Introduction
Royalties Rights & Permission system is a fully integrated set of programs, designed to effectively provide the means to manage contracts by securing and recording the primary rights, subsidiary rights and permissions that have been requested by external parties within the system. It identifies the works associated with the contract along with the contractual details and the rights owner for the payment of royalties and other income.
This document describes the setups and processes involved in the management and the processing of Collection contracts (Subsidiary rights exploitation). Collection contract identifies works which the customer authorizes the third party for a specific usage (rights type), language, territories and exclusiveness. These works must be approved by the authors and linked to the authors’ payment contract which specify rights type, language, territories that the customer can exploit to other 3rd parties, and the associated pay through percentages.
Business rules
Business rules for Royalties, Rights & Permission – Collections must be setup with support from Iptor IP1 consultants. It is critical to understand the setting of control files and how it works. Control files must be setup correctly for the system to operate as intended. Any changes to the control files setup should be addressed cautiously and in consultation with Iptor IP1 consultants.
| Note | This document does not cover customised setup tasks of specific companies. Deviations from this setup should be covered by setup tasks written by individual companies. |
The following control files have been changed or newly created for the new Royalties Rights and Permission module.
| Business rules | Setup |
|
TMSRY/RY-CTYP Type of royalty contract |
Define contract type ‘5=collection contract’ as below (system defined). |
|
TMSRY/RY-MMF Royalty Movement Source Type
|
Setup movement source type applicable to collections contract; R=Subrights Exploit (system defined). |
|
TMSRY/RY-OPT Royalty options |
Setup Royalty tab options used by various Royalty collections contracts. |
| TMSRY/COL-ARIF Collection Invoice – Definition |
Holds the sub ledger sub type code and flag to pend pay through for invoices awaiting payment. |
| TMSRY/RTS-LNG Rights language |
Maintain all the languages for subrights exploitation.
|
| TMSRY/RTS-RECT Rights record type |
Rights record identifier; granted rights or exploited subright (system defined). |
| TMSRY/RTS-STS Rights status |
Subrights statuses (system defined).
|
| TMSRY/RTS-TER Rights territories |
Maintain all the territories for subrights exploitation. |
| TMSRY/RTS-TYP Rights types |
Maintain all the rights types that can be exploited. |
| TMSRY/COL-CHGC Collection Charge Code |
Holds the charge types for one-off charges for collection contracts.
|
| TMSRY/COL-ARST Collection Contract Invoicing Status |
System defined control file holds the collection contract invoice status. |
Collections process
It is your responsibility to ensure that you understand this procedure before performing the following tasks.
| Note |
Deviations from this procedure should be covered by procedures written by your company. Before performing any tasks please ensure all the business rules are set-up accordingly. |
| Process | Steps |
| Create collections contracts |
Create collection contracts and link to the related works. Ensure a payment contract exists for the same work for the author/payee. (Refer to RYW010 Work with Royalty Contracts on how to create and maintain a collection contract and the related details). |
| Add any applicable one-off charges to the collection contract |
Any one-off charges like licence or agency fees, advances etc., can be added to a collection contract and released for invoice generation.
|
| Invoice one-off charges as required |
Once released, the one-off charges are available for invoicing.
|
| 3rd party sales upload |
These are sales transactions from 3rd parties with collections contracts. It can be uploaded into IP1 using an excel file and must be run before the month end processes i.e. invoice generation and collection pay through to the payee (author).
|
| Generate invoices |
After the sales data has been uploaded into the system, AR collection invoices can be generated.
|
| Collections contracts balance update |
Collections balance update must be run every month end to update the customers balance for inquiry purposes.
|
| Process collection pay through |
The collections received from the exploited subrights gets distributed to the payees specified on the payment contract (using other income share percentage on the payment contract).
|
Collections inquires & reports
| Inquiry/report | Description |
| Balance inquiry by customer | Displays all the collection and one-off charge invoices for the selected customer. Allows you to view the transaction inquiry by the process number. |
| Collection sales report | This report program creates an excel report listing all the processed and unprocessed 3rd party sales for the selected period, company and customer. |
| Collection charges report | This report program creates an excel report listing all the processed and unprocessed charges (advances). The report selection is by period, company and customer. |
| Processed other income | This report program creates an excel report of collection sales that has already been processed by collection paythru process. It lists other income (3rd party sales) amount details by company, royalty period, payee, payment contract, collection contract, collection & pay through amounts. The report selection is by period, company, payee and contract number. |
