7/17/2019 Howard Knopf U of T copyright conference final PP oct 2 2015.ppsx

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CANADA’S COPYRIGHT BOARD:PROUD LEGACY, PROBLEMS, POTENTIAL &

POSSIBILITIES

University of Toronto

October 2, 2015

COPYRIGHT IN CANADA CON!R!NC! 2015

HOWARD KNOPF

Co"nse#

$AC!RA % &AR'YNA, ((P

OTTA)A, CANADA*vie+s re -erson# n. not necessri#y t/ose of y r or

c#ients

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)/t I +i## cover3

 T/is is NOT 4yer in revie+6 I +i## .e# +it/ in y 7 18in"tes +it/9

• A brief /istory of t/e :or.

• Ho+ t/e :or. +or;s *n. .oesn<t +or;

• Co-yri=/t :or. t t/e Cross Ro.s > Is t/e ?yste?"stinb#e3

•  T/e De :eer Re-ort

• Act"#, even if nec.ot# s o--ose. to sttistic#, fcts

bo"t t/e :or.• )/et/er Co-yri=/t :or. tri@s re 4n.tory3

•  T/e Yor; University #iti=tion

• )/ere .o +e =o fro /ere3

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Co-yri=/t :or.• O-enin= t/o"=/ts bo"t bseb##, sttistics, Yo=i :err n. -re.ictions

• “When You Come to a Fork in the Road, Take It!” 

•  T/e Pr;er Re-ort of 1B5 re 4so"n. -ict"res n. 4bro.cstin=

• In 1B, Co-yri=/t A--e# :or. crete.

• Plus ça change

• Cn. once +or#. #e.er in co##ective oversi=/t

• I##Efte. Interntion# Assocition of Co-yri=/t A.inistrtive Instit"tions*IACAI inititive fro 72005

•  To.y, +e /ve /i=/#y -rofession#, co"rteo"s n. coitte. :or. +it/

consi.erb#e contin"ity n. cor-orte eory• However, to.y, it ro"tine#y t;es yers to =et to /erin= n. 2 yers to

.ecision, +/ic/ y be too often -rone to error

• Decisions re #ost #+ys si=nicnt#y retroctive, .es-ite +rnin= of?"-ree Co"rt of Cn. in 15 Maple Leaf e!"#"o$

• Cn. /s %r'e#( (r")*$% o+ "(# "$ )- +r $-w.ere "$ wor%

• C#e# o+(e$ !o#( / 01 2"%%"o$ (o %*$!. $ eve$ e+e$ $ %#( +or34 -er#

• Co#( (o (56-er# "# 7 01 2"%%"o$ 6er #"'$"8!$( e!"#"o$

• )/y is t/is so n. re -rties =ettin= t/eir oney<s +ort/3

• Prob#es over## re9

 –De%-

 –E56e$#e –Re(ro!("v"(-

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!ven t/e Co##ectives reCo-#inin=

• Recent tri@s t/t +on<t -y for t/ese#ves9 – Access Co-yri=/t Provinci# Governent Tri@

*+ort/ bo"t B80,000 over ten yers

 – Re9?o"n. Pn.or Tri@ *500,000 -er nn"reven"e, b"t if n. on#y if Pn.or #"nc/es in

Cn. > +/ic/ it /s not .one – Cn.ins sti## cn<t =et t/ere fro /ere re

Pn.or9We are deepl, deepl sorr to sa that due to licensing

constraints, e can no longer allo access to Pandora "orlisteners located outside o" the #$%$, &ustralia and 'e (ealand$ $Pandora$com 

 – Rection3 &".ici# revie+ > n. +/y not3

 – :"t certin co##ectives re =oin= stri=/t to t/e

Co"rt of P"b#ic O-inion or +orse

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Co##ective Res-onse

• Access Co-yri=/t s-en.in= its .+in.#in=

f"n.s on n "nconvincin= P+C re-ort3• Jery in--ro-rite #obbyin=Kstrot"rf

c-i=n by $"sicCn.6co94?en. n ei# to t/e C/ir of t/e Co-yri=/

t :or. of Cn. re9 Tri@ L333

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ro9 $"sicCn.6co%end an email to nel)appointed Copright *oard chair +ustice Roert &$ *lair, urging him to"acilitate the prosperit o" Canadian cultural usinesses rather than impede it recogni-ing the.alue o" the Canadian music industr "or all Canadians$

