Fitness Industry Canada (FIC) and GoodLife Fitness have reached a tentative agreement with Re:Sound on tariff 6B, use of recorded music to accompany group fitness classes. The previous four year agreement expired in 2017. The agreement is pending approval from Re:Sound’s board of directors.
The proposed rates for 2018-2022 are the same as the certified rates for 2013-2017, with the exception of the rates for fitness and dance classes, which are subject to incremental increases each year, similar to the previous tariffs.
In 2017, the certified class rate was $.404 per class. For an average facility operating 20 classes per week, the total annual cost was $420.16.
Acquisition of SODRAC
SOCAN recently gained acquisition of the SODRAC (Society for reproduction rights of authors, composers and publishers in Canada) repertoire. This means that any tariffs that would have been payable to SODRAC are now covered under SOCAN. This is viewed as a positive development for the fitness industry as it reduces the number of music collectives.
FIC is working to clarify the wording of Tariff 19 (Licence to play music for fitness activities and dance instruction) which states:
“For a licence to perform, at any time and as often as desired in the years 2013 to 2017, any or all of the works in SOCAN’s repertoire, in conjunction with physical exercises (dancercize, aerobics, body building and other similar activities) and dance instruction, the annual fee for each room in which performances take place is $2.14 for the years 2013 and 2014 and $2.50 for the years 2015 to 2017, multiplied by the average number of participants per week in the room, with a minimum annual fee of $64 for the years 2013 and 2014 and $74.72 for the years 2015 to 2017.”
Recently, the Tariff has been interpreted to suggest that weight lifting and cardio activities in a communal space could be subject to the licence fee. However, it is the view of FIC (as quoted by the SOCAN tariff) that tariff 19 applies only to group fitness class participation “for each room in which performances take place.” FIC believes that weight lifting and cardio areas fall under tariff 15A, licence to play background music in establishments. The purpose of music in these communal areas is only for background music and is not “in conjunction with physical exercises.”
On June 26, 2018, FIC sent the Copyright Board of Canada an objection letter for SOCAN’s proposed tariff 19 for 2019 and beyond.
Fitness Industry Council of Canada represents the voice of fitness facility operators across Canada. FIC pursues a legislative agenda in the hope of bettering the fitness industry for both consumers and operators. For more information, or to become a member, visit www.ficdn.ca or email email@example.com.