An Explanation of the Licensing Structure of Anime Figurines – Who is the Rightsholder?
Introduction
Why is it that for figurines of the same character, the copyright notice on the packaging differs from one product to another? One product may simply read "©Original Creator/Shueisha", whilst another lists multiple rightsholders, such as "©Original Creator/Shueisha, Production Committee". This difference is not merely formal; it signifies that the contracting party and the recipient of royalty payments are fundamentally different.
Since the 2000s, the market for figurines related to Japanese anime and manga has grown significantly, driven by high-precision sculpting technology and the maturation of the collectors' market. As the analysis "Japan's Collectors' Toy Market: An Analysis of Precision Manufacturing Technology and IP Business Models" (https://www.travesia.jp/insights/117) shows, the domestic market size as of 2023 is estimated at approximately 200 to 250 billion yen, and it is said to hold a high global market share in the premium segment. However, alongside this growth, the licensing structure has also become increasingly complex. When overseas figurine manufacturers or sculptors attempt to develop businesses using Japanese IP without accurately understanding this rights structure, they risk misidentifying the appropriate contracting party and incurring legal risks.
This article adopts a practical and analytical approach, similar to the aforementioned article that analysed the technological superiority and business models of Japan's collectors' toy market, to clarify the hierarchical structure of IP holders in anime figurines and the reality of contracts. Using specific figures and case studies, we will explain how the three layers—original work rights, anime adaptation rights, and merchandising rights—function, why production committees earn revenue, and what practical points require attention.
Background: Fundamentals of the Anime and Manga IP Structure
Explanation of the Production Committee System: The Mechanism of Investment and Rights in Anime Production
The "production committee system" is widely adopted in Japanese anime production. This is a mechanism whereby multiple companies, such as television stations, advertising agencies, publishers, toy manufacturers, and music companies, jointly invest to disperse risk. As the production of a single TV anime series often requires an investment on the scale of several hundred million yen, and the burden on a single company would be significant, this system has become established.
Members of the production committee hold rights according to their investment ratio and seek to generate revenue in their respective areas of expertise. A television station holds the broadcasting rights, a music company the soundtrack sales rights, and a toy manufacturer the merchandising rights. Through this allocation of rights, each company gains the opportunity to recoup its investment and earn profit.
The Relationship Between the Original Work and the Anime Adaptation: The Difference Between Copyright and Derivative Works
When a manga or light novel is adapted into anime, the copyright of the original work continues to be held by the original creator and the publisher. The anime, on the other hand, generates new copyright as a "secondary work" or "derivative work".
Specifically, the following elements newly created during anime adaptation are granted their own copyrights:
Character designs (anime model sheets)
Colour specifications (the anime is coloured even if the original is black and white)
Motion design (animation expression)
Logo design (anime version title logo)
Background art
Music and sound effects
These become the assets of the production committee that invested in the anime's creation. Separate from the rights to the original work, rights exist for these anime-specific creations. Consequently, the contracting party for figurine production will change depending on which of these are used.
Practical Importance: Risks Posed by the Rights Structure
The contractual and operational risks caused by misidentifying the rights hierarchy are shown below. To avoid these, it is essential to accurately grasp the distinction between original work rights and anime rights.
First is the risk of contracting with the wrong party. If one uses an anime version character design but contracts only with the publisher, one may infringe upon the rights of the production committee. Conversely, if one wishes to recreate the art style of the original manga but contracts with the production committee, one will not have acquired the appropriate rights.
Second is confusion in the approval process. If the contracting party is unclear, design approvals and revision requests may come redundantly from multiple organisations, causing project delays.
Third is the risk of market competition. As separate licences exist for the original version and the anime version of the same character, failing to acquire the appropriate rights can lead to competition with other companies' products or make market differentiation difficult.
To avoid these risks and ensure appropriate business development, it is essential to accurately understand the hierarchical structure of rights.