To Justice Robert A. Blair, Chair of the Copyright Board of Canada

Congratulations on our recent appointment as the chair o" the Copright *oard o" Canada$Under the previous leadership of the Copyright Board one year ago the Tari !decision to provide creators "ith rates #$% lo"er than those they had negotiatedco&&ercially. Msic

This decision discards ears o" agreements "reel negotiated eteen digital music ser.ice pro.iders and the music industr and sends a message to the orld that it does not .alue musicas a pro"ession$ This is inconsistent ith Canadian .alues$

These rates ere unprecedented gloall / the are one Msic o" the orld0s orst roalt rates"or non)interacti.e and semi)interacti.e music streaming$

1ne ear later Msic Tari2 3 decision remains a serious setack "or the music communit inCanada, "or artists and the music companies ho in.est in their careers$ This decision hascreated a regulator precedent that ignores the realit o" the marketplace and ill continue to

harm the usiness climate in this countr and create a Msic market uncertaint$

Toda Canadian recorded music digital re.enues and phsical re.enues comined onl representhal" o" re.enues 4"teen ears ago$ I urge ou in our ne position to make decisions thatrecogni-e the .alue o" the Canadian music industr "or all Canadians, and to create tari2s that pa creators "airl$ Canadian creators should not e paid less than their contemporaries aroundthe orld$

 As you begin your &andate please consider ho" the Copyright Board can facilitate the prosperity of Canadian cultural businesses rather than i&pede it.  *e-/sis ..e.

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)/ss"- on c"rrent /i=/ -ro#e &Rs3*i6e6 A--e#s

•  T/e Access Co-yri=/t &".ici# Revie+re Provinci# Tri@ 

•  T/e Re9?o"n. &".ici# Revie+ re Tri@L *t/e 4Pn.or tri@ 

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Tr")*$%9 A66%"!)%eRe'*%("o$# or R*%e# rePro!e*re

M$(e9 o+ S"'$"8!$(& S*)#($("ve De!"#"o$#6er -er

o+ Me2)er# o+S(;FTE

B*'e( <"=e= $e( !o#( o+ o6er("o$#>

Co6-r"'.( Bor9No6ro!e*r% re'*%("o$# "$6%!e o(.er (.$ Bor’#"$+or2% $ ver-'e$er%?D"re!("ve o$ Pro!e*re@

?ettin= Co-yri=/t Tri@s n.(evies -"rs"nt to Co-yri=/tActK 66= 6er -er= *?6 884Un#octb#e .ecisionscnnot be consi.ere. s4si=nicnt n. /ve never

invo#ve. n ct"# /erin=

U- to 5 f"## tie6C"rrent#y 1 f"## tie 1 -rt tie6 C/ir*c"rrent#yvcnt+/o "stbe sittin= or

retire. ".=e6

13 ,1,1*201BE201

Co26e("("o$ Tr")*$%9Co26e("("o$ Tr")*$% R*%e# <SOR911>

De#in= +it/ +i.e rn=e of--#ictions risin= froCompetition &ct K66= 1 6er -er #"$!e =

U- to si ".ici#ebers froe.er# Co"rt n.not ore t/n ei=/t#y ebers

,1,*201E2015

CRTC9Cn.in R.ioEte#evisionn. Te#eco"nictions Coission R"#es of Prcticen. Proce."re *?ORK2010E28

8

)i.e rn=e of #icensin= n.re="#tory oversi=/t inbro.cstin= n.te#eco"niction, internet,ntEs-, etc6K --6 00E800

.ecisions yer > nyinor b"t ny veryi-ortnt, e='= 1

C/ir, t+o JiceEC/irs n. "- to 10ntion# n.Re=ion#Coissioners

1,3,*201BE201*!-enses of 5,0B0 o@set by reven"esof 8,

C$"$ I$(er$("o$%Tre Tr")*$%9 See A!($ Re'*%("o$# /ere6

4interntion# tr.e cses,-roc"reent cses, c"stosn. ecise t --e#s n.=overnentEn.te.inQ"iries +it/in t/e Trib"n#<s "ris.ictionK1 e!"#"o$# "$ 11

