Philips was fined for not paying royalties

For the first time in the Russian Federation, a precedent arose when the initiated prosecution of an electronics importer for non-payment of royalties for personal copying of content in favor of copyright holders was a success. The plaintiff was RSP (Russian Union of Rights Holders), headed by Nikita Mikhalkov. The justice of the peace of the Basmanny district of Moscow recognized the claims of the said organization as legitimate and sentenced SANGFEY SES Electronics Rus LLC, the exclusive seller of Philips phones in the Russian Federation, to pay a fine. As a legal entity, Sang Fei was fined 30,000 rubles, while its head was fined 10,000.

First Deputy General Director of the RSP Andrei Krichevsky:

Right holders have the legal right to receive remuneration for copying music and movies, and non-compliance with the law should be prosecuted

It is worth recalling that the payers of the so-called “tax on blanks” are importers and manufacturers of recording equipment, which include mobile phones and blank media (CD, DVD, etc.).
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It is curious that the problems, in all likelihood, first arose with not the largest supplier of phones, but the next ones were bigger players - RSP considered several other companies to be violators and had already addressed the Prosecutor General’s Office about such non-payers. Among them are Panasonic Rus LLC, Samsung Electronics Rus Company LLC, Philips LLC and Dihaus LLC (Apple official distributor).

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