The "Hierarchical Structure" of Rights – A Three-Layer Explanation
The licensing structure for anime figurines can be understood by dividing it into three layers corresponding to the stages of the creative process. The rightsholder differs at each layer, and the contracting party changes depending on which layer's rights are used for figurine production.
Layer 1: Original Work Rights
Rightsholders: Publisher and Original Creator
This layer pertains to the rights of the original work, which is the source of all derivative works. For a manga, this includes the panel art drawn by the original creator, story settings, and the basic appearance and personality of the characters. In the case of a light novel, this corresponds to the text and the illustrator's artwork.
Based on the publishing contract with the original creator, the publisher often serves as the window function for secondary use. Whilst there are cases where the original creator manages rights individually, for works published by major publishers, it is common for the publisher to handle licensing operations through its rights management department.
Subject Matter: Manga art, story, and basic settings
Specifically, this includes the composition of specific manga panels or pages, the line art drawn by the original creator, the basic clothing and hairstyles of the characters, and the world-view of the story. These are elements created through the original creator's artistic activities and are assets that existed prior to any anime adaptation.
Role in Figurine Production
When producing an original-version figurine, one contracts with the rightsholder of this first layer. For example, this applies when bringing a famous manga scene to life in three dimensions or faithfully reproducing the original creator's art style. The original art style has its own unique character, and since the design is sometimes altered somewhat during anime adaptation, acquiring the original version rights is appropriate for products aimed at fans of the original work.
Layer 2: Anime Adaptation Rights
Rightsholder: Anime Production Committee
In an adapted work, the production committee holds the rights to the visual and auditory elements it has newly created. As mentioned earlier, the production committee is a joint investment body of multiple companies, with rights distributed according to investment ratios.
Subject Matter: Character designs, colour specifications, voice actors' voices, and logo
For anime adaptation, the characters from the original work are redesigned into a form suitable for animation production. This is referred to as "character design" or "anime settings". Even if the original manga is in black and white, the anime explicitly determines details such as hair colour, eye colour, and clothing colour.
Furthermore, the anime's title logo is created by a professional designer and is a crucial element in forming the brand image. Voice actors' performances also become subject to rights as part of the anime work (although for figurines, visual elements are primary).
Investment Recovery Mechanism
The funds invested by a production committee in anime production can reach several hundred million yen for one cour (12-13 episodes). To recover this investment, the committee utilises various rights to generate revenue, including broadcasting rights, streaming rights, DVD/Blu-ray sales rights, and merchandising rights.
Merchandising rights, which include figurines, are one of the important sources of revenue for the production committee. The anime broadcast increases character recognition and grows the fan base, which in turn creates demand for merchandise. The production committee receives a licence fee, typically a certain percentage of the product's wholesale price (royalty). This revenue allows the committee to recoup its investment in anime production and secure funds for the next project.
Layer 3: Merchandising Rights
Rightsholder: Figurine Manufacturer and Sculptor
Manufacturers and sculptors who have obtained a licence from the rightsholders of Layer 1 or Layer 2 to produce figurines also hold rights over the elements they themselves have created.
Subject Matter: Prototype and package design
The figurine's prototype (sculpt) is the result of the sculptor's creative activity. Even when creating a three-dimensional version of an existing character, the sculptor's unique interpretation and techniques are invested in elements such as posing that must look beautiful from all angles, expression of wrinkles in clothing, and painting techniques.
Additionally, the design of the product packaging, product photographs, and descriptive text are also elements created independently by the manufacturer.
Secondary Rights Protection
The rights in this third layer are recognised within the scope that does not infringe upon the rights of Layers 1 and 2. In other words, copying the prototype created by the sculptor to make duplicate products constitutes an infringement of the sculptor's rights.
However, this right cannot be asserted against the rightsholders of the original work or the anime. Once the licence agreement terminates, the manufacturer cannot continue to produce products using that prototype. Depending on the contract terms, ownership of the prototype may be transferred to the production committee or the publisher.