U- to seven f"##tie ebersinc#".in= c/ir-erson

3 1,1=

C$"$ I$*#(r"%Re%("o$# Tr")*$%9Cn. In."stri# Re#tions :or. Re="#tions, 2012 *?ORK2001E520

Hn.#es ore t/n 00#bo"r re#te. tters "n.ere.er# "ris.iction, inc#".in=%tatus o" the &rtist &ct 6Pro!e##"$' ("2e# re 6*)%"#.e .ere=

C/ir, t+o JiceEC/irs, "- to si f"##tie ebers, n...ition# -rt tieebers

1,3,

Tre2r# O66o#"("o$Bor9 SeePrctice in Tr.er; O--osition Procee.in=s

R"#es on o--ositions tore=istrtion n. s6 5e-"n=eent6 $ny of t/eser"#in=s invo#ve /erin=s=91 e!"#"o$# re$ere "$ 111

A66= 1 2e2)er# $ 1 #(;  T/ese re ## -"b#icservice -ositions6

12 NKA

S*6re2e Co*r( o+

C$9R"#es of t/e ?"-ree Co"rt of Cn. *?ORK2002E15

Hi=/est Co"rt of Cn.6

Pro!e## 2ore (.$ %eve 66%"!("o$# $ "##*e# 66ro5"2(e%- e!"#"

Nine f"## tie

 "stices6

1 ,11,3

*net cost of o-ertions est6 for 201BE201

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Prof. De Beer: Distribution of certified tariffs applicable for the years 1999-2013!!!."ere#yDeBeer.ca$

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Prof6 De :eer9

 &ccording to m data, 367 di2erent tari2s ere certi4ed the Copright *oard in respect o" the 86)ear periodeteen and including 8999)7:8;$ There are 7:9 pendingtari2s that ere proposed "or that period ut ha.e not eteen certi4ed$ The certi4ed tari2s took an a.erage o" ;$6

 ears to certi" a"ter 4ling$ The average pending tari

has been outstanding for '.( years since )ling as ofMarch (*, +$*'. n average, taris are certi)ed +.+years after the beginning of the year in "hich theybeco&e applicable, "hich is in eect a period ofretroactivity . The standard de.iation in the time "rom

 proposal 4ling to tari2 certi4cation is 7 ears$ & hearing asheld in 73< o" tari2 proceedings$ The average ti&e fro&

 proposal )ling to a hearing in those proceedings "as -ust over ( years$ The average ti&e fro& a hearing totari certi)cation "as al&ost *.( years.

*e-/sis ..e.

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ro 6 e eer9 s cs e=r n= Tri@s Certie. )it/ n. )it/o"t

Herin=s!!!."ere#yDeBeer.ca$

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 &"st in cse yo" +ere +on.erin=9

In proailit theor  and statistics, se"ness is a measure o" theasmmetr o" the proailit distriution o" a real).alued random .ariale aout its mean$ The skeness .alue can e positi.e or negati.e, or e.enunde4ned$

*!cer-t fro )i;i-e.i entry for 4s;e+ness

In proailit theor  and statistics, urtosis ="rom >reek ? @ABDE, krtos or kurtos, meaning cur.ed, archingG is an measure o"the peakedness o" the proailit distriution o" a real).aluedrandom .ariale$H8 In a similar a to the concept o" skeness, kurtosis isa descriptor o" the shape o" a proailit distriution and, Just as "orskeness, there are di2erent as o" Kuanti"ing it "or a theoreticaldistriution and corresponding as o" estimating it "rom a sample "rom a population$ There are .arious interpretations o" kurtosis, and o" ho particular measures should e interpretedL these are primaril peakedness=idth o" peakG, tail eight, and lack o" shoulders =distriution primaril peak and tails, not in eteenG$

*!cer-t fro )i;i-e.i entry for 4;"rtosis

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TYPES OF TARIFFS CERTIFIEDBY COPYRIGHT BOARD

BETWEEN 1999 - 2013

NUMBER CERTFIFIEDTARIFFS FROM 1999 –

2013 (inc!"in#

$%&"&'&%in)'i*n+,

COMMENTS )n" .IN/S TO ACTUA. DECISIONS

E"!c)'i*n) Ri#'+ % This tariff is n* &'inc', since the collective was never able to

recover its costs

M&"i) M*ni'*%in# % This is a minor tariff that has *cc!i&" i''& B*)%" 'i&4

P%i5)'& C*6in# 9 Opposition to this tariff has essentially evaporated, since it now

only applies to the obsolete medium of blank CDs. The Boardlists each year from 202 to 20! as separate tariffs7

