Streamers like Netflix, Disney Plus get court reprieve from paying for Canadian content
Global platforms challenging decision ordering them to pay 5% of Canadian revenues
The Federal Court of Appeal has ruled that major streaming platforms will not be required to contribute to Canadian content funds until their appeal of a regulatory decision is resolved.
In June, the Canadian Radio-television and Telecommunications Commission (CRTC) mandated that foreign streaming services allocate 5% of their annual Canadian revenues to a fund supporting the creation of domestic content, including local television and radio news.
Global streaming giants, including Netflix and Disney Plus, challenged the order in court, citing its basis in the Online Streaming Act. Earlier this month, the Federal Court of Appeal agreed to review the case.
On Monday, a judge announced that these companies, estimated to owe at least $1.25 million each annually, will not be obligated to make the payments until the court proceedings are concluded.
Both sides have agreed to an expedited timeline, with the hearing scheduled for June, prior to the main payment deadline in August.
