Vol. 151, No. 42 — October 21, 2017

(Erratum)

COPYRIGHT BOARD

Statement of Royalties to Be Collected by CSI, SODRAC and SOCAN in Respect of Online Music Services

Notice is hereby given that the Online Music Services Tariff (CSI: 2011-2013; SOCAN: 2011-2013; SODRAC: 2010-2013) [the “Tariff”], published in the Supplement of the Canada Gazette, Part I, Vol. 151, No. 34, on August 26, 2017, contains errors.

On August 25, 2017, the Copyright Board (the “Board”) rendered its decision with supporting reasons for the Tariff. Subsection 6(5) of the Tariff read as follows:

(5) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(d) shall provide, in relation to that service, to each of CSI and SOCAN, a report setting out, for that month,

The Tariff did not reflect the manifest intention of the Board as expressed in its reasons. When addressing the requirement of reporting “the number of plays of cached files” in relation to the operation of hybrid webcast services, the Board concluded that it would not “include the number of plays of a file and the number of times a file was cached in the reporting requirements.”

Therefore, subsection 6(5) of the Tariff is modified and reads as follows:

(5) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(d) shall provide, in relation to that service, to each of CSI and SOCAN, a report setting out, for that month,

For ease of reference, the corrected version of the Tariff can be found in the following pages.

Ottawa, October 21, 2017

Gilles McDougall
Secretary General
56 Sparks Street, Suite 800
Ottawa, Ontario
K1A 0C9
613-952-8624 (telephone)
613-952-8630 (fax)
gilles.mcdougall@cb-cda.gc.ca (email)

STATEMENT OF ROYALTIES TO BE COLLECTED BY CMRRA-SODRAC INC. (2011-2013) AND SODRAC (2010-2013) FOR THE REPRODUCTION, IN CANADA, OF MUSICAL WORKS, AND BY SOCAN (2011-2013) FOR THE COMMUNICATION TO THE PUBLIC BY TELECOMMUNICATION OF MUSICAL OR DRAMATICO-MUSICAL WORKS, IN CANADA, BY ONLINE MUSIC SERVICES

Short Title

1. This tariff may be cited as the Online Music Services Tariff (CSI: 2011-2013; SOCAN: 2011-2013; SODRAC: 2010-2013).

Definitions

2. In this tariff,

Application
Period of Application

(4) This tariff applies to activities from January 1, 2011, to December 31, 2013, except in relation to the reproduction of a musical work in the repertoire of SODRAC in connection with the operation of a permanent download service for music videos, for which the tariff applies from January 1, 2010, to December 31, 2013.

Royalties Payable

4. (1) Subject to subsection (2), the royalties payable by a licensee that operates

Minimum Royalties

(2) The royalties payable by a licensee pursuant to

Mixed Bundles

(3) For the purposes of paragraph 4(1)(e), where an end user pays for a mixed bundle, the amount paid by the end user for the files containing audio tracks in the bundle shall be deemed to be

(4) For the purposes of paragraph 4(1)(h), where an end user pays for a mixed bundle, the amount paid by the end user for the files containing music videos in the bundle shall be deemed to be

Previews

(5) Despite paragraphs 4(1)(a) to (c), a person who operates, in association with the operation of a permanent download service for audio tracks, a service identified in those paragraphs only for the purpose of providing a preview of not more than 90 seconds of an audio track by webcast is not required to pay any royalties with respect to the operation of that service.

Taxes

(6) All royalties payable under this tariff are exclusive of any federal, provincial or other governmental taxes or levies of any kind.

ADMINISTRATIVE PROVISIONS

Reporting Requirements: Service Identification

5. No later than the earlier of 20 days after the end of the first month during which a licensee, in connection with the operation of an online music service, communicates or reproduces a file requiring a SOCAN, CSI, or SODRAC licence under this tariff, or authorizes another person to do the same, and in any event before the service first makes that file available to the public, the licensee shall provide to SOCAN, CSI, and SODRAC the following information:

Music Use Report
Definition

6. (1) In this section, “required information” means, in respect of a file, where available

(1.1) For certainty, information is “available” under subsection (1) if it is in the possession or control of the licensee operating the relevant online music service, regardless of the form or the way in which it was obtained.

Non-interactive Music Webcast Service

(2) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(a) shall provide, in relation to that service, to CSI, a report setting out, for that month,

Semi-interactive Music Webcast Service

(3) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(b) shall provide, in relation to that service, to each of CSI and SOCAN, a report setting out, for that month,

Interactive Music Webcast Service

(4) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(c) shall provide, in relation to that service, to each of CSI and SOCAN, a report setting out, for that month,

Hybrid Music Webcast Service

(5) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(d) shall provide, in relation to that service, to each of CSI and SOCAN, a report setting out, for that month,

Permanent Download Music Service

(6) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(e) shall provide, in relation to that service, to CSI and SOCAN, a report setting out, for that month, in relation to each file that was downloaded by an end user,

Limited Download Music Service

(7) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(f) shall provide, in relation to that service, to each of CSI and SOCAN, a report setting out, for that month,

Semi-interactive and Interactive Music Video Webcast Service

(8) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(g) shall provide, in relation to that service, to SOCAN a report setting out, for that month,

Permanent Download Music Video Service

(9) No later than 20 days after the end of each month, any licensee that operates an online music service in relation to which they are required to pay royalties pursuant to paragraph 4(1)(h) shall provide, in relation to that service, to SODRAC a report setting out, for that month,

Reporting Obligations

(10) A licensee that is required to provide a report to a collective pursuant to more than one of subsections 6(2) to 6(9), shall file a separate report pursuant to each applicable subsection.

Calculation of Royalties

7. No later than 20 days after receiving from a licensee a report pursuant to subsection 6(9) for the last month in a quarter, SODRAC shall provide to the licensee a detailed calculation of the royalties payable for that quarter for each file and a report setting out, in relation to the received report,

Payment of Royalties
Repertoire Disputes
Adjustments
Records and Audits
Confidentiality
Interest on Late Payments
Addresses for Notices, etc.
Delivery of Notices and Payments
Transitional Provisions

18. Any amounts owing pursuant to this tariff for activities carried out during the period of application of this tariff, as set out in subsection 3(4), shall be increased by using the multiplying interest factors set out in the following table with respect to each period.

SOCAN or CSI

SODRAC

 

1

2

3

4

1

2

3

4

2011

1.0713

1.0682

1.0651

1.0620

1.0683

1.0652

1.0621

1.0590

2012

1.0588

1.0557

1.0526

1.0495

1.0558

1.0527

1.0496

1.0465

2013

1.0463

1.0432

1.0401

1.0370

1.0433

1.0402

1.0371

1.0340