8!' '&%& &%& *n6 '* %*c&&"in#+ *% ')' &%i*"4

P!8ic P&%*%)nc& * M!+ic 39 This is by far the ma"or sector covered by the Board. There are

#$ tariffs listed, but % of them involved both &OC'( and

)e*&ound +formerly ()CC, so they should not be counted

separately. There are :1 "&ci+i*n+ 8&'&&n 1999 )n" 20137 some of which concern relatively minor matters.

R&%*"!c'i*n * M!+ic) W*%;+

11 T* * '&+& )%& $+!+&n"&" 86 '& F&"&%) C*!%' * A&) )n" *n& 8&c)& $in'&%i, )+ * N*5&8&% <7 2012

,R&%*"!c'i*n * S*!n" R&c*%"in#+ )n" P&%*%&%=+ P&%*%)nc&+

1 $T& ')%i7 '* '& &'&n' i' c*nc&%n+ CSI7 8&c*&+ in'&%i )+ * N*5&8&% <7 20124,

R&%*"!c'i*n * .i'&%)%6 W*%;

+

2 T&%& )%& : "&ci+i*n+7 *n6 *n& * ic )+ %&+!'&" in )n )

c'!) ')%i4R&'%)n+i++i*n * Di+')n' R)"i* > T? Si#n)+

% 22 "&ci+i*n+7 many or most of which are procedural or -interim 

$A%8i'%)'i*n, &'( The Board has rendered 1: "&ci+i*n+ between /// and 20#

all but one of which +now pendin1 in the &CC in CBC v&OD)'C were -interim. These are not part of rof. de Beer3s

analysis but are included in this chart for the sake ofcompleteness to show the Board4s level of activity. These are not

 -tariffs and even the term -arbitration is a misnomer.

TOTA. NUMBER OF TARIFFS

CERTIFIED

)% *+en this is an inflated nu#ber, and reflects a nu#ber of #inorredeter#inations and other less than si/nificant e+ents. But is still theBoards o!n nu#ber, as calculated fro# the Boards o!n postedinfor#ation. till, this is less than 10 of Prof. de Beers nu#ber of 42.

N!8&% * ')%i+ &% 6&)% *n

)5&%)#&

%.9

5his the total of )% certified tariffs di+ided by the nu#ber of years bein/studied 14$. This is greater than the number of decisions per year ,since #any of these tariffs are unopposed because they are uni#portant or

the ob6ectors cannot afford to participate in the Boards process, or forother reasons – such as the oppressi+e and intrusi+e interro/atoryprocess.

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Anec.ot# Act"# cts of (ifeI /ve re-ete.#y s"==este. on n nec.ot# bsis t/t9

• It often t;es t/e :or. fo"r yers or ore for tri@ to rec/ t/e /erin=st=e

• It often t;es t/e :or. t+o yers or ore fter t/e /erin= to ren.er .ecision

• T/e .ecision is invrib#y retroctive

e+, if ny, +/o re fi#ir +it/ t/e recent /istory of t/e :or. +o"#..is=ree +it/ y 4nec.ot# observtions, +/ic/ re esy to conr > sseen be#o+6 !ven t/e recent#y retire. C/irn stte. #ost 10 yers =ot/t t/e .e#y in .ecision ren.erin= +s ecessive6 T/is +s t tie +/en-rties +ere =r"b#in= bo"t ere 1L ont/ .e#ys6 In 6*)%"#.e #6ee!. +ro2 3, (.e $ow re("re C."r2$ o+ (.e Co6-r

"'.( Bor <W"%%"2 J$!"#e> #((e s/ort#y fter /is --ointent9

I am not at all happ ith the time it takes to render a 4nal decision$ Iha.e tried to address the issue and I can assure ou it ill e resol.ed$ /fthe 0upre&e Court of Canada can render a decision "ithin si1

&onths of a hearing, there is no reason "hy this Board cannot dothe sa&e. M goal is to see that this occurs$ *e-/sis ..e.

