Unless the Conservative Government creates new fair use or fair dealing provisions, proposed changes to the Canadian Copyright Act could make it illegal for consumers to record TV shows to view later at home, or copy music from their CDs to MP3 players. It is rumoured that the new copyright regime will enhance protection for major media companies and artists to prevent unpaid use of their material, but not make exemptions for private copying by consumers. Sources say that the new legislation is almost ready, but the Industry Minister and the Heritage Minister are still working on the final wording of some provisions. Two of the most controversial issues are those dealing with digital rights management (DRM) and technological protection measures (TPM). These tools allow content providers to prevent others from using digital media in ways that it wasn't intended for, such as unauthorized copying or distribution. It is likely that the amendments to the Copyright Act will make it illegal to circumvent DRM and/or TPM, or to sell tools or services to do so. While content providers such as the Canadian Recording Industry Association welcome tighter copyright controls, consumer advocates are urging the government to create fair use exemptions in the Copyright Act. US and Australian copyright laws have exemptions which allow consumers to copy material that they have purchased for their own personal use, but they are not allowed to circumvent DRM or TPM to do it. Meanwhile, in New Zealand consumers have free rein over the personal use of copyrighted material that they purchased. In Canada, consumers are permitted to copy content onto blank tapes or CDs because levies are added to the price of each blank tape or CD sold in Canada. Those levies are distributed as royalties to recording artists, compensating them for private copying by consumers. However there are no such levies on the sale of DVDs, MP3 players, cell phones, computer hard drives, or other storage media. Much of the press reporting on the topic, at this stage, is largely speculative. However, E-TIPS® will report in full on the amendments when they are introduced in Parliament. For more information, see: http://www.680news.com/news/national/article.jsp?content=n011061A Summary by: Andrei Edwards

E-TIPS® ISSUE

07 01 31

Disclaimer: This Newsletter is intended to provide readers with general information on legal developments in the areas of e-commerce, information technology and intellectual property. It is not intended to be a complete statement of the law, nor is it intended to provide legal advice. No person should act or rely upon the information contained in this newsletter without seeking legal advice.

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