduate students since 2006 in an effort to invigorate research on intellectual property and create a ① Publication of Quarterly Copyright Magazine forward-looking research environment by instilling interest in copyright among students The quarterly Copyright Culture is the only academic journal on copyright in Korea and motivating them to conduct research into the area. registered in the National Research Foundation of Korea, specializing in the copyright field, researching and analyzing the copyright issues to draw conclusions. Through the In the 10th copyright research paper contest in 2015 received papers addressing a continuous publication during the last 29 years, it has played a significant role in the variety of topics, ranging from traditional copyright legal theory to issues regarding the development of copyright by releasing copyright-related papers. change in the use of copyrighted works. The first prize was granted to Park Sung-jin of The Quarterly Copyright has published 23 papers in 2015 through examining a total

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of 35 papers, and contributed to accurately deliver the copyright research trends and performs systematic online and offline copyright education. related information. The papers published in the Quarterly Copyright will continue to be valuable materials in the copyright research and related business. In particular, the MCST has established a lifelong education system by life cycle by receiving approval. It is expected to expand copyright education targeting adults ② Publication of Monthly Magazine “Copyright Culture” and raise public awareness of copyright, while enhancing practical work execution The monthly magazine Copyright Culture is a renowned magazine specializing in capabilities by industry copyright covering copyright-related information and cultural issues. It is a periodical that offers useful information including copyright policies, issues, and trends from a Although the MCST has continuously strived to raise the public awareness of

neutral perspective to contribute promoting not only “copyright protection,” but also copyright, the public still consider the copyright to be difficult. More efforts in the Public Awareness Programs Copyright Education and facilitation of creation through “fair use.” The monthly “Copyright Culture” delivers future seem necessary. In addition, more comprehensive and systematic copyright helpful information about copyrights closely related to contents industry by linking to education and far-reaching public awareness activities are required from a mid-to the daily lives of citizens. long-term perspective in order to contribute to cultural industry development through Since its first issue in September 1994, the “Copyright Culture” has been providing establishment of basic awareness and proper use copyrighted works to prevent various copyright information for more than 20 years through its 256 issues until copyright infringement. December 2015. This year, they planned the sequential corner ‘Special Project,’ with the themes ‘Answers in the culture!’ in the first half of the year, and the ‘new distribution method of copyrighted works’ in the second half. The growth of cultural contents market and the influence of new distribution method in copyright was analyzed to deliver the information in timely manner.

4 Assessment and Outlook

With paradigm shift towards new media such as social networking services (SNS) and digital devices, the way and environment of using copyrighted works undergo rapid change. Under the circumstances, there is a need for customized copyright education and public awareness programs.

In response, the MCST has diversified the education and promotion method by shifting from one-sided, cramming education and promotions for the public to recognize and enhance the awareness of copyright. The MCST also enriched the copyright education by targeted individuals and classes to create culture for clean copyright use, and

78 79 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities Copyright Protection Technology technology R&D projects have been implemented to develop core and service Ⅲ. technologies necessary for copyright protection, service infrastructure, compatibility linkage, and fair use of copyright through collaboration among the industry, academia and research institutions in accordance with the “Copyright Technology R&D Basic Plan (Dec. 2011).” In a bid to enhance competitiveness of core copyright technology and service innovation technology, key focus is placed on the development of copyright protection technology in the smart media environment, the development of technology to block illegal distribution and support legitimate distribution, the development of

software copyright technology, and the development of ePub-based DRM compatibility Technology Copyright Protection technology. In 2015, MCST provided support for 12 R&D projects selected through public contests (three new projects and nine ongoing projects) and one free project in order to Amid rapid advancements of the smart environment in recent years, the medium promote copyright protection and usage in reaction to new contents types such as UHD of copyright distribution is becoming more diversified and social network services are and a new distribution environment based on mobile platforms and cloud. The Ministry deeply integrated in people’s everyday lives, leading to the expansion of new types of is also pushing for two projects to support commercialization to facilitate developed copyright infringement cases. In order to effectively cope with the situation, the demand copyright technologies to be applied to the industry. for copyright technology and related industries are also rising. In order to effectively respond to such smart environment, the MCST has launched projects such as providing support for copyright technology R&D projects; conducting R&D Projects Undertaken in 2014 copyright technology performance tests; pursuing research of copyright technology 2015 Project Classification R&D Project Title standardization as well as international standardization activities; operating technical Budget Duration

committees; providing support for overseas advancement of copyright technology; and • Identification‌ and Copy Protection Technology of 3yrs 5 Bn\ building international networks for exchange and cooperation. Bookscanned Text/Comic Books (2013~2015)

• Technology‌ development for HTML based web 2yrs 6 Bn\ application packages and contents protection (2014~2015)

• Development‌ of component technologies for 3yrs copyrights protection of collaborative contents 4 Bn\ 1 (2013~2015) R&D‌ Projects for Copyright Protection and Facilitation Copyright and content mashup tool Technology of Use of Copyrighted Works Development • EPUB‌ SCP technology development and 3yrs 4 Bn\ international standardization (2014~2016)

Since 2011, the MCST has implemented R&D projects aimed to develop copyright • Digital‌ Watermarking Technique for the 3yrs 2 Bn\ technologies, including copyright protection for smartphone applications, e-Book Copyright Protection of Motion Pictures (2014~2016) • Prediction‌ detection technology development DRAM compatibility, copyright infringement prevention and inspection software, and 3yrs for searching related works and preventing 15 Bn\ (2015~2017) development of technology to protect copyright in a cloud computing environment. copyright infringement In order to secure global competitiveness of copyright technology, copyright

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2015 Project for a total of 25 copyright technologies have been filed (19 cases in Korea, six cases Classification R&D Project Title Budget Duration overseas) and patent registration for 24 of them have been made, securing core • Development‌ of insertion and detection system copyright technologies. for high performance watermarking applicable to 3yrs 4 Bn\ real-time broadcasting for copyright protection (2015~2017) of UHD broadcating contents Performance of Copyright Technology R&D Patent and Technology Commercialization • License‌ record tracking technology development 3yrs for contents distribution platforms between 2 Bn\ Patent (2014~2016) Technology individuals Classification Commercialization Patent application Patent registration Total (Technology Transfer) • Copyright's‌ manage·circular·distribute·settle 3yrs ment to innovative service model research and 5 Bn\ (2013~2015) 2015 25 cases 24 cases 49 cases 11 cases Technology Copyright Protection Copyright development Technology • Study‌ of national research reports management 3yrs Development 5 Bn\ system services (2014~2016)

• Copyright‌ tracking management technology 3yrs development through confirmation of attached 5 Bn\ (2014~2016) 2 information of Universal Content Identifier (UCI) Copyright‌ Technology Performance Evaluation and • Copyright‌ Protection technology linkage and 3yrs Guidelines on Technological Measures service platform development for cloud based 4 Bn\ (2015~2017) media services • Mix‌ music service technology development based 3.72 Bn\ 1yr (2015) 1) Copyright Technology Performance Evaluation on copyright • Development‌ of distribution service platform for Support for e-book DRM standard base and application of 1 Bn\ 1yr (2015) In order to prevent illegal distribution of copyrighted works, the registration services Technology requirements and cancellation of special type online service providers have been Commercialization • Distribution‌ monitoring system for copyrighted 1 Bn\ 1yr (2015) musical works in the music creating system revised, as specified in Article 22 of the Telecommunications Business Act and Article 29 of the Act’s Enforcement Decree as registration requirements of special type value- Project Planning, • Planning,‌ Selection, Evaluation, and Management Evaluation, and 3.28 Bn\ 1yr (2015) of R&D Projects added telecommunication service providers (Annex 3-1 related to Article 29, Paragraph Management 9), thereby further reinforcing obligations of service providers. Total 70 Bn\

Annex 2-2 related to Article 29 of the Telecommunication Business Act Enforcement With respect to copyright technology R&D projects in 2015, key technologies including Decree specifies that in order to qualify for Webhard registration, service providers illegal sharing control in the HTML based web applications, protection of social must apply technological measures pursuant to the Act on Promotion of Information works, copyrighted comics identification and reproduction prevention were developed, and Communication Network Utilization and Information Protection and the Copyright contributing to invigoration of the copyright industry. Copyright technology R&D Act. The technological measures specified in the Copyright Act must pass performance helps to create a healthy environment for copyrighted works distribution by securing evaluation administered by the KCC, and only technologies that are valid within the date core copyright and service innovation technologies, in order to protect and promote of evaluation validity must be applied. Also, the technologies must be applied around the copyrights in a newly developing smart environment with new contents and distribution clock. channels. Through the copyright technology R&D projects in 2015, patent applications

82 83 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

KCC’s copyright technology performance evaluation assesses feature-based filtering 3) Operation of Technology Committee technology utilizing audio/video identification technologies. It is designed to prevent differences in technologies by technology providers and conflicts among interest parties The Technology Committee has been formed to deliberate and provide expertise on that may arise surrounding technological measures. In 2015, an evaluation system for technical matters including rights management information in connection with the mobile application filtering technology was developed to prevent illegal infringement of Copyright Exchange designed to provide information on copyright, copyright protection mobile applications. and distribution support as specified in Article 66 of the Enforcement Decree of the Copyright Act. The committee holds a regular meeting more than once every year. To this end, KCC established standards and guidelines of performance evaluation of In 2014, a regular Technology Committee meeting and a workshop were held in

feature-based filtering technology and launched a pilot service starting from the second February and June, respectively. In 2015, the regular Technology Committee meeting Technology Copyright Protection half of 2010. In 2011, KCC conducted performance evaluations for four companies and and a workshop were held in December and November, respectively, to deliberate issued certificates to them. In 2012 and 2013, technologies of five companies received on suitability and appropriateness of performance evaluation results and discuss the certificates each year. Six companies in 2014 and five companies in 2015 were issued issues related to R&D technology fee collection. In addition, 10 sub-committee meetings certificates. were held throughout the year 2015 in order to supervise compilation of new technical terms. The Technology Committee consists of 18 members from the legal community, 2) ‌Technological Measures Application Service and Public Feature academia, and heads of associations and agencies. Information Database Service 4) ‌Support for Overseas Advancement of Copyright Technologies and “The Technological Measures Guidelines "that stipulate technological measure Establishment of International Network for Exchange and Cooperation procedures and methods applied to “special-type online service providers (OSPs)" were prepared in October 2011. With the revision of the Telecommunications Business Act The project to promote overseas advancement of copyright technology and to build on November 20, 2011, OSPs’ social responsibility as contents distributors have been international network for exchange and cooperation is aimed at building a support enhanced, including a shift from the reporting system to registration system exclusively system necessary for overseas advancement for special-type OSPs and further reinforced registration requirements. However, of copyright-related companies such as distribution of copyrighted works, copyright copyright infringement cases have frequently occurred even among registered special- technologies and related systems and supporting their expanded entry into overseas type OSPs due to problems associated with operation and management of technological markets from mid-to-long term perspectives. The purpose of the project is to form measures. This has raised a need for guidelines on management categories requiring networks with copyright-related government organizations and industries in Asian confirmation in the course of operation of technological measures and implementation countries and to promote overseas advancement of related industries in Korea such as of operation and management of voluntary measures. In response, the "Self-Check copyright technologies and contents through vigorous exchanges and cooperation. Guidelines on Technological Measures" were drawn up after six rounds of meetings from September to December 2012. As of December 2015, a total of 18,121 requests for In 2015, international cooperation activities aimed to promote overseas advancement technological measures were made. of Korea’s copyright technologies were carried out in the form of copyright technology A total of 5,344 cases of public feature information database development for exhibitions, conferences, and business cooperation sessions in collaboration with four broadcast contents were executed as of the end of 2015, of which 2,505 cases were countries (China, Japan, Hong Kong, and Vietnam). The exhibition held in Japan (Content attributed to MBC and 2,839 cases to SBS Contents Hub.

84 85 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyright Protection Activities

Solutions EXPO 2015) achieved remarkable export outcomes as evidenced by 605 people, a total of 147 consultations, and various export outcomes between Korean and Japanese companies. Contracts worth a total of US$300,000 were achieved through efforts to establish various cooperation systems including joint organization with 3 countries, customized exhibitions with 5 companies, 2 seminars, and 5 business cooperation sessions. Technology Copyright Protection

86 87 Facilitation of the Use of Copyrighted Works

Ⅰ. Creation of an Environment for the Efficient Use of Copyrighted Works 1. Support for Facilitation of Copyright Business 2. Universal Contents Identifier(UCI) 3. Statutory License 4. The Software Escrow System

Ⅱ. Creation of an Environment for the Fair Use of Copyright 1. Transformation of Creative Common License into Creative Resources 2. Establishment of the Foundation for Utilization of Open- Source Software 3. Facilitation of the Use of Public Copyrighted Works 4. Copyright Use Compensation Policy for Educational and Similar Purposes ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

Creation of an Environment for the In order to collect and provide copyright information in a systematic way, it is Ⅰ. imperative to develop a unique identification number system which allows users to Efficient Use of Copyrighted Works identify individual copyrighted works as having the same information. To this end, the KCC has developed the "Integrated Copyright Number (ICN) and established an integrated copyright information database, steadily expanding the scope.

Establishment of the Integrated Copyright Information Database and the Numbers of ICN Issuance

Classification 2008 2009 2010 2011 2012 2013 2014 2015 Total Efficient Use of Copyrighted Works Creation of an Environment for the Domestic 370,000 15,000 158,428 58,031 1,427,781 85,542 45,173 28,245 2,188,200 (Existing)

Musical Domestic Works (Accum------804,133 - 116,395 920,528 ulated)

Overseas - 100,000 323,930 - - - - - 423,930 1 Support for Facilitation of Copyright Business Literary Works 400,000 400,000 49,432 259,109 30,550 30,541 13,785 78,820 1,262,237

Broadcasting - 10,089 - 6,766 20,071 655 1 - 37,582 1) Overview Scripts News Articles - - - 2,409,269 1,400,588 2,933,643 2,504,919 3,606,638 12,855,057 With advancements in information communication technology (ICT), the media for Films - - - 30,000 - 377 224 81 30,682 use of copyrighted works have increased and distribution platforms have become more diversified. Under such an environment, it is necessary to easily search and use Broadcasts - - - - 5,255 13,207 1,927 65 20,454 copyright management information such as copyrighted works and copyright holders in Public - - - - 27,943 - - - 27,943 order for users to use copyrighted works in a convenient and stable manner. Visual Arts - - - - 6,349 - - - 6,349 The Ministry of Culture, Sports and Tourism and the KCC established the Digital Total 770,000 525,089 531,790 2,763,175 2,918,537 3,868,098 2,566,029 3,830,244 17,772,962 Copyright Exchange in 2007 to provide integrated information on copyrighted works and support the users to utilize it to sign online copyright use contracts. ※ ‌The number of some ICN issuance cases is subject to change due to renewal or deletion of copyright rights management information.

