Tariff 22 Decision Heading to Supreme Court

On March 27, 2003, the Supreme Court of Canada granted leave to the Canadian Association of Internet Providers ("ISPs") to appeal the Federal Court of Appeal's judgment of the Canadian Copyright Board's "Tariff 22" decision. The original decision of the Copyright Board ISPs to pay royalties to copyright music collectives, such as the Society of Composers, Authors and Music Publishers of Canada ("SOCAN"), for music downloaded over the Internet by the ISP's subscribers. No royalties were required to be paid where the ISP was acting solely as a conduit for the music being transferred. The Federal Court of Appeal altered the original decision of the Copyright Board by ruling that the tariff applied not only to Canadian ISPs, but also to foreign based servers that transmitted applicable files to a recipient in Canada, and that caching music files in memory triggered tariff liability on the part of ISPs. The Supreme Court granted the applicants, ISPs', application for leave to appeal. In addition, the Supreme Court also granted the respondent, SOCAN's, application for leave to cross-appeal. Stay tuned to E-Tips for up to date information on this action. For a copy of the Copyright Board's tariff 22 decision, visit: http://www.cb-cda.gc.ca/decisions/m27101999-b.pdf For more information on the Canadian Copyright Board, visit: http://www.cb-cda.gc.ca For a copy of the decision of the Federal Court of Appeal, visit: http://www.fct-cf.gc.ca/bulletins/whatsnew/a-764-99_e.pdf For a copy of the Supreme Court decision to grant leave to appeal, visit: http://www.lexum.umontreal.ca/csc-scc/en/com/2003/html/03-03-27.3a.html Summary by: Sue Diaz