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$ore cts of (ife"ite -rt fro t/e rt/er in--osite conStion of t/e Co-yri=/t :or. n.t/e ?"-ree Co"rt of Cn., t/e botto #ine is t/t t/e tren. c#er#y seesto be =ettin= +orse rt/er t/n better6 Hence, Prof6 .e :eer<s over##conc#"sions re instnt#y Q"estionb#e, for e-#e +/en /e s"==ests t -=eB8 t/t 4It too; on ver=e f"rt/er 162 yers for t/e :or. to iss"e .ecision n. certify t/e tri@ fo##o+in= /erin=6 T/t obf"sctes t/e fctt/t, ny if not ost of t/e recent i-ortnt .ecisions /ve t;en "c/#on=er, for e-#e9

•  T/e E12 /erin=. )o*( (wo -er e%- "$ re$er"$' (.e e!"#"o$, +/ic/ +st/en reverse. by t/e ?"-ree Co"rt of Cn.6

•  It /s been= -er# #"$!e (.e Bor’# .er"$' "$ (.e A!!e## Co6-r"'.( Prov"$!"% $ Terr"(or"% Gover$2e$(# Tr";# < $ 11

>= in##y, on $y 22, 2015, +e /. e!"#"o$,w."!. I .ve "#!*##e "$ e("%, t/t is s"bect to ".ici# revie+6

•  T/e 4tness tri@ .isc"sse. be#o+ too; ore t/n t+o yers to .eci.einiti##y, n. ore t/n yer to reE.eterine fter s"bission of sett#eent =reeent6 I( (oo )o*( -er# over%% (o re#o%ve "$!o$!%*#"ve%-=

•  T/e Re:So*$ ?Tr"; @ ?P$or@ e!"#"o$ too; bo"t 1L ont/sfro t/e /erin= to ren.er .ecision

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e6=6 Recent Re9?o"n. 4itness Tri@*200LE2012

•  Tri@ +s #e. *$e ,

• :or. Herin= A-ri# 28 to $y 11, 2010

• :or. Decision &"#y , 2012

•  &".ici# Revie+ A--#iction i#e. A"="st 8, 2012

• Herin= by e.er# Co"rt of A--e# *4CANoveber 1, 201B

• Decision by e.er# Co"rt of A--e# ebr"ry 2,201

• Prties i#e ?ett#eent $rc/ 21, 201

• $ore t/n yer #ter, :or. --roves sett#eent=reeent +it/ inor ."stent Mr!. , 1

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?oe "estions t/t Nee. to beAs;e.

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 T/e $n.tory Tri@ ?-ectre

The Federal Court o" &ppeal =“FC&”G held that a collecti.e managementorgani-ation =“CM1”G can ask the *oard to appro.e a licensing scheme and thenimpose it on users$ /f correct, such users then have no choice other than todeal "ith the CM, and &ust, as a &atter of la", pay the entire speci)edroyalties if they &ae even a single unauthori2ed use of a single "orfro& the CM3s repertoire$ * so ruling, the FC& has upended the legislati.e

scheme$

The Inter.eners sumit that this holding 4hereinafter referred to as the5&andatory tari6 theory7 lacs any basis in la"8 standard principles ofstatutory interpretation contradict it9 the case la" debuns it9 and thelegislative history discredits it. /n addition to absurd results thatcontradict funda&ental tenets of the rule of la", the 5&andatory tari6

theory threatens to upset the balance in Canadian copyright la". It ouldo.erl compensate oners, contrar to this Court0s holding in ThNerge,  and itcould gut "air dealing and other users0 rights, contrar to hat this Court cautionedagainst in CCO$

*e-/sis ..e.

ro CIPP % t intervener brief .te. $rc/ 2, 2015 to t/e ?CC inCBC v. 0:RAC *notes oitte.

