Canadian broadcasters to challenge new payments for songwriters and musicians

December 2005

Broadcasting, artists

A group of Canada’s largest broadcasters is looking to take legal action against the Copyright Board over the issue of royalty payments after new payment structures mean radio stations will have to increase their royalty payments to songwriters and musicians, in some cases, by as much as 30 per cent. These are the first changes for 25 years. Corus Entertainment, which owns radio stations right across the country, says this ruling will cost the network millions of dollars a year and it could lead to layoffs. Corus is joining CHUM and other networks in the fight. They’re asking for a judicial review of the ruling by the Copyright Board of Canada that radio broadcasters that earn more than $1.25 million will be paying a higher rate of 4.4 per cent of their revenues to SOCAN and 2.1 per cent of their revenues to NRCC. The old rate was 3.2 per cent to SOCAN and 1.44 per cent to NRCC (SOCAN is the Society of Composers, Authors and Music Publishers of Canada and NRCC is the Neighbouring Rights Collective of Canada).

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