GEMA defeat: Varieté industry cheers through reduced fees

GEMA defeat: Varieté industry cheers through reduced fees

After over a decade of an intensive dispute between Gema and the Association of German Varietary Theater (VDVT), a decisive judgment recently occurred. GEMA had to accept a significant defeat when the Munich Higher Regional Court on August 25, 2023 decided to reduce the previous GEMA tariff of 4.3 % of the income for variety theater to 2.88 %. For shows with a lower proportion of music, these fees can be reduced even further. An example: In a program with only 60 minutes of music, the set is reduced to 1.44 %.

"The judgment is a great success for us and brings an immense relief for the entire variety industry," said Brien Dorenz, the lawyer of the VDVT. According to Dorenz, the earlier demands of GEMA were exaggerated and threatened the existence of many theaters. The court ruling not only has an impact on the future employment of theater, but also retrospectively, since it applies from January 1, 2019 and can be applicable until at least in late 2025.

claims for recovery for too much paid fees

With this decision, the members of the VDVT can now retrospectively reclaim too much fees from GEMA. Olaf Stegmann, Managing Director of the GOP Entertainment Group and President of the VDVT, said that these reclaims can quickly sum up several hundred thousand euros per year and by theater.

The revision decision of the GEMA to refrain from the original judgment at the Federal Court of Justice in October 2024 has contributed to the legal force of this judgment. The Federal Court of Justice had also signaled that it would probably reject Gema's revision. This judgment not only brings financial relief for the variety theater, but could also lead to rethinking in other areas.

In recent years, numerous other organizers, such as Christmas markets, have also decided to do without music in whole or in part in order to avoid exorbitant GEMA fees. Stegmann said: “It is sad that the horrendous GEMA fees are driven by cultural events such as Christmas markets or variety theater.”

The decision of the court is considered pioneering, not only for the variety industry, but also for other artists and organizers who suffered from the high demands of GEMA in the past. The VDVT, which, in addition to many renowned variety theaters, also includes dinner shows and other cultural activities, hopes that this judgment will lead to a fairer regulation for the entire industry.

It remains to be seen how future cooperation between GEMA and the artists will develop, but the current judgment is a significant step in the right direction. The legal force of the judgment opens up new perspectives for everyone who works in the area of ​​performing arts and shows that lengthy fights can often show fruitful results.

A comprehensive overview of the situation provides The report on www.lokalkompass.de .