The High Court of Kenya has delivered a landmark ruling that shakes up the music industry. By revoking the Music Copyright Society of Kenya’s (MCSK) authority to collect royalties, Justice Josephine Mong’are has set a precedent with far-reaching implications. This ruling impacts musicians, collective management organizations (CMOs), and regulatory bodies, redefining the industry’s operational landscape.
The Music Copyright Society of Kenya: A Historical Perspective
MCSK has long held the role of royalty collector for Kenyan musicians, composers, and publishers. Its primary responsibility included collecting fees from users of copyrighted music and distributing the proceeds to its members. For decades, MCSK represented Kenyan artists, promising fair compensation whenever their works were performed publicly or reproduced commercially.
However, over the years, controversies marred MCSK’s reputation. Artists raised concerns about transparency, inefficiency, and alleged mismanagement of funds. These issues eroded trust and left many musicians questioning whether their creative efforts were adequately rewarded.
The Conflict That Sparked the Legal Battle
The dispute began in June 2024 when MCSK’s operational license expired. The Kenya Copyright Board (KECOBO), responsible for overseeing CMOs, opted not to renew the license. Instead, KECOBO granted the exclusive license to the Performing and Audio-Visual Rights Society of Kenya (PAVRISK). This decision marked a significant shift, aiming to address inefficiencies and restore trust in royalty collection.
MCSK’s exclusion did not go unchallenged. The organization filed a case in the High Court, claiming KECOBO’s decision undermined its legitimacy and jeopardized its members’ livelihoods. While MCSK sought interim orders to continue operations, the case’s core issue revolved around whether KECOBO had acted within the law by licensing PAVRISK.
Justice Mong’are’s Ruling
On March 4, 2025, Justice Josephine Mong’are ruled against MCSK. She stated that MCSK had bypassed the proper dispute resolution mechanism, the Copyright Tribunal, established under Kenya’s Copyright Act.
The judge said the lobby rushed to court before exhausting the available dispute resolution mechanisms.
“This therefore means that under the Copyright Act, this dispute must first and foremost be raised for determination before the body set out by law to hear and determine such disputes in the first instance,” – Justice Josephine Mong’are
The court emphasized that MCSK should have first sought redress through the Tribunal before escalating the matter to the High Court. Justice Mong’are’s ruling nullified earlier interim orders, effectively barring MCSK from collecting royalties or issuing licenses. This decision reaffirmed the importance of exhausting industry-specific legal remedies.
Implications for Stakeholders
The High Court’s decision has created ripple effects across Kenya’s music industry. The impact extends to musicians, CMOs, and regulatory bodies, reshaping how royalties are managed.
1. Musicians and Artists
Kenyan musicians, the primary beneficiaries of royalty systems, find themselves in a transitional phase. With MCSK’s removal, PAVRISK has assumed responsibility for royalty collection. Artists must adapt to new systems and processes while navigating uncertainties during this shift.
For years, artists expressed frustration over low payouts and delays in receiving royalties. This ruling provides an opportunity for a fresh start. PAVRISK’s mandate includes ensuring fairness and efficiency in royalty distribution, giving musicians hope for a better future.
2. Collective Management Organizations (CMOs)
The ruling underscores the importance of accountability and regulatory compliance for CMOs. MCSK’s predicament serves as a cautionary tale for other organizations. To maintain their credibility, CMOs must adhere to licensing requirements and operate transparently.
KECOBO’s decision to appoint PAVRISK reflects its commitment to improving the industry’s governance. This move also signals that regulators will not hesitate to act against organizations that fail to meet standards.
3. Regulatory Bodies
KECOBO’s role as a watchdog has gained further validation. The High Court’s ruling aligns with KECOBO’s efforts to protect artists’ interests and streamline royalty collection. Moving forward, KECOBO must ensure that PAVRISK fulfills its responsibilities and builds trust within the industry.
The Copyright Tribunal: An Overlooked Solution
The Copyright Tribunal plays a crucial role in resolving disputes within Kenya’s creative industry. By directing MCSK to the Tribunal, the High Court highlighted the importance of using industry-specific mechanisms. The Tribunal’s expertise ensures fair and informed decisions, making it the ideal forum for resolving grievances between CMOs, artists, and regulators.
MCSK’s failure to utilize this avenue exposed a lack of strategic planning. Going forward, stakeholders in the creative sector must recognize the Tribunal’s value and seek its intervention when necessary.
Historical Challenges in Royalty Collection
Kenya’s music industry has faced persistent challenges in royalty collection and distribution. The MCSK saga is the latest episode in a long history of disputes and inefficiencies.
1. Low Royalty Payouts
Musicians have consistently voiced concerns about inadequate royalties. Reports indicate that only a small fraction of collected royalties reaches artists. In 2020, KECOBO revealed that MCSK distributed just 58.9% of royalties, falling short of the 70% benchmark.
2. Transparency Issues
Lack of transparency has been a recurring problem. Musicians often complained about unclear payment structures and delayed payouts. These issues eroded trust between artists and CMOs.
3. Governance Problems
Allegations of mismanagement further tarnished MCSK’s reputation. The organization faced accusations of poor financial oversight and inadequate communication with members.
Opportunities for Industry Reform
The High Court’s ruling provides an opportunity to reform Kenya’s music industry. To rebuild trust and improve efficiency, stakeholders must address systemic issues and embrace change.
1. Strengthening Oversight
KECOBO must enforce strict compliance among CMOs. Regular audits and stringent licensing processes will ensure that organizations operate transparently and fulfill their mandates.
2. Educating Artists
Musicians need to understand their rights and the mechanisms available for resolving disputes. Educational initiatives can empower artists to hold CMOs accountable and advocate for fair treatment.
3. Leveraging Technology
Adopting digital platforms for royalty collection and distribution can improve efficiency and transparency. Technology enables real-time tracking of music usage, ensuring that artists receive accurate compensation.
4. Encouraging Collaboration
Stakeholders must work together to create a sustainable ecosystem. Collaboration between artists, CMOs, and regulators can address historical challenges and foster industry growth.
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Conclusion
The High Court’s decision to halt MCSK’s royalty collection marks a turning point for Kenya’s music industry. While the ruling disrupts the status quo, it also opens the door for much-needed reforms.
Musicians, CMOs, and regulators must seize this opportunity to build a more equitable and efficient system. By addressing historical challenges and embracing innovation, Kenya’s music industry can thrive and better support its creators.
As the industry transitions to a new era under PAVRISK’s leadership, all stakeholders must prioritize accountability, transparency, and collaboration. These values will ensure that Kenyan artists receive the recognition and compensation they deserve.