Case Study: Jujutsu Kaisen Figurine Scenarios
As a specific example, we will use the popular work Jujutsu Kaisen to examine how production of an original-version figurine differs from that of an anime-version figurine.
Scenario A: Original-Version Figurine (Manga Panel Recreation)
Contracting Party: Shueisha
The original work of Jujutsu Kaisen is a manga serialised in Shueisha's "Weekly Shonen Jump". To produce a figurine that recreates a specific scene or panel from the manga, the contracting party would be Shueisha.
Examples include a product that faithfully reproduces the cover illustration of the first volume of the original, or a diorama-style product that recreates the panel layout of a famous scene from the original. In this case, since the material being used is the art drawn by the original creator, Gege Akutami, contract negotiations are conducted with Shueisha, the rightsholder of Layer 1.
Royalty Flow
Although it depends on the contract, the general flow is as follows:
The figurine manufacturer pays a licence fee to Shueisha
Shueisha distributes a portion of the royalties to the original creator (depending on the terms of the publishing contract)
The royalty rate varies depending on the type of product, sales scale, and the manufacturer's track record, but it often seems to be set in the range of several per cent to over ten per cent of the wholesale price. A Minimum Guarantee (MG) may also be established, and a format where a certain amount is paid upfront is also seen.
Example Copyright Notice
©Gege Akutami/SHUEISHA
The notice is simple in this manner. Only the original creator and the publisher are listed as rightsholders; the name of the production committee is not included.
Scenario B: Anime-Version Figurine (Using TV Anime Model Sheets)
Contracting Party: Production Committee (Window Function)
To produce a figurine using the character designs from the TV anime version of Jujutsu Kaisen, the contracting party would be the anime's production committee. The Jujutsu Kaisen anime is produced by the "Jujutsu Kaisen Production Committee", with participants including Shueisha, TOHO animation, Shueisha Games, TOHO, MBS, dugout, Dentsu, MAG Garden, and Bandai Namco Filmworks.
The anime-version character designs are reconfigured from the original by animators. They are organised into a form suitable for animation production, and colour specifications are clearly defined. Many figurine manufacturers use these unified design specifications to maintain consistency across products and create items that meet the expectations of anime fans.
Relationship with the Publisher
An important point is that even when creating an anime-version figurine, the approval of the original rightsholder, Shueisha, is generally required. This is because anime adaptation contracts often include a clause stating that the production committee must obtain the approval of the original rightsholder for secondary use.
However, in practice, the production committee serves as the window and coordinates with Shueisha. The figurine manufacturer negotiates directly with the production committee, and the committee internally handles rights coordination with the publisher. This is the common arrangement.
Example Copyright Notice
©Gege Akutami/SHUEISHA, Jujutsu Kaisen Production Committee
The original creator, the publisher, and the production committee are all listed as rightsholders. This indicates that both the rights of the original work (Layer 1) and the rights created by anime adaptation (Layer 2) are involved.
Why the Production Committee Earns Revenue
There is clear economic rationale behind the mechanism through which the production committee earns revenue from merchandising. This is not simply a formal reason of "because they hold the rights", but is based on a tangible relationship between investment and return.
Investment and Return: Substantial Investment in Anime Production
The production cost for a modern Japanese TV anime is said to be around 15 million to 30 million yen per episode. Whilst this varies depending on the scale of the production studio and the quality of the work, one cour (12-13 episodes) requires an investment of 200 to 400 million yen, and in some cases even more.
The production committee, which makes this enormous investment, often cannot fully recoup it through broadcasting and streaming alone. Therefore, multifaceted revenue generation through merchandising, events, and overseas expansion is essential. Merchandising, including figurines, is one of the important pillars of revenue for the production committee.
Particularly for popular works, it is not uncommon for revenue from merchandising to exceed the anime production costs. Production committees decide to invest with this potential for merchandising in mind.
