Distribution Rules: Decision of the Federal Institute for Intellectual Property

The Federal Institute for Intellectual Property has approved the following amendments of point 1.4 of SUISA's Distribution Rules:

Follow the respective link to the wording of the decisions, available in German only, however. The individual amendments to the Distribution Rules are published in German, French and Italian in the Swiss Official Gazette of Commerce (SHAB/FOSC).

«Cases of uncertainty / Amendment of point 1.4», published in the SHAB/FOSC of 10.01.2025

Point 1.4 of the Distribution Rules (DR) applies in cases where the relationships between the participants in a work are unclear, for example if the shares in a work are at dispute between the parties, or in case of alleged plagiarism. In such circumstances, the funds may be blocked in accordance with the first paragraph of point 1.4 DR. Paragraph 3 of the same article provides that SUISA may give the party disputing the distribution set-tlement a six-month time limit in which to institute legal proceedings. This time limit may be extended once by an additional six months. If legal proceedings are not instituted within this time limit, SUISA is entitled to release the funds and distribute them in accordance with the documents submitted.

However, there may be situations where, even if legal proceedings have not been instituted in good time, SUISA has reason to believe that the submitted documents are inaccurate and that payment on this basis would be unjustified.  In such cases, it is reasonable for SUISA not to have to make distribution payments to persons whose participation in a work is subject to justified doubt. Following this amendment, the Distribution Rules will henceforth expressly provide that the funds may remain blocked even after expiry of the time limit for instituting proceedings. This will give the participating authors more time to find an out-of-court solution.