97-15826. Determination of Statutory License Rates and Terms for Certain Digital Subscription Transmissions of Sound Recordings  

  • [Federal Register Volume 62, Number 116 (Tuesday, June 17, 1997)]
    [Notices]
    [Pages 32829-32830]
    From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
    [FR Doc No: 97-15826]
    
    
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    LIBRARY OF CONGRESS
    
    Copyright Office
    [Docket No. 96-5 CARP DSTRA]
    
    
    Determination of Statutory License Rates and Terms for Certain 
    Digital Subscription Transmissions of Sound Recordings
    
    AGENCY: Copyright Office, Library of Congress.
    
    ACTION: Announcement of the schedule for the proceeding.
    
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    SUMMARY: The Copyright Office of the Library of Congress is announcing 
    the schedule for the 180 day arbitration period for determining the 
    rates and terms for certain digital subscription transmissions of sound 
    recordings, as required by the regulations governing this proceeding.
    
    EFFECTIVE DATE: June 17, 1997.
    
    ADDRESSES: All hearings and meetings for the determination of the 
    royalty fees for certain digital subscription transmissions of sound 
    recordings shall take place in the James Madison Building, Room 414, 
    First and Independence Avenue, S.E., Washington, D.C. 20540.
    
    FOR FURTHER INFORMATION CONTACT: Nanette Petruzzelli, Acting General 
    Counsel, or Tanya Sandros, Attorney Advisor, at: Copyright Arbitration 
    Royalty Panel (CARP), P.O. Box 70977, Southwest Station, Washington, 
    D.C. 20024. Telephone: (202) 707-8380. Telefax: (202) 707-8366.
    
    SUPPLEMENTARY INFORMATION: Section 251.11(b) of the regulations 
    governing the Copyright Arbitration Royalty Panels, 37 CFR subchapter 
    B, provides that:
    
        At the beginning of each proceeding, the CARP shall develop the 
    original schedule of the proceeding which shall be published in the 
    Federal Register at least seven calendar days in advance of the 
    first meeting. Such announcement shall state the times, dates, and 
    places of the meetings, the testimony to be heard, whether any of 
    the meetings, or any portion of a meeting, is to be closed, and if 
    so, which ones, and the name and telephone number of the person to 
    contact for further information.
    
        This notice fulfills the requirements of Sec. 251.11(b) for the 
    proceeding to determine the rates and terms for transmissions of sound 
    recordings by certain digital subscription services.
        On August 2, 1996, the Library announced the precontroversy 
    discovery period for this docket and requested interested parties to 
    file Notices of Intent to Participate. 61 FR 40464 (August 2, 1996). On 
    October 11, 1996, Digital Cable Radio Associates and Muzak, L.P. filed 
    a motion to suspend the proceeding, which DMX, Inc. joined on October 
    15, 1996. These three parties are collectively referred to as the 
    ``Subscription Services'' throughout this notice. The Subscription 
    Services requested the suspension pending the resolution of their 
    motion to compel document production. On November 27, 1996, the Office 
    denied the motion to suspend the proceeding, but in recognition that 
    the precontroversy schedule was already in a de facto state of 
    suspension due to the Subscription Services' refusal to exchange 
    documents, the Office adopted a new schedule. See Order in Docket No. 
    96-5 CARP DSTRA (November 27, 1996). In a subsequent order, the Office 
    notified the parties that the 180 day arbitration period would commence 
    on June 2, 1997. See Order in Docket No. 96-5 CARP DSTRA (March 28, 
    1997). Then on June 2, 1997, the Office published a Federal Register 
    notice announcing the names of the arbitrators and the initiation of 
    the 180 day period. 62 FR 29742 (June 2, 1997).
        On June 3, 1997, the parties to this proceeding met with the 
    arbitrators for the purpose of setting a schedule for this proceeding. 
    At that meeting, the parties agreed to present their cases in two 
    phases. Phase I will address the proposed royalty rates and phase II 
    will address the terms associated with those rates. The schedule for 
    the proceeding is as follows:
    
