COPYRIGHT BOARD

FILE: Public Performance of Sound Recordings 1999-2002

Statement of Proposed Royalties to be Collected for the Public Performance or the Communication to the Public by Telecommunication, in Canada, of Published Sound Recordings Embodying Musical Works and Performer's Performances of Such Works

In accordance with subsection 67.1(5) of the Copyright Act, the Copyright Board publishes the statement of royalties filed by the Neighbouring Rights Collective of Canada (NRCC) on March 31, 1998, with respect to royalties that it proposes to collect, effective on January 1, 1999, for the public performance or the communication to the public by telecommunication, in Canada, of published sound recordings embodying musical works and performer's performances of such works.

And in accordance with the provisions of the same subsection, the Board hereby gives notice that all prospective users or their representatives who wish to object to the statement may file written objections with the Board, at the address indicated below, within 60 days of the publication hereof, that is no later than August 12, 1998.

Ottawa, June 13, 1998

CLAUDE MAJEAU
Secretary to the Board
56 Sparks Street, Suite 800
Ottawa, Ontario
K1A 0C9
(613) 952-8621 (Telephone)
(613) 952-8630 (Facsimile)

STATEMENT OF ROYALTIES WHICH MAY BE COLLECTED BY THE NEIGHBOURING RIGHTS COLLECTIVE OF CANADA (NRCC)

for the right of performers and makers to be paid an equitable remuneration for the performance in public or the communication to the public by telecommunication, except for any retransmission, of published sound recordings embodying musical works and performer's performances of such works, forming part of its repertoire.

GENERAL PROVISIONS APPLICABLE TO ALL TARIFFS

Unless otherwise noted in a particular tariff, the effective period of these tariffs is the calendar years 1999 to 2002, inclusive.

All expressions used in these tariffs shall have the same meaning as under the Copyright Act, as amended.

All royalties payable under these tariffs are exclusive of any federal, provincial or other governmental taxes or levies of any kind.

These tariffs are filed on the assumption that no countries are added to the countries that are Rome Convention countries as of March 31, 1998 and that the Minister does not exercise his powers pursuant to section 22 of the Copyright Act. If there is any such change, NRCC reserves the right to apply to the Copyright Board to amend these tariffs in such manner as the Board may consider appropriate.

Tariff No. 10

PARK, STREETS AND OTHER PUBLIC AREAS

Short Title

1. This tariff may be cited as the Neighbouring Rights Public Areas Tariff, 1999-2002.

Definitions

2. In this tariff,

"year" means a calendar year.

Application

3. This tariff applies to the performance in public, at any time and as often as desired, in the years 1999 to 2002, in parks, streets, or other public areas, of published sound recordings embodying musical works and performer's performances of such works, forming part of the repertoire of NRCC.

Royalties

4. The royalties for each day on which a sound recording is performed shall be $31.13 for each of the years 1999 and 2000, $41.50 for the year 2001 and $51.86 for the year 2002 subject to a maximum royalty in any civil quarter of $213.19 for each of the years 1999 and 2000, $284.18 for the year 2001 and $355.17 for the year 2002.

ADMINISTRATIVE PROVISIONS

Payment of Royalties

5. No later than the end of each civil quarter of each year, commencing on March 31, 1999, the person responsible for the payment of the royalties shall pay to NRCC the royalties owing for that quarter together with its name and its address for purposes of notice.

Accounts and Records

6. The person responsible for the payment of the royalties shall keep all accounts and records from which NRCC can readily ascertain the royalties payable and the information required under this tariff in accordance with generally accepted accounting practices and for a period of six (6) years of the end of the year to which they relate. During such period, NRCC may audit such accounts and records itself or through a designated representative, on reasonable notice and during normal business hours. Should any audit disclose that royalties paid to NRCC were understated by more than five per cent (5%), the person responsible for the payment of the royalties shall pay the reasonable costs of audit within thirty (30) days of the demand for such payment.

Confidentiality

7. (1) Subject to subsections (2) and (3), NRCC shall treat in confidence information received from the person responsible for the payment of the royalties pursuant to this tariff, unless the person responsible for the payment of the royalties consents in writing to the information being treated otherwise.

(2) NRCC may share information referred to in subsection (1)

1. with any other collecting body in Canada or elsewhere;

2. with the Copyright Board;

3. in connection with proceedings before the Copyright Board;

4. to the extent required to effect the distribution of royalties, with its royalty claimants; or

5. if ordered by law or by a court of law.

(3) Subsection (1) does not apply to information that is publicly available, or to information obtained from someone other than the person responsible for the payment of the royalties, who is not under an apparent duty of confidentiality to the person responsible for the payment of the royalties.

