[Federal Register Volume 78, Number 159 (Friday, August 16, 2013)]
[Pages 50113-50114]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-19891]



Copyright Royalty Board

[Docket No. 2012-6 CRB CD 2004-2009 (Phase II)]

Distribution of 2004, 2005, 2006, 2007, 2008, and 2009 Cable 
Royalty Funds

AGENCY: Copyright Royalty Board, Library of Congress.

ACTION: Initiation of Phase II proceeding and request for Petitions to 


SUMMARY: The Copyright Royalty Judges (Judges) announce the 
commencement of a proceeding to determine the Phase II distribution of 
royalties deposited with the Register of Copyrights for the statutory 
license allowing distant retransmission of over-the-air television and 
radio broadcast signals by cable system operators. The funds to be 
distributed are those relating to broadcast years 2004, 2005, 2006, 
2007, 2006, and 2009. The Judges also announce the date by which any 
party wishing to participate in this distribution proceeding must file 
its Petition to Participate and the accompanying $150 filing fee, if 

DATES: Petitions to Participate and the filing fee are due on or before 
September 16, 2013.

ADDRESSES: Participants must submit an original, five paper copies, and 
an electronic copy in Portable Document Format (PDF) on a CD of the 
Petition to Participate, along with the $150 filing fee, to the 
Copyright Royalty Board by either mail or hand delivery. Participants 
MAY NOT submit Petitions to Participate and the $150 filing fee by an 
overnight delivery service other than the U.S. Postal Service Express 
Mail. If participants choose to use U.S. Postal Service (including 
overnight delivery), they must address their submissions to: Copyright 
Royalty Board, P.O. Box 70977, Washington, DC 20024-0977. If 
participants choose hand delivery by a private party, they must deliver 
the submissions to the Library of Congress, James Madison Memorial 
Building, LM-401, 101 Independence Avenue, SE., Washington, DC 20559-
6000. If participants choose delivery by a commercial courier, they 
must deliver the submissions to the Congressional Courier Acceptance 
Site, located at 2nd and D Street NE., Washington, DC. The envelope 
must be addressed to: Copyright Royalty Board, Library of Congress, 
James Madison Memorial Building, LM-403, 101 Independence Avenue SE., 
Washington, DC 20559-6000.

FOR FURTHER INFORMATION CONTACT: LaKeshia Keys, CRB Program Specialist, 
by telephone at (202) 707-7658, or email at [email protected].



    Twice each calendar year, cable system operators must deposit 
royalty payments with the Copyright Office for the statutory license 
granting the privilege of retransmitting over-the-air television and 
radio broadcast signals. 17 U.S.C. 111. The royalties are then 
distributed to copyright owners whose works were retransmitted and who 
timely filed a claim for royalties.
    The royalties at issue in this proceeding are being distributed in 
two phases. For broadcast years 2004 and 2005, the Judges conducted 
Phase I hearings, after which they determined the percentage allocation 
of the royalties among representatives of the major categories of 
copyrightable content (movies, sports programming, music, etc.). For 
broadcast years 2006 through 2009, the parties settled their 
controversies. The Judges authorized a final Phase I distribution for 
all six years at issue currently by order dated February 17, 2012 \1\. 
The Phase I distribution order for broadcast years 2004 through 2009 
provided for retention of $20 million in cable royalty funds, divided 
equally among each of the six years, and $13 million in satellite 
royalty funds,\2\ divided equally among each of the six years, pending 
resolution of remaining controversies regarding proper distribution and 
allocation of those funds. The purpose of this Phase II proceeding is 
to allocate the royalties among the various copyright owners within 
each category.

    \1\ See Order on Motions for Distribution in Docket Numbers 
2007-3 CRB CD 2004-05; 2008-4 CRB CD 2006; 2009-6 CRB CD 2007; 2010-
6 CRB CD 2008; 2011-7 CRB CD 2009; 2010-2 CRB SD 2004-07; 2010-7 CRB 
SD 2008; 2011-8 CRB SD 2009.
    \2\ This notice relates only to cable royalties; satellite 
royalties shall be the subject of a separate notice.

Commencement of Phase II Proceeding

    The Judges determine that a Phase II controversy exists as to the 
distribution of the retained cable royalty funds deposited for 
broadcast years 2004 through 2009, inclusive. On July 27, 2012, three 
Phase I participants, Joint Sports Claimants, Program Suppliers, and 
Devotional Claimants filed a Joint Motion to Initiate Phase II 
Proceedings (Joint Motion), representing that all other Phase I 
category royalty recipients had resolved their remaining controversies 
and seeking to consolidate the proceeding for years 2004-05 with

[[Page 50114]]

proceedings for years 2006 through 2009.
    Independent Producers Group (IPG) objected to the motion, citing 
unresolved distribution of royalties deposited for royalty years 
antedating 2004 and asserting that the earlier distributions should be 
completed before initiating a proceeding for the funds at issue in this 
proceeding. In the interim, between the Joint Motion and this notice, 
the Judges have resolved or scheduled for resolution all issues 
remaining in the earlier proceedings. IPG's objection to initiating 
this Phase II proceeding is not persuasive as it is no longer germane.
    In light of the outstanding Phase II controversies with respect to 
cable royalties for 2004 to 2009, inclusive, the Judges hereby grant 
the Joint Motion, initiating a Phase II proceeding and consolidating 
all extant proceedings relating to cable royalties for the years 2004 
through 2009, inclusive, for resolution under the docket number noted 

Petitions To Participate

    Any interested party must file a Petition to Participate (PTP) in 
accordance with 37 CFR 351.1(b)(2). PTPs submitted by interested 
parties whose claims do not exceed $1,000 must contain a statement that 
the party will not seek a distribution of more than $1,000. The Judges 
will accept PTPs for claims not exceeding $1,000 without a filing fee. 
The Judges will reject the PTP of any party asserting a claim in excess 
of $1,000 that is not accompanied by the filing fee of $150. The filing 
fee must be paid by check or money order payable to the ``Copyright 
Royalty Board.'' If a check is returned for insufficient funds, the 
corresponding Petition to Participate will be dismissed.
    To participate in this Phase II proceeding, a party, other than an 
individual, must be represented by an attorney.
    The Judges will address scheduling and further procedural matters 
after Petitions to Participate are filed.

    Dated: August 12, 2013.
Suzanne M. Barnett,
Chief Copyright Royalty Judge.
[FR Doc. 2013-19891 Filed 8-15-13; 8:45 am]