The Value of Design Assets: The Cost of Creating Anime Character Designs and Logos
The character designs produced for anime adaptation are valuable assets created over several months by a professional character designer. They pursue designs that retain the appeal of the original work whilst being easy to animate and visually appealing to the audience.
For each main character, dozens of model sheets are created, including front, side, and back views, expression sheets, details of clothing, and personal belongings. These are creative works generated through the investment of the production committee, and their investment value is realised when they are utilised for merchandising.
The same applies to the anime's logo design. The logo, which symbolises the work's image, is carefully designed by a graphic designer and is widely used on product packaging and promotional materials. The production cost of these design assets is also part of the production committee's investment.
Anime as a 'Promotional Vehicle': Production Strategy with an Eye on Merchandise Development
In recent anime production, strategies that assume merchandise development from the outset are increasingly adopted. When a toy manufacturer or merchandise company participates in the production committee, "designs that are easy to merchandise" may be considered from the character design stage.
For example, this might involve character outfits or belongings designed to be easily turned into products, or multiple variations being prepared (such as normal clothes, battle attire, casual wear). Such strategic design planning allows for smooth merchandise rollout after the anime airs.
In other words, the production committee positions the anime not merely as a video work, but as the core of a comprehensive IP development that includes merchandising. From this perspective, it is rational for the production committee to earn revenue from merchandising, both in terms of recouping investment and in terms of strategic IP management.
Contractual Mechanisms to Prevent Rights Conflicts
To prevent rights conflicts and disputes amongst multiple rightsholders, various restrictions and divisions are established in licence agreements. Understanding these mechanisms allows for the setting of appropriate rights scopes and the avoidance of competition risks with other companies' products.
Division by Version
A Clear Demarcation Between Original and Anime Versions
Licence agreements prevent rights conflicts by clearly distinguishing between the original version and the anime version. This division is not merely formal; it means that the usable materials and the contracting party are fundamentally different.
In a licence for an original-version figurine, the usable materials are the original manga panels, newly drawn illustrations by the original creator, and the cover and back cover illustrations of the original manga volumes. These fall within the scope of rights managed by the publisher, and anime model sheets cannot be used.
In a licence for an anime-version figurine, on the other hand, the usable materials are the TV anime's character model sheets, the anime's logo design, and specific scenes from the anime (scene photographs). These fall within the scope of rights managed by the production committee, and one cannot directly use the original manga panel art.
Classification by Usable Materials (Panel Art vs. Model Sheets)
In practice, the most important point is "on which materials the figurine will be based". This choice automatically determines the contracting party.
When creating a three-dimensional version of original manga panels—such as recreating a famous scene from One Piece in diorama style or faithfully bringing an Attack on Titan original cover to life—a contract with the publisher is necessary. In this case, there is the advantage that original scenes and characters that have not been adapted into anime can also be merchandised.
When using anime model sheets—when using the character designs from the TV anime, the colour specifications determined for the anime, or the anime's logo—a contract with the production committee is required. Most figurine manufacturers choose this option. This is because the anime version has clearly defined colours and design details, making it easier to maintain consistency when multiple manufacturers are producing products to the same specifications.
Contracts typically include a clause such as, "The materials usable under this agreement are limited to the designs contained in the model sheet collection specified in the appendix", and a list of usable materials is attached. Using materials beyond this scope constitutes a breach of contract and entails the risk of rights infringement.
Limitations by Period and Scope
Specific Period Settings Such as "Merchandising Rights for TV Anime Season 1"
Licence agreements include clear limitations on period and scope. This allows IP holders to manage rights flexibly according to market conditions, whilst manufacturers can create predictable business plans.
Typical contract periods include one to three years in general cases, often set shorter at one to two years for popular works, and for new anime, a test period of six months to one year may be set. The reason for short contract periods is the IP holder's intention to review conditions based on market reaction and to manage risk by diversifying amongst multiple manufacturers.
