Vol. 148, No. 14 — July 2, 2014

Registration

SI/2014-58 July 2, 2014

COPYRIGHT MODERNIZATION ACT

Order Fixing the Day that is Six Months after the Day on which this Order is published as the Day on which Certain Provisions of the Copyright Act Come into Force

P.C. 2014-675 June 12, 2014

His Excellency the Governor General in Council, on the recommendation of the Minister of Industry, pursuant to section 63 of the Copyright Modernization Act (“the Act”), chapter 20 of the Statutes of Canada, 2012, fixes the day that is six months after the day on which this Order is published in the Canada Gazette, Part II, as the day on which sections 41.25 and 41.26 and subsection 41.27(3) of the Copyright Act, as enacted by section 47 of the Act, come into force.

EXPLANATORY NOTE

(This note is not part of the Order.)

Proposal

This Order fixes the date on which certain provisions of the Copyright Modernization Act (the Act) come into force.

Pursuant to section 63 of the Act, the Governor in Council fixes the day that is six months after the day on which the Order is published in the Canada Gazette, Part II, as the day on which sections 41.25, 41.26, and subsection 41.27(3) of the Copyright Act come into force.

Objective

The objective of this Order in Council is to bring into force the notice and notice regime, an important part of Canada’s modern copyright regime. The regime is intended to discourage online copyright infringement by providing copyright owners with a tool to enforce their rights, while also respecting the interests and freedoms of users.

Background

The notice and notice regime will legally require Internet intermediaries, such as Internet Service Providers (ISPs), hosts and search engines, to take action upon receiving a notice of alleged infringement from a copyright owner. It formalizes the voluntary system that some copyright owners and ISPs currently participate in.

The majority of the provisions of the Copyright Modernization Act came into force on November 7, 2012. At that time, the coming into force of the provisions related to the notice and notice regime was delayed to allow for the consideration of a regulatory process.

In late 2013, the Ministers of Industry Canada and Canadian Heritage sought views on the implementation of the notice and notice provisions from individuals and entities that were likely to be directly implicated. The Ministers sought feedback on what, specifically, should be required in the form and content of notices and what, if any, regulations would be needed, in addition to what the law requires.

With this process now complete, the Government is bringing into force these provisions after determining that the regime will function without regulations, as the elements in the legislation are sufficient. The law provides flexibility for stakeholders to work together to develop industry standards to improve the efficiency and effectiveness of their participation in the regime. Marketplace solutions that deter infringement continue to be welcomed and the Government looks forward to seeing further solutions as they develop.

To provide Internet intermediaries the time needed to implement or modify their systems before the provisions are in force, the provisions will come into force six months after the publication of this Order in Council.

Financial implications

There are no financial implications to the Government associated with this Order.

Consultation

In response to their call for views on implementation of the notice and notice regime in late 2013, the Ministers received nearly 60 responses from stakeholders, including

• over 10 traditional ISPs and 2 ISP organizations representing small ISPs;
• over five other Internet intermediaries including hosts, search engines and other organizations that consider themselves intermediaries for the purpose of the notice and notice regime;
• over 35 copyright owners or creator organizations (including representation from the music, film, photography industries, literary publishers, writers, and collectives);
• one from a public interest/consumer organization; and
• two from individual Canadians.

A wide variety of views were shared regarding whether regulations were necessary.

• Some copyright owners, including the major industry associations, argued that regulations are not necessary because, in their view, the specifications in the law are sufficient.
• Other copyright owners, including collectives and some creator groups, requested that the Government regulate to require, among other things, that notices contain information to discourage online infringement.
• ISPs, hosts, and other intermediaries requested that the Government regulate to require that notices be in some kind of standardized format and include some additional information, which they argued would allow their notice systems to operate more effectively.
• Smaller ISPs expressed concern that the cost of complying with the notice and notice obligations without cost-recovery would be challenging for them.

Some entities and individuals also shared views on issues outside the scope of the call for views, such as fees for passing on notices and alternatives to the notice and notice regime.

Departmental contacts

Anne-Marie Monteith
Director
Copyright and Trade-mark Policy
Industry Canada
235 Queen Street
Ottawa, Ontario
K1A 0H5
Telephone: 613-952-2527
Fax: 613-941-8151

Lara Taylor
Director
Policy and Legislation
Canadian Heritage
25 Eddy Street
Gatineau, Quebec
K1A 0M5
Telephone: 819-934-8963
Fax: 819-953-6720