Division (3)

The Commission considers that the commitments offered by the parties to the Cannes Extension Agreement are sufficient to address the identified competition concerns. In particular the parties have reformulated the clause referring to rebates to the effect that a collecting society may decide to offer a rebate paid out of the administrative expenses that it retains from royalties due to its members by a simple decision of its competent body with no need to obtain the written consent of the ‘relevant member’. The parties have deleted the clause preventing collecting societies from entering the music publishing and the record production markets and have undertaken not to enter into a similar agreement in the future.