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The Copyright Act (Collective Management) Regulations

5. Requirements for application for renewal of registration

Edition: 2022-12-31 · In force

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5. Requirements for application for renewal of registration

(1)At least three months before the lapse of its registration, a collective management organisation shall apply to the Board to renew its registration in Form CMO 03 as set out in the Schedule and the application shall be accompanied by—
(a)a certified copy of the organisation's certificate of incorporation;
(b)a certified copy of the organisation's Memorandum and Articles of Association;
(c)a statement of changes made to the Memorandum and Articles of Association during the year preceding the application;
(d)certified copies of the organisation's audited accounts for the year preceding application;
(e)the organisational structure of the organisation and names and qualifications of its senior management;
(f)a statement of changes in senior management and reasons thereof;
(g)a statement of the monies collected and distributed as royalties in the year preceding the application;
(h)a list of members of the organisation and copies of their documents of identity;
(i)a detailed report of its operations during the year preceding the application; and
(j)a representative sample of documents of authorisation by members of the organisation.
(2)Where there is a single applicant for a collective management organisation license and the application does not fulfil any of the requirements for registration under the Act, the Board may waive the requirement if it determines that the failure to fulfil the requirement shall not adversely impact the effectiveness of the organisation:Provided that the collective management organisation shall be required to comply with all the requirements for registration during the period of its registration by the Board.
(3)The Board, in determining whether or not a collective management organisation has the capacity to collect and distribute royalties, shall consider the following factors—
(a)whether or not there is demonstrated integrity, transparency and accountability in the collection and distribution of royalties by the organisation;
(b)whether or not the organisation adheres to the national values and principles of governance prescribed by Article 10 of the Constitution;
(c)the particulars of the directors and their antecedents;
(d)whether or not the organisation's membership is representative of the holders of the category of rights that it claims to represent;
(e)whether or not the administrative costs exceed thirty percent of the royalties collected by the organisation;
(f)whether or not royalties are regularly and properly distributed using approved distribution rules;
(g)the particulars of the senior management and their academic and professional qualifications;
(h)the strategies and systems of the organisation for ensuring that royalties are collected and distributed efficiently;
(i)the audited accounts of the organisation;
(j)whether or not the organisation has submitted quarterly reports before the tenth day of next quarter; and
(k)any further information or clarification that may be useful in determining the application for renewal.
(4)Where the information required under paragraph (3) is not available, the Board shall appoint an auditor to conduct a systems', forensic or financial audit of the organisation as may be necessary.
(5)The certificate of renewal of registration shall be in Form CMO 04 as set out in the Schedule.
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Source: Kenya Law