The CRTC has released its much-anticipated Bill C-11 ruling on the initial mandated contributions from Internet streaming services. The headline the Commission and government will promote is that the services will be required to contribute 5% of their Canadian revenues to support various Canadian funding programs that support film and TV production, news, and music. The decision is a perfect illustration of a sector that is too often focused on regulatory payments rather than market-based success with incredible micromanagement of funding in which the CRTC is turned into a policy funding machine of the government (no surprise that government officials spent last week calling stakeholders for advance supportive comments). For the moment, the actual contributions from Internet streaming services are ignored, an updated definition of Canadian content doesn’t exist, commercial success is irrelevant, and subsidies for the news operations of companies such as Bell and Rogers are encouraged. To top it off, the streaming services are required to pay but are unable to access the funds even as they invest in production in Canada. Bill C-11 was about “making web giants pay” and that is what the CRTC was determined to do even if it is consumers that will ultimately get the bill.
News
Huge Win for Copyright User Rights in Canada: Federal Court Rules Digital Lock Rules Do Not Trump Fair Dealing
The Federal Court has issued a landmark decision (Blacklock’s Reports v. Attorney General of Canada) on copyright’s anti-circumvention rules which concludes that digital locks should not trump fair dealing. Rather, the two must co-exist in harmony, leading to an interpretation that users can still rely on fair dealing even in cases involving those digital locks. The decision could have enormous implications for libraries, education, and users more broadly as it seeks to restore the copyright balance in the digital world. The decision also importantly concludes that merely requiring a password does not meet the standard needed to qualify for copyright rules involving technological protection measures. If this all sounds technical, this post provides the necessary background and then reviews the decision.
This is Who We Are Now
There was another shooting at a Jewish school in Montreal yesterday, which led to what has become the Canadian version of “thoughts and prayers”, namely a politician lamenting that “this isn’t who we are.” But months of escalating antisemitism make it clear that this is exactly who we are. Just this week, there were shootings at two Jewish schools in Canada, testimony at an Ottawa school board hearing on appalling antisemitism, a mother pulled her child out of a Burlington school due to antisemitism, a lawsuit was filed against OCAD, an Ontario university, for failing to provide Jewish students with a safe environment, and four university presidents told a Commons committee that antisemitism is a problem on campus and that the messaging coming out of the encampments are antisemitic. And it’s only Thursday.
Curb Your Enthusiasm: Why Bill S-210 Could Mandate CRTC-Backed Age Verification For Streaming Services Like Netflix, Crave and CBC Gem
There are many reasons to be concerned about Bill S-210, the mandated age verification bill that raises significant privacy and freedom of expression risks and which is being improbably backed by Conservative MPs. The bill would mandate age verification technologies that the Privacy Commissioner of Canada says creates concern given missing safeguards, it establishes website blocking that government officials warn could undermine net neutrality and an open Internet, and its broad scope goes beyond pornography websites to include search and social media. But beyond those concerns, government officials have now zeroed in another problem: the definition of “sexually explicit material” used in the bill effectively captures streaming services such as Netflix, Crave, Prime, and CBC Gem. As a result, watching a show such as Game of Thrones or some episodes of Curb Your Enthusiasm on a cable or satellite package comes only with a rating and warning, whereas streaming it via Crave would involve a mandated age verification process.
The Behind-the-Scenes Bill C-18 Battle: How Newspapers, Big Broadcasters and the CBC Are Trying to Seize Control Over How Google Money is Allocated to Canadian Media
Bill C-18, the Online News Act, is best known for two things: the government’s bad bet that Meta was bluffing when it said it would block news links in response to a system that mandated payments for links (news links have now been blocked for 10 months in Canada) and its attempt to salvage the legislation by striking a deal with Google worth $100 million annually. The Google deal has receded into the background, but the behind the scenes there is an intense battle over who will be selected to administer and allocate the annual $100 million. The outcome – which will be decided by Google by June 17th – will have enormous implications for Canadian media for years to come since it is anticipated that Google and the selected collective will negotiate a five year deal worth $500 million. Sources say that two proposals have emerged: a big media consortium led by News Media Canada (NMC), the Canadian Association of Broadcasters (CAB), and the CBC, pitted against a proposal spearheaded by a group of independent and digital publishers and broadcasters that is promising a more transparent and equitable governance approach.
Recent Posts
The Law Bytes Podcast, Episode 234: “Solutions Aren’t Going to be Found Through Nostalgia”: Mark Musselman on the CRTC Hearings on Canadian Content Rules 
Here We Go Again: Internet Age Verification and Website Blocking Bill Reintroduced in the Senate (With Some Changes) 
The Law Bytes Podcast, Episode 233: Abdi Aidid on AI, the Law and the Future of Legal Practice 
When the Drumbeat of Intolerance Becomes Too Loud to Ignore: Reflections on Campus Antisemitism, Academic Freedom and My Global Technology Law Exchange Course 
Solomon’s Choice: Charting the Future of AI Policy in Canada
