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Terms of Trade Agreement: Dawn of a New Era between Canadian Producers and Broadcasters

October-17-2011

Area Entertainment

Summary

In April of 2011, after considerable cajoling by the Canadian Radio-television and Telecommunications Commission (the “CRTC”), the Canadian Media Production Association (the “CMPA”) successfully concluded negotiations and entered into a Terms of Trade Agreement (the “Agreement”) with five of Canada’s largest private television broadcasters, namely, Astral Television Networks, Bell Media Inc. (CTV), Rogers Broadcasting Limited, Shaw Media Inc. (Global) and Corus Entertainment Inc. (the “Broadcasters”).  The Agreement came into force as of June 1, 2011, with the exception of certain parts related to the financing of television programs which came into force on August 1, 2011.  Technically, there are really two Agreements, as there is one Agreement between the CMPA and the Broadcasters other than Corus and a separate Terms of Trade Agreement between the CMPA and Corus.  However, the Corus Agreement contains no substantive differences from the Agreement signed with the other Broadcasters.  A Terms of Trade Agreement is also contemplated with the CBC and negotiations between the CMPA and the CBC will likely begin later in 2011.

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