Regarding the TRUST


HOME > Regarding the TRUST > Introduction

Regarding the TRUST

The management of Entrusted Neighboring Copyright for musical works, requested by the Association, was granted by the ministry of culture and tourism on 2003.03.17 after deliberation of the copyright deliberation committee, internet public opinion poll and political review.

Meaning and Importance of the Trust Management

The Korean trust act defines the trust management as that the organization manages a copyrighted work entrusted by the copyright holder, on his behalf under the trust management agreement. The definition of the trust management of the copyright act is the same as stated above. It is also referred as the intensive management system since it allows for collectively coping with problems, which cannot be individually handled.

In other words, it refers to that the management of copyrighted works, which have been entrusted by the legitimate copyright holders, under the trust management agreement and it is for efficiently managing copyrighted works in order to enhance and protect the rights and benefits of the copyright holders.


With the trust management, the music companies and copyright holders of music works can take effective and proper legal actions against the illegal use of phonogram by music service providers, internet broadcasting companies and online sites, enhance their rights and benefits and develop a new music market in the age of new media at right time.

What is the Trust Management?

The trust management is a system with which copyright holders entrust their copyrights to the Association and the Association collectively manages the entrusted copyrighted works to protect and support the rights and benefits of the copyright holders since it has become almost impossible for a copyright holder to monitor and identify which, when and where copyrighted work is being used by whom.

Trust Agreement Procedure

Trust agreement shall be settled in the following procedure. The Association always strives to provide the best service and to protect the rights of the recording companies and copyright holders.


① A person intending to entrust a copyright shall submit an application and required document via mail or in person.

② The Trustee shall accept and agree with the terms and conditions of the trust agreement after fully understanding of the terms and conditions. Upon settlement of the agreement, it is possible to select the scope of trust by album, song and right.

③ Upon the settlement of the trust agreement, a certificate of trust shall be issued if it is requested.



Scope of the Trust (Intensive) Management of the Association

① Rights of reproduction/transmission via online

② Rights of reproduction via digital media [Reproduction via digital media refers to the reproduction made with electronic recording media excluding the traditional offline media of LP, CD and MC, resulting no damage on the quality even with the repetition of reproduction] and the distribution and lease of the phonogram reproduced in the aforementioned manner.


The scope of the trust management of the Association is limited to the aforementioned and the legitimate copyright holders shall retain the rights which is carried out offline traditionally handled by the copyright holder.

Trust Management Service and Agency Service

According to the copyright act

“① Copyright Trust Service (Clause 18 of the Article 2 of the Copyright Act) : It refers to the service of the management of the copyright, intellectual property and neighboring copyright entrusted by the copyright holder, intellectual property holder and neighboring copyright holder on behalf of them and this service shall obtain a permit from the Minister of Culture, Sports and Tourism.

② Copyright Agency Service (Clause 18 of the Article 2 of the Copyright Act) : It refers to the agency service for acting as a legal representative for copyrighted works on behalf of the copyright holder, intellectual property holder and neighboring copyright holder and this service shall require to make a report to the ministry of culture, sports and tourism.


The copyright agency service is beyond the scope of the copyright trust service provider. Thus, the Association cannot engage in the copyright agency service activities.


The copyright agency shall act as a recording company at online. In other words, the copyright agency shall strive to raise its revenue by promoting the use of a commercial phonogram. Even though it would require extra costs, the copyright agency should consider of entrusting the copyrights to the Association in order to diversify its services and promote the use of the phonogram.

Trust Management Fee

Commission rate for the trust management shall be limited to only 15% of the collected amount and it shall be used as valuable financial sources to promote copyright protection and to support of the benefits and protects of the phonogram producers by monitoring and legally restraining the unauthorized duplication of phonograms, researching, data collecting and publishing for expanding rights of the phonogram producers, developing the musical culture through lectures, enhancing the welfare of the members and hosting the anti-privacy campaign.
*Inquiry: Music business bureau –Contents Team: Team Leader - Kim Gyue Hyoung (02-3270-5931), Kim Sun Yong (02-3270-5933)