In 2015, a database for a total of 3.83 million items of integrated copyright rights 2) Activities and Outcomes management information was established and issued Integrated Copyright Numbers (ICN). With regards to musical works, since an integrated rights management (1) Integrated Collection and Provision of Copyright Information information of 80 million cases was established to utilize in music transmission fee settlement in 2013, 11 million cases of rights management information were added.

90 91 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

The copyright rights management information collected are provided to the public via Classification Sub-Categories the Korea Digital Copyright Exchange Homepage. As of the end of 2015, the number Type of color, explanatrion, name of photographer, date of creation, Photographs of integrated copyright rights management information database and ICN issuance Information etc. reached 17.77 million. on Copyright works Advanced Title, media, category, name of author, published date, etc. Technology Integrated copyright rights management information consists of several meta-data. Information on Creators, right holders, representative, business registration It is largely divided into information on copyrighted works and information on copyright Copyright Holders number, collective management organizations, date of trust, stage (Neighboring Rights Holders) name/pen name, etc. holders (neighboring rights holders). The information on copyrighted works is further

classified by genres of works. The sub-categories of the integrated copyright rights Efficient Use of Copyrighted Works Creation of an Environment for the information DB are as follows: In order to expand and develop the Digital Copyright Exchange, it is essential to secure collaborative relationships with copyright collective management organizations Example of Items for Integrated Copyright Management Information Database and distributors. In this endeavor, a total of 30 organizations have signed partnership MOUs or provided cooperation by offering information, starting with four organizations Classification Sub-Categories in 2007 in the . In 2014, one additional organization participated in the Titles, domestic/overseas, whether subject to copyright trust or Common agency or brokerage partnership.

Lyric, composer, arrangement, singer, performer, audio Musical source producer, album title, year of release, etc. The KCC hosted a collaborative workshop for cooperating organizations in December Works 2015 to strengthen collaboration among them. Through the operation of an on-the- Writer, translator, book title, country of publication, media Literary job task force team 37 times, the KCC also discussed means for system improvement format, publication date, etc. Works as well as procedures for issuing digital Universal Content Identifiers (UCIs) of musical

Subtitle, episodes, plots, date of original broadcast, time of original copyrighted works to collection of music log information that would support music Broadcasting broadcast, channels, secondary broadcasting channels, TC scripts transmission fee rate system through cooperation between copyright collective information, etc. management organizations and music service providers. Information Sub-headlines, media companies, journalists, publication on Copyright News time, article links, etc. works Added Partner Organizations with the Digital Copyright Exchange

Subtitle, genres, types of films, film rating, running time, year of Films Year 2008 2009 2010 2011 2012 2013 2014 2015 Total production, release date, format information, etc.

Subtitle, episodes, plots, date of original broadcast, time of original No. of Use 173 353 561 816 988 1,718 4,195 4,384 13,188 Broadcasts broadcast, channels, secondary broadcasting channels, TC information, etc. ※ ‌As for online license contracts in the music sector, only new contracts were included for 2009, for Format classification, meaning classification, paid or free of 2010 or later, renewed contracts of 2 or more times in the same case were not included. Public Works charge works, date of creation, etc. ※ ‌Online license contracts in the literary works were implemented, starting from 2011, while online Subtitle, domestic/ international. classification, main materials, license contracts in the news works were implemented, starting from 2012 Artistic Works date of creation, date of collection, name of organization possessing the collection, structure and features, etc.

92 93 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

The Copyright License Management System (CLMS) expanded its services to include music service providers, in an effort to support transparent and fair collection of music reproduction, performance and broadcasting areas in 2009, music compensation copyright royalties. (broadcasting and performance) and news license-related contracts in 2010. In 2012, the Integrated Copyright Management System and the Copyright License Management Status of Collection of Five Distributors’ Log Information (As of December 2015) System were incorporated into the Digital Copyright Exchange (www.kdce.or.kr). Distributors LOEN CJ E&M Bugs KT Music Total

No. of collection 33,267 6,722 2,410 5,255 473 48,127 In 2015, online transmission license contract service for the Korean Society of cases Composers, Authors, and Publishers, which started collective management since

September 2014, was developed. The number of copyright license contracts reached Efficient Use of Copyrighted Works Creation of an Environment for the Log information collected via the integrated music information collection system is 4,384 cases mainly in the areas of musical, literary and news works, increasing by 4% aggregated monthly, and provided to four music right holder organizations after rights compared to the previous year. relations are crosschecked with the Korea Digital Copyright Exchange’s integrated copyright database. The information will be used as data for copyright royalty settlement Types of Copyright License Available in the CLMS and distribution. It is also connected with Gaon Chart, the official music chart, to be Online games and animations with background music, homepage Transmission used in music ranking broadcasts (on MBC, SBS, and MTV). background music, ring back tones, corporate ring back tones

Phonogram, video, music player and audio system, In 2015, The musical log information collection system promoted the enhancement Musical Reproduction advertisement, films, publication, election campaign songs, Works others of system performance by strengthening monitoring of log information collection and improving the process of big data, etc. with advanced functions of musical works log Radio, satellite SO, audio PP, home shopping PP, Internet Compensation broadcasting, store music broadcasting, performance, etc. information collection system.

Publication, duplication, transmission, broadcasting, performance, exhibition Literary Works Compensation (Compensation for works for educational purposes, compensation (4) Operation of "Find Copyright" Website for the use of libraries)

The "Find Copyright" Website (www.findcopyright.or.kr) is a website that provides News Digital news service, digital news charging details and news work license copyright information and lists of copyrighted works that are qualified to receive Articles contracts with public organizations undistributed compensation to help rights holders receive legitimate compensation. On the other hand, the website offers a copyright holder search service for users, to relieve users of difficulties they face when they are unable to find rights holders and thus fail to (3) ‌Building a Foundation for Collection of Integrated Musical Work Log use copyrighted works they want. Information Since its establishment (www.right4me.or.kr) in 2008, the website built a system With provisions on online audio source transmission fees going into effect in January designed to find people’s rights as well as copyright holders to replace considerable 2013, log information for musical works was collected and used through five online efforts made to track down right holders of works whose rights holders are unknown

94 95 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

or missing and has been providing the service in the present form, as the simplified copyright not only to copyright holders, but also to the general public. statutory license system went into effect with partial revision of the Copyright Act Enforcement Decree (Presidential Decree No. 23721, April 12, 2012). In 2015, KCC staged the “Find Copyright Campaign” through diverse media including promotional videos in theaters, advertisement in subways, and promotional booths. It The Copyright Find Service is divided into the “copyright information confirmation also used brand and keyword search advertisements, Facebook banner advertisements, service,” which confirms copyright information and provides information on procedures and blog events to raise awareness of the website and services. and methods, if modifications are necessary, to help rights holders to receive legitimate compensation and the “conformation service for works entitled to undistributed

compensation” in which users can view information on copyrighted work entitled to 3) Assessment and Outlook Efficient Use of Copyrighted Works Creation of an Environment for the undistributed compensation and information on procedures and methods is provided to help rights holders concerned to apply for compensation. The Digital Copyright Exchange has laid the foundation for systematic collection and management of copyright information in wide areas encompassing musical works, In addition, the Copyright Holder Find Service is divided into “copyright holder literary works, broadcasting and news articles and facilitation of use and processing search service” in which copyright information such as copyrighted works under of the information online, thereby facilitating the proper use of copyrighted works. the management of copyright management organizations and copyright register However, it is true that the number of participating organizations is still insufficient and are incorporated in a single location to help search copyright holders easily; the the areas of contracts are still limited. Therefore, participation of greater numbers of “considerable effort application service” in which KCC makes considerable efforts to find right holders and users in such areas as images is required, while it is also necessary to copyright holders of works whose owners’ whereabouts are unidentified; and “statutory conduct various projects for collection and management of copyright information, which license approval application service” in which the use of works is approved through is modified in real time, and systematic copyright information management by partner laws, if rights holders or their whereabouts are unidentified or parties concerned fail to organizations. reach agreement if a work is to be used for special purposes. In addition, there is a need for drawing up measures to prepare for shift towards the With the simplified statutory license system and compulsory registration system for smart environment such as smartphones and tablet PCs, contents distribution related orphan works taking effect in October 2012, KCC organized briefing sessions on the to latest technologies such as webtoons and Pokémon Go. In the process, involvement simplified statutory license system and collected opinions related to the operation of the of stakeholders including various right holders is essential and building database on system. Furthermore, KCC provided guidance on the simplified statutory license system related information should be carried out on an ongoing basis. and registration of orphan works, thereby supporting smooth operation of the "Find Copyright" service. As a result, KCC received 7,855,463 works under the trust service As a business tool, the Digital Copyright Exchange needs to expand the scope of from 2012 to 2015. information collection not only to include information on the existing literary and musical works, but also to include information in various other areas. In addition, based In addition, the "Find Copyright Campaign," which is staged annually through portal on an assumption that there should be no distortion of the existing digital copyright sites and daily newspapers, is designed to publicize the importance of finding copyright distribution market, B2B (B Business to Business, efforts should be made through and help copyright holders be compensated for their legitimate rights. The campaign consultations with relevant organizations to promote Business-to-Consumer (B2C)-style offers an opportunity to raise awareness of copyright finding and overall aspects of

96 97 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

transactions, Business-to-Business (B2B)- style transactions to help the general public 3 easily access and utilize Consumer-to-Consumer (C2C)-style transactions. If all of these Statutory License

conditions are in place and the Digital Copyright Exchange is stabilized, it is expected 1) Overview that the Digital Copyright Exchange will play a key role in serving as the foundation for facilitating transactions of copyrighted works in the private sector, complementing The statutory license system is a system that can be used when legal reasons arise areas in which the private sector has no access, and establishing a culture of promoting such as cases where right holders of works are not tracked down, despite considerable proper use of copyrighted works. efforts to find them. Under the statutory license system, the state or organization with authority approves the use of the works on behalf of voluntary license of copyright Efficient Use of Copyrighted Works Creation of an Environment for the owners, allowing the user who applies for statutory license to use the work. This system is designed to contribute to cultural development through social utilization of works. 2 Universal Contents Identifier(UCI) The Korean Copyright Act (hereinafter referred to as "the Act") sets out three cases The Universal Contents Identifier (UCI) is a content management system that which are eligible for applying for statutory license as follows: First, where any person, identifies an individual content with a specific number for effective distribution and despite his considerable efforts, cannot identify the owner of an author’s property rights utilization of identifiable resources, or standard between different identification systems. in a work made public or his place of residence and therefore is unable to obtain the The UCI system is introduced to various fields including academia, music, e-publication, authorization of the author for its exploitation (Article 50 (1) of the Act); second, where photograph, public information and national reports, each organization providing a broadcasting organization which intends to broadcast a work already made public for services utilizing UCI according to their needs. the sake of the public benefit has negotiated with the owner of author’s property rights but failed to reach an agreement (Article 51 of the Act); and third, if three years have As of the end of 2015, a total of 36 institutions, including 18 public institutions such passed after the date of the first sale of a commercial phonogram in the Republic of as the National Assembly Library, the Korea Cultural Heritage Foundation, the National Korea and if any person who intends to produce a commercial phonogram by recording Library of Korea, and the National Research Foundation of Korea; and 18 private works already recorded on such a phonogram has negotiated with the owner of author’s institutions including Chunjae Education, Korea Electronic Publishing Association, property rights but failed to reach an agreement (Article 52 of the Act). and Recording Industry Association of Korea, are selected and operated as Universal

Contents Identifier (UCI) institutions. A total of over 265 million contents have been The provisions of statutory authorization of works apply not only to the use of works, issued UCIs. In addition, KCC operates the UCI issuance system (general.uci.or.kr) to but also to the use of neighboring works such as live performances, phonograms and help individual creators and small businesses to easily have UCI issued via the website. broadcasting. In the case of the use of database, only the first and second cases apply.

The Act states that the user must provide compensation or deposit to the holder of economic rights in the case of use of copyrighted works, and through the statutory license, and holds several procedures for notices and submission of suggestions.

The Minister of Culture, Sports and Tourism who is in charge of statutory license

98 99 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

approval and compensation according to the Act, commissions the related tasks to the Korea Copyright Commission for fair and professional evaluation (Article 130 of the Act, As the deposit for statutory license approval, in particular, is not a familiar task for Article 68, Paragraph 1 of the Act’s Enforcement Decree). the court deposit office, there are constantly cases where the applicant cannot use the works in time, due to frequent additional confirmation procedures and delay of the deposit. 2) Activities and Outcomes As such, substantial improvements are required for the facilitation of statutory license With the constant increase of the demand for use of the works in which the owner of system, rather than mere simplification of procedures. It seems necessary to research

the author’s property rights is unknown, more than twice as many copyrighted works as and study the system and cases of advanced countries that have active use of statutory Efficient Use of Copyrighted Works Creation of an Environment for the the previous year has seen the light of the day through the statutory license system. The license and to improve the system apposite to the situation in Korea. use of works whose owner of author’s property rights is unknown has greatly simplified since the revision of the Enforcement Decree of the Copyright Act (July 13, 2015) with the simplification of the statutory license system.

4 A total of 18 statutory license cases were applied in 2015, 14 of them approved The Software Escrow System for use. One of the four unapproved cases found the economic rights holder during 1) Overview the period of notice, one was rejected for not responding to request for application correction, and the other two are carried over to 2016 for further deliberation. (1) Significance of the Escrow System

Numbers of Statutory License Cases by Year The licensor and the licensee of the program may be reaching agreement with Year 1998 1999 2001 2002 2003 2004 2005 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total a trustworthy third-party escrow agent to deposit the source code and technical No. of 1 1 4 1 1 3 1 1 6 13 7 3 6 2 5 14 69 Cases information, etc. to the depositee. The licensee may stably continue to use the program in case the licensor cannot continue the maintenance of the program due to discontinuation of the business, bankruptcy, etc. 3) Assessment and Outlook Generally, there has been a practice where the organization placing an order for

Statutory license is a system with infinite potentials that prevents the copyright the program development contract has been provided with platform technology such disputes to keep copyrighted works from dying out and creates an environment for legal as source codes and technology information from the program developer citing such use. Despite these advantages, the system is not widely used. The considerable efforts reasons as possibility of difficulties in business operation such as continuous use of the to track down the right holders of works before the application, the formalities such as program and maintenance. This has caused the developer to be exposed to the risk of compensation deposits after the approval, and the inconveniences to deal with various original technology leakage and the difficulties in using existing software to develop new organizations including the KCC and the court deposit office seem to be the obstacles programs. for facilitation of the system.

