Post Tagged with: "CRIA"

Harper Letter to Music Canada on Budget Day Confirms Copyright Extension the Product of Industry Lobbying

Harper Letter to Music Canada on Budget Day Confirms Copyright Extension the Product of Industry Lobbying

The government’s decision to extend the term of copyright for sound recordings in the budget may have taken most copyright observers by surprise, but not the music industry. I’ve posted earlier on their extensive lobbying efforts on the issue and how the extension will reduce competition, increase costs for consumers, and harm access to Canadian Heritage. The record of lobbyist meetings gives a hint of the reasons behind the extension, but a letter sent by Prime Minister Stephen Harper that I recently obtained suggests that it all it took was a letter from Music Canada President Graham Henderson to the Prime Minister.

The Harper letter was sent on April 21, 2015, the day the budget was tabled. It states:

Thank you for your recent letter regarding the copyright term for sound recordings. I have reviewed this material carefully, and share your view that the current term of copyright protection for sound recordings falls short of what is required to protect artists and ensure they are fairly compensated for their work.

Please know that, as announced today in Budget 2015, our Government will extend copyright protection for sound recordings from 50 to 70 years. The extension will be incorporated into the Budget Implementation Act, and will be in effect immediately upon passage of the legislation.

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May 15, 2015 21 comments News
Girl in Front of Beatles Mural by James Jardine (CC BY-NC-ND 2.0) https://flic.kr/p/dbQUCt

Lobbying & Licensing: Behind the Recording Industry’s Campaign to Squeeze Out New Competitors

My recent posts on the government’s surprise budget announcement that it plans to extend the term of copyright protection for sound recordings generated considerable private feedback, with several industry sources suggesting that the change is not quite what it seems. In fact, despite painting the reform as an effort to protect the rights of artists, foreign record companies have been primarily concerned with eliminating new competitors who offer cheaper, legal public domain recordings of popular artists such as the Beatles, Beach Boys, Bob Dylan, and the Rolling Stones.

From a consumer perspective, there is little doubt that the change will lead to higher prices for music. Multiple studies on copyright term extension for sound recordings have concluded that public domain recordings encourage competition between release companies and drive down the price for consumers. The songwriters are paid either way, but the consumers win with more choice and lower priced music.

My weekly technology law column (Toronto Star version, homepage version) notes that while some artists have lent support to the government’s proposed changes, the bigger story is what has been happening behind the scenes. As new public domain-based recordings began to appear at major Canadian retailers, foreign record labels adopted a two-pronged strategy: intense lobbying for legislative changes to lock down recordings for decades and blocking royalty payments to copyright owners to keep the new competitors out of the market.

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May 5, 2015 4 comments Columns
amoeba records by Chris Frewin (CC BY-NC-ND 2.0) https://flic.kr/p/5HrsCM

Competition Killer: Why the Copyright Term Extension For Sound Recordings Will Limit Consumer Choice and Increase Costs

As the negative coverage of the government’s surprise decision to extend the term of copyright for sound recordings and performances mounts (Billboard, National Post), it is worth remembering that it is Canadian consumers that will bear the costs with decreased choice and increased prices. I touch on this in my weekly technology law column (Toronto Star version, homepage version), but a more detailed discussion is warranted (see here, here, and here for previous posts on the proposed extension).

The question of competition and consumer costs was addressed in several leading European reports on intellectual property and term extension. The University of Cambridge’s Centre for Intellectual Property and Information Law reviewed the economic evidence related to term extension for sound recordings, stating:

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April 27, 2015 10 comments Columns
Buffy-Sainte-Marie-DSC_2407 by sidrguelph (CC BY-SA 2.0) https://flic.kr/p/6NkJNh

Canadian Recording Industry: Works Entering the Public Domain Are Not in the Public Interest

On World Book and Copyright Day, it is worth noting how Graham Henderson, the President of Music Canada (formerly the Canadian Recording Industry Association) characterized the government’s decision to extend the term of copyright in sound recordings and performances:

With each passing day, Canadian treasures like Universal Soldier by Buffy Sainte-Marie are lost to the public domain. This is not in the public interest.  It does not benefit the creator or their investors and it will have an adverse impact on the Canadian economy.”

This statement raises several issues. First, it should be noted that the song Universal Soldier by Buffy Sainte-Marie is not in the public domain nor will it be entering the public domain for decades. As the songwriter, Buffy Sainte-Marie still holds copyright in the song and will do so for her entire lifetime plus an additional 50 years (Howard Knopf further explains the issue of copyright term in songs in this post).

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April 23, 2015 22 comments News
Like a record baby by Maarten Hornstra (CC BY-NC-SA 2.0) https://flic.kr/p/6VD4Dv

The Great Canadian Copyright Giveaway: Why Copyright Term Extension for Sound Recordings Could Cost Consumers Millions

Randy Bachman, the well-known Canadian musician, found himself embroiled in a public fight with Prime Minister Stephen Harper last year when Harper used his song “Takin’ Care of Business” as a theme song for a major speech. Bachman said he probably would not have granted permission to use the song, since “I don’t think he’s taking care of business for the right people or the right reasons.” Bachman was singing a different tune yesterday as the government released its budget and apparently took care of the right people – record companies. Despite no study, no public demands, and the potential cost to the public of millions of dollars, the government announced that it will extend the term of copyright for sound recordings and performances from 50 to 70 years. For that giveaway, Bachman was quoted as saying “thanks for the term extension PM Harper, you really are taking care of business.”

While the government lined up industry supporters to praise the term extension, the decision is unexpected and unnecessary (it also announced that it will accede to the Marrakesh copyright treaty for the blind, but that should not require significant domestic reforms). The music industry did not raise term extension as a key concern during either the 2012 copyright reform bill or the 2014 Canadian Heritage committee study on the industry. Experience elsewhere suggests that the extension is a windfall for record companies, with little benefit to artists or the public. In fact, many countries that have implemented the extension have been forced to do so through trade or political agreements, while signalling their opposition along the way.

Canada will extend term without any public discussion or consultation, yet other studies have found that retroactive extension does not lead to increased creation and that the optimal term length should enable performers and record labels to recoup their investment, not extend into near-unlimited terms to the detriment of the public. For Canadian consumers, the extension could cost millions of dollars as works that were scheduled to come into the public domain will now remain locked down for decades.

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April 22, 2015 55 comments News