“performers’ right”—within its meaning in the Performers’ Rights Law 5744—1984; “royalties company”—each of the following: (1) a body corporate that represents a majority of copyright owners; (2) a body corporate that represents a majority of owners of performers’ rights; (3) a body corporate that represents a majority of audio producers and a body corporate that represents a majority of video producers jointly, which were approved for purposes of this Law by the Minister of Education, Culture and Sport; “recording”—preservation of a performance by any means that makes it possible to see, hear or copy the work; “recordable media”—a device on which there is no recording and on which an audio or video recording can be recorded, other than a device intended for use in a computer; “copying”—copying a recording or a substantial part of it. Private and Domestic Use 3C. Recording or copying a work on recordable media for private and domestic, but not commercial, uses shall not be a violation of copyright and performers’ rights. Payment to Owners of Copyright and Performers’ Rights 3D.—(a) The Government shall compensate the copyright owners and the owners of performers’ rights for the loss of income and violation of rights caused to them by the recording and copying for private and domestic use under section 3C. (b) The Government shall transmit to the royalties companies every year an amount equal to 5% of the retail price without VAT of all cassettes sold in Israel for private and domestic use during the preceding year. (c) The amount said in subsection (b) shall be divided equally between the three royalties companies enumerated in paragraphs (1), (2) and (3) of section 3B. (d) A committee composed of a representative of the Minister of Finance, a representative of the Minister of Finance and a representative of the Minister of Education, Culture and Sport shall prescribe the data required for determination of the said amount. Division of Royalties 3E. In the case of disagreement on the division of royalties, the Court shall decide the matter; to the Court hearings shall be summoned, in ways to be prescribed by regulations, representatives of the royalties companies, a representative of the Ministry of Education, Culture and Sport and the author or performer, in respect of whose royalties there is disagreement, as the case may be; the Court’s decision shall bind all royalties companies and all holders of copyright and performers’ rights, even if they were not parties to the proceeding before the Court. Loan or Rental 3F. A loan or rental for commercial purposes of recording media on which a work or a substantive part thereof is recorded is copyright within its meaning in the Copyright Act. IL014EN Copyright, Ordinance (Consolidation), 15/06/1924 page 3/7