Introduction:

In a recent ruling, the Delhi High Court adjudicated a copyright dispute between Saregama India Limited and Vels Film International Limited concerning the song ‘Iniya Pon Nilave’ from the film ‘Moodu Pani’. Saregama filed a suit against Vels Film, claiming that the latter had recreated and used the song in its upcoming film ‘Aghathiyaa’ without authorization. The dispute arose when Saregama discovered that Vels Film had not only used the song in the film but had also caused a fresh recording of the same. In response to a cease-and-desist notice sent by Saregama, Vels Film contended that it had obtained a license from Ilaiyaraja, the original composer of the song, and asserted that it had the right to use the song based on this agreement. Saregama then approached the court, arguing that the copyright in the song vested with it as per a 1980 agreement with the producer of ‘Moodu Pani’, and Ilaiyaraja had no legal authority to grant rights over the lyrics or sound recording.

Arguments:

Saregama, the plaintiff, contended that the song ‘Iniya Pon Nilave’ was originally part of the film ‘Moodu Pani’ and that, as per an agreement dated February 25, 1980, between the film’s producer and Saregama, the copyright in the sound recording, musical, and literary works of the song vested with Saregama. The company argued that under the Copyright Act, the producer of a cinematograph film is the first owner of the copyright in the sound recording unless otherwise agreed. Since the original film producer had assigned the rights to Saregama, the latter was the rightful copyright holder. Saregama further contended that Ilaiyaraja, as the music composer, did not have any ownership rights over the literary work (lyrics) or the sound recording and, therefore, could not have granted any valid rights to Vels Film. The plaintiff asserted that Vels Film had no legal basis for using the song and had engaged in copyright infringement.

On the other hand, Vels Film International, the defendant, argued that it had obtained permission from Ilaiyaraja, the original composer, to recreate and use the song. It claimed that Ilaiyaraja, having created the musical composition, had the authority to license the song to a third party. Vels Film also argued that it had invested substantial resources in recreating the song and incorporating it into its film ‘Aghathiyaa’, which was slated for release on January 31, 2025. The company contended that if an injunction were granted against the use of the song, it would suffer irreparable harm, as it had already incorporated the song into the film, and significant promotional activities had taken place.

Judgement:

The Delhi High Court presided over by Justice Mini Pushkarna, ruled in favour of Saregama, holding that the company was the rightful owner of the song ‘Iniya Pon Nilave’. The court referred to Section 17(b) of the Copyright Act, which states that in the absence of any contrary agreement, the producer of a cinematograph film is the first owner of the copyright in the soundtrack associated with the film. The court observed that as per the agreement between the producer of ‘Moodu Pani’ and Saregama in 1980, the copyright in the sound recordings and musical and literary works of the film’s songs had vested with Saregama. Consequently, Ilaiyaraja, being merely the composer of the song, had no rights over the lyrics or the sound recording and, therefore, could not have assigned any rights to Vels Film. The court held that Vels Film could not claim any legal entitlement over the song based on its agreement with Ilaiyaraja.

However, the court also recognized the practical implications of issuing an injunction against the use of the song in ‘Aghathiyaa’. It noted that the film was nearing its release date and that Vels Film had already invested substantial amounts in recreating the song. The court emphasized that while Saregama had established a prima facie case of copyright ownership, restraining Vels Film from using the song would cause undue hardship. The court noted that Saregama had agreed to accept a license fee of Rs. 30 lakh from Vels Film for the use of the song in ‘Aghathiyaa’. Given this, the court permitted Vels Film to use the song in its film upon payment of the agreed fee.

Thus, the Delhi High Court’s ruling reaffirmed Saregama’s ownership of the song while allowing its use by Vels Film through a licensed arrangement. The decision highlights the importance of proper copyright agreements in the entertainment industry and clarifies the extent of rights held by music composers versus film producers. With the court balancing legal ownership with commercial realities, the ruling ensures that both parties reach an equitable resolution while upholding the principles of copyright law.