TORONTO – The Society of Composers, Authors and Music Publishers of Canada (SOCAN) has launched legal proceedings against satellite radio service XM Canada for non-payment of copyright royalties.
SOCAN says that XM Canada has failed to pay the required fees, despite the Copyright Board of Canada’s approval of the performing right royalties to be paid by satellite radio services in April, 2009. The royalties, which cover the use of music by XM Canada and its competitor Sirius Satellite Radio, were due to be paid by the services no later than July 31, 2009, and on a monthly basis going forward.
XM Canada is required to pay 4.26% of its service revenues for the period beginning January 2005 to SOCAN.
"SOCAN finds XM’s position untenable, particularly in light of the fact that satellite radio service operators knew of their requirement to pay SOCAN royalties well before they began operations in 2005, and after a lengthy Copyright Board hearing that took place in December 2007," says C. Paul Spurgeon, SOCAN’s VP of legal services and general counsel, in the press release.