100 101 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

Therefore, the Program Deliberation and Mediation Committee introduced the deposited items due to additional development, version-up or modification given the program escrow system in order to dispel the concerns of developer organizations characteristics of the program. about copyright infringement and technology leakage and guarantee the safe use by the user organization, referring to “Escrow” system of the United States. The software Licensing Licensing agreement agreement escrow system was later stipulated in the revised “Protection Act of Computer Program” Licensor Licensor Licensee enforced in July 2003, and is currently operated by the KCC since the incorporation of Registration of the Plural the Computer Program Protection Committee and the Copyright Commission in 2009. SW escrow licensee agreement (under numbers Deposit of Hand over of the agreement by or source deposited item if the licensor licensees programs, SW escrow conditions are met Efficient Use of Copyrighted Works Creation of an Environment for the etc agreement Korea Copyright (2) Operation of the System Commission Korea Copyright Hand over of the Commission deposited imtem if conditions are met A. Objects of Escrow The objects of software escrow can be the platform technologies and technical Diagram on Trilateral Escrow Agreement Diagram on Multilateral Escrow Agreement information of the program under the program licensing agreement. The copyright holder of the program may store the applicable materials in CD-ROMs and DVDs to C. Escrow Agreement Procedure deposit with the KCC, the escrow agent. The licensor and the licensee submit an application form and the deposit article to the escrow agent who finally confirms the content of the agreement after confirming Objects of Escrow the storage of the article and virus infection status. The escrow agent receives a fee

SW Sector IT Sector after allowing the parties concerned to check on the sealing of the article. The escrow agent keeps the article in a deposit safe for the agreement period and issues escrow • Source‌ programs • Object‌ programs • Design,‌ Circuit Drawings • Semiconductor‌ • Execution‌ programs Flow • Design/‌ • Database‌ chip certificate to the licensor and the licensee, completing the contract procedure. chart/ Manuals Specifications • Accounting‌ documents • Digital‌ contents • Developer‌ • Maintenance‌ • Core‌ information such information data etc. as technical information agreed between Offline Escrow Contract

Fill out the application Submit the application Log in to www.swes.or.kr and print and the deposit article B. Types of Escrow Agreements Seal the deposit article Pay the fee Issuance of escrow The escrow agreement is classified into a trilateral agreement and a multilateral certificate

agreement. The former is a case where there is only a single licensee of the Online Escrow Contract deposited program and the latter is a case where the number of licensees of the Log in to www.swes.or.kr Register as a member Fill out the application deposited program is plural. Furthermore, there is a renewal agreement in which the

agreement is renewed, if necessary, when one year, the program licensing period Sign electronically and Upload the deposit article Print out the escrow under the agreement, elapses. Another type is the latest version escrow agreement pay the fee certificate which is designed to prevent cases where it is virtually impossible to use the existing

102 103 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

D. Effects of the Escrow System Year 2009 2010 2011 2012 2013 2014 2015 Total The escrow system allows the program copyright holder not to transfer his or her Technology Verification - - - - 2 - - 2 copyright and technical information to the licensee and retain his or her platform Subtotal 316 343 413 371 441 505 521 2,910 technology, while providing guarantee for the right of use for the licensee such as stable maintenance and management. This guarantees the trustworthiness on the technical information between the parties in the contract, while enabling smooth software In 2015, the KCC has installed a software escrow vault in the main office in Jinju, transaction and business operation activities. in addition to the previously only one in Seoul office, in order to prepare for a state of disaster. By duplicating the vault, the stability of escrow system has been reinforced. In addition, in the case where domestic companies export technical information to Efficient Use of Copyrighted Works Creation of an Environment for the overseas companies, the escrow system can enhance reliability and trustworthiness, thereby contributing to increased export. It can also protect Korea’s software industry 3) Assessment and Outlook and secure international competitiveness by preventing technology leakage overseas.

The use of the software escrow system in Korea, which had been launched in 1999, is 2) Activities and Outcomes steadily rising for its protection of trade secrets and key technologies of the developing businesses and guarantee of smooth use of the user companies. In addition, the system promotes the stabilization of Korea’s software industry by recommending the use of From 2009 to 2015, the MCST and the KCC has been boosting the convenience of software escrow by related government announcements and guidelines, and in standard users and improving the services through modifications of related laws and regulations, contracts. ongoing publicity activities, and providing online services by establishing the online escrow system, etc. As a result, a total of 2,910 escrow agreements have been signed. The use of the software escrow system is expected to further increase in the future, By type, there were 1,113 new agreements, 1,369 renewed agreements, 306 cases following the revision of evaluation criteria for software technology that allows for up to of licensee registration, 120 latest version escrow agreements and two technology three additional points to companies that participate in informationization projects of verification cases. government and other public institutions.

Escrow Agreements by Year

Year 2009 2010 2011 2012 2013 2014 2015 Total

New Agreements 155 151 149 116 163 187 192 1,113

Renewed Agreements 97 126 182 212 224 255 273 1,369

Licensee Registration 47 53 62 22 37 50 35 306

Latest Version Escrow 17 13 20 21 15 13 21 120 Agreements

104 105 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use Creation of an Environment for the Fair Meanwhile, KCC also enhanced the search of public domain works and convenience Ⅱ. of use through improvement of functions of the portal site for public domain works Use of Copyright "Sharing Plaza (http://gongu.copyright.or.kr)."

2) Activities and Outcomes

(1)‌ Expansion of Services at the Portal Site for Public Domain Works (Sharing

Plaza) the Fair Use of Copyright Creation of an Environment for

Public domain works refer to the works that can be used by any person without copyright issues. The types of public domain works include expired works which the period of copyright protection for the work has terminated, donated works which the copyrights have been donated to the country, creative common licensed works which 1  ‌Transformation of Creative Common License into the copyright holders have applied licenses for free use under specific conditions, and copyrighted public records applied with Korea Open Government License (KOGL) which Creative Resources the country, a local government, or a public institution holds the copyright.

The service is provided through a public domain works portal site ‘Sharing Plaza 1) Overview (http://gongu.copyright.or.kr).’ This year, the site has improved the integrated search service and search speed, and renewed the user interface for multimedia copyrighted With opening, sharing and collaboration becoming universal, the method of creating works, in order to enable more convenient use. A function to automatically issue the contents is changing, while the environment for using contents encompassing Universal Contents Identifier (UCI) has been added for effective management and smartphones, tablet PCs and cloud service is undergoing a rapid change. As a result improvement of access method and search function. To secure the reliability of public of this paradigm change, the demand for creative resources for creating contents also domain works, the site has established a validity test system not only for the inspection increased sharply. of the metadata for public domain works but for original works in possession that are externally linked. This enables verification of the errors on the original public domain The MCST, in collaboration with the KCC, has launched various projects to works that are externally linked. substantially support cultural venture companies by constant collection, discovery, and provision of public domain works. Firstly, in cases of art and photograph fields which have high demand of copyrighted works, the MCST is collecting and providing more than 70,000 high-quality works by business cooperation with the Korean Fine Arts Association, etc. and digitalization.

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demand for utilization which were explored and digitalized. In 2015, 70,000 works were collected and made available for service.

(3) ‌Strengthening the Effectiveness of the Forum on Transformation of Public Domain Works into Creative Resources

The Forum on Transformation of Public Domain Works into Creative Resources is

an organization comprised of sharing project operating institutions, institutions in the Fair Use of Copyright Creation of an Environment for possession and charge of use of public domain works, and cooperating public domain works institutions and experts. The Forum on Transformation of Public Domain Works into Creative Resources, operated until last year with a consultative body and a working- level committee separated. However, they were integrated into the latter for effective collection and facilitation of use of public domain works. Three public domain works sub-committees are operated to take measures for sharing copyrighted works with overseas public domain works management organizations, technological improvements Public Domain Works Portal Site, Sharing Plaza for facilitation of use of public domain works, and processing of the private self- registered works.

(2) ‌Exploration of Public Copyrighted Works in the Private Sector and Expansion In October, the international conference “KCC Shared Copyright Works Creative of Services Recycling Forum 2015” was held in the National Museum of Korea on presentations of domestic and overseas public domain works policies and cases, and progress reports With capabilities to utilize public domain works emerging as one of the core factors, on the activities of working-level committee of the Forum on Transformation of Public a new project has been launched to support digitalization of works with great value Domain Works into Creative Resources by subcommittees. for preservation in the fields of immense utilization potential and build them into a database in an effort to collect and explore public copyrighted works and to prevent

works owned by the private sector from remaining hidden and unused. (4) ‌Raising Awareness of Public Domain Works and Enhancement of Public Relations Through this project, 100,000, 80,000, and 70,000 artistic and photographic works were made available through the Sharing Plaza in 2012, 2013, and 2014, respectively, in To facilitate the use of public domain works, it is important to not only collect and accordance with license conditions of their owners. Based on the public-private sector provide the works but to create a virtuous cycle by enhancing the public awareness so demand roadmap for public copyrighted works drawn up in 2011 by the Collection and that the public can actively recognize and utilize the public domain works and create Sharing Subcommittee of the Forum on Transformation of Public Domain Works into new copyrighted works to make public domain works more abundant. To this end, it is Creative Resources, priorities were given to artistic and photographic works with highest

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necessary to more actively promote public domain works.

Since 2009, “Public Domain Works Creation Competition,” a competition for created works using public domain works, is held in order to enhance the public awareness of public domain works and to facilitate the use. Originally the competition was named “Remake Competition” for recycling expired copyrighted works to create new works. In 2013, it was renamed to “Public Domain Works Creation Competition” to allow more varied used of expired, donated, public, and CCL-applied copyrighted works and to

accentuate the creativity of participating works. In 2014, the competition focused on the Fair Use of Copyright Creation of an Environment for ringtones and smartphone backgrounds, but the 2015 competition ran the competition (5) ‌The Opening and Operation of Public Domain Works Creation Experience on phototoons and motiongraphics in intention to reflect the latest trend of copyright Center work creation and include more diverse stories of public domain works. Phototoon: A compound word of ‘photo’ and ‘cartoon,’ cartoons made of photos instead of drawings In the working-level committee in the Forum on Transformation of Public Domain Motiongraphic: A moving image of photos or pictures made with computer program effects Works into Creative Resources 2014, necessity for a space to create and experience activities on public domain works was posed for facilitation of copyright sharing culture and the use of public domain works. To this end, creation experience center to experience public domain works was opened at the Korea JobWorld where children and youth from 5 to 18 years of age can experience various occupations. In consideration of the targeting subjects, the Public Domain Works Creation Experience Center is divided into Children’s Experience Center for participants from ages 5 to 9, and Youth Kim Tae-hee, “Freely Use Public Domain First Prize in Phototoon Kwon, Ji-won, “Public Experience Center for participants from 10 to 18. Works” First Prize in Motiongraphic Copyright for Everyone, Famous Paintings”

The “Sharing Group of Public Domain Works” composed of high school and university 3) Assessment and Outlook students nationwide operates the “Copyright Sharing Activity” to create works using

public domain works and share the stories of their experience of public domain works As part of its efforts to realize a creative economy and a society of prosperous culture with the public. The activity of Sharing Group of Public Domain Works was conducted for by fostering one-person firms and small-and-medium sized venture firms, the KCC the second time in 2015 since its launch in 2014. The group of high school and university has continued to expand its discovery and collection of high-quality public domain students was divided into 15 teams to perform various activities for experience and works. In addition, the KCC plans to provide a broad base of public domain works to sharing of public domain works. give opportunities to general public participating in the sharing activity of copyrights. Meanwhile, it will continue to put in efforts for the public domain works to be effectively In addition, public domain works promotion video contents were created to inform the transformed into creative resources for the public to use them more conveniently, public of basic information and need of public domain works, and the “Casebook of use through exchanging opinions with the institutions in possession and charge of use of of public domain works in 2015” was published. public domain works.

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2 ‌Establishment of the Foundation for Utilization of Open- (2) Raising Public Awareness of the Open Source Software License Source Software KCC has implemented a wide range of education and public awareness programs for the general public since 2009 to raise awareness of the open source software license to 1) Overview build the foundation of establishment of a copyright culture, and to promote sound use of open source software. In addition, open source software license education programs Open source software, which was created by the GNU Project led by the Free Software were offered and textbooks were published to provide training for license professionals Foundation “FSF”) in 1984, refers to software whose source code is open to the public. customized by targeted individuals.

In general, it refers to software which anyone can freely use, reproduce, distribute or In 2015, KCC sought to react to changing the open source industry environment the Fair Use of Copyright Creation of an Environment for modify. Typical examples include Linux kernel and related GNU software, Apache web and licencing issues through two research projects based on open source license. server, Chrome web browser, My-SQL Database system, Java, Python, PHP (Hypertext Furthermore, 2014 projects aimed to raise public awareness of the open source Preprocessor), Perl language, and Eclipse. There is more open source software being software license were systematically implemented in the following areas: △hosting an developed worldwide. international open source software license insight conference; △building a partnership system with organizations related to open source software; △promoting open source software license online and offline through campaigns and particpating in domestic IT- 2) Activities and Outcomes related exhibitions; △offering specialized open source software license consulting.

(1) Establishment and Operation of the Open Source License Information System 3) Assessment and Outlook The establishment and operation of the Open Source Software License Information

System (OLIS) has been pursued in the following areas: ▲Building a database such as A number of developers and IT companies fail to properly use open source software open-source software project information and source codes and expansion of collection; due to such problems as lack of awareness, cost burden and the fact that it is difficult ▲Enhancement of the opensource software license comparison/analysis/inspection to confirm various open source software licenses, raising the risk of possible disputes service (hereinafter referred to as "CodeEye"); ▲Development of user-customized on copyright and legal responsibility in the future. In response, the KCC has established Web services tailored to the Open Source Software License Information System (OLIS) the nation’s sole Open Source Software Data Warehouse and officially opened the Open website; and ▲Introduction of equipment and laying the foundation for externally linked Source Software License Information Service website and the Open Source Software services amid system expansion. Establishment of the open source software database License comparison, analysis and inspection service (CodeEye), which utilize the was launched in 2008 and the status of the database building is as follows: warehouse. The numbers of Open Source License Information System (OLIS) visitors and the users of the inspection service are steadily on the rise each year, while license Status of Establishment of Open Source Software Information Database counseling, inquiries and request for consulting service are also on the rise. Classification ~2012 2013 2014 2015 Total

Open Source SW Project Information - 0.1 million 2.2 million 1.7 million 4.0 million As the base for the open source software industry is expanding in Korea, the interest and possibility of disputes regarding the licenses increase, it is necessary to Open Source Software Source Code - 50 million 90 million 53 million 193 million

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continuously stage public awareness programs to create the environment for fair use As such, public copyrighted works are not only utilized for work in the public domain, of open source software, and to expand active training projects of professionals and but also high-added value industrial resources in the private sector, upholding the database establishment projects to provide reliable information. growth of the creative economy by creating high cultural and economic added values.2

