In response to a reference from the Spanish Supreme Court, the CJEU held that Article 5(2)(b) of Directive 2001/29/EC must be interpreted as precluding a scheme for fair compensation for private copying like the Spanish system, which is financed from the General State Budget in such a way that it is not possible to ensure that the cost of that compensation is borne by the users of private copies.
A full summary of this case has been published on Kluwer IP Law
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