Azerbaijan Supreme Court rules author royalties payable without contract

The Civil College of the Supreme Court of Azerbaijan issued a ruling establishing that authors, performers and producers of audiovisual works and phonograms are entitled to royalty payments when copies are made for private, non‑commercial use, even if no contract exists between the rights holder and the party using the equipment. The court held that the importer of the copying equipment or material carriers is legally obliged to pay the royalty stipulated in the Law on Copyright and Related Rights.

The case was brought by Gildiya, a collective management organization representing audiovisual authors, against a company that imports equipment and material carriers used for copying. While the court found that the defendant had not accepted an offer to conclude a contract, it affirmed the statutory duty to pay royalties regardless of contractual relations.