Webtrends Tracking Code
 
UK Home >  OUT-LAW News >  News Archive >  2001 >  April 2001 >  Computer makers challenged under German copyright tax

Computer makers challenged under German copyright tax

OUT-LAW News, 09/04/2001

Fujitsu Siemens of Germany is being sued by a copyright society that is demanding royalties of 30 Euros (around £19) for every PC the company sells, pursuant to a new copyright tax. It follows similar action in Germany last May against Hewlett-Packard. The action settled with HP agreeing to pay around 6 Euros (£3.75) for every CD burner it sold.

Many countries, including France and Germany, have laws to protect authors and musicians by taxing sales of tape recorders and video players, products regularly used to illegally copy their works. Towards the end of last year, Germany took the step of extending this protection into the “digital age” by taxing sales of modern devices that make for easy copying and transferring of copyright-protected material. France followed suit, with its tax targeting sales of CD-Rs (recordable CDs) and DVDs from January this year.

The action against Fujitsu Siemens, Germany’s largest and Europe’s second largest PC manufacturer, is an attempt to significantly extend the copyright tax to computer sales. According to an interview with WSJ.com, Fujitsu Siemens will argue in its defence that a copy of something stored on a computer’s hard disk does not constitute a digital medium like CD or DVD and therefore that computers are not covered by the tax. The risk for Germany is that its tax could drive manufacturing elsewhere.

 

OUT-LAW Recommends

Free OUT-LAW seminars
- Making your contract work
- Information security
Six cities, October & November

Winner at 2008 Webby Awards

OUT-LAW star: link to the home page
Disclaimer: This was printed from OUT-LAW.COM, a service of international law firm Pinsent Masons. We hope you find this content useful. However, please note that nothing in this document constitutes specific legal advice. You should consult a suitably qualified lawyer on any specific legal problem or matter. Any questions, please email info@out-law.com.