Copyright term, film labeling, and film preservation legislation : hearings before the Subcommittee on Courts and Intellectual Property of the Committee on the Judiciary, House of Representatives, One Hundred Fourth Congress, first session, on H.R. 989, H.R. 1248, and H.R. 1734 ... June 1 and July 13, 1995 (1996)

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401 transfer, without periodically sxibjecting the payment structure to scrutiny on equitable grounds, even though he or she nay not produce a new derivative work once the initial grant has been terminated.'^ Because most derivative right holders are corporate entities, a failure to reexamine this provision could effectively deny authors, as distinct from publishers, many of the benefits to be expected from prolonging the basic term of protection. Radical measures to solve this problem are undesireJsle, however, because it might prove unfair to expose publishers, who had invested heavily in derivative works, and who had paid authors handsomely for the privilege, to the full rigors of the termination right. '"^ It suffices to oblige the derivative right holders periodically to renegotiate the rate at which royalties are paid in light of changed circumstances, if any, in return for the grantee's right to pacific enjoyment of the derivative work even during the period of years that might be added to the existing life-plus-fifty term. In this connection, the treatment of existing derivative works under the restoration of copyright provisions, enacted in connection with the TRIPS Agreement, could be emulated with respect to tremsf ers of the right to prepare derivative works in general.*^ "* SSS 17 U.S.C. S203(b)(l). "^ See . e.g.. P. Goldsteim, supra note 18, S4.9.3.2. '" See U.R.A.A., fiiU2£A note 5, section 514, amending 17 U.S.C. 104A(a)(3).