2) Activities and Outcomes 3 Facilitation of the Use of Public Copyrighted Works (1) Support for Copyright Clearance for Public Copyright the Fair Use of Copyright Creation of an Environment for 1) Overview Despite the increase of demand of public copyrighted works, the utilization of public copyrighted works by the private sector remains insignificant. The biggest reason for the With the advent of the era of creative economy where intangible knowledge elements failure to effectively utilize public copyrighted works, compared to the demand, is the such as creativity are playing a pivotal role, the importance of utilization of data ambiguous rights relationship of public copyrighted works. In response, the KCC has including contents is becoming more emphasized. At the same time, securing high- implemented a "project to support right clearance for public copyright" from 2012 which quality contents such as copyrighted works is emerging as a very important issue. supports right clearance of public copyrighted works whose copyright relationship is Among them, public copyrighted works, which are produced and managed by the state, ambiguous through comprehensive license and copyright transfer and provides even local governments or public institutions, have emerged as key industrial resources, as it legal consulting service. In 2014, the project carried forward rights confirmation of has been highlighted that they can be utilized as core original materials for the contents 1.23 million cases for 47 institutions, 25 visiting education services, and 30 customized and database service industries. consulting. These legal supports lead the public copyrighted works with confirmed rights to collective management or KOGL System so that public copyrighted works In fact, demand for public works by contents companies or companies looking for without copyright issues can be effectively utilized by private sectors. new business models has increased significantly. According to a survey conducted by the Korea Database Agency, the demand for utilization of public copyrighted works Due to the enforcement of Article 24-2 of the Copyright Act, the briefing sessions for increased year by year from 21.4% in 2006 to 41.7% in 2008, 51.6% in 2010, and 68.3% in explanation of the `Policy for the Facilitation of Use of Public Works` and education 2012. of Public Copyrights Management Plans are held four to five times a year by regions, targeting the national government, local governments, and public institutions. The In response, the government has established diverse policies and legislations to briefing sessions contribute not only to the dissemination and expansion of KOGL open public domain information including public copyrighted works, while making System but to enhancement of public copyrights management competency of persons multifaceted efforts to create added value through the utilization of public information in charge of managing the public copyrighted works designated for each organization. such as organizing App competitions using public information and Open API support project for public information. In addition, textbooks, illustrated guides to animals and plants, and tour applications are commercialized business models in publication and IT field using public domain works. The scope of public domain work utilization is expected 2 According to a survey conducted by the Korea Database Agency, the value of utilizing public copyrighted works in to be expanded to include broadcasting and education areas. Korea exceeded KRW 10 trillion. In a data released in 2011, the European Commission also estimated economic effects of utilizing public copyrighted works at about KRW 210 trillion

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(2) Collective Management of Public Copyright sized Enterprises Utilizing Public Copyrighted Works” since 2014 to support small and medium-sized enterprises and one-person businesses with design consulting and Collective management of public copyright refers to the entrustment of overall rights promotion costs. The MCST continues to contribute to the Creative Economy by creating of copyrighted works, which are professionally created by the state, local governments added value from private sectors through commercialization of products that used or other public institutions or obtained from a third party and managed by them, to public copyrighted works and earning profits. copyright collective management organizations that are in charge of overall activities related to external licenses of the copyright on behalf of the public institutions.

One of advantages of collective management system for public copyright is that, as the Fair Use of Copyright Creation of an Environment for licenses for public copyrighted works, collection and distribution of royalties are handled by specialized organization, institutions possessing public copyrighted works can reduce personnel, costs and time required for handling copyright-related works, while users can obtain license on plural numbers of public works through a unified channel, making it more convenient to use public works. Another advantage is a specialized and prompt response to infringement cases involving public copyrighted works. Collective management of public copyrights is also performed by the Korea Culture Information Examples of Utilization of the KOGL System Service Agency.

(3) Support for the Use of Public Copyrighted Works 3) Assessments and Outlook The copyrighted works in KOGL System reaching 5 million in number are in various forms including photos and images such as Korean traditional patterns and historic At the end of 2015, the number of organizations participating in the Policy for Free Use photographs, literary works such as various press releases and research papers, and of Public Copyrighted Works is 398, still low in level. Voluntary participation by public image works such as internet broadcasting works and VOD. However, the KOGL type institutions are required for transformation of public copyrighted works into creative 1 works that can be commercially used and modified are 2 million in number, still not resources. fulfilling the demand for public copyrighted works. To respond to the demand, the MCST is conducting a project for re-filming and the restoration of public copyrighted works Status of Introduction of the KOGL System and Policy in collaboration with the Korea Culture Information Service Agency. By re-filming or Other Other Government National Public Local Other restoring public copyrighted works that are in low-quality or the copyright issues are Classification public institution Total agencies agencies institutions governments institutions ambiguous and publicizing them for KOGL Type 1, more usable public copyrighted agencies committees works can be secured. No. of 38 161 80 99 2 16 2 398 institutions

Meanwhile, the MCST has conducted the “Support Project for Small and Medium-

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As part of its policy to facilitate the use of public copyrighted works by private sectors, works to be used, they would not only be greatly restricted by the time and financial the MCST has prepared the “Public Copyrighted Works Management Guidelines,” burdens, but in some cases, they also would be unable to use certain works due to a and pushed forward with related policies to facilitate the use of public copyrighted lack of such permissions. This policy thus seeks to vitalize use of copyrighted works works, including guidelines to manage the rights of public copyrighted works, support while guaranteeing the quality of education. project for management of rights of public copyrighted works, the CCL-applied system (KOGL), etc. Meanwhile, the MCST also implemented Copyright Act Article 24-1 (free institution of Copyright Use Compensation Policy for Educational and Similar use of public copyrighted works) in July 2014, thereby laying the legal foundation for Purposes designated by the Minister of Culture, Sports and Tourism (designated in widespread usage of public works. Based on these efforts, the MCST plans to urge the March 2008), managed and supervised by the MCST. Currently, the KORRA performs

institutions to participate more actively in the opening of public copyrighted works. In collection, distribution, management tasks for four compensation policies approved the Fair Use of Copyright Creation of an Environment for 2016, it will also open a support center for opening of public copyrighted works in the by the Minister of Culture, Sports and Tourism: compensation for educational books Korea Culture Information Service Agency. in accordance with the Copyright Act Article 25 (Paragraph 1) and compensation for courses and course supports (Paragraph 2), and compensation for libraries in accordance with the Copyright Act Article 31, Paragraph 5 (enforced in March 2003).

4 ‌Copyright Use Compensation Policy for Educational and 2) Activities and Outcomes Similar Purposes The copyright use compensation policy for educational books collects and distributes 1) Overview the compensation on copyrighted works in educational books based on the educational curriculum announced by the Ministry of Education. This year, three stakeholders’ 3 Copyright use compensation policy is a system that balances the benefits of the user consultative group meetings were held to improve the basis for providing compensation of copyrighted works and the copyright holder by allowing the use of copyrighted works and discuss the current issues based on the result of the “research on the improvement without permission at an appropriate compensation. The policy relieved the copyright of providing compensation for educational books (Dec. 2014),” conducted in the previous holder’s limited property rights by providing compensation, in consideration of the year. public nature of education. By limiting a copyright holder’s property rights by law, the use of copyrighted works without permission is allowed for public purposes in schools, As it has also been ten years since the compensation policy for the use of libraries libraries, etc. with a provision of appropriate compensation as determined according to was introduced, the “research on the improvement of providing compensation the history of use of copyrighted works submitted by the user. for educational books (Dec. 2014) has been conducted to improve the system and compensation standard, and the stakeholders’ consultative group meetings were held Education is an activity that realizes public interest and the use of a variety of accordingly. copyrighted works is essential for an improvement of the quality of education. But if

educational instructors had to separately request permissions for all the copyrighted Since the policy has been introduced in college education in February 2014, the study on the status of compensation policy for courses has been conducted each year for

3 The Copyright Act (Seung Jong Oh, 2009) distribution of compensation. Based on the result of the study of the status, the regular

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distribution of compensation has started in August 2015, through establishment of distribution details and operation of distribution committee, etc. to provide appropriate compensation to the copyright holder. Also, the guidelines to use of the copyrighted works for courses that have specified the scopes and limits of the use of copyrighted 5 works have been enacted in June 2015 and distributed to universities. Copyright Coexistence Consultative Council

1) Overview The stakeholders’ consultative group meetings for compensation policy for course support has been held several times throughout the last three years for implementation The Copyright Coexistence Consultative Council was launched on September

of the policy. It was put into effect in the educational support institutions in July the Fair Use of Copyright Creation of an Environment for 22, 2009 to prevent conflicts at the time of possible disputes over major copyright- 2015 through the enactment of the announcement of compensation standards. The related pending issues, while encouraging active participation by rights holders, seventeen metropolitan and provincial offices of education nationwide, the educational businesses and users and seeking win-win solutions. In the initial stage, the Copyright support institutions pursuant to the Copyright Act Article 25 Paragraph 2, have signed Coexistence Consultative Council consisted of a main consultative body (comprising an agreement on provision of compensation with KORRA, and are expected to provide one representative member from right holders, businesses, and users, respectively, compensations from 2016. The discussions for revision of the “Guidelines for the Use and two representative members from public institutions), a working-level consultative of Copyrighted Works for Educational Purposes (Enforced in Nov. 2013, the MCST),” group, and the support team. The KCC provided practical support to ensure its smooth applied to primary and secondary schools, have also been conducted through reviewing operation. the issues regarding the use of copyrighted works for course support.

In 2013, however, there was a considerable change in the Copyright Coexistence Consultative Council. From this point, regulations on the operation of the Copyright 3) Assessment and Outlook Coexistence Consultative Group including its functions, organization and operation were drawn up. According to the regulations, modifications were made towards forming The compensation policies for education books and libraries are to go through the manpower pool within the consultative group including representatives of right holders, discussions within the organizations, reviewed for the enhancement for the system and businesses, consumers and public institutions by field when selecting pending or the compensation standards, and pushed forward for a revision of the announcements agenda issues such as musical, literary, and cinematographic works without any given of compensation standards. As the related guidelines have been established and the numbers of members and the scale and participating members of the consultative distribution of compensation has been initiated for compensation policy for courses, group can be finalized depending on issues. a continuous research on the status of use of copyrighted works and the distribution of compensation will be facilitated in order for the policy to substantially stabilized. The Copyright Coexistence Consultative Group selects pending issues related Regarding the compensation policy for course support, in accordance with the to copyright each year and operate a consultative body to prevent conflicts among enforcement of announcement of compensation standards in July 2015, the seventeen interested parties and to seek ways for win-win cooperation, thereby contributing to the education offices nationwide will sign an agreement with KORRA and start providing creation of a healthy copyright ecosystem and the facilitation of the copyright industry. compensations from 2016. The “Guidelines for the Use of Copyrighted Works for Educational Purposes (Enforced in Nov. 2013, the MCST),” applied to primary and secondary schools, will be revised after the final review, and distributed to educational support institutions. 120 121 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Copyrighted Works Facilitation of the Use

2) Activities and Outcomes the conditions that go in the requirements. All participants were aware that there is a need for guidelines for requirements for digital sound transmission in response The Copyright Coexistence Consultative Council has been committed to more to the emergence of new music transmission services, as the current related law is activities than any other year in 2015. The Copyright Coexistence Consultative Council comprehensive and ambiguous. However, there were many different views on individual operated five copyright coexistence consultative councils in different scales, starting conditions to be included in the requirements and coordination was difficult. with the council in new music transmission services industries where the copyright holders and users had very different positions, the council for improvement of music Eventually, the copyright holders and users decided to publish informational booklets transmission royalty, the council for an arrangement committee of private consultative on the progress of operation of the copyright coexistence consultative council, expecting

organization in music field, the council related to broadcasting fees, a working-level TF to solve the issue with future revisions of the Act. Regarding the different opinions the Fair Use of Copyright Creation of an Environment for council related to establishment of broadcasting fees monitoring system, etc. between copyright holders and users on the requirements of digital sound transmission related to internet radio services, they only confirmed their different positions. (1) ‌Copyright Coexistence Consultative Council for New Music Transmission Services (2) ‌Copyright Coexistence Consultative Council for Improvement of Music Transmission Royalty The copyright coexistence consultative council in new music transmission services has resumed in February 2015, in succession to the one in 2014. Since the first meeting The Copyright Coexistence Consultative Council for Improvement of Music for the launch, the secretariat has conducted simulations to identify the types of internet Transmission Royalty, operated three times from April to June, was arranged to radio services to seek solutions for conflicts between copyright holders and users, discuss the measures to improve the charges for music transmission. There have been and focused on understanding of overseas trend such as types of overseas new music continuous complaints from the copyright holders regarding the charges on music transmission services, until the second meeting was held. transmission. Despite the efforts to solve the issues, no satisfying result was produced. Therefore, the council was arranged to review the improvement plans for collection

The copyright issues regarding the contract for ‘MILK music,’ etc. that have been the regulation of music transmission royalty of four collective management organizations cause for the conflicts, have found solutions in their own ways. However, the emergence for musical works. of various internet radio service and the services scheduled to open continued to create conflicts between the copyright holders and users. In particular, the opinions of The Record Label Industry Association of Korea, the Solidarity of Music Producers, copyright holders and users regarding the requirements for digital sound transmission and the International Federation of the Phonography Industry (IFPI) including direct deeply divided. The secretariat held consultative meetings with authorities in the distribution participated as the copyright holders, in addition to the four collective academia and received review opinions, but the conflict between the copyright holders management organizations for musical works. Loen Entertainment, CJ E&M, kt and users remained.

Despite four meetings from February to May, the guidelines for requirements for digital sound transmission related to internet radio services are yet to be accomplished. There were no concessions from neither the copyright holders nor the user, regarding

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Music, Bugs, Soribada, etc. participated as users. And Seoul YMCA participated as the representative for the consumers. The Copyright Coexistence Consultative Council for Improvement of Music Transmission Royalty has decided to launch a private consultative organization in order to improve the private autonomy, and an arrangement committee of private consultative organization was constituted. The committee was to be composed of one representative member from the right holders, one from the user including distribution businesses, and one representing the public interest. The representative members were selected promptly on the opinions of the participants. the Fair Use of Copyright Creation of an Environment for The main agenda for the council was to decide what roles the organization would play, specifically, including the nature, composition, and operation of the organization and issues regarding the Fair Trade Act. In December 2015, the general outline of the private Launch of the Copyright Coexistence Consultative Council for consultative organization was shaped. The members of the committee notified that they Improvement of Music Transmission Royalty (April 17, 2015) need more time to provide the institutional basis for the “Music Industry Development Committee” to be launched in 2016 and to prepare operation regulations in detail. In addition, the committee gathered opinions of right holders and business operators The council started active discussions of collection regulations from the first meeting in order to deal with not only the royalty collection regulations of the four collective held in April. From the second meeting, the council discussed the details such as management organizations, but an expanded range of the agenda. The specific agenda raising rates and cut in discounts regarding the improvement of music transmission will be set and dealt with once the committee is formed in the future. royalty. The copyright holders mostly favored rate raise and discount cut. However, the users, who are known to be the five major businesses, were against the idea since their (4) ‌The Copyright Coexistence Consultative Council Related to Broadcasting businesses may not only be affected but also collapse. The disagreement would not Charges easily settle. At last, as the result of the third meeting, the users agreed to the raise of download charges. In the second half of the year, the Copyright Coexistence Consultative Council Related to Broadcasting Charges was operated to settle the conflicts arising from the As the result of discussions of improving the autonomy of deciding the music revision of royalty distribution regulation by the Korean Society of Composers, Authors transmission royalty, the council has agreed to prepare an arrangement committee in and Publishers (hereinafter referred to as ‘KOSCAP’). The KOSCAP has announced order to seek measures for enhancement of convergence procedure in the revision of an amendment changing the distribution of background music such as theme songs, royalty collection regulations. With this agreement for future discussion, the Copyright background music, and signal music in similar way to general music, which had been Coexistence Consultative Council for Improvement of Music Transmission Royalty was different before. In response to this, the Korea Music Copyright Association (hereinafter concluded for the time being. referred to as ‘KOMCA’) claimed that the revision by KOSCAP will give the royalty to a very small minority such as large background music import companies by setting the (3) ‌Council for an Arrangement Committee of Private Consultative Organization in values of background music and general music. Music Field

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The Copyright Coexistence Consultative Council Related to Broadcasting Charges was an ‘integrated system’ participated by both right holders and users to improve the launched in October to examine the contribution of use of music in broadcasting and broadcasting charge collection and distribution standards. The participants were mainly raise the accuracy of use history, seeking the solutions such as above. working-level staff to seek concrete measures for establishment of the system. The participating organizations were the four collective management organizations for musical works as the right holders, and three terrestrial broadcasting companies, the Korean Broadcasters Association, and comprehensive programming channels as the users.