Adjustments

8. (1) Subject to subsection (2), adjustments in the amount of royalties owed by the person responsible for the payment of the royalties (including excess payments), as a result of the discovery of an error or otherwise, shall be made on the date the next royalty payment is due.

(2) The person responsible for the payment of the royalties may deduct any amount owed to it from its next royalty payments until no money remains owed to it.

Interest on Late Payments

9. (1) Any amount not received by the due date shall bear interest from that date until the date the amount is received.

(2) Any amount found to be owing, through an audit or otherwise, shall bear interest from the date it was due until the date the amount is received.

(3) Any amount that cannot be delivered at the address referred to in section 10 shall bear interest from the date when the person owing the amount receives notice of the new address to which it should be delivered until the date the amount is received.

(4) Interest shall be calculated daily, at the Bank Rate effective on the last day of the previous month (as published by the Bank of Canada) plus one per cent. Interest shall not compound.

Addresses for Notices, etc.

10. (1) Anything that the person responsible for the payment of the royalties sends to NRCC shall be sent to 1250 Bay Street, Suite 400, Toronto, Ontario M5R 2B1, or to any other address of which the person responsible for the payment of the royalties has been notified.

(2) Anything that NRCC sends to the person responsible for the payment of the royalties shall be sent to the address provided to NRCC in accordance with section 5 or to any other address of which NRCC has been notified.

Delivery of Notices and Payments

11. (1) A notice may be delivered by hand, by postage paid mail, or by facsimile.

(2) A notice or payment mailed in Canada shall be presumed to have been received three business days after the day it was mailed.

(3) A notice sent by facsimile shall be presumed to have been received the day it is transmitted.

12. (1) Any person that NRCC designates to receive a payment or notice shall have an address in Canada.

(2) NRCC shall notify the person responsible for the payment of the royalties at least 60 days in advance of such a designation or of any change therein.

Tariff No. 20

KARAOKE BARS AND SIMILAR ESTABLISHMENTS

Short Title

1. This tariff may be cited as the Neighbouring Rights Karaoke Tariff, 1999-2002.

Definitions

2. In this tariff,

"karaoke bar" means a cabaret, cafe, club, cocktail bar, dining room, lounge, restaurant, roadhouse, tavern or a similar establishment where karaoke machines are operated at any time during a day;

"year" means a calendar year.

Application

3. This tariff applies to the performance in public, at any time and as often as desired, in the years 1999 to 2002, in a karaoke bar, of published sound recordings embodying musical works and performer's performances of such works, forming part of the repertoire of NRCC.

Royalties

4. The royalties for a karaoke bar in respect of each year shall be $174.00 for the year 1999, $186.00 for the year 2000, $247.94 for the year 2001 and $309.88 for the year 2002 if the establishment operates as a karaoke bar no more than three days a week and $250.00 for the year 1999, $268.00 for the year 2000, $357.24 for the year 2001 and $446.49 for the year 2002 if it operates as a karaoke bar more than three days a week. These royalties shall be in addition to any royalties payable by the establishment under Tariff No. 3.

ADMINISTRATIVE PROVISIONS

Payment of Estimated Royalties

5. No later than January 31 of each year, commencing on January 31, 1999, the person responsible for the payment of the royalties shall pay to NRCC the estimated royalties owing for that year and shall provide to NRCC a report of the number of days the establishment operates as a karaoke bar in a week together with its name and its address for purposes of notice.

Payment of Final Royalties

6. No later than January 31 of each year, commencing on January 31, 2000, the person responsible for the payment of the royalties shall provide to NRCC a report providing the actual number of days per week during the previous year the establishment operated as a karaoke bar accompanied by any payment due for the difference between the royalties paid pursuant to section 5 and the royalties payable on the basis of the actual number of days per week during the previous year the establishment operated as a karaoke bar. Should the royalties payable on the basis of the actual number of days per week during the previous year the establishment operated as a karaoke bar be less than the royalties paid pursuant to section 5, NRCC shall credit the difference to the person responsible for the payment of the royalties.

Accounts and Records

7. The person responsible for the payment of the royalties shall keep all accounts and records from which NRCC can readily ascertain the royalties payable and the information required under this tariff in accordance with generally accepted accounting practices and for a period of six (6) years of the end of the year to which they relate. During such period, NRCC may audit such accounts and records itself or through a designated representative, on reasonable notice and during normal business hours. Should any audit disclose that royalties paid to NRCC were understated by more than five per cent (5%), the person responsible for the payment of the royalties shall pay the reasonable costs of audit within thirty (30) days of the demand for such payment.

