Consumer Tips

Illegal Digital Satellite TV Or Direct-To-Home Systems

CONSUMERS SHOULD BE AWARE OF THE FOLLOWING:

HOW CAN I TELL IF MY DIGITAL SATELLITE TV SYSTEM IS ILLEGAL?

Your system is illegal if you are:

- not receiving your service through one of the licensed Canadian distributors currently in operation, i.e. StarChoice and Bell Express Vu.

- paying a monthly service fee in U.S. dollars through an American address.

- using hacked or pirated access cards to decode and receive scrambled satellite T.V. programming without paying for it.

- receiving very little or no Canadian programming.

WILL I, AS A CONSUMER, BE PURSUED BY THE RCMP?

The RCMP doesn't have the resources to go after every consumer who owns an illegal system. However, as with the cable 'black boxes', owning one of these systems is illegal. If the RCMP comes across an illegal system in the course of carrying out policing duties, they can seize and charge the owner.

WHAT PENALTIES DO CONSUMERS FACE FOR OWNING AN ILLEGAL SYSTEM?

Under the Radiocommunication Act consumers can face fines of up to $5,000 and/or up to 12 months in prison.

I THOUGHT THE AMERICAN SYSTEMS WERE GREY MARKET ITEMS. WHAT'S CHANGED?

In the past, there was some confusion about the application of the Radiocommunication Act, which created a 'grey' area in the law. This resulted in the so-called 'grey markey' in U.S. digital satellite T.V. systems. However, in November 1997, the Federal Court of Appeal upheld the Radiocommunication Act. The 'grey market' became a black market.

I'VE HAD MY SYSTEM FOR YEARS AND NEVER HAD A PROBLEM. WHY SHOULD I DO ANYTHING?

What you decide to do with your system is up to you. But you should know that, aside from the legal implications mentioned above, there are many risks involved in owning an illegal system. While you may never have had a problem with your system yet, American or foreign broadcasters may cut off your service in an instant if they find out you are not physically located in their territory. Furthermore, if the system breaks down, an American or foreign warranty may not be honoured in Canada. Finally, illegal systems are not compatible with Canadian broadcasting signals, so you can't even use these systems to receive legal programming.

I DIDN'T KNOW MY SYSTEM WAS ILLEGAL WHEN I BOUGHT IT. WHAT CAN I DO?

For more information on what action you can take, contact: Industry Canada Ottawa Office (613) 998-3693; Industry Canada Office of Consumer Affairs (613) 952-1918 Website strategis.ic.gc.ca; Ontario Ministry of Consumer and Commercial relations (800) 268-1142 or (416) 326-8566 (TTY) Website www.ccr.gov.on.ca.

RETAILERS SHOULD BE AWARE OF THE FOLLOWING:

WHICH RETAILERS WILL BE PURSUED BY THE RCMP?

The RCMP has identified area retailers who are selling the illegal digital satellite T.V. systems and will be contacting each one to provide them with a written notice of the law.

HOW MUCH TIME DO RETAILERS HAVE TO GET THE SYSTEMS OFF THEIR SHELVES?

There is no set timeline. Once a retailer has been informed of the law, the RCMP expects immediate cooperation.

WHAT DOES THE RCMP EXPECT BUSINESSES TO DO WITH ALL THEIR ILLEGAL STOCK?

The RCMP's concern is that retailers do not continue to sell these items. Retailers are advised to contact their suppliers in the U.S., where the systems are legal.

WHAT PENALTIES DO BUSINESSES FACE FOR OWNING OR SELLING THE ILLEGAL SYSTEMS?

Under the Radiocommunication Act, businesses can face fines of up to $25,000.

I'VE PAID MY DUTIES AND TAXES ON THESE SYSTEMS, HOW CAN THEY BE ILLEGAL?

Revenue Canada Customs' list of prohibited items does not include U.S. and foreign digital satellite T.V. equipment. Customs is aware of this issue and is working with the RCMP to seek solutions. In the meantime, the RCMP still has a mandate to enforce the Radiocommunication Act, which says that such systems are illegal in Canada.