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CPCC receives outstanding levies

August 18, 2008

The Canadian Private Copying Collective (CPCC) has received $1,750,000 in outstanding levies as a result of an action commenced against Samtack Computer Inc. and 1559435 Ontario Inc. This money was payable on blank audio recording media that were sold and not reported to the CPCC between February and December 2003. In return for this payment, the CPCC has agreed to discontinue its action against the companies.

“The CPCC is extremely pleased to have resolved this matter,” stated Annie Morin, Chair of the CPCC Board of Directors. “The CPCC will continue to aggressively collect outstanding levies owed to the rights holders. While not every case can be resolved as amicably as this one, the CPCC will continue to ensure rights holders are properly compensated and to maintain an even playing field for all Canadian manufacturers and importers of blank audio recording media.”

Under the Canadian Copyright Act, manufacturers and importers of qualifying blank audio recording media, such as CD-Rs, are legally obligated upon the sale of such media in Canada to report the sale and remit the related levy to the CPCC. The levies are distributed to music copyright holders in recognition of the fact that Canadians copy without authorization hundreds of millions of tracks of recorded music for their own private use. Since November 2004, the CPCC enforcement department has collected over $30 million through enforcement efforts which include market research, audits of reporting companies and litigation.

Enforcement of the levy is an integral part of the CPCC’s mandate. The CPCC is the non-profit agency charged with collecting and distributing private copying royalties. Established in 1999, the CPCC is a collective of collectives that represent songwriters, composers, music publishers, recording artists, musicians and record companies.

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