Canadian Radio-television and Telecommunications Commission - Reception of Non-Canadian Services

Reception of Non-Canadian Services

While an exact number has not been determined, thousands of Canadians have purchased and used what they contend to be grey market radio and television services, licensed in the United States but not in Canada. Users of these unlicensed services contend that they are not directly breaking any laws by simply using the equipment. The equipment is usually purchased from an American supplier (although some merchants have attempted to set up shop in Canada) and the services are billed to an American postal address. The advent of online billing and the easy availability of credit card services has made it relatively easy for almost anyone to maintain an account in good standing, regardless of where they actually live.

Sec. 9(1)(c) of the Radiocommunication Act creates a prohibition against all decoding of encrypted programming signals, followed by an exception where authorization is received from the person holding the lawful right in Canada to transmit and authorize decoding of the signal. This means receiving the encrypted programming of DishNetwork or DirecTV, even with a grey market subscription, may be construed as unlawful (this remains an unresolved Constitutional issue).

Notwithstanding, possession of DishNetwork or DirecTV equipment is not unlawful as provided by The Radiocommuncation Act Section 4(1)(b), which states:

"No person shall, except under and in accordance with a radio authorization, install, operate or possess radio apparatus, other than (b)a radio apparatus that is capable only of the reception of broadcasting and that is not a distribution undertaking. (radio apparatus" means a device or combination of devices intended for, or capable of being used for, radiocommunication)."

Satellite radio poses a more complicated problem for the CRTC. While an unlicensed satellite dish can often be identified easily, satellite radio receivers are much more compact and can rarely be easily identified, at least not without flagrantly violating provisions against unreasonable search and seizure in the Canadian Charter of Rights and Freedoms. Some observers argued that this influenced the CRTC's June 2005 decision to ease Canadian content restrictions on satellite radio (see above).

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