STAATSKOERANT, 1 JUNIE 2006 ~ ~ No. 28894 11 ~~ I (5) ' The distribution plan and any amendments thereof shall be submitted to the Registrar. The Registrar shall approve a distribution plan if it complies with the following principles and conditions: (a) A distribution plan shall not provide for arbitrary or discretionary distributions; (b) Subject to any contractual agreement to the contrary as contemplated in section 9A(2)(b) of the Copyright Act, 1978, and section 5(4) of the Performers' Protection Act, 1967, where a representative collecting society has as members both owners of copyright in sound recordings and performing artists, whether directly or through one or more collective organisations of performers or of owners of copyright in sound recordings, money collected shall be distributed on an equal basis to performers and to owners of the copyright in sound recordings, either directly or to their collective organisation so that copyright owners and performers shall benefit equally on the basis of their volumes of use. (c) A collecting society may provide in its distribution plan that, with the approval of the highest executive organ of the society, a portion of the proceeds may be set aside for the promotion of the creative arts, and culture and for welfare purposes (including pension benefits) of performing artists. Such portion shalt not exceed 10% of the amount to be distributed in any one year. 1 I CHAPTER 3 Miscellaneous Entry into force 9. , These Regulations shall enter into force on the date of publication in the Government Gazette. \