S.L. 415.1 Art. 43Compliance. 30 [

(1) Compliance by collective management organisations established in Malta with the provisions of national law shall be monitored by the Copyright Board.

(2) Members of a collective management organisation, rightholders, users, collective management organisations and other interested parties shall notify the Copyright Board of activities or [

circumstances which, in their opinion, constitute a breach of the provisions herein.

(3) A notification as per sub-regulation (2) shall clearly outline the activities or circumstances being claimed as being in breach of the provisions of these regulations. As soon as possible upon receiving such a notification, the Copyright Board shall -

(a) forward a copy of this notification to the party allegedly carrying out a breach of the provisions;

(b) inform the party of the penalty of being found in breach of such provisions;

(c) request the party receiving this notification to file its reaction within sixty days from the date of service of the notification.

(4) The reply to the Copyright Board shall include:

(a) a clear indication of whether or not the party who is allegedly in breach of these provisions is in agreement with the notification;

(b) if the party allegedly in breach of the provisions of this legislation is not in agreement with the notification, detailed grounds upon which the party is basing its disagreement.

(5) Non-observance of the deadline given by the Copyright Board or the above requirements shall render the reply inadmissible. As considered appropriate and where a breach is considered to have taken place, the Copyright Board may serve a compliance notice on that collective management organisation.

(6) A compliance notice -

(a) shall state that the Board considers that the collective management organisation has not complied with a requirement imposed by the Act or its regulations;

(b) shall specify the provision imposing the requirement and the nature of the non-compliance;

(c) may request the collective management organisation, where the non-compliance is continuing, to end it within a specific period of time;

(d) for the purpose of ensuring compliance by the collective management organisation with the requirement, may request the collective management organisation to do, or refrain from doing, anything specified in the notice;

(e) may request the collective management organisation to give to the Board a written undertaking that non-compliance with the requirement will not be repeated; and

(f) shall inform the collective management organisation that failing to comply may result in an revocation notice as per sub-regulation (7) or a penalty as per sub-S.L.415.01 ADMINISTRATION OF COPYRIGHT

regulation (8).

(7) If the Board is satisfied that a collective management organisation has failed to comply with a request included in a compliance notice under sub-regulation (6)(c) or (d), or with an undertaking given in compliance with a request so included under sub-regulation (6)(e), the Board may serve an revocation notice on the collective management organisation or else impose a penalty.

(8) In deciding whether to serve a revocation notice or penalty notice the Board must have regard to the nature of the failure of compliance.

(9) A penalty may comprise of either -

(a) a sum not exceeding five thousand euro (€5,000); or

(b) a sum not exceeding five hundred euro (€500) together with a sum not exceeding fifty euro (€50) for each day that the collective management organisation continues to fail to comply with its obligations under these regulations, not exceeding in total five thousand euro (€5,000).

(10) A revocation notice or penalty notice shall be in writing and shall -

(a) state the grounds on which the Board has deemed that the collective management organisation has failed to comply with the request or undertaking referred to in the compliance notice;

(b) inform the collective management organisation that the board will be revoking the authorisation to act as a collective management organisation or that the board will be imposing a penalty within thirty working days from the date of service of the notice unless an appeal is brought as per sub-regulation (9).

(11) The collective management organisation may, within thirty days from the date of service of the revocation notice or penalty notice, appeal against the revocation or penalty to the Court of Appeal.

(12) If the collective management organisation brings an appeal which is unsuccessful, when the appeal is finally determined, the revocation shall take effect or the penalty shall be imposed as the case may be.