The participants agreed to improve the problems of the current monitoring system the Fair Use of Copyright Creation of an Environment for to improve the accuracy of use history that is required for measuring the contribution of music, and to establish one system that simultaneously performs many types of methods including digital fingerprinting, electronic-based cue sheet, and manual cue Copyright Coexistence Consultative Council Related to Broadcasting Charges (October 2, 2015) sheet, and reviewed and examined the details of system establishment.

The significance of this Copyright Coexistence Consultative Council is that the They have decided to discharge the working-level TF council and form a steering participants of right holders were the presidents or chairmen of the board of the committee for system establishment, and make all decisions through the committee. company. Although the conflicts were deep between the KOMCA and KOSCAP on the The members for the committee was finalized with five right holders and five users. issues of collection and distribution of broadcasting charges, the operation of the Upon the request of the right holders and users, the MCST and the KCC are to meeting group was more smooth than any other meetings as the participants were participate as members representing public interest. The next issue dealt with the decision makers on major issues. expenses. There was an argument between right holders and users on the percentage of cost-bearing. With the mediation by the MCST, the cost-bearing ratio was decided The meetings that started in October were held every other week. By November, at four from the right holders and six from the users. There were additional arguments the right holders and users have reached a conclusion with measures to improve the between the users on the cost-bearing ratio, but this was settled after discussions of accuracy of use history. In addition, the right holders and users have agreed to establish their down. an “integrated system” to monitor the use of musical works in broadcasting. The council was finalized after deciding to form a working-level TF council related to establishment In order to record all the settled issues in the agreement, the rough draft of the of broadcasting charges monitoring system to discuss further details in the future. agreement was prepared at the secretariat. Further details are to be discussed in 2016.

(5) ‌Working-level TF Council Related to Establishment of Broadcasting Charges Monitoring System 3) Assessments and Outlook

As the follow-up measures for the operation of the Copyright Coexistence Consultative The copyright coexistence consultative councils performed in 2015 had very different Council Related to Broadcasting Charges, the Working-level TF Council Related to levels of conflict and none of them could reach the goal, they were still meaningful as Establishment of Broadcasting Charges Monitoring System was launched to establish they could confirm the contents of discussion to a degree. However, it is regrettable

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that an agreement was difficult to reach because of the lack of stakeholders’ will to participate and solve the problem.

To attain a solution that results in coexistence requires urgency on the part of the participants. Voluntary participation and active will to solve the issues are the most essential element of the existence of the copyright coexistence consultative council. In that aspect, it may be more important that MCST and KCC first put in significant effort to promote voluntariness and will to solve the problem in participants. the Fair Use of Copyright Creation of an Environment for The copyright coexistence consultative council secretariat, supported by KCC, will continue to select timely copyright issues in music and other areas as topics and to provide venues for discussion. It will continue to conduct relevant research and endeavor to find long-term solutions for coexistence.

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Ⅰ. Overview

Ⅱ. Current Status 1. The Korean Society of Authors (KOSA) 2. The Korea Broadcasting Performers’ Association (KBPA) 3. The Korean TV and Radio Writers Association (KTRWA). 4. Korea Reproduction and Transmission Rights Association (KORRA)) 5. The Korea Scenario Writers’ Association (KSWA) 6. The Korea Press Foundation (KPF) 7. The Movie Distributors Association of Korea (MDAK) 8. The Korean Film Producers Association (KFPA). 9. The Federation of Korean Music Performers (FKMP) 10. Korea Music Copyright Association (KOMCA). 11. The Recording Industry Association of Korea (RIAK) 12. The Korea Culture Information Service Agency. 13. The Korean Society of Composers, Authors, and Publishers (KOSCAP). ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Management Organizations Copyright Collective

Overview copyright collective management business from the MCST. In addition to copyright Ⅰ. collective management, they strive to protect copyright protection and facilitate the use of copyrighted works through a variety of activities.

Copyright Management by Copyright Collective Management Organizations in Korea

Category Organization Rights under Management

Rights of music copyright holders Korea Music Copyright As- (composers, lyricists, arrangers, sociation music publishing companies) Overview

Korean Society of Compos- Rights of music copyrightholders (composers, lyri- ers, Authors and Publish- cists, arrangers, and music publishing companies) Musical Works ers

Federation of Korean Music Rights of music performers (singers and perform- Performers ers) The copyright collective management system refers to a comprehensive Recording Industry Asso- management regarding the use of copyrighted works by copyright collective Rights of record producers ciation of Korea management organizations on behalf of the holders of such rights. Through this system, the right holders can devote themselves to creating new works without Rights of authors of literary, Korean Society of Authors cinematographic, artistic and worrying about copyright management (signing contract, monitoring for illegal photographic works activity, claim of a right), and more systematic management of works is possible. The Korean TV & Radio Writers system is also effective for the facilitation of the use of copyright holder, as the users Rights of radio and TV writers Association are not required to go through consultation to get permission from individual. Literary Works Korea Scenario Writers Rights of movie scenario writers Association Korea has operated the copyright collective management system based on Korea Reproduction and Management of reproduction and provisions on copyright trust services under the Copyright Act. The copyright collective Transmission Rights As- transmission rights of literary works management system refers to ongoing management of economic rights, publication sociation

rights, or neighboring rights by copyright collective management organizations on Korean Film Producers Rights of film producers behalf of the holders of such rights. Anyone who intends to engage in copyright Cinematographic Association Works collective management services must obtain permission from the Minister of Culture, Movie Distributors Associa- Rights of film producers Sports and Tourism (Article 105 of the Copyright Act). tion of Korea Korea Broadcasting Rights of broadcasting performers (actors, voice Broadcasting Performers Association actors, comedians, and broadcasters) The Korea Music Copyright Association and the Korean TV & Radio Writers News Korea Press Foundation Rights of news writers Association were authorized to provide copyright collective management services Korea Culture Information Public works (the state, local in 1988 for the first time in the nation. As of now, 13 organizations in different fields Public Works Service Agency governments, public institutions) have been providing collective management services upon receiving permission for

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Current Status various organizations, including the Korea Novelists Association and the Korea Ⅱ. Children’s Writers Association and signing MOUs with the Sangwon Museum of Art and Agricultural Museum to provide support for promoting the rights and interests of literary writers. Furthermore, through an MOU with Sangwon Museum of Art and Agricultural Museum in 2013, KOSA sought to construct a legal circulation system for copyrighted images by strengthening the protection of copyrighted images and further encouraging image copyright holders to join. In 2014, KOSA signed an MOU with the Vietnam Literary Copyright Center (VLCC) and joined the International Authors Forum

in an effort to strengthen cooperation with foreign copyright institutions. Current Status

Also, as the free-of-charge e-Book publication project supported by KOSA starting from 2011 was well-received among its members, KOSA published 800 works in e-book format by 2015. It is also conducting a project to provide support for publication of paper books to break down the unreasonable practices of unfair contracts, thereby 1 The Korean Society of Authors (KOSA) establishing a fair distribution environment for copyrighted works.

The predecessor of the Korean Society of Authors (hereinafter referred to as “KOSA”) As of the end of December 2015, KOSA has 4,573 members (including 90 is the Korean Association of Authors which was established on May 19, 1984 to protect organizations) and manages 281,744 works. Nineteen staff executive members the rights of authors from illegal publication. As the need for its re-inauguration as including the 11th president Gwon Dae-woo and six secretariat staff members work a corporation was raised for the purposes of carrying out copyright protection and for KOSA. creation support activities in a systematic manner and boosting its public confidence, the name was changed to the Korean Society of Authors and it was officially launched on July 28, 1988 after receiving approval by the Ministry of Culture and Public Information (currently, MCST) for corporation establishment on July 13, 1988.

2 KOSA was authorized to provide copyright collective management services on ‌The Korea Broadcasting Performers’ Association March 16, 1989. Since then, it has managed copyrights of literary, dramatic, artistic (KBPA) and photographic works. Major activities of KOSA include copyright collective management, copyright infringement investigation, protection of rights and interests The Korea Broadcasting Performers’ Association (hereinafter referred to as of right holders through public awareness programs such as seminars and publication “KBPA”) was established in August 2001 to protect neighboring rights of broadcasting of periodicals. performers, including TV actors, voice actors, comedians and TV hosts. It was authorized by the then Ministry of Culture and Tourism to provide copyright collective KOSA signed an MOU with the Korea Writers’ Association (KWA) to promote the management services on February 20, 2002. rights of wider circles of copyright holders, while pursuing mutual cooperation with

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KBPA signed a special agreement on the use of neighboring rights of its members KTRWA performs such activities as collection and distribution of royalties through with terrestrial and cable TV broadcasting companies pursuant to Paragraph 3 of copyright collective management, support for research and writing activities to Article 100 of the Copyright Act. Based on the agreement, it collects neighboring improve the level of broadcasting scenarios, and welfare-related activities. In 1988, right license fees that arise when broadcasting organizations reproduce, distribute, it opened the Korea TV and Radio Writers Training Institute to train writers and foster broadcast or transmit broadcast programs where its members make an appearance broadcasting literature, which is now a training institute for broadcasting writers from them and distributes royalties to its members. Moreover, KBPA has joined the worthy of its name. Every year, more than 80% of the participated works in scenario effort to amend the Copyright Act to promote the rights and interests of broadcasting writing contest is submitted by the trainees at the Korea TV and Radio Writers performers, while participating in cooperation projects with copyright-related Training Institute. Approximately 1,000 TV and radio writers produced at the institute

organizations. are actively writing in terrestrial, general programming, and cable TV channels. Current Status

As of 2015, KBPA has signed MOUs with terrestrial broadcasting companies such as In addition, KTRWA also signed license contracts for the use of programs for re- KBS, MBC, SBS, EBS, OBS and nine regional private broadcasting companies, as well runs, reproduction and distribution, transmission, and publication by other users as 50 program providers (PP) for cable TV programs and four general programming including terrestrial, general programming, cable, and IPTV broadcasting companies, channels to protect the rights of its members. As of the end of 2015, KBPA has 6,411 as well as contracts with direct sales done by outsourcing production companies that members and 17 executive members including board directors, two of whom work produce and provide programs. full-time, and auditors. There are 12 staff members in the secretariat, including the Furthermore, it also signs direct contracts with overseas broadcasters and secretary-general. production companies as interests and inquiries about making remakes, plays, movies of Korean dramas are on the rise. The collected amount of copyright royalty as of 2015 is 21.3 billion won and is constantly increasing each year.

3 ‌The Korean TV and Radio Writers Association Meanwhile, the KTRWA is actively participating seminars and conferences in collaboration with foreign countries including China and Japan, in order to enhance (KTRWA). the prestige of TV and radio writers who are the key power in broadcasting contents production and to promote further development of broadcasting culture. The Korean TV & Radio Writers Association (hereinafter referred to as “KTRWA”)

was established in 1962 to promote friendship between and the rights and interests KTRWA also organized the 6th TV and radio writers’ workshop on copyright in of TV and radio writers and contribute to the development of national culture through partnership with the KCC, in which writers learned about various case studies and the growth of broadcasting literature. It was authorized to provide copyright collective related court decisions and other issues in broadcasting and publishing contracts, management services on September 20, 1988, and since has performed activities thereby deepening their understanding of copyright. such as copyright collective management and protection of rights and interest of TV

and radio writers who work in general fields of the broadcasting industry, including TV As of the end of 2015, KTRWA has accumulative 2,910 members. It consists of dramas, documentaries, entertainment, radio, and translation. 28 executive committee members and 12 staff members at the Secretariat, which comprises a general administration team, a copyright team and an education and training team.

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offline in lieu of the copyright holders. 4 Korea‌ Reproduction and Transmission Rights

Association (KORRA) As an authorized compensation receiving organization, KORRA performs collection and distribution of compensation according to the use of copyrighted works for The Korea Reproduction and Transmission Rights Association (hereinafter referred educational books, courses, course support, and libraries. Compensation policies to as “KORRA”) was established on July 1, 2000 to protect the rights of copyright for educational books, libraries, and course supports are becoming stabilized holders and publishers and to promote the fair use of copyrighted works through after continuous user education and distribution notifications. Compensation for collective management of rights on reproduction and transmission of literary works copyrighted works has been collected for the first time after the contract with on behalf of rights holders. It was authorized as a copyright collective management seventeen municipal offices of education in the beginning of the year, and started Current Status organization on November 14 of the same year. the tasks for distribution. Ongoing training activities are performed to enhance the understanding of the system at related institutions. Its ten regular groups members include the Korean Society of Authors, the Korean Publishers Association, the Korea Music Copyright Association, the Korean TV In addition, in order to enhance the copyright awareness, KORRA supports various and Radio Writers Association, the Korean Association of Academic Societies, the projects for public interest including public relations, liberal arts classes on copyrights Korea Scenario Writers’ Association, the Korean Society of Composers, Authors, in colleges, advancement of integrated distribution system of compensation, education and Publishers, the Korea Press Foundation, the Photo Artist Society of Korea, and for users of copyrighted works, establishment of management system for libraries the Korean Fine Arts Association. Its four associate group members include the for textbooks, research for compensation policies and copyrights, public participation Recording Industry Association of Korea, the Federation of Korean Music Performers, projects for users and copyright holders, etc., utilizing undistributed compensation. the Movie Distributors Association of Korea, and the Korea Broadcasting Performers Association. To ensure the legitimate use of foreign works, KORRA has signed mutual management agreements with 28 countries including the United States and the KORRA is a collective management organization that manages reproduction United Kingdom. KORRA is making an effort to secure independent rights by rights and transmission rights of registered copyright holders and other individual unilateral contracts, etc. in order to use foreign works in Korea. The trust of rights and copyrighted works. The main tasks of KORRA include copyright collective permission for use in image copyrighted works field, in particular, are to be expanded management, compensation, and public interest projects. Collective management by joining International Confederation of Societies of Authors and Composers (CISAC). refers to use authorization for production and transmission of literary works and infringement aid. KORRA encourages legal use of copyrighted works by signing contracts regarding public copying machines at universities and surrounding copy stores, government offices, and businesses. As the environment of copyrighted works 5 use changes, the market for copyrighted works use through copying is decreasing ‌The Korea Scenario Writers’ Association (KSWA) . overall, and KORRA is in the process of determining how to control and deter rights The Korean Scenario Writers’ Association (hereinafter referred to as “KSWA”) was infringement for new means like the book scans. Transmission uses of academic established to protect the rights and interests of scenario writers, offer collective papers and e-books are on the rise, and the KORRA expects the fee to increase greatly manage services such as licensing and management of scenario works on behalf of in the future. KORRA engages in legal relief activities regarding illegal uses online and

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scenario writers, and contribute to the development of scenarios. It was authorized will be greatly motivated to improve their writing activities. Every year, the KSWA to provide copyright collective management services on September 12, 2001 when recommends members for various associations including the Korean Film Council, its name was the Cinematographic Scenario Writers Association. It was renamed as the Korea Media Rating Board, and for subcommittees for each field. the Korea Scenario Writers’ Association in November 2002 and started the copyright collective management and brokerage business in earnest.