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 T/e Yor; University(iti=tion

• Re#tions/i- to Co-yri=/t :or. PostE?econ.ry Tri@ *+/ic/ is -rocee.in= e@ective#y by .ef"#t,+/ic/ -oses n enoro"s -rob#e for t/e :or.n. everyone e#se

• C"rrent ?tt"s9 Dee- in .iscovery, con.enti#ity% -rotective or.er, bif"rction, etc6

•  T/e $ot/er of Cn.in Co-yri=/t (iti=tioncses3

• )/t<s t st;e n. +/t co"#. /--en if Yor;#oses3

•  Tiin=9 :or. PostEsecon.ry cse be=ins &n"ry 1, 201 n. Yor; cse be=ins $y 1,

201 for 15 .ys6

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How "# (."# ;e!("$' Co6-r"'.( Bor 6r!("!e

• Pro-ose. in"="r# tri@s ybe no #on=er bn;b#e

ssets• Costs of obection y .eter obectors a initio n.

y contrib"te to +it/.r+#s n. .ef"#t -rocee.in=s

• (r=e #+ r re-resenttion of co##ectives bein=re-#ce. by inE/o"se co"nse#

• )i## c#ients e-ect #+ rs to 4t;e si.es in tri@cses eit/er for co##ectives or for "sers, s in #bo"r or.r"= -tent -rctice3

• Ne+ tri@s res"#tin= fro #e=is#tion "n#i;e#y in 4ntiE

t environent• ?oe co##ectives y cese to be vib#e

• Is 4t/e -rty over for t/e "#tiEi##ion .o##r #es t/tt;e for fo"r to si yers or ore "st to =et :or..ecision3

)/ i / ? # i 3

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)/t is t/e ?o#"tion3•C"rrent )or;in= Gro"- s"==estions y on#y ;e t/in=s +orse >+/y3

•Jery s/ort ter9

 – T/e ne+ C/ir, Hon6 Robert :#ir, /s i-ortnt e-erience inreforin= t/e Ontrio co"rts *n. in.irect#y t/e e.er# Co"rts int/e 10<s

 –Ho-ef"##y, /e cn .o #ot fro +it/in t/e :or. n. +it/o"tnee.in= to +it for ne+ re="#tions

•$e.i" ter9 –Re="#tions -"rs"nt to #re.y encte. "t/ority to .e# +it/

ste-s of -rocee.in=, tie#ines, .iscoveryKinterro=tories,4e-erts, ren.erin= of .ecisions, etc6

 –Possib#y even costs of obectors n. interveners, t/o"=/ t/is yreQ"ire #e=is#tion

•(on= ter9

 –Anot/er Pr;er Coission to #oo; t ro#es, res-onsibi#ities,=overnnce n. oversi=/t of co##ectives3

 –Possib#y even #oo;in= t 4c/inery iss"es invo#vin= Ptente.$e.icine Prices Revie+ :or., Notice of Co-#ince #iti=tion

re=ie, Co-etition Trib"n#, n. t/e -ossibi#ity of ne+4Inte##ect"# Pro-erty Trib"n# or ot/er innovtive n. visionry

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DVW v" ## over =in3

*ill C)9;, an omnius udget ill, “as de"eated in the %enateon +une 8:, 899;$ &mong other measures, this *ill pro.ided "orthe merger o" the Copright *oard and the Trade Marks1pposition *oard$ Thus, the Jurisdiction o" the *oard remainsunchanged$” 

 =C* &nnual Report 899;)899G

As of 20019

1nl "our ills )) *ill C); on aortion, *ill C)9; on thereorgani-ation o" certain oards, agencies, commissions and

triunals, *ill C)73 on the Q$*$ Pearson International &irport,and C)77: on pro4ting "rom authorship respecting a crime ha.e actuall een de"eated in the past se.eral decades, ithall o" these de"eats occurring in the 899:s$

THE CANADIAN SENATE IN FOCUS 131

 Coittees An. Privte (e=is#tion Directorte M- 1

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 T/e "t"re3• )/t +i## t/e e@ect be of

 – 4cor. c"ttin=

 – ?trein=

 – DR$ % TP$

 – Internet every+/ere

 – An. ne+ t/in=s +e cn<t i=ine3• Ho+ "c/ #on=er +i## co##ectives be "sef"# or

s"stinb#e3

• Ho+ "c/ #on=er +i## +e even nee. Co-yri=/t

:or.3• Unti# t/en, +e ## nee. to /e#- t/e :or. +or; +e## toserve Cn.ins n. #ive "- to its i-ortnt #e=cyfro &".=e Pr;er6

• An. reeber Yo=i :err *RIP9

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Conclusion