What is important is that the scope of the covered work is clearly limited, such as "merchandising rights for TV anime Season 1". For example, even if one acquires the licence for Season 1 of Jujutsu Kaisen (broadcast in 2020), one cannot use characters or designs from Season 2 (broadcast in 2023). If a new season or a film version is produced, they become separate licensing subjects.
Contract Renewals for Each New Season and Film
When an anime work receives a sequel or film adaptation, the licence agreement must also be renewed or newly concluded. This mechanism allows IP holders to adjust terms according to the work's popularity.
If the performance of Season 1 is good, negotiations for the Season 2 licence may involve changes in conditions such as an increase in the royalty rate (e.g. from 10% to 12%), an increase in the minimum guarantee (e.g. from 100,000 to 200,000 dollars), or negotiations for a contract extension (e.g. from one year to two years). Conversely, if sales for Season 1 were not favourable, a relaxation of terms or a transfer of rights to another company may be considered.
In the case of a film version, a swift contract conclusion, separate from the regular TV version, is required to not miss the short-term sales opportunity coinciding with the theatrical release. Ideally, merchandise preparations begin three to six months before the film's release, with sales starting simultaneously with the opening.
Division of Rights by Region and Sales Channel
In licence agreements, rights can be divided by region and sales channel, allowing for more detailed market management.
Regional division can be categorised as Japan only, the Asia region (e.g. Japan, China, South Korea, Taiwan), the North America region, or worldwide. For popular works, it is common for different manufacturers to acquire licences for different regions. For example, Company A in Japan, Company B in North America, and Company C in China.
Division by sales channel also occurs. Different conditions or different manufacturers may hold the rights for general retail stores, online-exclusive sales, event-limited items, and amusement facilities (prize figurines). This allows for the deployment of products of different price ranges and quality for the same character, depending on the sales channel.
By limiting the region or sales channel, the manufacturer can reduce initial investment, whilst the IP holder benefits from being able to segment the market and disperse risk. However, the proliferation of internet sales has presented a challenge to the effectiveness of regional restrictions.
Centralisation of the Window Function
Cases Where the Production Committee Acts as Coordinator with the Publisher
For anime-version figurines, it is common for the production committee to serve as the window function, centrally managing coordination with all related parties, including the publisher. This frees the figurine manufacturer from the burden of negotiating individually with multiple rightsholders.
As for the specific process, the figurine manufacturer first negotiates a contract with the production committee. The committee internally handles rights coordination with the publisher (the original rightsholder) and, if necessary, also obtains the approval of the original creator. The figurine manufacturer then pays royalties to the production committee, which distributes them to its members according to their investment ratios.
This centralisation offers the manufacturer the advantages of a single point of contact for more efficient negotiations, a clear approval process, and a single payment recipient. On the production committee's side, it allows for the collective management of multiple licensees, unified management of the brand image, and an easier grasp of the overall market.
Efficiency in Licence Management
For large-scale IPs, a specialised licence management company or agent may be involved. For example, in the case of Pokémon, The Pokémon Company manages licences, whilst for Dragon Ball, Bird Studio and Shueisha jointly handle licence management.
Under these management systems, activities include the development of licence guidelines (usable designs, prohibited actions, quality standards), standardisation of the approval process (format of submitted materials, standard approval period), and operation of a portal site for licensees (downloading of model sheets, FAQs, checking approval status).
Some major figurine manufacturers, handling multiple IPs simultaneously, have established in-house licence management departments to professionally handle contract management, approval schedule coordination, and royalty calculation and payment processing. Such organisational arrangements improve the efficiency and certainty of the licensing business.
Practical Analysis: Deciphering the Rights in Copyright Notices
This section explains how to interpret copyright notices in the practical work of licence agreements and shows how to accurately grasp the rights structure from the notice and identify the contracting party and the scope of usable materials.
