(1) An owner (the first owner ) of the copyright in a sound recording of a live performance that is a published sound recording is taken to have been granted a licence or permission (however described) by another owner of the copyright to do an act comprised in the copyright, or to do any other act in relation to the copyright, if:
(a) the first owner has entered into an agreement with another person to do the act; and
(b) the first owner, after making reasonable inquiries, cannot discover the identity or location of the other owner or a person representing the other owner.
Note: The first owner may still need to obtain a licence or permission from any other owners of the copyright in the sound recording of the live performance.
(2) If the first owner does the act, then the first owner must hold the other owner's share of any amount received in respect of it on trust for 4 years after the day on which the agreement is entered into (unless the amount is distributed to, or on behalf of, the other owner before then).
(3) If during the 4 year period, the other owner is identified and located, the first owner must distribute the amount held on trust to, or on behalf of, the other owner. If at the end of the 4 year period, the other owner remains unidentified or is not located, the first owner may retain the amount.
(4) After initially making reasonable inquiries, the first owner is not required to continue making reasonable inquiries during the 4 year period.
(5) The other owner cannot prevent the first owner doing the act comprised in the copyright during the term of the agreement if the other owner is identified or located.