[Federal Register Volume 82, Number 13 (Monday, January 23, 2017)]
[Notices]
[Pages 7879-7880]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-01357]


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LIBRARY OF CONGRESS

Copyright Royalty Board

[Consolidated Docket No. 14-CRB-0011-SD (2010-13)]


Distribution of 2010-13 Satellite Royalty Funds

AGENCY: Copyright Royalty Board, Library of Congress.

ACTION: Notice requesting comments.

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SUMMARY: The Copyright Royalty Judges announce settlement of 
controversies and a request for partial distribution of satellite 
television retransmission royalties claimed by Music Claimants. Music 
Claimants include Broadcast Music, Inc. (BMI) and the American Society 
of Composers, Authors, and Publishers (ASCAP), as well as SESAC, Inc.

DATES: Comments are due on or before February 22, 2017.

ADDRESSES: Submit electronic comments via email to [email protected]. Those 
who choose not to submit comments electronically should see ``How to 
Submit Comments'' in the Supplementary Information section below for 
physical addresses and further instructions. This notice and request is 
also posted on the agency's Web site (www.loc.gov/crb) and on 
Regulations.gov (www.regulations.gov).

FOR FURTHER INFORMATION CONTACT: Kimberly Whittle, Attorney-Advisor, by 
telephone at (202) 707-7658 or email at [email protected].

SUPPLEMENTARY INFORMATION: Each year satellite systems must submit 
royalty payments to the Register of Copyrights as required by the 
statutory license set forth in section 119 of the Copyright Act for the 
retransmission to satellite subscribers of over-the-air television and 
radio broadcast signals. See 17 U.S.C. 119(b). The Copyright Royalty 
Judges (Judges) oversee distribution of royalties to copyright owners 
whose works were included in a qualifying retransmission and who filed 
a timely claim for royalties. Allocation of the royalties collected 
occurs in one of two ways. In the first instance, the Judges may 
authorize distribution in accordance with a negotiated settlement among 
all claiming parties. 17 U.S.C. 111(d)(4)(A). If all claimants do not 
reach agreement with respect to the royalties, the Judges must conduct 
a proceeding to determine the distribution of any royalties that remain 
in controversy. 17 U.S.C. 111(d)(4)(B). Alternatively, the Judges may, 
on motion of claimants and on notice to all interested parties, 
authorize a partial distribution of royalties, reserving on deposit 
sufficient funds to resolve identified disputes. 17 U.S.C. 
111(d)(4)(C), 801(b)(3)(C).
    On December 15, 2016, the Judges received a motion (Joint Motion) 
seeking distribution by stipulation to the Music Claimants from the 
satellite royalty funds deposited for royalty years 2010 through 2013, 
inclusive (the Funds). All participants \1\ in this consolidated 
proceeding (Moving Parties) endorsed the Joint Motion. In the Joint 
Motion, the Moving Parties notified the Judges that they stipulate and 
agree that Music Claimants shall receive a share of each of the 2010-13 
Funds as follows (the Music Claimants' Share):
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    \1\ Participants are: Motion Picture Association of America, 
Joint Sports Claimants, National Association of Broadcasters and the 
Commercial Television Claimants, Music Claimants, Canadian Claimants 
Group, Settling Devotional Claimants, National Public Radio, Public 
Broadcasting Service and the Public Television Claimants, and 
Multigroup Claimants.

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                   Year                              Percentage
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2010......................................  3.50
2011......................................  3.50
2012......................................  3.50
2013......................................  3.50
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    The Moving Parties stipulate that the value of the Music Claimants' 
Share is as listed above, minus the dollar value of partial 
distributions of the 2010-13 Funds that Music Claimants have received 
to date.\2\
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    \2\ The amounts Music Claimants have received in partial 
distribution from each year's portion of the 2010-13 Funds were 
calculated pursuant to confidential settlement agreements among the 
parties and were received from monies distributed by the Office of 
the Commissioner of Baseball as Common Agent for the parties. The 
amount of these partial distributions constitutes Restricted 
information pursuant to the Protective Order in this proceeding; the 
amounts are redacted from the public version of the Joint Motion and 
are disclosed only to the parties in accordance with the terms of 
the settlement agreements.
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    The Moving Parties represent that there are no outstanding inter- 
or intra-category controversies regarding the claims in the Music 
Claimant category. The Parties further stipulate and agree that these 
sums shall not be subject to repayment once distributed, that Music 
Claimants need not participate further in royalty distribution 
proceedings related to the 2010-13 Funds, and that no additional sums 
shall be distributed to Music Claimants in the future with respect to 
the 2010-13 Funds, provided that Music Claimants shall be entitled to 
receive the Music Claimants' Share of any additional royalties 
deposited into any of the 2010-13 Funds due to any audit of any cable 
system operator's Statement of Account pursuant to 37 CFR 201.16 that 
Music Claimants joined as participating copyright owners.
    The Moving Parties' further stipulate that the terms described in 
the Joint Motion represent a compromise and settlement and apply to the 
2010, 2011, 2012, and 2013 Cable Royalty Distribution Proceedings only; 
no party accepts the requested allocation as precedent and no party 
admits to any principle underlying the Music Claimants' Share.
    The Moving Parties therefore request that the Judges order a 
partial distribution of royalties to Music Claimants in the agreed 
amounts pursuant to section 801(b)(3)(C) of the Copyright Act.\3\ 17 
U.S.C. 801(b)(3)(C). That section requires that, before ruling on the 
motion, the Judges publish a notice in the Federal Register seeking 
responses to the motion for partial distribution to ascertain whether 
any claimant entitled to receive the subject royalties has a reasonable 
objection to the requested distribution. Accordingly, this Notice seeks 
comments from interested claimants on whether any reasonable objection 
exists that would preclude the distributions to Music

[[Page 7880]]

Claimants described in this Notice. Parties making objection to the 
partial distribution must advise the Judges of the existence and 
details of all objections by the end of the comment period. The Judges 
will not consider any objections with respect to the partial 
distribution motion that come to their attention after the close of the 
comment period.
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    \3\ The requested distributions represent partial distributions 
of the 2010-13 Funds, but constitute final distributions to the 
Music Claimants, except that Music claimants may share in the same 
proportion in the event a future audit results in additional 
deposits into any fund at issue in this proceeding.
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    The Judges have caused the joint motion (redacted public version) 
to be posted on the Copyright Royalty Board Web site at http://www.loc.gov/crb.

How To Submit Comments

    Interested members of the public must submit comments to only one 
of the following addresses. If not commenting by email or online, 
commenters must submit an original of their comments, five paper 
copies, and an electronic version on a CD.
    Email: [email protected]; or
    Online: www.regulations.gov; or
    U.S. mail: Copyright Royalty Board, P.O. Box 70977, Washington, DC 
20024-0977; or
    Overnight service (only USPS Express Mail is acceptable): Copyright 
Royalty Board, P.O. Box 70977, Washington, DC 20024-0977; or
    Commercial courier: Address package to: Copyright Royalty Board, 
Library of Congress, James Madison Memorial Building, LM-403, 101 
Independence Avenue SE., Washington, DC 20559-6000. Deliver to: 
Congressional Courier Acceptance Site, 2nd Street NE and D Street NE., 
Washington, DC; or
    Hand delivery: Library of Congress, James Madison Memorial 
Building, LM-401, 101 Independence Avenue SE., Washington, DC 20559-
6000.

    Dated: January 17, 2017.
Suzanne M. Barnett,
Chief U.S. Copyright Royalty Judge.
[FR Doc. 2017-01357 Filed 1-19-17; 8:45 am]
 BILLING CODE 1410-72-P