SOCAN Tariff for Exhibitions and Fairs

Summary#

This notice from the Copyright Board publishes SOCAN Tariff 5.B – Exhibitions and Fairs (2018-2021). It sets the rules and fees that the Society of Composers, Authors and Music Publishers of Canada (SOCAN) can charge for music played at exhibitions and fairs, including a licence fee equal to 3% of concert ticket sales for the years 2018, 2019, 2020, and 2021. The item was published on August 8, 2020.

What it does#

• Requires a separate licence when a musical concert at an exhibition or fair has its own admission charge beyond general entry.
• Sets the concert licence fee at 3% of gross ticket sales (taxes excluded) for 2018–2021.
• Allows deducting the adult general grounds admission price from a concert ticket if that ticket also grants full access to the fair grounds on the day of the concert. The result is a "net" ticket price used to calculate the 3% fee.
• States fees for each concert are calculated per concert and must be paid immediately after the exhibition closes.
• Says licence fees do not include government taxes or levies.
• Charges interest on late payments at 1% above the Bank Rate published by the Bank of Canada (calculated daily, not compounded).
• Gives SOCAN the right to terminate a licence for breach after 30 days’ written notice.
• Gives SOCAN the right to audit a licensee’s books on reasonable notice during normal business hours to check fee calculations.

Who's affected#

• Organizers and promoters of exhibitions and fairs that run musical concerts with separate ticketing.
• Venues and operators who sell concert tickets at exhibition or fair events.
• Anyone who issues combined tickets that include both concert entry and general fair admission (because the adult grounds price may be deducted to find the net ticket price).
• It is not aimed at ordinary visitors, except that part of ticketed concert prices may go toward these licence fees.

Why it matters#

• Concerts at fairs will carry an additional cost tied directly to ticket sales: 3% of the ticket revenue (before taxes) for the covered years. That can affect ticket pricing and event budgets.
• Organizers need to keep accurate ticket and admission records because SOCAN can audit them and fees are due promptly after the exhibition ends.
• Late payments will cost extra because of the interest rule. Licences can also be cancelled with 30 days’ notice for breaches.