How to Read Copyright Notices
The copyright notice on a figurine's packaging is not just a legal formality; it is important information that indicates which rightsholder a contract has been made with and under what terms.
©Original Creator/Publisher Only → Original Version
When only the original creator and publisher are listed, such as "©Gege Akutami/SHUEISHA", this indicates an original-version figurine. The design used is from the original manga's panel art or a newly drawn illustration by the original creator, and the contracting party is the publisher.
Products with this notice are often seen for works before their anime adaptation, cases where the anime and original designs differ significantly, or limited products aimed at fans of the original work. Since anime model sheets are not used, the logo and colour specifications may differ from those of the anime.
©Original Creator/Publisher, Production Committee → Anime Version
When the production committee is added, as in "©Gege Akutami/SHUEISHA, Jujutsu Kaisen Production Committee", this indicates an anime-version figurine. The design used is from the anime's character model sheets, and the contracting party is the production committee (as the practical window).
This notice is seen on the vast majority of products during and after TV anime broadcasts, on products using the anime's logo, and on products that recreate a specific scene from the anime. It is said that approximately 70% to 80% of figurines on the market are of this type.
What Multiple Notations Mean
In some cases, even more complex notations may be seen.
If the production committees of multiple seasons are listed, such as "©Original Creator/Publisher, Season 1 Production Committee, Season 2 Production Committee", it indicates that the product contains a mix of characters from multiple seasons. For example, a product that includes characters from both the first and second seasons as a set.
In the case of "©Original Creator/Publisher, Production Committee, Film Production Committee", it indicates that elements from both the TV version and the film version are included. If film-original characters or designs are used, separate rights processing is required, leading to such a notice.
Additionally, the character designer's name may be added, such as "©Character Design: [Name]". This may be intended to explicitly respect the designer's rights or to leverage the designer's brand value.
By accurately deciphering the copyright notice, one can understand the scope of rights under which the product was created and what materials were available for use.
Points to Note in Contract Negotiations
When concluding a licence agreement, there are several important negotiation points. Understanding and appropriately negotiating these points can increase the probability of business success.
Determinants of Minimum Guarantee (MG) and Royalty Rate
The Minimum Guarantee (MG) is an amount paid upfront regardless of sales performance. The royalty rate is typically set at around 5% to 15% of the wholesale price. These terms are determined by the following factors.
The IP's popularity is the single biggest factor. For more popular works, the MG will be higher, and the royalty rate will also be set higher. For a massive hit on the scale of Demon Slayer, the MG can reach 200,000 to 500,000 dollars, with royalty rates of 10% to 15%. In contrast, for a mid-tier work, an MG of 50,000 to 150,000 dollars and a royalty rate of 8% to 12% is typical.
The manufacturer's track record and reliability are also important. Major manufacturers or those with a strong past sales record tend to be able to negotiate more favourable terms. For a first-time manufacturer, the MG may be set lower, with a promise of phased improvement in terms based on sales performance.
The product's price range and sales plan are also considered. For high-priced products (statues of 150 dollars or more), the royalty rate tends to be set slightly lower because sales volume will be limited. Conversely, for low-priced products (under 50 dollars), the royalty rate may be set higher as a larger volume can be expected.
The scope of the region and sales channels also has an impact. A global rollout will command a higher MG, whilst one limited to Japan can be kept relatively low. It is also possible to negotiate a lower MG by limiting sales channels, such as online-exclusive or event-exclusive.
Confirming the Scope of Usable Design Materials
One of the most critical points to confirm carefully during contract negotiations is the scope of usable design materials. Ambiguity here can lead to future trouble.
The contract usually contains a clause such as "designs included in the model sheet collection specified in the appendix", with a specific list of materials attached. At this stage, the following points should be checked:
Confirm whether full-body character design sheets (front, side, back), expression sheets (minimum 3-5 types, ideally 10 or more), detailed materials for clothing (texture, patterns, accessory details), setting illustrations for belongings and weapons, colour specification charts (CMYK values or Pantone numbers), and anime logo data (if used) will be provided.
