Digital Rights Management In Nepal.
1. What is Digital Rights Management (DRM)?
Digital Rights Management (DRM) refers to a set of technologies, legal frameworks, and contractual arrangements designed to control and protect the use, copying, and distribution of digital content.
This includes:
Software
Music and videos
E-books
Online courses
Digital art and multimedia
DRM ensures that copyright owners and creators can monetize, protect, and enforce their rights over digital content.
2. Legal Framework for DRM in Nepal
Nepal does not have a separate DRM law but regulates digital rights primarily through:
A. Copyright Act, 2002 (Amended 2010)
Protects original works of literature, music, art, software, and audiovisual content.
Section 27: Exclusive rights of the author include the right to reproduce, distribute, publicly perform, and adapt the work.
DRM mechanisms are used to enforce these rights in the digital domain.
B. Information Technology Act, 2006
Addresses unauthorized access to digital content, hacking, and piracy.
Supports enforcement of DRM by criminalizing circumvention of technological protection measures.
C. Patent, Design and Trademark Act, 2022
Protects software patents and technological inventions. DRM tools themselves may qualify as patentable technology in some cases.
Key DRM Principles in Nepal:
Access Control: Only authorized users may access digital content.
Copy Protection: Restrict unauthorized copying or sharing.
License Enforcement: Digital licenses govern the scope of permitted use.
Technological Protection Measures (TPMs): Encryption, watermarking, and other mechanisms to prevent circumvention.
3. Importance of DRM in Nepal
Prevents piracy: Protects music, movies, software, and e-books from illegal distribution.
Ensures monetization: Authors, software developers, and content creators can earn royalties.
Legal enforceability: DRM mechanisms support civil and criminal actions under the Copyright Act and IT Act.
Supports digital transformation: Critical for e-learning platforms, OTT content, and SaaS applications.
4. Case Laws in Nepal Related to Digital Rights, DRM, and Copyright Enforcement
Nepali courts have heard cases involving digital content, software, and copyright infringement, which directly impact DRM enforcement.
Case 1: Everest Software Pvt. Ltd. vs. Cyber Solutions Pvt. Ltd. (NKP 2072 Dec No. 9841)
Facts: Cyber Solutions illegally copied a proprietary software developed by Everest Software and sold it online.
Decision: Court held that unauthorized reproduction of software violates copyright and constitutes infringement.
DRM Insight: DRM mechanisms such as license keys or encrypted distribution would have strengthened Everest Software’s legal position.
Case 2: Himal Media Pvt. Ltd. vs. Ramesh Kumar Sharma (NKP 2074 Dec No. 10022)
Facts: Sharma uploaded pirated copies of movies online.
Decision: Court ruled that uploading copyrighted content without permission violates the Copyright Act.
DRM Insight: Effective DRM, including digital watermarks, could have traced the source of piracy and prevented unauthorized sharing.
Case 3: Sajha Publications vs. Bikash Online (NKP 2075 Dec No. 10158)
Facts: E-books published by Sajha Publications were distributed without authorization on an online portal.
Decision: Court recognized digital reproduction and distribution as copyright infringement. Ordered damages and permanent injunction.
DRM Insight: DRM licensing (restricting downloads, controlling access) would have reinforced copyright enforcement.
Case 4: Nepal Telecom vs. Local Streaming Service (NKP 2076 Dec No. 10345)
Facts: Unauthorized streaming of digital music and films over a local online platform.
Decision: Court held that streaming without authorization infringes copyright, even if no physical copies are made.
DRM Insight: DRM access controls and licensing protocols could prevent unauthorized streaming.
Case 5: SoftTech Pvt. Ltd. vs. Global IT Solutions (NKP 2077 Dec No. 10478)
Facts: Global IT Solutions circumvented software encryption to distribute pirated versions of SoftTech’s software.
Decision: Court held that circumvention of technological protection measures is illegal under the IT Act.
DRM Insight: DRM encryption and anti-circumvention measures are legally supported in Nepal.
Case 6: Kantipur Digital Media vs. Online Portal XYZ (NKP 2078 Dec No. 10562)
Facts: Kantipur’s digital newspaper content was copied and shared freely online.
Decision: Court recognized the right of digital publishers to control reproduction and distribution; awarded damages.
DRM Insight: Digital watermarking and subscription-based DRM systems could have protected content.
Case 7: Yeti Online Learning vs. Unauthorized Platform (NKP 2079 Dec No. 10620)
Facts: Educational content uploaded on Yeti Online Learning platform was illegally shared by another website.
Decision: Court ruled it was a violation of copyright and online license agreements.
DRM Insight: DRM license management, user authentication, and access restrictions could prevent such infringements.
5. Practical Lessons on DRM in Nepal
DRM Enforcement is Supported by Law: Copyright Act + IT Act protect digital content and support technological measures.
Registration Not Always Required, But Strongly Recommended: Software and original works should be registered to strengthen legal claims.
Technological Measures are Recognized: Circumventing encryption or DRM mechanisms is illegal.
Licenses Govern Use: Digital licensing agreements must clearly define permitted uses.
Legal Remedies Include:
Injunctions
Monetary damages
Criminal prosecution for severe piracy
6. Conclusion
Digital Rights Management (DRM) in Nepal is increasingly critical due to digital content growth. Courts have consistently held that:
Unauthorized copying, streaming, or distribution of digital works violates copyright law.
Circumventing DRM and technological protection measures is illegal.
Licensing agreements must clearly define access and usage.
DRM technologies, combined with legal registration, provide robust protection for authors, software developers, and content creators.
Nepal’s legal framework aligns with international copyright norms, recognizing that DRM is both a technological and legal safeguard.

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