Confidentiality

8. (1) Subject to subsections (2) and (3), NRCC shall treat in confidence information received from the person responsible for the payment of the royalties pursuant to this tariff, unless the person responsible for the payment of the royalties consents in writing to the information being treated otherwise.

(2) NRCC may share information referred to in subsection (1)

1. with any other collecting body in Canada or elsewhere;

2. with the Copyright Board;

3. in connection with proceedings before the Copyright Board;

4. to the extent required to effect the distribution of royalties, with its royalty claimants; or

5. if ordered by law or by a court of law.

(3) Subsection (1) does not apply to information that is publicly available, or to information obtained from someone other than the person responsible for the payment of the royalties, who is not under an apparent duty of confidentiality to the person responsible for the payment of the royalties.

Adjustments

9. (1) Subject to subsection (2), adjustments in the amount of royalties owed by the person responsible for the payment of the royalties (including excess payments), as a result of the discovery of an error or otherwise, shall be made on the date the next royalty payment is due.

(2) The person responsible for the payment of the royalties may deduct any amount owed to it from its next royalty payments until no money remains owed to it.

(3) If operations take place for less than an entire year, the person responsible for the payment of the royalties shall promptly notify NRCC and the royalties shall be prorated on the basis of an entire year.

Interest on Late Payments

10. (1) Any amount not received by the due date shall bear interest from that date until the date the amount is received.

(2) Any amount found to be owing, through an audit or otherwise, shall bear interest from the date it was due until the date the amount is received.

(3) Any amount that cannot be delivered at the address referred to in section 11 shall bear interest from the date when the person owing the amount receives notice of the new address to which it should be delivered until the date the amount is received.

(4) Interest shall be calculated daily, at the Bank Rate effective on the last day of the previous month (as published by the Bank of Canada) plus one per cent. Interest shall not compound.

Addresses for Notices, etc.

11. (1) Anything that the person responsible for the payment of the royalties sends to NRCC shall be sent to 1250 Bay Street, Suite 400, Toronto, Ontario M5R 2B1, or to any other address of which the person responsible for the payment of the royalties has been notified.

(2) Anything that NRCC sends to the person responsible for the payment of the royalties shall be sent to the address provided to NRCC, in accordance with section 5 or to any other address of which NRCC has been notified.

Delivery of Notices and Payments

12. (1) A notice may be delivered by hand, by postage paid mail, or by telecopier.

(2) A notice or payment mailed in Canada shall be presumed to have been received three business days after the day it was mailed.

(3) A notice sent by telecopier shall be presumed to have been received the day it is transmitted.

13. (1) Any person that NRCC designates to receive a payment or notice shall have an address in Canada.

(2) NRCC shall notify the person responsible for the payment of the royalties at least 60 days in advance of such a designation or of any change therein.

Tariff No. 21

RECREATIONAL FACILITIES OPERATED BY A MUNICIPALITY, SCHOOL, COLLEGE OR UNIVERSITY

Short Title

1. This tariff may be cited as the Neighbouring Rights Recreational Facilities Tariff, 1999-2002.

Definitions

2. In this tariff,

"event" means recreational sporting activities, shows or events, including minor hockey, figure skating, roller skating, ice skating and youth figure skating carnivals;

"recreational facility" means a recreational facility operated by a municipality, school, college or university;

"year" means a calendar year.

Application

3. This tariff applies to the performance in public, at any time and as often as desired, in the years 1999 to 2002, in a recreational facility during an event, of published sound recordings embodying musical works and performer's performances of such works, forming part of the repertoire of NRCC.

Royalties

4. The royalties for the recreational facility shall be $150.00 per year for each of the years 1999 and 2000, $199.95 for the year 2001 and $249.90 for the year 2002 if the gross revenues from admissions to the events, exclusive of sales and amusement taxes, during the year do not exceed $12,500.

ADMINISTRATIVE PROVISIONS

Payment of Royalties

5. No later than January 31 of each year, commencing on January 31, 1999, the person responsible for the payment of the royalties shall pay to NRCC the estimated royalties owing for that year based on the actual gross revenues from admissions to the events, exclusive of sales and amusement taxes, for the previous year, and shall provide to NRCC a report of the actual gross receipts from admissions to the events, exclusive of sales and amusement taxes, for the previous year, together with its name and address for purposes of notice.

Final Report

6. No later than January 31 of each year, commencing on January 31, 2000, the person responsible for the payment of the royalties shall provide to NRCC a report confirming that the gross revenues from admissions to the events, exclusive of sales and amusement taxes, did not exceed $12,500 for the previous year.

