EUROCINEMA welcomes the decision by the Court of Justice of the European Union on December 9, 2020 in the Canal+/Commission case (case C-132/19).

Indeed, the CJEU annulled the decision of the General Court of the EU and the decision of the Commission making binding the commitments of Paramount aimed at prohibiting/restricting passive sales including towards third parties (including Canal +). In its judgment, the Court notes the essential character, in the scheme of the licensing agreements in question and of the obligations intended to ensure the territorial exclusivity granted to the broadcasters.  The Court considers that by adopting the decision at issue, the Commission rendered the contractual rights of the third parties meaningless, including the contractual rights of Groupe Canal+ vis-à-vis Paramount, and thereby infringed the principle of proportionality. This decision, of major importance, consolidates the exercise of intellectual property rights in the cinematographic and audiovisual sector and the exercise of the related contractual rights, in a context where unregulated digital developments pose a threat to independent film production and respect for cultural diversity in Europe.

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