I.-If the authorisation given in application of article L. 212-3 provides for flat-rate remuneration, the phonogram producer pays the performer, in return for the exploitation of the phonogram containing the authorised fixation, additional annual remuneration for each full year beyond the first fifty years of the seventy-year period provided for in 2° of I of article L. 211-4. The performer may not waive this right.
However, a phonogram producer who employs fewer than ten people and whose annual turnover or annual balance sheet total does not exceed two million euros is not required, for the financial year in question, to pay the remuneration mentioned in the first paragraph of this I in the event that the costs of calculation and control operations are out of proportion to the amount of remuneration to be paid.
II.-The overall amount of the additional annual remuneration mentioned in I of this article is set at 20% of all the revenue received by the phonogram producer during the year preceding that of the payment of the said annual remuneration for the reproduction, making available to the public by sale or exchange, or making available the phonogram in such a way that anyone can access it on their own initiative, excluding the remuneration provided for in articles L. 214-1 and L. 311-1.
III.-The phonogram producer provides, at the request of the performer or of a collective management organisation mentioned in IV and responsible for collecting the performer’s additional annual remuneration, a statement of the revenue from the exploitation of the phonogram according to each mode of exploitation mentioned in II.
He shall provide, under the same conditions, any justification likely to establish the accuracy of the accounts.
IV.-The additional annual remuneration provided for in I and II is collected by one or more collective management bodies governed by Title II of Book III and approved for this purpose by the Minister responsible for culture.
The approval provided for in the first paragraph of this IV is issued in consideration:
<1° The professional qualifications of the directors of the organisations;
<2° The human and material resources that these organisations propose to implement to ensure the collection and distribution of the remuneration provided for in the same I and II, both from their members and from performers who are not their members;
3° The size of their repertoire and the representation of performers who are beneficiaries of the remuneration provided for in said I and II within their governing bodies;
4° Their compliance with the obligations provided for in Title II of Book III.
A decree in the Conseil d’Etat sets out the procedures for issuing and withdrawing this approval.