Supreme Court stays payment requirement and interim injunction against Azure for use of PPL’s copyrighted works
- SC IP
- Apr 29
- 2 min read
On April 21, 2025, the Supreme Court stayed the direction issued by the Division Bench of the Delhi High Court requiring Azure Hospitality Private Limited (“Azure”) to make payment to Phonographic Performance Limited (“PPL”) based on the tariff rates prescribed by the only registered copyright society in India, Recorded Music Performance Limited, if it intends to play any songs from PPL’s repertoire in its hotels and restaurants. The Supreme Court also clarified that the order passed by the Single Judge of the Delhi High Court will remain inoperative for the time being.
The dispute originated from a civil suit filed by PPL seeking permanent injunction to restrain Azure from using PPL’s sound recordings in its outlets without obtaining the necessary license. The Single Judge held that PPL, as the owner of the copyrighted works, possesses the inherent right to license those works – a right that cannot be curtailed by the Section 33 of the Copyright Act. Consequently, the court restrained Azure from using PPL’s copyrighted works until the final adjudication of the suit.
On appeal, the Division Bench sided with Azure, holding that while PPL is indeed the owner of the sound recordings, its commercial licensing activity falls within the scope of “carrying on the business” as envisaged under Section 33(1) of the Act. According to the Bench, this provision mandates that such business can only be conducted by a registered copyright society or through membership in one. The Division Bench also noted that accepting the contrary view—such as that of the Bombay High Court in suits involving Novex Communications Pvt. Ltd., which held that registration as a copyright society is not mandatory for owners granting licenses—would render the core of Section 33(1) redundant.
In order to balance the equities, the Division Bench modified the Single Judge’s order and directed Azure to pay license fees to PPL based on RMPL’s tariff rates, as if PPL were a member of RMPL.
The proceedings before the Supreme Court, challenging the Division Bench’s ruling, are currently pending final adjudication.
Azure Hospitality Pvt. Ltd. v. Phonographic Performance Ltd., SLP(C) No. 10977/2025 and FAO(OS)(COMM) 41/2025
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