KSWA is experiencing difficulties in securing copyrighted works for collective 6 management, given the current practices in the film industry where copyright of ‌The Korea Press Foundation (KPF)

scenarios is all granted to film production companies. Hence, its performance on Current Status The history of the Korea Press Foundation (hereinafter referred to as “KPF”) goes collection and distribution of license fees is relatively low. However, the KSWA is back to 1962 when the Korea Press Center was established. Later, three organizations engaged in other activities, including activities to protect the copyright of its members, whose predecessors were the Korea Press Center, the Korea Press Institute (1964) research into scenarios, granting awards to meritorious members and projects to and the Korea Journalists Fund (1974) were integrated to launch the former Korea promote the welfare of its members. Press Foundation (predecessor of the current KPF) in 1998. In February 2010, the Korea Press Foundation was launched with the consolidation of the former Korea KSWA has produced numerous scenario writers through its affiliated organization, Press Foundation, the Newspaper Circulation Institute and the Newspaper Promotion the “Scenario Writers Training Institute” established in 1992. In 2012 events and books Commission. marking the 20th anniversary of its opening were held and published, respectively. In

2014 and the first half of 2015, scenarios written by scenario writers, who had been The newly launched KPF is pushing ahead with the following four policy tasks to trained at the Institute, were made into films and among them, films “Obsessed promote the news media in the digital era: enhancing the class of journalism; creation (Kim Daewoo, 1st Class),” “Kundo: Age of Rampant,” “Roaring Currents (Jeon Chul- of a creative news distribution ecosystem; enhancement of public media literacy; hong, 13th Class),” “Monster (Hwang Inho, 8th Class),” “Miss Granny (Dong Hee-Sun, strengthening of creative business competency. The related tasks are performed 11th Class),” “Stray Dogs (Ha Wonjun, 11th Class),” “My Love My Bride (Yoo Seung- by approximately 140 staff members. With respect to news copyright, the KPF was Hee, 27th Class),” and “The Tenor – Lirico Spinto (Kim Kwan-Bin, 35th Class),” ”The authorized to provide copyright collective management services on June 7, 2006. Treacherous (Lee Yoon-sung, 39th Class), “Shoot Me in the Heart (Bang Soonjung, 31st Class) were great hits. The Foundations’ news copyright collective management services are provided in two forms: support for copyright protection through prevention of the infringement Furthermore, the KSWA launched the Scenario Copyright Advisory Council in of news copyright, news copyright education and workshops, and monitoring the 2011 with an aim of creating a standard contract commentary. The commentary use of news copyrighted works; and facilitation of paid use of news content through on the Korean film scenario standard contract was published after going through developing and providing news products and solution, etc. coordination of interests among the film industry’s leading organizations such as the Korean Film Producers Association, the Producers Guild of Korea, the Korea In 2015, the KPF conducted monitoring on the use of news works over 8,395 Scenario Writers Association, and the Korea Film Directors’ Association. The KSWA is websites of the central government, local governments, public institutions and putting in a great deal of effort to protect the rights and interests of scenario writers. companies and notified entities concerned of illegal use to lead to fair use of news. If the scenario writers’ rights are secured as stated in the standard contract, it they

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Through efforts to expand the participating media companies, the Foundation signed The MDAK was authorized to provide comprehensive collective management on new news copyright collective management contracts with six media companies. The September 11, 2013 and has been carrying out collective management activities for media companies included broadcasting companies such as MBC, SBS, and YTN for cinematographic (films) works including their right of performance, public right of the first time, laying the foundation stone for the copyright protection of broadcasting transmission, right of reproduction, and right of distribution. companies. The MDAK has been taking the lead in protection of copyright of cinematographic After it was selected as a cooperative organization for free semester system in works, acting as a secretariat for the “Film Industry Council to Eliminate Illegal 2014, the KPF distributed e-NIE (online newspapers in education) to enhance the Reproduction” in 2007 and striving to expand legitimate distribution of copyrighted

understanding of students’ news literacy and to improve the practical value of news. cinematographic works. In 2009, it participated in the “Good Downloader Campaign,” Current Status a public awareness campaign for copyright protection as a steering committee In addition, the KPF stabilized the “license pricing system (applied with differentiated member. news copyright prices depending on the number of personnel of user organizations)” introduced in 2014 in the market. As a result of such efforts, its news copyright sales The MDAK’s main activities include collective management of cinematographic recorded KRW 14.1 billion, increasing by 24% compared to the previous year. works, collection and distribution of copyright royalties, crackdown on illegal cinematographic reproductions for copyright protection, protection of the rights The KPF received “Excellent” grade in the management evaluation for copyright and interests of its members, information management to facilitate the use collective management organizations conducted by the MCST. The KPF will continue of cinematographic works, suggestions for related bills and public awareness endeavor to help the public aware that news is protected copyrighted work, and campaigns. In 2010, it established subcommittees to promote the development of the to achieve fair use of news copyrighted works and establishment of proper new film distribution and home entertainment industries and pursued various solutions to distribution system. address problems in respective industries.

In 2015, the MDAK was selected as a commissioned agent for support project for distribution of art films. The project was launched to facilitate the circulation and 7 4 distribution of Korean art films, satisfy the opportunity for viewing by enhancing ‌The Movie Distributors Association of Korea (MDAK) the accessibility to diverse movies, and to expand the base of audience. The project supports production companies or distributors who experience difficulties in releasing The Movie Distributors Association of Korea (hereinafter referred to as “MDAK”) was the movies for restrictions in securing theaters or lack of cost, enabling them to show established in 1999 to promote seamless and fair use of cinematographic works and their movies in twenty-five art film exclusive and local multiplex theaters nationwide. establish their distribution order. The MDAK was authorized to provide copyright collective The project is scheduled to continue until 2016. management services upon receiving approval on right of performance by means of media among cinematographic works (films) from the MCST on November 9, 2005. At present, MDAK is striving to protect cinematographic works and to facilitate their distribution. As the nation’s sole association for movie distributors, it places priority on researching investment and distribution policies of the film industry and developing 4 The name was changed from the Korea Movie and Video Industry Association to the Movie Distributors Association of Korea on August 9, 2013. relevant policies.

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As of the end of 2015, KMVIA has 50 companies as its members, including regular KFPA is engaged in a wide range of projects involving Korea’s film industry, and special members. It also has 5 staff members, consisting of directors including including development of various standard contracts and wage and collective the president and staffs at the secretariat under copyright management team, negotiations, thereby contributing to both qualitative and quantitative growth of the strategic planning team, royalty collection team, and finance team. film industry in Korea.

As of the end of 2015, KFPA had 80 companies as its members. There are eight executive members, including the 11th president Lee Eun, and five members of the secretariat working for the organization. 8 ‌The Korean Film Producers Association (KFPA). Current Status

The Korean Film Producers Association (hereinafter referred to as “KFPA”) was established in February 1994 as a consultative body for currently active film producers in Korea. It joined the International Federation of Film Producers Associations (FIAPF) 9 The Federation of Korean Music Performers (FKMP) in 2001 and was authorized to provide copyright collective management services on November 9, 2005. The Federation of Korean Music Performers (hereinafter referred to as “FKMP”) was established in June 1988 to protect and manage neighboring rights of performers. In KFPA created a new value-added market by starting legal online download services October of the same year, it was designated as a compensation receiving organization after litigations and agreements with Digital Contents Network in 2009. It co-founded for broadcasting of phonograms for sale in October 1988. It was authorized to provide a monitoring center and provided OSP filtering guidelines. copyright collective management services on November 14, 2000 and has performed tasks to collect and distribute the trust dues and compensation for music performers. KFPA also runs the organization fairly and transparently through annual general Later, the FKMP expanded its business boundaries as it was designated as a meetings in February and monthly operation meetings. KFPA prioritizes the profits of compensation receiving organization for digital sound transmission in 2008, and a its members as of utmost importance and distributes all collected fees every month compensation receiving organization for public performances of phonograms for sale without exception. in 2009.

KFPA furthermore regularly hosts “Forum for Improvement of Korea Film Industry As of 2016, the FKMP has 13,000 performers as its individual members and six Policy,” “Seminar for Development of Fair Environment in Korea Film Industry,” special members, including the Korea Singers’ Association, the Singers’ Committee “Film Industry Studies,” and “Townhall Meeting with Film Producers.” KFPA seeks to of the Korea Entertainers Association, the Korea Recording Musician Association, stop unfair transactions like screen monopoly and to create a reasonable producing the Korean Traditional Music Association, the Music Association of Korea, and the environment through alternative solutions in terms of the policy and the industry. In Korea Musicians Association. Its major activities include collection and distribution 2014, KFPA hosted the first Korea Film Producers Association Award, inviting many of copyright royalties and various remunerations, protection of rights and interests personnel in the industry and praising their hard work. KFPA, along with the Busan of music performers and improvement of their status, protection of rights of Korean Film Commission, also launched the first Busan Film Investment Fund in 2013, music performers in foreign countries and publicity campaigns on neighboring rights. supporting the planning and producing of films to this day.

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While FKMP mainly collects and distributes copyright fees, it also conducts research Furthermore, FKMP pursued the “Performer Rights Campaign” through sharing the to promote status of performers and engages in activities that will protect the interest performance rights information database with the copyright exchange system and of performers through seminars that may lead to amendment of the Copyright Act developing a system for individual members to correct and confirm performance and establishment of new policies. FKMP also awards various performers who have information. contributed to the advancement of the culture and supports relevant events. The members of FKMP are constantly increasing in the fields of singers, performers, Through such efforts, FKMP constructed a music database of over 1.8 million traditional and classical musicians, making its name worthy of the central pieces including works from the 1930s to recent ones, even though it started out with management organization. only 50,000 pieces in the beginning. Starting in July 2014, FKMP greatly improved

neighboring right royalty collection and distribution by establishing a distribution Current Status With music performers going global with the Korean Wave and K-pop popularity, process using a ratio settlement system in which neighboring right royalties for music the FKMP is also expanding the scope of its activities to foreign countries by joining used by music services were given to members according to a rights ratio. the Societies’ Council for the Collective Management of Performers’ Rights (SCAPR) and seminars, seeking to improve its global capabilities through collaboration with foreign neighboring rights collective management organizations. FKMP has signed agreements on mutual management and has conducted mutual payment and 10 . settlement with a number of foreign collective management organizations in Japan, Korea Music Copyright Association (KOMCA) Sweden, the Netherlands, the United Kingdom, Canada, Italy, and Spain. The Korea Music Copyright Association (hereinafter referred to as "KOMCA") was established in 1964 to protect the rights and interests of music copyright holders. It The FKMP has invested much effort in improving distribution. As a result, it changed was authorized to provide copyright collective management services on February 23, the method of distribution from collectively distributing neighboring rights royalties 1988 by the Ministry of Culture and Public Information (currently, MCST). The KOMCA to members as from 1988 to 2011 to directly distributing to individual members signs copyright collective management agreements with the member copyright since 2002. Constructing a performance rights information database for individual holders and collects the copyright royalty from the users of the musical works, and performers like singers, instrument performers, and conductors came to be a main distributes it to the copyright holders. The royalty is fully distributed to the members issue. except for the management fees approved by the MCST. The collection of the royalty is also performed according to the collection regulations approved by the MCST. However, it was difficult to attain performance information not only because of the KOMCA collected copyright royalties worth KRW 125.3 billion in 2014, and KRW lack of awareness on performers’ part, but also because of the variety of performers, 142.5 billion in 2015. The numbers of its members and collective management recording at different times, unspecified song and singer at the time of performance, agreement signatories broke through the 21,800 mark and the number of works and custom of not recording performance information of albums. To overcome such under its collective management amounts to as many as 2,483,335. difficulty, instead of having the performer directly record performance information, FKMP signed an MOU with broadcasting stations to acquire performance information In 2014, KOMCA reduced the broadcasting management fee from 12.5% to 9% and in album jackets and promoted the importance of performance information. FKMP transmission fee from 14% to 9%. In 2015, it succeeded to reduce the management simultaneously researched activities of recording musicians and main recording fee for performances in entertainment businesses, karaoke bars, and singing rooms studios by year in order to increase the accuracy of performance information.