    Opening Remarks for all parties.......  June 9, 1997.                                                           
    Presentation of Direct Cases (Phase                                                                             
     I):                                                                                                            
      Recording Industry Association of     June 9, 1997.......................  Jay Berman, Hilary Rosen.          
       America (RIAA).                                                                                              
      RIAA................................  June 10, 1997......................  Zachary Horowitz, Gary Morris,     
                                                                                  James Trautman.                   
      RIAA................................  June 11............................  Barry Massarsky, Larry Gerbrandt.  
      RIAA................................  June 12............................  David Wilkofsky.                   
    Subscription Services:                                                                                          
     Digital Cable Radio            June 16, 1997......................  David J. Beccaro, W. Barry         
     Associates                                                                   McCarthy, Jr.                     
                                            June 17, 1997......................  Lou Simon.                         
       DMX, Inc...................  June 17, 1997......................  Jerold H. Rubinstein, Douglas G.   
                                                                                  Talley.                           
       Muzak......................  June 18, 1997......................  Bruce B. Funkhouser.               
       Joint witness..............  June 19, 1997......................  John R. Woodbury, Ph.D.            
    Presentation of Direct Cases (Phase     June 30, 1997......................  (witness list is not available for 
     II):                                   July 1, 1997.......................   Phase II at this time).           
                                            July 3, 1997.......................                                     
    Presentation of Rebuttal Cases:         July 26-31, 1997.                                                       
    Close of 180 day period...............  November 28, 1997.                                                      
                                                                                                                    
    
        During this proceeding, the Subscription Services plan to present 
    evidence submitted under a protective order issued by the Librarian of 
    Congress. See Recommendation and Order in Docket No. 96-5 CARP DSTRA 
    (September 18, 1996). In anticipation of the need to close portions of 
    these meetings, the Subscription Services filed a motion on June 6, 
    1997, requesting the CARP to close the meetings scheduled for June 9, 
    11, 12, and June 16-20, 1997, because various expert witnesses and 
    representatives of the Subscription Services expect to discuss 
    substantial amounts of confidential and trade secret information on 
    these days. The arbitrators considered the motion on June 9, 1997, 
    before hearing the opening statements, and voted to close the meetings 
    pursuant to their authority under 37 CFR 251.13(d). This provision 
    allows a CARP to close its meetings ``[i]f the matter involves 
    privileged or confidential trade secrets or financial information.'' 
    The record of the vote to close the meetings is as follows:
    
        The Hon. Lenore Ehrig, Chairperson--Yes
        The Hon. Thomas A. Fortkort--Yes
        The Hon. Sharon T. Nelson--Yes
    
        The regulations require that the Copyright Office publish the 
    original schedule for the CARP proceeding in
    
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    the Federal Register at least seven calendar days in advance of the 
    first meeting. 37 CFR 251.11(b). Pursuant to 37 CFR 251.11(d), however, 
    the arbitrators voted to publish the schedule on shorter notice than 
    the required seven days in order to maximize the allotted time to hear 
    the evidence and write their report. The results of the vote on the 
    question, whether the requirement for a seven calendar day notice 
    should be waived, are:
    
        The Hon. Lenore Ehrig, Chairperson--Yes
        The Hon. Thomas A. Fortkort--Yes
        The Hon. Sharon T. Nelson--Yes
    
        At this time, the Office does not have a list of any additional 
    persons expected to attend the closed meetings, but the Office will 
    provide this information to any party, upon request, when it becomes 
    available. Further refinements to the schedule will be announced in 
    open meetings and issued as orders to the parties participating in the 
    proceeding. All changes will be noted in the docket file of the 
    proceeding, as required by the Copyright Office regulations governing 
    the administration of CARP proceedings. 37 CFR 251.11(c).
    
        Dated: June 11, 1997.
    Marybeth Peters,
    Register of Copyrights.
    [FR Doc. 97-15826 Filed 6-16-97; 8:45 am]
    BILLING CODE 1410-33-P
    
    
    

Document Information

Effective Date:
6/17/1997
Published:
06/17/1997
Department:
U.S. Copyright Office, Library of Congress
Entry Type:
Notice
Action:
Announcement of the schedule for the proceeding.
Document Number:
97-15826
Dates:
June 17, 1997.
Pages:
32829-32830 (2 pages)
Docket Numbers:
Docket No. 96-5 CARP DSTRA
PDF File:
97-15826.pdf