Dutch copyright levy system complaint taken to Commission
JOCHEN LUYPAERT
15.11.2007 @ 17:37 CET
In a bid to force the Dutch government to reduce the burden of levies on CD-R and DVD-R sales in the Netherlands, Imation Europe, a manufacturer of data storage products, has taken its complaint against the Dutch copyright levy system to the European Commission.
The company filed the complaint on 5 November, and wants to spur the Dutch government into making the system compatible with EU copyright rules and the 'free movement of goods' principle, laid down in EU law.
Blank CD-Rs and DVD-Rs are levied in the Netherlands (Photo: Wikipedia.org)
A copyright levy is intended to compensate copyright holders for the possible losses that may result from the illegal copying of their works.
In the Netherlands, the levy is imposed on manufacturers, importers and resellers of CD-Rs (recordable compact disk) and DVD-Rs (recordable DVDs). According to Imation, this puts an excessive burden on disc manufacturers and sellers and raises the prices for consumers considerably.
"Consumers and companies are paying far more then they should for CDRs and DVDRs due to a Dutch levy system that is unclear, unjust, and uncontrolled," Brian Plummer, vice president EMEA of Imation, explained, noting that the levies in place constitute "more than 50% of the consumer price for a blank DVDR in the Netherlands."
"The EC Treaty gives consumers and companies a right to purchase products that are sold legally in any EU member state. This right has been taken away from Dutch consumers and companies," he added.
STOBI, the Dutch blank media industry association notes that the current system of high levies has given rise to a thriving black market, currently representing 40% of all CD-Rs and DVDRs sold in the Netherlands.
While the country is far from the only EU member state failing to fulfil its obligations on the issue, Imation says it has chosen the Netherlands because it believes that the Dutch government has shown a "sincere interest" in reforming its levy system.
Furthermore, the Hague has already requested advice from the Commission on the matter.
Last year, Dutch authorities collected approximately €20 million in levies, which are then distributed to rights holders - artists and authors.