Munich's Court of Appeal has reversed the injunction it had previously imposed on the German Central Organisation for Private Recording Rights (ZPÜ) regarding the introduction of a private copying levy on computers.

The original ruling on Feb. 19 was in response to a petition submitted by the Central Information Technology and Computer Industry Association (ZItCo). ZItCo, which represents smaller computer companies, wanted to have ZPÜ stopped from imposing a fee for the use of without any prior empirical study as part of arbitration proceedings.

At the end of 2009, the German collection societies had come to an agreement with the German Federal Association of Computer Manufacturers (BCH) concerning a general contract providing for a fee to be levied on computers in respect of private copying.

BCH members include large computer manufacturers such as Acer, Fujitsu and Samsung. The companies organized within BCH account for roughly 70% of the German market.

The general contract with the BCH stipulates a fee of €13.65 ($17.52) for PCs with an integrated burner and €12.15 ($15.60) without an integrated burner, plus VAT sales tax in both cases, for the period from Jan. 1, 2008 through Dec. 31, 2010.

The injunction awarded in ZitCo's favor in February had prevented these agreements from being implemented. The court had judged the agreement reached between the Association of German computer manufacturers (BCH) and ZPÜ in January as "a rule that does not meet the interests of the whole business."

However, following the ruling of the Court of Appeal of Munich there are now no obstacles preventing ZPÜ to legalize the agreed tariff structure.