Accounts and Records

7. The person responsible for the payment of the royalties shall keep all accounts and records from which NRCC can readily ascertain the royalties payable and the information required under this tariff in accordance with generally accepted accounting practices and for a period of six (6) years of the end of the year to which they relate. During such period, NRCC may audit such accounts and records itself or through a designated representative, on reasonable notice and during normal business hours. Should any audit disclose that gross revenues were understated by more than five per cent (5%), the person responsible for the payment of the royalties shall pay the reasonable costs of audit within thirty (30) days of the demand for such payment.

Confidentiality

8. (1) Subject to subsections (2) and (3), NRCC shall treat in confidence information received from the person responsible for the payment of the royalties pursuant to this tariff, unless the person responsible for the payment of the royalties consents in writing to the information being treated otherwise.

(2) NRCC may share information referred to in subsection (1)

1. with any other collecting body in Canada or elsewhere;

2. with the Copyright Board;

3. in connection with proceedings before the Copyright Board;

4. to the extent required to effect the distribution of royalties, with its royalty claimants; or

5. if ordered by law or by a court of law.

(3) Subsection (1) does not apply to information that is publicly available, or to information obtained from someone other than the person responsible for the payment of the royalties, who is not under an apparent duty of confidentiality to the person responsible for the payment of the royalties.

Adjustments

9. (1) Subject to subsection (2), adjustments in the amount of royalties owed by the person responsible for the payment of the royalties (including excess payments), as a result of the discovery of an error or otherwise, shall be made on the date the next royalty payment is due.

(2) The person responsible for the payment of the royalties may deduct any amount owed to it from its next royalty payments until no money remains owed to it.

(3) If operations take place for less than an entire year, the person responsible for the payment of the royalties shall promptly notify NRCC and the royalties shall be prorated on the basis of an entire year.

Interest on Late Payments

10. (1) Any amount not received by the due date shall bear interest from that date until the date the amount is received.

(2) Any amount found to be owing, through an audit or otherwise, shall bear interest from the date it was due until the date the amount is received.

(3) Any amount that cannot be delivered at the address referred to in section 11 shall bear interest from the date when the person owing the amount receives notice of the new address to which it should be delivered until the date the amount is received.

(4) Interest shall be calculated daily, at the Bank Rate effective on the last day of the previous month (as published by the Bank of Canada) plus one per cent. Interest shall not compound.

Addresses for Notices, etc.

11. (1) Anything that the person responsible for the payment of the royalties sends to NRCC shall be sent to 1250 Bay Street, Suite 400, Toronto, Ontario M5R 2B1, or to any other address of which the person responsible for the payment of the royalties has been notified.

(2) Anything that NRCC sends to the person responsible for the payment of the royalties shall be sent to the address provided to NRCC in accordance with section 5 or to any other address of which NRCC has been notified.

Delivery of Notices and Payments

12. (1) A notice may be delivered by hand, by postage paid mail, or by facsimile.

(2) A notice or payment mailed in Canada shall be presumed to have been received three business days after the day it was mailed.

(3) A notice sent by facsimile shall be presumed to have been received the day it is transmitted.

13. (1) Any person that NRCC designates to receive a payment or notice shall have an address in Canada.

(2) NRCC shall notify the person responsible for the payment of the royalties at least 60 days in advance of such a designation or of any change therein.

Exclusions

14. A recreational facility paying under this tariff is not required to pay under Tariff Nos. 7, 9 or 11 for the events covered in this tariff.

This tariff does not cover the use of sound recordings expressly covered in Tariffs 8 (Receptions) or 11.B (Comedy Shows).

Tariff No. 22

TRANSMISSION OF SOUND RECORDINGS EMBODYING MUSICAL WORKS AND PERFORMERS' PERFORMANCES OF SUCH WORKS TO SUBSCRIBERS VIA A TELECOMMUNICATIONS SERVICE NOT COVERED UNDER TARIFF NOS. 16 OR 17

Short Title

1. This tariff may be cited as the Neighbouring Rights Internet Tariff, 1999-2002.

Definitions

2. In this tariff,

"telecommunications service" includes a service known as a computer on-line service, an electric bulletin board service (BBS), a network server or service provider or similar operation that provides for or authorizes the digital encoding, random access and/or storage of sound recordings or portions of sound recordings in a digitally encoded form for the transmission of those sound recordings in digital form via a telecommunications network or that provides access to such a telecommunications network to a subscriber's computer or other device that allows the transmission of material to be accessed by each subscriber independently of any other person having access to the service. "Telecommunications service" shall not include a "background music supplier" covered under Tariff No. 16 or a "supplier" covered under Tariff No. 17.

"subscriber" means a person who accesses or is contractually entitled to access the service provided by the telecommunications service in a given month.

