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un, 28, 2017 2:26PM CAS No, 0558 P, éîiïurt Facsimile Trausmittal Form / Formul

un, 28, 2017 2:26PM CAS No, 0558 P, éîiïurt Facsimile Trausmittal Form / Formulaire d'acheminement par télécopieur TO / DESTlNATAlREtSl i 1, Name / Nom : Me Barry Sookman Address / Adresse : Facsimile / Télécopieur : 416-868-0673 Telephone / Téléphone ; 2, Name / Nom : Me Gabriel Van Loon Address / Adresse : Facsimile / Télécopieur 613-233-6961 3. Name / Nom ; Me Gerald Kerr-Wilson Address / Adresse ; Facsimile /Télécopieur ; 613-230-6423 Telephone / Téléphone : 4. Name / Nom: Me Lynne Watt Address / Adresse : Facsimile / Télécopieur ; 613-563-9869 5, Name / Nom Me John C. Cotter Address / Adresse : Facsimile / Télécopieur ; 416-862-6666 Telephone / Téléphone : Telephone / Téléphone : 6. Name / Nom :Me David Kent Address / Adresse : Facsimile/Télécopieur ; 416-865-7048 Telephone / Téléphone ; FROM/EXPÉDITEUR: DATE: 2017-06-28 Thérèse Fadel TIME/HEURE: 2:05:12PM Registry officer Telephone / Téléphone ; 613-996-6795 Total number of pages (including this page) / Facsimile / Télécopieur : 613-952-7226 Nombre de pages (incluant cette page) : 39 SUBJECT / OBJET ; A-294-14 RE: SOUND v. CANADIAN ASSOCIATION OF BROADCASTERS ET AL, COMMENTS / REMARQUES : N.B : If you do not receive all pages being transmitted, please call the sender at the above telephone number, / Si vous ne recevez pas toutes les pages transmises, prière de communiquer avec l'expéditeur au numéro de téléphone ci-haut. 1,2017 2:27PM CAS No, 0558 dl^urt nf Appeal h'nppel fe^ÉraU Date: 2017062S Docket: A-294-14 Citation: 2017 FCA138 CORAM: STRATAS J.A. WEBB J.A. SCOTT J.A. BETWEEN: RE:SOUND Applicant and CANADIAN ASSOCIATION OF BROADCASTERS, PANDORA MEDIA INC, CANADIAN BROADCASTING CORPORATION, ROGERS COMMUNICATIONS INC., SHAW COMMUNICATIONS INC., QUEBECOR MEDIA INC., ALLIANCE DES RADIOS COMMUNAUTAIRES DU CANADA, ASSOCIATION DES RADIODIFFUSEURS COMMUNAUTAIRES DU QUÉBEC, and NATIONAL CAMPUS AND COMMUNITY RADIO ASSOCIATION Respondents and SOCIETY OF COMPOSERS, AUTHORS and MUSIC PUBLISHERS OF CANADA Intervener 2017 2:27PM CAS No. 0558 P. 3/: Page; 2 Heard at Toronto, Ontario, on February 24, 2016, Judgment delivered at Ottawa, Ontario, on June 28,2Û17. REASONS FOR JUDGMENT BY: CONCURRED IN BY: STRATAS J.A. WEBB JA. SCOTT J.A. Jun,28,2017 2: CAS No, 0558 P, i Cdnurt ^ppe^il Qlnur h'app^l Date: 20170628 Docket: A-294-14 Citation; 2017 FCA 138 CORAM; STRATAS J.A. WEBB J.A. SCOTT J.A. BETWEEN: RE:SOUND Applicant and CANADIAN ASSOCIATION OF BROADCASTERS, PANDORA MEDIA INC., CANADIAN BROADCASTING CORPORATION, ROGERS COMMUNICATIONS INC., SHAW COMMUNICATIONS INC., QUEBECOR MEDIA INC., ALLIANCE DES RADIOS COMMUNAUTAIRES DU CANADA, ASSOCIATION DES RADIODIFFUSEURS COMMUNAUTAIRES DU QUÉBEC, and NATIONAL CAMPUS AND COMMUNITY RADIO ASSOCIATION Respondents and SOCIETY OF COMPOSERS, AUTHORS and MUSIC PUBLISHERS OF CANADA Intervener 28,2017 2:27PM CAS No, 0558 P, 5 / Page: 2 REASONS FOR lUDGMENT STRATAS lA, [1] The applicant applies for judicial review from the decision dated May 16, 2014 of the Copyright Board, In its decision, the Board certified a Re:Soiind tariff setting royalties for the use of published sound recordings embodying musical works and performers' performances of such works in non-interactive and semi-interactive webcasting for the years 2009-2012. [2] The applicant alleges a number of grounds upon which the Board's decision must be quashed, [3] The standard of review is reasonableness, For the reasons set out below, the Board's decision is reasonable. In cases such as this, the Board is entitled to a broad margin of appreciation when it determines the right to equitable remuneration under section 19 of the Copyright Act, R.S.C., 1985, c. C-42 and the Board was well within that margin of appreciation. Therefore, I would dismiss the application with costs. A. Background [4] One of the Copyright Board's functions under the Copyright Act is to set fair and equitable rates in certifying the proposed tariffs filed by collective societies. The appellant is one such collective society. Jun. 28. 2017 2:28PM CAS No. 0558 P. 5/39 Page: 3 . [5] In 1997, performers and sound recording makers were given a new right—^found in section 19 of the Copyright Act—^to receive "equitable remuneration." [6] Under section 19, sound recording makers and performers have a right to be paid for the public performance or the communication to the public by telecommunication of published sound recordings embodying performers' performances of musical works. Royalties for this right are allocated equally between the sound recording makers and the performers. The Copyright Board determines the amount in accordance with Part V1Ï of the Copyright Act, discussed below. [7] Sometimes the rights of performers and sound recording makers are called "neighbouring