SOCAN Tariff 6 for Movie Theatres (2017-2024)

Summary#

This Canada Gazette entry publishes the Copyright Board’s tariff called SOCAN Tariff 6 – Motion Picture Theatres (2017-2024). It sets the music-licensing fees and related rules that apply to movie theatres for the years 2017–2024, and explains how fees, audits, taxes, and late-payment interest are handled.

What it does#

• Establishes annual royalties for using music from SOCAN’s repertoire in movie-theatre operations for 2017–2024: $1.50 per seat, with a $150.00 minimum fee per theatre.
• Counts drive‑in seating as 3 times the maximum number of automobiles a site can hold when calculating fees.
• Reduces the fee to half for theatres that operate three days or less per week.
• Reduces the fee pro rata for theatres operating less than 12 months in a year (reduction of 1/12 for each full month closed).
• Says the tariff only covers music when film exhibition is part of the program; separate fees apply if music is performed outside a film program (for example, a concert).
• Gives SOCAN the right to audit a user’s books and records on reasonable notice during normal business hours to check the fees owed.
• States amounts are net of any taxes or levies.
• Charges interest on late payments at a rate equal to 1% above the Bank of Canada Bank Rate, calculated daily and not compounded.
• Specifies that any amount owed for a semi‑annual period under this tariff is due Friday, November 20, 2026.

Who's affected#

• Owners and operators of movie theatres and other places that exhibit films.
• Drive‑in theatre owners, because seating is calculated differently for them.
• Small or seasonal theatres that operate only part of the year or only a few days a week.
• SOCAN (the music rights society) and its members, since this governs royalties they can collect.
• It is unclear from this notice how many individual theatres will be affected; the tariff applies to any establishment covered by the bulletin.

Why it matters#

• Theatre operators could owe back royalties for the period 2017–2024 under these rates and rules, affecting operating costs.
• The way drive‑ins, part‑time, and seasonal operations are counted can change the fee a venue pays in a meaningful way.
• The audit and interest provisions mean unpaid or disputed amounts can increase over time.
• The notice clarifies that fees apply to music used as part of film exhibition only, so separate licensing may be needed for concerts or other non‑film music events.