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12 Ent. & Sports Law. 3 (1994-1995)
Economic and Moral Rights under U.S. Copyright Law - Protecting Authors and Producers in the Motion Picture Industry

handle is hein.journals/entspl12 and id is 83 raw text is: Economic and Moral Rights
under U.S. Copyright Law
Protecting Authors and Producers in the Motion Picture Industry
LAURA A. PITTA

trong protection has developed to shield
the motion picture industry from deleteri-
ous forces-both on a domestic level and
an international one. Summarized here are the legal
shields that protect creators and producers of audio-
visual works.' First, a philosophical backdrop of the
differences between the common law system of
copyright and the civil law author's right system is
presented.2 Next, the economic rights established
under U.S. statutory law are examined. A discussion
of the Berne Convention concept of moral rights with
respect to audiovisual works and its entrance into
U.S. law follows. Finally, the civil law concept of
neighboring rights ancillary to author's rights is
explained and compared with similar existing protec-
tions under U.S. laws.
Philosophical Backdrop
In the United States, creators and producers of
motion pictures are protected by the Copyright Act of
1976.3 Some countries (especially those of the civil
law tradition) distinguish rights in such works from
rights in other works, based upon the nature of the
right holder, creator or corporate financier. The dif-
ference is largely due to the philosophical underpin-
nings of the copyright and author's right laws.
When protection of works was first shifting in the
seventeenth century from a sovereign privilege to a
statutory right, two schools of thought emerged. One
school, natural law, was absorbed into the civil law
countries and promoted especially by France and
Germany. Because the authors invested their creativi-
ty, the works belonged to them. This school advanced
the notion that protection should extend to both the
author's economic and personal interests. Statutes
merely codified these naturally existing rights.'
With the advent of modern cinematography, its
corporate organization and other technological
advances, laws based upon natural law principles
proved inefficient and inadequate because such laws
do not extend full protection to corporate entities. On
the basis of these principles, ownership of rights in a
motion picture always vests in an individual first-
only then may those rights be transferred or licensed;

however, the personal rights remain with the cre-
ators. Because the focus is on the individual, this
school is often referred to as recognizing droit
d'auteur or author's right. This system poses a diffi-
cult problem for modern marketing of motion pic-
tures. All the rights of each of the individuals
involved must be addressed. A shortcut developed, in
the form of presumptions as to ownership of rights
and neighboring rights, to allow effective exploitation
of the work.5
Meanwhile, the common law was developing in a
different way. Common law countries, especially the
United States and the United Kingdom, recognized a
common law right of perpetual duration based upon
natural property rights;6 however, when codified by
the legislators,7 only limited economic protection was
extended to authors. The statutes did not codify nat-
ural law, they replaced it and created economic rights
initially in the form of an exclusive reproduction right
for a limited time.8 The purpose of this exclusive
right was to protect the economic rights held by cre-
ators or publishers who purchased the original cre-
ator's rights. Thus, creators relinquished all rights in a
work (unless otherwise contractually agreed) in
exchange for pecuniary recompense.9
In contrast to the situation in author's right coun-
tries, the developing motion picture industry brought
no need to change the basis of the copyright protec-
tion system in the common law countries. Full eco-
nomic rights could be held by a corporate entity.
In the latter half of the twentieth century, interna-
tional copyright protection has become of much
greater concern, as the motion picture industry has
become supranational.10 This has brought a clash of
the two systems and their philosophies. Author's right
countries (e.g., France and Germany) focus almost
exclusively on the individual creator, while the com-
mon law countries (e.g., United States and the United
Kingdom) focus on the owner of the copyright,
whether that is the creator, publisher, broadcaster or
corporation.
In the United States, freedom of contract is one of
the most sacred principles. Yet with the growing
international emphasis on natural law (at least in the

ENTERTAINMENT AND SPORTS LAWYER 3   VOLUME 12, NUMBER 4 - WINTER 1995

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