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from 22% to 19.5%, adopting the fourth lowest rates in the collective management With the ongoing popularity of Korean Wave contents such as K-Pop overseas, organizations worldwide (1st: Holland, 7.01%; 2nd: Malaysia, 8.72%; 3rd: Denmark, KOMCA further expanded its international exchange by signing mutual management 9.13%; 4th: KOMCA, 11.47%). contracts with the TONO of Norway, SABAM of Belgium, SOZA of Slovakia, GCA of Georgia, and ACUM of Israel to protect the Korean contents properly and enhance In addition, the KOMCA established an accounting information system and posted cooperation with overseas copyright management organizations. As of now, KOMCA it open to its homepage to satisfy the members’ right to know and for transparent has signed mutual management contracts with 53 organizations from 51 countries in operation. It has also established a system to check internal accounting works to the performance/broadcasting rights and 43 organizations from 46 countries in the thoroughly manage and control the budget for incomes and expenditure and to right of reproduction.

maximize the effectiveness of management. Additionally, the payment history by Current Status the chairman is open on the homepage. It has revised the articles of association to prohibit reappointments of chairmen and deprived the vested rights to let people know of its transparent distribution of copyright royalty and pride in moral management. 11 5 Through these efforts for management renovation, it was selected as an “Excellent” The Recording Industry Association of Korea (RIAK) organization in the management evaluation for copyright collective management The Recording Industry Association of Korea (hereinafter referred to as "RIAK") was organizations in 2015 for the first time since its establishment. established in 2001 to protect the rights and interests of phonogram producers. It was authorized to provide copyright collective management services by the then Minister Meanwhile, the KOMCA has performed projects for securing global competency of Culture and Tourism on March 17, 2003 and has provided collective management of through digitalizing. The project, named “Digital KOMCA,” aims to firmly establish 280,000 songs owned by 3,224 members. a more systemized and automatized data processing in overall business areas of collection, distribution, and information management, and lay foundation for In addition to collective management of neighboring rights for phonogram competitions with overseas collective management organizations that performs producers, RIAK collects and distributes compensation for 3.1 million songs of 4,365 the same tasks by enhancing the task efficiency and maximizing convenience of the phonogram producers, as it was designated as compensation receiving organization users. for broadcasting for commercial phonograms, digital sound transmission, public performances of commercial phonograms. Furthermore, it is proactively involved in Starting with the first in 2014 to the fourth in December 2015, the KOMCA has held copyright protection activities and crackdowns on illegal audio sources. ‘Eum-jeong (音:政) Concerts,’ themed for “The meeting of Music and Government/ Politics.” The concerts are held free of charge for public officials, their families, and Meanwhile, in May 2011, the Korea Music Data Center project, which had been citizens in the National Assembly Members Office and the Integrated Government implemented by the Korea Creative Content Agency with the purpose of promoting Building in Sejong, alternately. The event is held to give opportunities for social the public’s right to enjoy culture through the systematic collection of Korean music communications through performances, promote the improvement of relationship and the establishment of online/offline data center, was transferred to the RIAK between lawmakers and management organizations, and lay foundation for enhancement of rights and interests of copyright holders of music by forming a sense of fellowship through business exchanges and music. 5 The name was changed from the Korean Association of Phonogram Producers to the Recording Industry Association of Korea on May 9, 2013

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Permanent and special exhibition halls and a data center are located on the first floor 12 . and the first basement floor in the Olympic Hall. In 2011, the "Korean Wave Soaring The Korea Culture Information Service Agency into the World" was staged and Nam In-su Special Exhibition was featured in 2012, The Korea Culture Information Service Agency (hereinafter referred to as the followed by “Seotaiji, The History” exhibition in 2013 and “Sing the Memory” in 2014. “KCISA”) was established in 2002 to lay the groundwork for a creative knowledge- based information society and to enhance cultural competitiveness by providing In addition, the RIAK performs the role as a registered management organization support for promotion of cultural informatization and the computerization project of music UCI (Universal Content Identifier) and ISRC (International Standard among organizations and institutions under MCST. As an organization in charge Recording Code) for the standardization project. By issuing the UCI and ISRC codes, of informatization of MCST, KCISA has provided integrated management of public

it accelerates for the establishment and facilitation of standardized distribution Current Status information in the cultural area since 2011. The majority of public information environment in Korea and overseas, and the service of Korean sound source to currently managed by KCISA as a nonclassified public institution belongs to public overseas. Also, the RIAK participates as a member for DDEX (Digital Data Exchange) works and it also produces public works and thus it is engaged in various activities to to push ahead with the research and activities in technology development and facilitate the use of public works among the general public. Since it was authorized promotion of standardization for global distribution of music. by the Minister of Culture, Sports and Tourism on September 23, 2013, it has been providing collective management services for rights of public works. RIAK conducted a mass crackdown of online illegal music distribution companies like webhard, streaming, and torrents, and of illegal SD card vendors that resulted The KCISA operates a public copyright collective management system (www. in the demise of offline CD market. RIAK is also investing much effort in protecting alright.or.kr) to establish more effective and convenient foundation for use of public the rights of producers and improving the public perception of copyright through copyrighted works. The system provides copyright information and various functions holding ‘Clean Heart Campaign’ to promote legal contents market and use in outdoor to conveniently process the permission for use and distribution, the users may promotions of Dream Concert every year. proceed with search and selection of the copyrighted works he or she wishes to use and make payments one-stop. Especially, since the system has gone through RIAK signed mutual management contracts with Hong Kong’s PPSEAL an upgrade such as restructuring of the interface for intuitive use, introducing an (Phonographic Performance South East Asia Limited) and Sound Exchange of United integrated search engine to enhance search function, installing additional servers and States in order to protect producers’ rights for Korean records in use abroad. After storages to effectively operate copyrighted works, etc. it is expected to contribute to joining the International Federation of Phonographic Industry (IFPI) in July 2014, more stable and user-friendly distribution services of public copyrighted works. RIAK is pursuing mutual management agreements with Phonographic Performance Limited (PPL) of the United Kingdom and Stichting ter Exploitatie van Naburige Furthermore, KCISA is distributing the Korea Open Government License (KOGL), Rechten (SENA) of the Netherlands to expand scope of protection for domestic which can enhance the utilization of public works and contribute to the advancement records abroad, and will continue to pursue agreements with other Asian countries. of the culture industry by simplifying license procedures. It is also operating the “KOGL (www.kogl.or.kr),” a public work search portal website. Based on such diverse projects and activities, RIAK shows an annual growth rate of 21.3% on average and is expanding the rights and interests of phonogram products at the forefront of the era of a transparent and new music business. It continues to make continuous efforts to become a leader in the global music industry.

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‘The Korea Open Government License (KOGL) System (www.kogl.or.kr) collective management on September 12, 2014, starting work on September 15.

Types of License KOGL Mark Scope of License

• Source marking KOSCAP is a music copyright collective management organization established to • Commercial or non-commercial use is [Type 1] provide copyright holders with the right to choose that was not guaranteed under the possible Source marking • Secondary work production such as former solitary collective management organization system, as well as to augment the modification is possible rights of clients that was limited by unfair collective agreement clauses and articles of [Type 2] • Source marking corporation. The foundation of KOSCAP has created a positive competition system that Type 1+ • Only non-commercial use is possible encourages efficiency and transparency of collective management operations. It has Prohibition of • Secondary work production such as

commercial use modification is possible positively affected the music industry by also initiating policies for member recruiting Current Status and service improvements. • Source marking [Type 3] • Commercial or non-commercial use is Type 1 + possible Prohibition of KOSCAP adopted the “collective scope selection policy” that allows for a part or • Prohibition of secondary work produc- modification tion such as modification the entire copyright for reproduction, performance, broadcast, and transmission to be included or excluded from the collective management according to the will [Type 4] • Source marking Type 1+ Prohibition of the copyright holder. This policy thus facilitates the inclusion or exclusion of a • Only non-commercial use is possible of commercial use • Prohibition of secondary work produc- part of directly controllable reproduction right. Also, KOSCAP relaxed restrictions + Prohibition of tion modification for admission and withdrawal and reduced contract renewal period from five years to three years, providing more opportunities to determine whether to continue the contract.

One of the main projects of KOSCAP is development of advanced monitoring system. 13 ‌The Korean Society of Composers, Authors, and Previously monitoring to identify music used in broadcasting media was based on . Publishers (KOSCAP) sampling, which does not even show the title of the song and had low reliability and validity. KOSCAP is aiming to achieve accurate and transparent broadcast monitoring The Korean Society of Composers, Authors, and Publishers (hereinafter referred by improving upon the problems of the current system through developing an to as “KOSCAP”) was authorized as a music copyright collective management electronic-based monitoring system that extracts the DNA (Audio Finger Printing) organization on December 5, 2013, in align with music copyright collective of music and identifies the music used in broadcasts and conducting complete management organizations expansion policy for lyricists, composers, and arrangers, enumeration. Also, the KOSCAP established distribution policy, for broadcasting adopted by MCST. music writers who have received unfair treatment for a long time, which calculates the amount based on the contribution of the music instead of based on the type The organization changed its name from “Korea Music Copyright Holders of music as was the case. The KOSCAP adopted policies to protect minority music Association” to “Korean Society of Composers, Authors, and Publishers” on February genres by separating Korean traditional music, classical music, and religious music 24, 2014, and enacted articles of incorporation through the 1st extraordinary general in a separate category from popular music when distributing. meeting on May 12, 2014. It received authorization from MCST for music copyright

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At the same time, the KOSCAP is pursuing development of an online contract system with regards to performance right permission between the users around the country and the Society to decrease inconvenience in signing a contract and reduce related expenses.

KOSCAP is in the process of trying a variety of systems and policies to faithfully serve as a multiple music copyright organization like leading copyright regimes abroad, helping to regain the rights of music copyright holders that have been

alienated from previous systems, and continuing to research policies that can Current Status ameliorate chronic problems.

154 155 Appendices

Ⅰ. Copyright Statistics 1. Number of Copyright Education Programs by Year and Category 2. Dispute Conciliation Cases by Year and Subject Matter 3. Dispute Conciliation Cases by Year and Subject Matter 4. Application for Appraisal on Copyright Infringements by Year 5. Software Escrow Services by Year 6. Monitoring Performance of Illegal Reproductions by Type 7. Online Illegal Copyright Works Correction Recommendations

Ⅱ. Main Activities in 2015

Ⅲ. Directory of Major Organizations ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Appendices

Program 2008 2009 2010 2011 2012 2013 2014 2015 Ⅰ. Copyright Statistics Title Operation of Distance 223 248 232 255 1,365 1,324 1,385 - Training Institute (8 sessions) (10 sessions) (27 sessions) (33 sessions) (86 sessions) (112 sessions) (164 sessions) (Public Official) Distance education 15 17 ------Tutor Training (1 session) (1 session) Liberal Arts 618 2,246 1,277 - - - - - Classes in Colleges (10 schools) (20 schools) (19 schools) 250 259 202 287 215 267 222 123 Copyright Academy (12 (10 sessions) (11 sessions) (9 sessions) (10 sessions) (11 sessions) (6 sessions) (10 sessions) sessions) Copyright Statistics Copyright 178 182 69 61 8 83 69 - Culture School (4 sessions) (7 sessions) (3 sessions) (2 sessions) (3 sessions) (3 sessions) (3sessions) Consortium 214 Strategic Field ------(10 sessions) Education On-site Professional 22 ------Training (1 session) 1 Copyright 100 ‌Number of Copyright Education Programs by Year and ------Expert Forum (6 sessions) Category Copyright 71 73 93 167 171 81 205 180 Instructor Training (3 sessions) (3 sessions) (4 sessions) (5sessions) (4sessions) (2 sessions) (4 sessions) (3 sessions)

SW Asset Program 9 2008 2009 2010 2011 2012 2013 2014 2015 anagement ------Title (1session) Consultant Training 18,441 22,680 42,923 36,120 32,760 1,982 2,599 Copyright 23 schools 27 schools 50 schools 43 schools 39 schools 9 schools 9 schools - Copyright Protector 161 7,812 3,444 2,657 2,856 2,426 2,461 2,366 Research School (nationwide) (nationwide) (nationwide) (nationwide) (nationwide) (nationwide) (nationwide) Education (3 sessions) (72 sessions) (75 sessions) (52 sessions) (50 sessions) (45 sessions) (45 sessions) (41 sessions) 21,605 93,977 282,856 315,508 373,712 371,250 394,622 408,626 3,559 4,215 Mobile Copyright Hands-on 10,820 5,906 7,071 9,144 8,938 13,059 (122 (374 (2,459 (3,411 (3,374 (8,352 (8,627 (9,226 (nationwide, (117 Education Copyright Class (198 classes (99 classes) (100 classes) (193 classes) (195 classes) (294 classes) sessions) sessions) sessions) sessions)- sessions) sessions) sessions) sessions) 79 classes) classes) Culture Industry 15 46 Special Area 75 76 79 79 58 46 57 40 Working-level Staff ------(1 session) (2 sessions) Teachers Training (2 sessions) (2 sessions) (2 sessions) (2 sessions) (2 sessions) (2 sessions) (2 sessions) (1 sessions) Training Distance Teachers 2,727 3,305 3,308 10,526 13,813 (50 7,426 10,848 9,267 Teacher Trainers 15 26 183 45 23 53 64 45 Training (7 sessions) (12 sessions) (35 sessions) sessions) (59 sessions) (55 sessions) (48 sessions) Copyright Education (5 sessions) (1 session) (1session) (2 sessions) (1 session) (1 session) (1 session) (1 session) (1 session) Workshop Operation of Distance 1,036 1,365 1,788 5,257 9,020 15,053 Training Institute - - Textbook Authors 44 221 135 212 14 71 54 (20 sessions (66 sessions) (91 sessions) (112 sessions) (270 sessions) (587 sessions) - (General public) Workshop (1 session) (3 sessions) (3 sessions) (3 sessions) (1 session) (2 sessions) (1 session) Operation of Distance TV and Radio 22 21 3,448 4,021 3,917 ------Training Institute - - - - - Writers Workshop (1sessions) (1 session) (37 sessions) (22 sessions) (49 sessions) (College students) Lifelong Education Copyright rganization 103 74 90 71 ------Centers - - - - - ooperation (4 sessions) (6 sessions (26 sessions) (25 sessions) (General public) Operation of Public Field 804 1,462 122 2,347 2,603 86 376 277 300 Distance Training - - - Copyright - - - - (2 sessions) (2 sessions) (4 sessions) (11 sessions) (24 sessions) (3 sessions) (9 sessions) (10 sessions) (8 sessions) Institute (Youth) Education Program

158 159 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Appendices

Program 2008 2009 2010 2011 2012 2013 2014 2015 3 Title Dispute Conciliation Cases by Year and Subject Matter Operation 8,125 10,273 Category Neighboring of Copyright ------Secondary Computer (20 sessions) (27 sessions) Literary Musical Theatrical Artistic Architectural Photographic Cinematographic Diagrammatic Compilation Rights Database Total Theatrical Troupe works Program Year Works SW Management 2,377 System Distribution ------(50 sessions) 1988 6 2 ------2 - - 10 Education 1989 5 - 1 1 - 1 ------8 Total 47,192 135,240 353,753 384,165 434,857 403,933 439,541 458,452 1990 6 - - - - 7 - - - - 2 - - 15

