Canadian Government Reintroduces Copyright Modernization Act
Canadian Government Reintroduces Copyright Modernization Act

The next quarterly payment of royalties to SOCAN members this month is a record high at $75 million (CAD), Canada's performing rights organization, the Society of Music Authors, Composers, and Publishers of Canada, reports.

That figure includes $47 million (CAD) based on established tariffs, as well as a special distribution of $28 million (CAD) in arrears for commercial radio performances between 2003 and 2010 (resulting from the resolution of litigation related to Tariff 1A, regarding commercial radio).

Tariff 1A, approved by the Copyright Board of Canada, requires broadcast music stations to pay a fee to SOCAN based on a percentage of its gross income.

"The boost in royalties that SOCAN members will receive in August represents an increase to the income which Canadian music creators and publishers depend on to make a living," SOCAN CEO Eric Baptiste said in a press statement. "SOCAN continues to work diligently towards ensuring that our members are paid adequately through the licensing of music use in Canada."

The November 2011 royalty payment will include a special distribution of $24 million (CAD), as a result of the recent decision by the Copyright Board of Canada to allow payment of royalties based on revenues received by SOCAN under Tariff 25 for satellite radio services. That tariff collected fees for the years 2005 to 2009 based on a percentage of the service revenue.

Still pending are Tariffs 22A-G regarding the Internet. These tariffs cover new media uses of music, such as online music stores, web radio and game sites. When the final decision has been made by the courts, SOCAN will try to distribute the monies collected as soon as possible to its members.

For each of the abovementioned tariffs the fee calculation varies, depending on various factors.

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