Animation and VFX have been in high demand in numerous industries, such as Virtual Reality, Gaming, Advertising, Cinema and more. That said, Animation and VFX hold a significant market share of the media industry in India. The industry was estimated to have robust growth at a compound annual growth rate of 35 percent between 2022 and 2023. The global animation and VFX market size was valued at USD 167.9 billion in 2021. It is estimated to reach USD 401.0 billion by 2030, registering a CAGR of 11.5% during the forecast period.
With so much animated content being produced and distributed, it is imperative to safeguard the intellectual properties of the artists and the businesses investing in them. This is where copyright comes into the picture.
From creating the characters of games/movies to VFX to cinematography to creativity to branding to merchandising those characters to generation of revenue; Intellectual property lies in every aspect of animation. Animators have many layers of content which require copyright, trademark and licensing consideration: images – each animated frame or cell is considered an individual copyrightable image. sound – sound effects and music both fall within the jurisdiction of copyright and licensing.
Let’s dive deeper.
What is Copyright?
As per Section 14 of the Indian Copyright Act, 1957 “copyright” means the exclusive right to do or authorize others to do certain acts in relation to literary, dramatic, artistic, musical works, cinematograph films and sound recordings. This makes the creator the sole distributor of the content, and protects it from being duplicated, plagiarized, etc.
This section lays down the content that falls under the ambit of copyright protection as well as stipulates the various protection it garners for the copyrighted work. It clearly gives structure to the ways in which copyright can be used, for example, an independent animator sell his artwork and distribute it exclusively and sue anyone who uses the work without the animator’s permission.
Copyright is an important legal consideration when using animated videos in business. Copyright law protects original works of authorship, including animated videos, and gives the owner the exclusive right to use, distribute, and make derivatives of their work.
Copyright subsists in the following facets of an animated work:
- Original Creation: Any animated work would have an array of animated (pictorial) content that would fall under the ambit of copyright protection.
- Conversion from Art to Film: Any animated work that is converted into a cinematographic film would establish a separate set of copyright. Photographs/posters/stills from the movie are also protected by copyright.
- Merchandising: A later aspect of the creation of an animated work is character rights and merchandising but at the same time one of the most important part to tap into the latent animation market in India. A character right is a copyright over a certain character being isolated and derived from a literary and artistic work.
Who owns the copyright? The copyright typically belongs to the creators, such as the animators, writers, directors, and composers, unless they are employees creating the work in the course of their employment, in which case the copyright may belong to their employer.
Getting a Copyright
To obtain copyright registration, follow these steps:
1. Submit an Application:
Fill out an application using FORM IV, including all necessary particulars and statements. Send this to the registrar along with the required fees as specified in Schedule 2 of the act. Each work requires a separate application.
2. Signatures:
Ensure the application is signed by both the applicant and an Advocate who holds a Vakalatnama or Power of Attorney (POA).
3. Diary Number and Waiting Period:
Upon submission, the registrar will issue a Diary Number. There is a mandatory 30-day waiting period to allow for any objections.
4. Review:
If no objections are received within 30 days, the scrutinizer will review the application for discrepancies. If none are found, the registration will be completed and an extract sent to the registrar for entry into the Register of Copyright.
5. Objections:
If objections are received, the examiner will notify both parties and schedule a hearing.
6. Resolution & Approval:
After the hearing, if the objections are resolved, the scrutinizer will review the application and either approve or reject it accordingly.
Conclusion
The Animation and VFX market operates within a distinct industrial chain centered on the creation, development, protection, enhancement, and conversion of intellectual property rights. This chain is sustained by the value transfer of these rights, ensuring ongoing industry growth. Intellectual property rights serve as the primary profit source in the Animation and VFX industry, safeguarding the originality of design characters and movies. This ensures that only the original creators can reproduce their work.