"gross revenues" includes the total of all amounts paid by subscribers for the right to access the transmissions of sound recordings and all amounts paid for the preparation, storage or transmission of advertisements on the service.

"advertisements on the service" includes any sponsorship, announcement, trade-mark, commercial message or advertisements displayed, communicated or accessible during connection to or with the service or to which the subscriber's attention is directly or indirectly guided by means of a hypertext link or other means.

Application

3. This tariff applies to the communication to the public by telecommunication in Canada, at any time and as often as desired, in the years 1999 to 2002, of published sound recordings embodying musical works and performers' performances of such works, forming part of the NRCC repertoire, by a telecommunications service to subscribers by means of one or more computer(s) or other device that is connected to a telecommunications network where the transmission of those sound recordings can be accessed by each subscriber independently of any other person having access to the service.

Royalties

4. The monthly royalties for the operator of the telecommunications service shall be 5 per cent (5%) of gross revenues with a minimum royalty of $0.25 per subscriber.

ADMINISTRATIVE PROVISIONS

Payment of Royalties

5. No later than thirty (30) days of the end of each month commencing on January 1, 1999, the person responsible for the payment of the royalties shall pay to NRCC the royalties payable for such month, and shall provide to NRCC a report of the number of subscribers in such month and the gross revenues earned in such month, exclusive of all applicable taxes together with its name and address for purposes of notice.

Accounts and Records

6. The person responsible for the payment of royalties shall keep all accounts and records from which NRCC can readily ascertain the royalties payable and the information required under this tariff in accordance with generally accepted accounting principles and for a period of six (6) years of the end of the year in which they relate. During such period, NRCC may audit such accounts and records itself or through a designated representative, on reasonable notice and during normal business hours. Should any audit disclose that royalties paid to NRCC were understated by more than five per cent (5%), the person responsible for the payment of the royalties shall pay the reasonable costs of the audit within thirty (30) days of the demand for each payment.

Confidentiality

7. (1) Subject to subsections (2) and (3), NRCC shall treat in confidence information received from the person responsible for the payment of the royalties pursuant to this tariff, unless the person responsible for the payment of the royalties consents in writing to the information being treated otherwise.

(2) NRCC may share information referred to in subsection (1)

1. with any other collecting body in Canada or elsewhere;

2. with the Copyright Board;

3. in connection with proceedings before the Copyright Board;

4. to the extent required to effect the distribution of royalties, with its royalty claimants; or

5. if ordered by law or by a court of law.

(3) Subsection (1) does not apply to information that is publicly available, or to information obtained from someone other than the person responsible for the payment of royalties, who is not under an apparent duty of confidentiality to the person responsible for the payment of royalties.

Adjustments

8. (1) Subject to subsection (2), adjustments in the amount of royalties owed by the person responsible for the payment of royalties (including excess payments), as a result of the discovery of an error or otherwise, shall be made on the date the next royalty payment is due.

(2) The person responsible for the payment of royalties may deduct any amount owed to it from its next royalty payment until no money remains owed to it.

Interest on Late Payments

9. (1) Any amount not received by the due date shall bear interest from that date until the date the amount is received.

(2) Any amount found to be owing, through an audit or otherwise, shall bear interest from the date it was due until the date the amount is received.

(3) Any amount that cannot be delivered at the address referred to in section 10 shall bear interest from the date when the person owing the amount receives notice of the new address to which it should be delivered until the date the amount is received.

(4) Interest shall be calculated daily at the Bank Rate effective on the last day of the previous month (as published by the Bank of Canada) plus one per cent. Interest shall not compound.

Addresses for Notices, Etc.

10. (1) Anything that the telecommunications service sends to NRCC shall be sent to 1250 Bay Street, Suite 400, Toronto, Ontario M5R 2B1, or to any other address of which the supplier has been notified.

(2) Anything that the NRCC sends to the person responsible for the payment of royalties shall be sent to the address provided to NRCC in accordance with section 5 or to any other address of which NRCC has been notified.

Delivery of Notices and Payments

11. (1) A notice may be delivered by hand, by postage paid mail, or by facsimile.

(2) A notice or payment mailed in Canada shall be presumed to have been received three business days after the day it was mailed.

(3) A notice sent by facsimile shall be presumed to be received the day it is transmitted.

12. (1) Any person that NRCC designates to receive a payment or notice shall have an address in Canada.

(2) NRCC shall notify the person responsible for the payment of royalties at least 60 days in advance of such designation or of any change therein.

Exclusions

13. This tariff shall not apply to music services covered by Tariff No. 16 or pay audio services covered by Tariff No. 17.

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