rights" because they are similar to, but not the same as, the copyright granted to authors in, for example, musical works. Instead of an exclusive copyright to perform in public and communicate to the public by telecommunication, performers and sound recording makers^ rights are non-exclusive rights to receive equitable remuneration, See the Copyright Board' s decision inNRCC Tariff LA, dated August 13,1999, at p. 6. [8] The appellant, Re:Sound Musical Licensing Company ("Re:Sound"), formerly Neighbouring Rights Collective of Canada ("NRCC"), is a collective society that administers the right to receive equitable remuneration. [9] The Society of Composers, Authors and Music Publishers of Canada ("SOCAN") is the collective society that collects royalties for the use of the underlying musical works. It represents songwriters, composers and music publishers. SOCAN members' copyright in musical works is Jun. 28. 2017 2:28PM CAS No, 0558 P. 7/39 Page; 4 distinct from Re:Sound members' right to receive equitable remuneration, but, as we shall see, the Board has consistently found that these rights have the same economic value. [10] When a published sound recording of a performance of a musical work is publicly performed, royalties are payable both to SOCAN on behalf of the composer and publisher and to Re:Sound on behalf of the performer and sound recording maker. [11] The second part of Part VIÏ of the Act, entitled "Collective Administration of Performing Rights and of Communication Rights," establishes the regime under which the Board administers ' the proposed tariffs of both SOCAN and Re:Sound. [12] Under the Act, any collective society that administers the right to perform musical works or sound recordings in public, or communicate them by telecommunication to the public—this is, at present, only SOCAN and ReiSound—is governed by sections 67 to 69 of the Act. [13] Under these sections, each is required to file with the Board proposed tariffs to receive royalties for the use of their repertoires. The Board considers the proposals in light of any objections. In the end, the Board certifies a tariff, with any changes it deems necessary, [14] Subsection 68(2) of the Copyright Act is a key provision in this process. When examining a proposed Re:Sound or SOCAN tariff, the Board is subject to three mandatory requirements. The royalties paid must only cover eligible recordings, the Board must not place some users at a greater financial disadvantage than others by virtue of linguistic or content requirements and 28,2017 2:28PM CAS No, 0558 P, 8 / Page: 5 royalty payments must be made in a single payment. Other than these requirements, the Copyright Act (in paragraph 68(2)(/)) empowers the Board to take into account ''any factor that it considers appropriate" in establishing the terms and conditions of a tariff. [15] For reference, subsection 68(2) of the Copyright Act provides as follows: 68. (2) In examining a proposed tariff for the performance in public or the communication to the public by telecommunication of performer's performances of musical works, or of sound recordings embodying such performer's performances, the Board {a) shall ensure that (i) the tariff applies in respect of performer's performances and sound recordings only in the situations referred to in the provisions of section 20 other than subsections 20(3) and (4), (il) the tariff does not, because of linguistic and content requirements of Canada's broadcasting policy set out in section 3 of the Broadcasting Act, place some users that are subject to that Act at a greater financial disadvantage than others, and (iii) the payment of royalties by users pursuant to section 19 will be made in a single payment; and (b) may take into account any 68. (2) Aux: fins d'examen des projets de tarif déposés pour l'exécution en public ou la communication au public par télécommunication de prestations d'oeuvres musicales ou d'enregistrements sonores constitués de ces prestations, la Commission : a) doit veiller à ce que ; (i) les tarifs ne s'appliquent aux prestations et enregistrements sonores que dans les cas visés à l'article 20, à l'exception des paragraphes 20(3) et (4), (ii) les tarifs n'aient pas pour effet, en raison d'exigences différentes concernant la langue et le contenu imposées par le cadre de la politique canadienne de radiodiffusion établi à l'article 3 de laXof sur la radiodiffusion, de désavantager sur le plan financier certains utilisateurs assujettis à cette loi, (iii) le paiement des redevances visées àl'article 19parles utilisateurs soit fait en un versement unique; b) peut tenir compte de tout facteur Jun,28,2017 2:29PM CAS No, 0558 P, 9/39 Page: 6 factor that it considers appropriate. qu'elle estime indiqué. [16] Although there are no pie-set criteria that the Board must take uploads/Management/fca-fax-jun-28-2017-14-39-06-0665-pdf.pdf