25. Registration of society, administration of rights by societies, control over the rights and submission of report

No person or body of persons corporate or unincorporate shall, after the coming into operation of this

Any body of persons corporate or unincorporate which fulfils such conditions as may be prescribed, apply to the Director-General for permission to engage in the business specified in paragraph (a) and register the society.

The Director-General may having regard to the interests of the owners of the rights protected under this Part, the interests and convenience of the public and in particular of the groups of persons who are most likely to seek licences in respect of relevant rights and the ability and professional competence of the applicant to grant permission to commence or carry on business specified in paragraph (a)

The Director-General may, if he is satisfied that the society is being managed in a manner detrimental to the interests of the owners of rights concerned, cancel or suspend the registration of the society and the permission to commence or carry on business as specified in paragraph (a) of this subsection, after such inquiry as may be necessary.

The Director-General may by order cancel or suspend the registration of such society and the permission to carry on business pending inquiry for such period not exceeding one year as may be specified in such order under paragraph (d) of this subseciton.

Where the Director-General suspends the registration of a society, he shall thereupon appoint an administrator to carry out the functions of the society.

Subject to such conditions as may be prescribed—

a society may accept from an owner of the rights exclusive authorization to administer any right under this Part by the issue of licences or collection of licence fees or both ; and

an owner of the rights shall have the right to withdraw such authorization without prejudice to the rights of the society under any contract between such owner and society.

It shall be competent for a society to enter into any agreement with any foreign society or organization administering rights corresponding to the rights protected under this Part, and to entrust to such foreign society or organization the administration in any foreign country of rights administered by the said society in Sri Lanka, or for administering in Sri Lanka the rights administered in a foreign country by such foreign society or organization :

Subject to such conditions as may be prescribed, a society may –

issue licences in respect of any rights protected under this Part ;

collect fees in pursuance of such licences ;

distribute such fees among owners of rights after making deductions for its own expenses ;

perform any other functions consistent with the provisions of subsection (4).

Every society shall be subject to the collective control of the owners of rights under this Part whose rights are administered in such a manner as may be prescribed in order to —

obtain the approval of such owners of rights for its procedures of collection and distribution of fees ;

obtain their approval for the utilization of any amounts collected as fees for any purpose other than distribution to the owner of rights ; and

provide to such owners regular, full and detailed information concerning all its activities, in relation to the administration of their rights.

All fees distributed among the owners of rights shall, as far as may be, be distributed in proportion to the actual use of their works.

Every Society shall submit to the Director-General such returns as may be prescribed.

The Director-General may call for any report or records of any society for the purpose of satisfying himself that the fees collected by the society in respect of the rights administered by it are being utilized or distributed in accordance with the provisions of this Part.