[Federal Register Volume 84, Number 62 (Monday, April 1, 2019)]
[Notices]
[Pages 12295-12296]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-06222]
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LIBRARY OF CONGRESS
Copyright Royalty Board
[Docket No. 2008-2 CRB CD 2000-2003 (Phase II) (Remand)]
Distribution of 2000-2003 Cable Royalty Funds
AGENCY: Copyright Royalty Board, Library of Congress.
ACTION: Notice requesting comments.
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SUMMARY: The Copyright Royalty Judges solicit comments on a motion of
Independent Producers Group for partial distribution of 2000-2003 cable
royalty funds.
DATES: Comments are due on or before May 1, 2019.
ADDRESSES: You may submit comments and proposals, identified by docket
number 2008-2 CRB CD 2000-2003 (Phase II) (Remand), by any of the
following methods:
CRB's electronic filing application: Submit comments online in eCRB
at https://app.crb.gov/.
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-
[[Page 12296]]
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.
Instructions: Unless submitting online, commenters must submit an
original, two paper copies, and an electronic version on a CD. All
submissions must include a reference to the CRB and this docket number.
All submissions will be posted without change to eCRB at https://app.crb.gov/ including any personal information provided.
Docket: For access to the docket to read submitted documents, go to
eCRB, the Copyright Royalty Board's electronic filing and case
management system, at https://app.crb.gov/ and search for docket number
2008-2 CRB CD 2000-2003 (Phase II) (Remand).
FOR FURTHER INFORMATION CONTACT: Anita Blaine, Program Specialist, by
telephone at (202) 707-7658 or email at [email protected].
SUPPLEMENTARY INFORMATION: Each year cable systems must submit royalty
payments to the Register of Copyrights as required by the statutory
license set forth in sec. 111 of the Copyright Act for the
retransmission to cable subscribers of over-the-air television and
radio broadcast signals. See 17 U.S.C. 111(d). The Copyright Royalty
Judges (Judges) oversee distribution of royalties to copyright owners
whose works were included in a qualifying transmission and who timely
filed a 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 April 21, 2017, Worldwide Subsidy Group LLC dba Independent
Producers Group (``IPG'') filed with the Judges a motion requesting a
partial distribution amounting to 21.52% of the cable royalty funds for
2000-2003 in the Devotional Category pursuant to sec. 801(b)(3)(C) of
the Copyright Act. 17 U.S.C. 801(b)(3)(C). Motion at 1, 5. IPG arrived
at 21.52% by multiplying IPG's final distribution of 28.7% of funds in
the Devotional Category for 1999 by 75%,
On April 26, 2017, the Settling Devotional Claimants (``SDC'')
filed an opposition to IPG's motion arguing, among other things, that
IPG is not an established claimant (but rather is a ``commercial entity
representing claimants'') and that ``there are strong reasons to doubt
that its single final distribution for 1999 will be predictive of
results in later years.'' SDC Opposition at 1-2. The SDC also
questioned whether IPG would be willing and able to disgorge funds if
necessary. Id.
On May 2, 2017, IPG replied to the SDC's opposition, contending
that IPG was already deemed an ``established claimant'' in the program
suppliers' category with respect to 2004-2009 cable royalties and that
IPG should not be precluded from receiving a partial distribution
merely because it is a claimant representative as opposed to an actual
claimant. IPG Reply at 2-3. IPG noted that ``[t]he vast majority of
entities receiving advances are `agents' of claimants.'' Id. at 3. IPG
argues that the SDC seeks to distinguish between IPG and other agents,
such as the Motion Picture Association of America (``MPAA''), the
National Association of Broadcasters (``NAB''), and PBS, which have
received partial distributions in the past, on the ground that MPAA,
NAB, and PBS are not commercially motivated, unlike IPG. IPG questioned
the relevancy of the distinction between for-profit organizations and
not for profit organizations, contending that ``while many of the
entities receiving advances are ostensibly non-commercial, they
nonetheless represent (and have received partial distributions on
behalf of) commercially motivated agents and commercially motivated
claimants.'' Id. at 4. IPG argued that were there such a rule
precluding for-profit entities from receiving partial distributions,
IPG would not have been permitted to receive a partial distribution of
royalties in the program suppliers' category. Id. at 4-5.\1\ IPG
dismissed the SDC's concerns regarding IPG's ability or willingness to
disgorge funds if necessary as ``unsubstantiated and non-sequitur
`suspicions' of IPG's alleged insolvency and alleged refusal to abide
by its contractual relationships.'' Id. at 8.
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\1\ For its part, the SDC concedes that, based on IPG's final
award for 2000-2003 in the program suppliers' category, MPAA
conceded that IPG was entitled to a partial distribution in that
category for 2004-2009 and that the Judges accepted MPAA's
concession. Nevertheless, the SDC ``did not and do not make such a
concession in the Devotional category based on IPG's final award for
a single year.'' SDC Opposition at n.2.
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Prior to ruling on a motion for partial distribution filed under
Sec. 801(b)(3)(C) of the Copyright Act, the Judges must publish a
notice in the Federal Register to determine whether any interested
claimant entitled to receive such royalty fees has a reasonable
objection to the partial distribution. Accordingly, this Notice seeks
comments from interested claimants on whether any reasonable objection
exists that would preclude the distribution of 21.52% of the 2000-2003
cable royalty funds in the Devotional category to IPG. As the Judges
have commenced a distribution proceeding concerning 2000-03 cable
royalties, only claimants that have filed petitions to participate in
the proceeding (or are included in a petition to participate filed on
their behalf) are ``interested claimants'' for purposes of this Notice.
Interested claimants objecting to the partial distribution must advise
the Judges of the existence and extent 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.
Dated: March 27, 2019.
Jesse M. Feder,
Chief Copyright Royalty Judge.
[FR Doc. 2019-06222 Filed 3-29-19; 8:45 am]
BILLING CODE 1410-72-P