CISAC renews SGAE's temporary expulsion; new society SEDA seeks license from Spanish government

By Emmanuel Legrand

SGAE's hopes to be reinstated as a full member of the International Confederation of Societies of Authors and Composers will have to wait. CISAC's General Assembly on May 28 has voted to renew the temporary expulsion for one year of SGAE and mandated the CISAC Board "to adjust, revise or lift the sanction, should SGAE be in a position to demonstrate, before the end of the expulsion period, that it has taken the necessary steps in order to fully comply with CISAC's requirements for re-admission."

  CISAC decided to exclude the Spanish rights society in May 2019, following the organisation's lack of compliance with CISAC's requirements. Since then, SGAE elected a month ago a new President, Antonio Onetti, who pledged to implement reforms that would comply with CISAC's demands, including a change in statutes and more transparency in the distribution of royalties. SGAE's board called for new Board elections for October 22, and for the first time in SGAE’s history, the electoral college will extend to all members of the Society.

Achieving full compliance

  "This makes for a more democratic entity as all members will now have the right to vote to elect the 39 members of the entity's new Board of Directors," said SGAE, adding that the Board's decision "responds to its desire to restore normal functioning at the institution following the recent approval of its statutes by the Ministry of Culture" and brings the organisation "one step closer to achieving its aim of full compliance with basic CISAC requirements and regaining full membership."

  For CISAC, these changes go in the right direction. "CISAC welcomes the scheduling by SGAE of new Board elections under the approved new Statutes," said a CISAC spokesperson. "This is an important step towards restoring trust in SGAE and it is hoped the these elections will result in a fair and balanced composition of SGAE’s governing bodies. However, SGAE is still to meet all CISAC recommendations, in particular in the distributions area. That’s why the General Assembly has approved one more year of temporary expulsion under flexible conditions, so the Board would be able to lift the sanction if real progress is achieved in the meantime."

  Meanwhile, a new society named Sociedad Española de Derechos de Autor (SEDA or Spanish Society of Authors' Rights), set up by former SGAE members, has applied before the Ministry of Culture for a license to operate as a performance right society. The society's inaugural President is Patacho Recio, former member of rock band Glutamato Ye-Yé.

Bring transparency

  The deadline to obtain the license is June 30. "More than 200 members and 60 publishers have asked the Ministry of Culture in writing to grant the license to SEDA because they are members of the SGAE who intend to leave the society," Recio told Spanish daily El Diario.

  Recio added that SEDA would operate with "transparency in expenses and professionalism, two fundamental things that the SGAE management has lacked." In addition, distribution would be based "according to the use of the works." SEDA would be a participative society, where all the members would have a vote in the Assembly. SEDA plans to charge an administrative fee of around 15% for public performance paid by radio stations and TV channels, and between 20% to 30% for public performances in public spaces and businesses.

  SEDA said it represented at this stage some 20 authors and Recio admitted that to be operational with critical mass, the society would need the repertoire of some 200 to 400 authors and composers.

Breaking SGAE's monopoly

  SEDA has applied for the status of provisional member of CISAC but the General Assembly did not make a decision since the society is still awaiting for a license from the government to start operating. The issue has been postponed and will be reviewed and decided by the CISAC Board, providing SEDA is granted a license to operate in Spain from the Ministry of Culture.

  Another society, Unison, based in Barcelona, is also attempting to break SGAE's current monopoly.

 

Update: During an Ordinary General Assembly held electronically this summer, the members of Spanish rights society SGAE have approved the statutory changes to its governance requested by Spain's Ministry of Culture and the International Confederation of Societies of Authors and Composers (CISAC). For the first time in the history of the society, all 120,000 members could exercise their right to vote. For the statutory amendments, 17.107 votes were cast with 14,940 (87,33%) in favour of the reforms proposed to them, 1,866 against (10,91%) and 301 abstention (1,76%). CISAC's changes in the internal statutes were approved by 14,490 (84,90%) of the 17,068 votes, with 2,146 against (12,57%) and 432 abstentions (2,53%), The proposals required three fifth of the votes to pass. To continue implementing reforms to society's statutes, SGAE members will be invited on October 22 to vote for their government and representation bodies.