1991 13 1 1 4 - 1 1 - - - 4 - - 25

1992 19 1 - 2 - 4 1 - - - 2 - - 29 Copyright Statistics

1993 18 1 - 6 - 2 ------27 2 ‌Numbers of Registration by Year and Subject Matter 1994 30 2 - 6 - 6 1 - - - 1 - - 46 (Unit: No. of Case) 1995 12 13 - 7 - 1 - - 1 - 1 - 4 39 Year 1987~ 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Total Category 1996 1996 10 6 - 1 - 1 ------18 36 Literary 987 64 84 64 218 495 625 828 994 1,526 1,796 1,892 1,878 2,309 3,776 3,612 3,742 3,658 5,867 4,192 38,607 1997 6 5 - 11 - 2 - - 3 - 1 - 4 32 Musical 86 1 21 112 290 101 214 248 238 313 362 659 744 987 1,387 1261 1,446 1,430 1,768 1,310 12,978 Theatrical - - - - 1 6 2 11 5 4 14 3 16 27 25 20 24 58 35 127 378 1998 13 9 - 20 - 4 1 1 3 - - - 5 56 Artistic 822 13 50 159 712 1,774 2,843 2,919 2,439 4,816 3,779 3,599 4,278 5,075 4,632 5,179 7,092 7,938 8,195 10,519 76,833 1999 8 - - 14 - 3 1 1 2 - 3 - 13 45 Architectural - 4 1 78 453 262 184 161 285 145 132 210 99 117 84 246 57 131 61 52 2,762 2000 7 1 1 9 1 1 3 1 - - 3 - 13 40 Photographic 6 - 1 4 18 43 93 339 736 1,048 3,877 6,350 2,993 378 447 281 507 447 373 335 18,276 Works Cinematographi 484 186 41 20 109 473 287 432 800 732 723 660 247 238 676 374 505 626 2,266 1,859 11,738 2001 19 3 1 26 2 10 4 1 1 - - - 16 83 Diagrammatic 26 1 6 5 24 49 91 88 19 265 440 564 506 400 742 567 528 545 407 472 5,745 2002 32 7 1 23 1 20 16 1 8 - - - 18 127 Compilation 45 2 2 16 106 275 427 658 708 696 798 1,105 1,414 1,082 1,330 1,562 1,823 1,981 3,734 2,703 20,467 2003 29 29 - 4 1 41 1 - 6 - - - 20 131 Secondary - - - - 7 99 193 772 847 795 180 253 199 279 451 907 645 572 725 714 7,638 Program 39,183 7,700 7,582 7,836 13,855 11,019 10,062 9,946 10,304 10,532 10,699 10,624 11,192 11,856 12,483 13,858 14,101 13,690 12,411 14,477 253,410 2004 14 3 - 33 1 13 1 - 6 - 2 - 24 97

Others ------0 2005 31 1 - 12 1 13 - - 6 1 1 1 27 94 Neighboring Performance - - - - - 1 - 1 - 2 61 24 4 93 24 3 30 1 2 7 253 rights works Phonogram 162 - - - 14 37 21 49 82 184 68 36 73 1,366 705 230 565 323 1,160 552 5,627 2006 24 30 - 5 - 16 1 - 6 1 6 2 33 124 Database ------2 14 27 11 38 35 18 86 54 101 62 77 176 701 2007 13 4 - 8 - 8 - 2 4 - 5 - 34 78 Total 41,801 7,971 7,788 8,294 15,807 14,634 15,042 16,454 17,471 21,085 22,940 26,017 23,678 24,225 26,848 28,154 31,166 31,462 37,081 37,495 455,413 2008 9 15 - 5 - 10 3 - 4 - 1 2 13 62

2009 10 3 1 7 - 11 - - 2 1 4 - 16 55

2010 18 6 - 12 - 7 2 1 1 - 7 - 8 62

2011 26 1 - 11 - 7 5 2 - - 11 - 19 82

2012 17 13 - 1 - 4 - - - - 10 - 33 78

2013 23 4 1 6 0 5 5 1 1 - 22 - 33 101

2014 19 1 - 8 - 73 - - 1 - 8 - 20 130

2015 12 6 - 18 - 1 3 - 2 - 11 - 30 83

160 161 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Appendices

4 ‌Application for Appraisal on Copyright Infringements 6 ‌Monitoring Performance of Illegal Reproductions by by Year Type

(Unit: No. of Case) (Unit: No. of Cases, No. of Pieces) Classification 2011 2012 2013 2014 2015 Total 2008 2009 2010 2011 2012 2013 2014 2015 Year Application 37 59 78 71 68 313 Cases Pieces Cases Pieces Cases Pieces Cases Pieces Cases Pieces Cases Pieces Cases Pieces Cases Pieces Music 24,380 12,874,262 4,802 1,011,707 16,240 1,220,551 28,993 2,039,991 37,344 3,998,851 67,161 3,428,417 87,336 3,698,703 202,397 3,809,227 Appraisal 38(21) 33(9) 48(16) 49(21) 41(19) Video 67,063 3,101,990 150,444 4,413,859 221,382 2,436,669 277,559 2,705,055 766,463 5,220,243 1,434,022 3,202,653 1,651,744 4,360,602 2,039,814 3,660,622

Internal, Joint Copyright Statistics 21 2 - - - Publication 7,049 12,156,342 5,553 14,387,822 7,929 20,244,886 22,466 28,048,143 31,724 41,507,614 36,632 35,416,920 47,002 37,261,640 39,033 32,914,749 Appraisal

※ Figures in parentheses are cases carried forward from the previous year. Online Game 1,461 17,030 16,991 101,724 28,969 168,579 25,958 179,672 31,451 114,101 56,050 82,156 45,706 50,007 13,384 34,046

Comics 2,327 7,179,732 3,888 10,324,682 16,430 53,337,106 28,562 125,482,653 46,557 88,151,503 64,949 96,327,928 46,911 76,962,139

SW 5,069 28,331 24,268 44,785 19,675 28,398 37,910 40,614 53,340 74,418 1. 2. Sub-total 99,953 28,149,624 180,117 27,094,844 278,408 34,395,367 376,475 86,338,298 1,660,097 130,310,047 1,934,647 141,739,494 2,394,879 117,455,201 5 919,812 176,368,247 Software Escrow Services by Year Music 304 34,806 367 35,163 310 458,522 150 41,227 가. 326 나. 412,100 741 13,544,783 935 15,320,691 996 14,420,282

Classification 1999~2008 2009 2010 2011 2012 2013 2014 2015 Total Video 786 329,451 873 380,769 430 310,355 435 211,491 1) 535 2) 209,539 596 184,107 382 380,419 527 106,748 New 293 155 151 149 116 163 187 192 1,406 Publication 615 17,811 541 11,956 704 18,902 489 16,541 3) 537 4) 17,224 460 13,225 392 33,576 510 16,697 Contracts Offline Game 2 1,480 9 6,529 - 150 5) 1 6) 427 0 5 1 409 2 208 Renewals 162 97 126 182 212 224 255 273 1,531 Deposit Registration Character 7) 8) 1 1,085 0 29 2 5,030 Contract of Persons 181 47 53 62 22 37 50 35 487 with the Right Sub-total 1,705 382,068 1,783 429,368 1,453 794,308 1,074 269,409 1,399 639,290 1,798 13,743,205 1,710 15,735,124 2,037 14,548,965 of Use Total 101,658 28,531,692 181,900 27,524,212 279,861 35,189,675 377,549 86,607,707 921,211 177,007,537 1,661,895 144,053,252 1,936,357 157,474,618 2,396,916 132,004,166 Sub-Total 636 299 330 393 350 424 492 500 3,424 Deposit of ※‌ (Online) Number of deleted cases/pieces through monitoring of OSP with regards to copyrighted works the Copyright Latest 45 17 13 20 21 15 13 21 165 Protection Center has been entrusted with by the copyright holder (Based on Copyright Act Article 103) Versions (Offline) Number of collected and discarded offline illegal reproductions that the Copyright Protection Center had been Others entrusted with by the MCST (Based on Copyright Act Article 133) Technological 3 - - - - 2 - - 5 Verification

Sub-Total 48 17 13 20 21 17 13 21 170

Total 684 316 343 413 371 441 505 521 3,594

※ ‌The establishment of Intellectual Property Rights Information Database has moved the data on integration of homepage (July 2009)

162 163 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Appendices

7 ‌Online Illegal Copyright Works Correction Ⅱ. Major Activities in 2015 Recommendations (Unit: No. of Cases) No. of Correction Recommendations Annual Deletions/ Classification Account Results Warnings Suspensions of Suspensions Transmissions Total 35,345 13,466 21,840 39 Webhard 33,644 12,612 20,995 37 2009

P2P 773 579 194 - Main Activities in 2015 Portals, etc. 928 275 651 2 Total 85,085 42,794 42,200 91 Webhard 82,413 41 ,458 40,864 91 2010 P2P 2,140 1,070 1,070 - Portals, 532 266 266 - Community, etc. Total 107,724 54,504 53,106 114 Date Main Activities Webhard 101,359 51,282 49,963 114 Jan. 28 Copyright Technology R&D Project Planning Workshop 2011 P2P 1,041 522 519 - Feb. 12 Portals, Staff Members Volunteer Activities for Lunar New Year’s Day 5,324 2,700 2,624 - Community, etc. Feb. 27 Appointment Ceremony for Young copyright instructors 2015 Total 250,039 130,304 119,560 175 Establishment of Nationwide Consulting Service Network of SW Management System Mar. 25 Webhard 135,961 72,516 63,270 175 through Operation of SW Asset Management in 9 Regions 2012 P2P 344 172 172 - Mar. 31~Apr. 3 Korea-China Copyright Cooperation Exchange Portals, 113,734 57,616 56,118 - Community, etc. Apr. 16 2015 Korea-Vietnam Copyright Cooperation Seminar (Hanoi, Vietnam) Total 170,867 86,455 84,412 - Launch of the Copyright Coexistence Consultative Council for Improvement of Music Apr. 17 Webhard 41,909 21,850 20,059 - Transmission Royalty 2013 P2P 32 16 16 - Apr. 24 Joint-host of Spring Academic Conference with SW Evaluation Academy Portals, 128,926 64,589 64,337 - Community, etc. Apr. 30 Anti-Corruption Workshop Total 296,360 150,722 145,638 0 May 14 Korea-Malaysia Copyright Seminar (Kuala Lumpur, Malaysia) Webhard 45,371 24,122 21,249 - Authorization of Operational Organization, Accounts for Lifelong Learning of National 2014 P2P 36 18 18 - May 15 Institute for Lifelong Education, by Ministry of Education Portals, 250,953 126,582 124,371 - Community, etc. May 15 Promotional Exchange for Legal Distribution in Malaysia Total 264,982 133,146 131,768 68 May 22~23 Workshop for Launching of the 4th Copyright SNS Reporters Webhard 137,460 69,147 68,245 68 May 26 The 2nd Korea-China Copyright Cooperation Exchange P2P - - - - 2015 Portals, The 11th Korea-China Copyright Forum (Jinan, Shandong, China) and Signing of MOU 112,892 56,676 56,216 - May 27 Community, etc. for Copyright Cooperation Torrent, Streaming May 29 14,630 7,323 7,307 - Opening of the official blog of KCC (http://blog.naver.com/kcc_press) websites, etc.

•Based on Copyright Act Article 133-3 •Targeted providers of online services through which illegal copyrighted works are distributed. 164 165 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT Appendices

Date Main Activities Date Main Activities Jun. 12 Joint-hosting of 2015 Spring Conference of Forensic Korea Nov. 17~28 Workshop on Transformation of Public Domain Works into Creative Resources

Jun. 22 Relocation of KCC to Jinju Innovative City Awards Ceremony of ‘the 10th Copyright Research Contest for University and Nov. 20 Jun. 25 Korea-Philippines Copyright Forum (Manila, Philippines) Graduate Students’

Jun. 26 Joint-hosting of Copyright Conference with the Korea Copyright Laws Society Nov. 20 Awards Ceremony of ‘the 11th Youth Copyright Writing Contest’

Operation of Copyright Campaign and Consultation in ‘2015 Seoul Character Licensing Nov. 25~28 Workshop for establishment of Korea-China-Japan Network Jul. 15~19 Fair’ Workshop for Cooperation of Related Organizations for Copyright Service Quality Dec. 3~4 Signing of Agreement for Vitalization of Regional Economy through Co-hosting of Improvement for Small- to Medium-sized Companies Jul. 28 「Development Strategies of Future 50 Years of Gyeongnam」 Dec. 14 The 7th Korea-Japan Copyright Forum

Jul. 30~31 Regional Copyright Service Center Joint Workshop Main Activities in 2015

Aug. 12~16 Operation of Copyright Campaign in ‘the 18th Bucheon International Comics Festival’

Aug. 26 Signing of MOU of Copyright Education with Seoul Design Foundation

Aug. 28 Celebration of Relocation of KCC to Jinju Innovative City

Sep. 3 Korea-Thailand Copyright Forum (Bangkok, Thailand)

Sep. 9~11 Operation of Copyright Campaign and Consultation in ‘IT EXPO Busan 2015’

Sep. 14~18 WIPO-MCST-KCC International Copyright Protection Manpower

Operation of Copyright Campaign and Consultation in ‘Jeju Haevichi Arts Sep. 15~16 Festival’

Sep. 17 WIPO-KCC Mediation Seminar

Sep. 24 Launch of Private Consultative Organization in Music Field

Oct. 1~11 Copyright Campaign in collaboration with Jinju Yudeung Festival

Awards Ceremony for SNS Reporters’ Copyright Promotional Contents Oct. 2 Competition

Oct. 2 Opening Ceremony of Public Domain Works Creation Experience Center

Launch of the Copyright Coexistence Consultative Council Related to Oct. 2 Broadcasting Charges

Oct. 16 Forum on Transformation of Public Domain Works into Creative Resources

Oct. 19~23 Seoul Copyright Forum 2015

Launch of Working-level TF Council Related to Establishment of Broadcasting Oct. 27 Charges Monitoring System

Nov. 2~6 2015 WIPO STUDY VISIT PROGRAM

Nov. 10 Joint-hosting of Fall Conference with Korea Copyright Laws Society

Nov. 11 Joint-hosting of the ‘Find the Digital Criminal’ Competition with Forensic Korea

Nov. 11~14 Operation of Copyright Campaign in ‘Global Game Exhibition G-STAR 2015’

Joint-hosting of Fall Conference with Gyeongsang National University by 2015 Nov. 16 Committee

166 167 ON COPYRIGHT IN KOREA 2015 ANNUAL REPORT

Ⅲ. Directory of Major Organizations

Organization Address Homepage Address Telephone Fax No. Name No(Main)

Ministry of 15, Government Complex- Culture, Sports Sejong, 388, Galmae-ro, http://www.mcst.go.kr 044-203-2479 044-203-3466 and Tourism Sejong-si

1F,3F,5F, LH building, Korea Copyright 19, Chungui-ro, Jinju- http://copyright.or.kr 055-792-0000 055-792-0019 Commission si, Gyeongsangnam-do (52852)

10F, Culture Contents Korea Federation of Center, 400 World Cup Copyright http://www.kofoco.or.kr 1588-0190 02-3153-2708 buk-ro, Mapo-gu, Seoul Organizations (03925) 2015 Annual Report on Copyright in Korea 6F&7F, Software Korea Software Development Center, 447, Property Right http://www.spc.or.kr 02-567-2567 02-567-2933 Publisher_ Yeoksam-ro, Gangnam- Council Ministry of Culture, Sports and Tourism gu,Seoul (135-841) Government Complex-Sejong, 388, Galmae-ro, Sejong-si, 110-360, Korea Korea Creative 35, Gyoyuk-gil, Naju-si, Tel +82-44-203-2000 Fax +82-44-203-3447 http://www.kocca.kr 02-1566-1114 061-900-6015 Content Agency Jeollanam-do (58217) http://www.mcst.go.kr

Korea Copyright Commission 6, 7F, 619, Gaepo-ro, Gangnam-gu, Seoul, 135-240, Korea Tel +82-2-2660-0000 Fax +82-2-2660-0019 http://www.copyright.or.kr

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