If these materials are insufficient, it will be difficult to make judgements on sculpting and colouring. It is necessary to check the materials before signing the contract and, if they are lacking, request additional provision or negotiate for them to be newly created for an additional fee.
Furthermore, the usable characters may be limited, as in "only characters A, B, and C from anime Season 1 may be used". If one is planning a series, it is desirable to negotiate the use of future additional characters at the contract stage.
Approval Process and Responding to Revision Requests
The approval process by the IP holder is usually conducted in two to four rounds. Since each round requires an approval period of two to four weeks, the entire process takes two to four months.
The first approval round involves checking the shape of the prototype. The main points raised at this stage are the facial sculpt (eye size and position, accuracy of expression), proportions (body balance, limb length), posing (character-likeness, stability), and details of clothing and weapons.
The second approval round involves checking the colours of the painted sample. The skin tone, hair colour and gradation, clothing colours (especially when multiple colours are used), and texture expression of accessories are checked.
The third approval round (if necessary) involves checking that the previous revisions have been properly implemented and making final detailed adjustments.
The final approval involves checking the mass-production prototype (first sample), the package design, and accompanying items such as instruction manuals and stands.
When responding to revision requests, the key is to clearly document each point of feedback and record the response plan. Instead of ambiguous instructions like "make it closer to the original", confirm specifics such as "raise the eye position by 2mm" or "change the hair colour from Pantone 123 to 124".
Furthermore, if a revision request is difficult to accommodate for technical or cost reasons, it is important to politely explain the reason and propose an alternative. For example, a proposal might be, "Since the quality stability of this gradient at this angle is low in mass production, we will achieve a similar expression using a different technique".
As approval delays directly affect the product's release date, it is recommended to thoroughly manage the schedule and specify deadlines for each stage in the contract.
Risk Management
To minimise legal risks in the figurine business, it is important to implement the following checklist and measures.
Checklist to Avoid Rights Infringement
In practice, confirming the following items can help avoid many rights infringement risks.
Contract confirmation items: Check whether the scope of usable characters and designs is clearly stated, whether the period of use and region are clearly defined, whether the exact wording of the copyright notice is specified, and whether the method for disposing of inventory after the contract period ends is stipulated.
Production process confirmation items: Check whether all materials used are within the contract's scope, whether production is being carried out according to the approved design, whether there are no unapproved alterations or additional elements, and whether the scope of rights has been correctly communicated to subcontractors and overseas factories.
Sales and promotion confirmation items: Check whether the copyright notice on the packaging is accurate, whether images used in promotional materials are approved, whether sales are not occurring outside the contractually stipulated channels and regions, and whether products are not being sold after the contract period has expired.
The Legal Risks of Being "Just Similar"
The perception that "it is similar to an existing character, but it is acceptable because it has been slightly changed" is extremely dangerous. Under Japan's Copyright Act, if a work is created in reliance upon an existing work and its essential expressive features can be directly perceived, it is highly likely to be judged as copyright infringement.
Specific risky cases include selling a product as an "original character" without a formal licence, but where the design is reminiscent of a specific anime character; creating a product as "fan art" or an "homage" but selling it commercially; and using an existing mould to sell a "similar character" after the licence period has expired.
These carry risks such as civil claims for damages (which can sometimes amount to several to ten times the equivalent royalty amount), criminal penalties (imprisonment for up to 10 years or a fine of up to 10 million yen for copyright infringement), and seizure at customs (if manufactured overseas and imported into Japan, the goods may be confiscated at customs).
Particularly for overseas manufacturers, a lack of understanding of Japanese copyright law can lead to unintentional infringement. Even if "it is sold without issue in China", Japanese law applies when selling in the Japanese market, so it is always recommended to consult a specialist (a lawyer or an intellectual property expert).
