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Spain: Royal Decree-Law No. 17/2020 of May 5, 2020, on Support Measures for the Cultural Sector and Tax Measures in face of the Economic and Social Impact of COVID-2019

May 7, 2020

Spain: Royal Decree-Law No. 17/2020 of May 5, 2020, on Support Measures for the Cultural Sector and Tax Measures in face of the Economic and Social Impact of COVID-2019 was published in the Official Gazette on May 6, 2020, and entered into force on May 7, 2020.

Among other provisions, the seventh additional provision of this Royal Decree-Law provides amendments to Article 177, paragraph 6 under Book Three of the Consolidated Text of the Law on Intellectual Property.

Article 177, paragraph 6 provides for the allocation of unclaimed funds by collective management organizations (collecting societies) for several purposes, normally with a minimum allocation of 15% to each purpose. The seventh additional provision allows that, for a period of two years from the entry into force of the Royal Decree-Law, the 15% minimum allocation percentage shall not apply, such that a collecting society may increase the allocation of unclaimed funds to assistance activities beyond the normal percentage previously available.

This amendment seeks to facilitate the protection of authors and artists who do not meet the requirements to access unemployment benefits or retirement pensions.