[Federal Register: October 2, 2001 (Volume 66, Number 191)]
[Notices]
[Page 50220-50222]
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LIBRARY OF CONGRESS
Copyright Office
[Docket No. 2001-5 CARP SD 99]
Ascertainment of Controversy for the 1999 Satellite Royalty Funds
AGENCY: Copyright Office, Library of Congress.
ACTION: Notice with request for comments and notices of intention to
participate.
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SUMMARY: The Copyright Office of the Library of Congress directs all
claimants to royalty fees collected under the section 119 satellite
statutory license in 1999 to submit comments as to whether a Phase I or
Phase II controversy exists as to the distribution of those fees, and a
Notice of Intention to Participate in a royalty distribution
proceeding.
DATES: Comments and Notices of Intention are due on October 16, 2001.
ADDRESSES: If sent by mail, an original and five copies of written
comments and a Notice of Intention to Participate should be addressed
to: Copyright
[[Page 50221]]
Arbitration Royalty Panel (CARP), PO Box 70977, Southwest Station,
Washington, DC 20024. If hand delivered, an original and five copies
should be brought to the Office of the General Counsel, James Madison
Memorial Building, Room 403, First and Independence Ave., SE.,
Washington, DC 20540.
FOR FURTHER INFORMATION CONTACT: David O. Carson, General Counsel, or
Tanya M. Sandros, Senior Attorney, Copyright Arbitration Royalty
Panels, PO Box 70977, Southwest Station, Washington, DC 20024.
Telephone: (202) 707-8380. Telefax: (202) 252-3423.
SUPPLEMENTARY INFORMATION: Each year satellite carriers submit
royalties to the Copyright Office for the retransmission to their
subscribers of over-the-air broadcast signals. These royalties are, in
turn, distributed in one of two ways to copyright owners whose works
were included in a retransmission of an over-the-air broadcast signal
and who timely filed a claim for royalties with the Copyright Office.
The copyright owners may either negotiate the terms of a settlement as
to the division of the royalty funds, or the Librarian of Congress may
convene a Copyright Arbitration Royalty Panel (``CARP'') to determine
the distribution of the royalty fees that remain in controversy. See 17
U.S.C. chapter 8.
During the pendency of any proceeding, the Librarian of Congress
may distribute any amounts that are not in controversy, provided that
sufficient funds are withheld to cover reasonable administrative costs
and to satisfy all claims with respect to which a controversy exists
under his authority set forth in section 119(b)(4)(C) of the Copyright
Act, title 17 of the United States Code. See, e.g., Orders, Docket No.
2000-7 CARP SD 96-98 (dated October 12, 2000) and Docket No. 97-1 CARP
92-95 (dated March 17,1997). However, the Copyright Office must, prior
to any distribution of the royalty fees, ascertain who the claimants
are and the extent of any controversy over the distribution of the
royalty fees.
The CARP rules provide that:
In the case of a royalty fee distribution proceeding, the
Librarian of Congress shall, after the time period for filing
claims, publish in the Federal Register a notice requesting each
claimant on the claimant list to negotiate with each other a
settlement of their differences, and to comment by a date certain as
to the existence of controversies with respect to the royalty funds
described in the notice. Such notice shall also establish a date
certain by which parties wishing to participate in the proceeding
must file with the Librarian a notice of intention to participate.
37 CFR 251.45(a). The Copyright Office may publish this notice on its
own initiative, see, e.g., 64 FR 23875 (May 4, 1999); in response to a
motion from an interested party, see, e.g., 65 FR 54077 (September 6,
2000), or in response to a petition requesting that the Office declare
a controversy and initiate a CARP proceeding. In this case, the Office
has received a motion for a partial distribution of the 1999 satellite
royalty fees.
On September 26, 2001, representatives of the Phase I claimant
categories to which royalties have been allocated in prior satellite
distribution proceedings filed a motion with the Copyright Office for a
partial distribution of the 1999 satellite royalty fund. The Office
will consider this motion after each interested party has been
identified by filing the Notice of Intention to Participate requested
herein and had an opportunity to file responses to the motion.