Furthermore, as a secondary infringement risk, the rights of sculptors and designers must also be considered. The shape of a prototype originally created by a sculptor and the design created by a package designer also generate copyrights. If these rights are not properly handled in the contract, it can lead to trouble later.
Best practices for risk management include always creating a written contract and clearly documenting the scope of rights, always confirming any uncertainties with the licensor and obtaining answers in writing, appointing a person in charge of rights management within the company and establishing a checking system, and undergoing periodic compliance audits by legal experts.
Conclusion
Reconfirming the Core Principle: The Contracting Party Changes Depending on "Which Design You Use"
As this article has explained, the core of the anime figurine licensing structure lies in the question of "which design materials are used to produce the figurine".
When using the original manga's panel art or the original creator's newly drawn illustrations, the contracting party is the publisher, and the copyright notice will be "©Original Creator/Publisher". On the other hand, when using the anime's character model sheets or the anime's logo, the contracting party is the production committee, and the copyright notice will be "©Original Creator/Publisher, Production Committee".
This distinction is not merely formal; it signifies fundamental differences in the recipient of royalty payments, the approval process, and the scope of usable materials.
The Roles of the Three Parties
The rights structure for anime figurines involves three main players, each with a vital role.
The Publisher: Always Retains Rights as the "Progenitor"
The publisher holds the copyright of the original work and manages the rights that are the source of all derivative use. Based on its publishing contract with the original creator, it serves as the window for secondary use and bears the responsibility of protecting the character's value and brand image over the long term. It not only grants licences for original-version figurines but also retains approval rights as the original rightsholder in anime adaptations, thus underpinning the entire character business.
The Production Committee: "Recouping the Investment in Anime Designs"
The production committee makes a substantial investment in anime production (around 200 to 400 million yen per cour) and, to recoup that investment, holds the rights to creations unique to the anime (character designs, colour specifications, logos, etc.). Revenue from merchandising is a key means of investment recovery for the committee, and it engages in strategic anime production with an eye on merchandise development. By acting as the central window, it manages multiple rightsholders in a unified manner and realises efficiencies in the licensing business.
The Manufacturer: "Choosing the Appropriate Contracting Party"
Figurine manufacturers and sculptors must choose the appropriate contracting party according to the concept of the product they wish to create. The key to success lies in formulating an optimal licensing strategy after considering whether to prioritise the original's art style or use the unified anime design, the target market (fans of the original work or the anime), and the product's differentiation strategy.
It is also important for them to properly manage the Layer 3 rights they themselves create, such as for their prototypes and package designs, and to clarify post-contract termination rights relationships.
The Reason for the Complexity: A Reflection of a Multi-Layered Creative Process
Why is the licensing structure for anime figurines so complex? The answer lies in the multi-layered creative process of the Japanese anime and manga industry.
Before a single character is merchandised, multiple stages of creative activity are involved: creation by the original author, publication and rights management by the publisher, investment in anime adaptation by the production committee, reconfiguration of character designs by the anime studio, and creation of a figurine prototype by the sculptor.
At each stage, new creative value is added, and rights are generated at each point. This multi-layered structure is both the source of the richness of Japan's character business and the factor that complicates its licensing structure.
When overseas figurine manufacturers and sculptors develop businesses using Japanese IP, it is essential that they accurately understand this structure and carry out the appropriate rights processing. It is hoped that by applying the hierarchy of rights, contractual points of caution, and risk management points explained in this article, one will be able to achieve lawful and effective business development.
As the aforementioned analytical article indicates, Japan's collectors' toy market holds a share of approximately 30% to 40% of the global market and maintains a high level of competitiveness in both its precision manufacturing technology and its IP management. Entry into this market demands not only technical skill but also a deep understanding of its complex rights structure. By approaching it with the proper knowledge and preparation, one can fully leverage the business opportunities in this attractive market.