1. Comments on the Existence of Controversies
Before commencing a distribution proceeding or making a partial
distribution, the Librarian of Congress must first ascertain whether a
controversy exists as to the distribution of the royalty fees and the
extent of those controversies. 17 U.S.C. 803(d). Therefore, the
Copyright Office is requesting comment on the existence and extent of
any controversies, at Phase I and Phase II, as to the distribution of
the 1999 satellite royalty fees.
In Phase I of a satellite royalty distribution, royalties are
distributed to certain categories of broadcast programming that has
been retransmitted by satellite carriers. The categories have
traditionally been syndicated programming and movies, sports,
commercial and noncommercial broadcaster-owned programming, religious
programming, and music programming. The Office seeks comments as to
controversies between these categories for royalty distribution.
In Phase II of a satellite royalty distribution, royalties are
distributed to claimants within a program category. If a claimant
anticipates a Phase II controversy, the claimant must state each
program category in which he or she has an interest that has not, by
the end of the comment period, been satisfied through a settlement
agreement.
The Copyright Office must be advised of the existence and extent of
all Phase I and Phase II controversies by the end of the comment
period. It will not consider any controversies that come to our
attention after the close of that period.
2. Notice of Intention To Participate
Section 251.45(a) of the rules, 37 CFR, requires that a Notice of
Intention to Participate be filed in order to participate in a CARP
proceeding, but it does not prescribe the contents of the Notice.
Recently, in another proceeding, the Library has been forced to address
the issue of what constitutes a sufficient Notice and to whom it is
applicable. See 65 FR 54077 (September 6, 2000); see also Orders in
Docket No. 2000-2 CARP CD 93-97 (June 22, 2000, and August 1, 2000).
These rulings will result in a future amendment to Sec. 251.45(a) to
specify the content of a properly filed Notice. In the meantime, the
Office advises those parties filing Notices of Intention to Participate
in this proceeding to comply with the following instructions.
Each claimant that has a dispute over the distribution of the 1999
satellite royalty fees, either at Phase I or Phase II, shall file a
Notice of Intention to Participate that contains the following: (1) The
claimant's full name, address, telephone number, and facsimile number
(if any); (2) identification of whether the Notice covers a Phase I
proceeding, a Phase II proceeding, or both; and (3) a statement of the
claimant's intention to fully participate in a CARP proceeding.
Claimants may, in lieu of individual Notices of Intention to
Participate, submit joint Notices. In lieu of the requirement that the
Notice contain the claimant's name, address, telephone number and
facsimile number, a joint Notice shall provide the full name, address,
telephone number, and facsimile number (if any) of the person filing
the Notice and it shall contain a list identifying all the claimants
that are parties to the joint Notice. In addition, if the joint Notice
is filed by counsel or a representative of one or more of the claimants
identified in the joint Notice, the joint Notice shall contain a
statement from such counsel or representative certifying that, as of
the date of submission of the joint Notice, such counsel or
representative has the authority and consent of the claimants to
represent them in the CARP proceeding.
Notices of Intention to Participate are due no later than October
16, 2001. Failure to file a timely Notice of Intention to Participate
may preclude a claimant or claimants from participating in a CARP
proceeding.
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3. Motion of Phase I Claimants for Partial Distribution
A claimant who is not a party to the motion, but who files a Notice
of Intention to Participate, may file a response to the motion no later
than the due date set forth in this notice for comments on the
existence of controversies and the Notices of Intention to Participate.
The Motion of Phase I Claimants for Partial Distribution is available
for inspection and copying in the Office of the General Counsel.
Dated: September 27, 2001.
David O. Carson,
General Counsel.
[FR Doc. 01-24671 Filed 10-1-01; 8:45 am]
BILLING CODE 1410-33-P