Roundup: All abuzz about Netflix

It’s probably not a big surprise that the story for which the most ink (physical or digital, take your pick) was spilled yesterday were the culture policy changes that Mélanie Joly announced, punctuated by the grand announcement that Netflix had committed to spending half a billion dollars over five years on Canadian productions. But in there was also news that there would be no big bailout for the news media in this country, and there would be some funding boosts for the Canada Media Fund, the Canada Music Fund and the Canada Book Fund, and a creative export strategy, along with previously announced reforms of the Copyright Board.

Suffice to say, there’s a fair amount of grumbling from traditional broadcasters that Neflix is essentially getting away with murder, not bound by the same CanCon obligations of traditional broadcasters, nor are other Internet giants like Google and Facebook being asked to contribute to the same content creation funds that traditional media are. And there is some pretty legitimate concerns about this announced Netflix deal because it’s pretty opaque – Netflix will continue to be able to operate as a black box when it comes to their subscriber data, and while Sean Casey went on Power & Politics to insist that the $500 million was new money (given that Netflix had previously told Parliament that they were already spending “hundreds of millions of dollars” in Canada), it really doesn’t seem like that’s anything new given that previous statement. Netflix also says that the money isn’t coming from the recent rate-hike in Canada, but that’s not washing with a number of people. The Financial Post has a fairly comprehensive look at the announcement here, including the fact that the announcement seems to leave a lot of the heavy lifting into the future, which probably shouldn’t be a surprise.

I do think it should be incumbent upon us to remember that Netflix has not been a net benefit to the cultural sector in Canada. The late Denis McGrath used to refer to them as a “parasite” on the Canadian broadcast sector because they put no money into the production of shows that they streamed, encouraging the cord-cutting that starved the very platforms who produced those shows that they later streamed of funding. It’s a complex problem, and a handful of Netflix originals aren’t going to be the panacea for the Canadian film and television industry. If anything, it may hasten the decline.

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Roundup: Mike Duffy, white knight

Oh, Senator Mike Duffy. For his suffering, he has decided to launch a $7.8 million lawsuit against the RCMP, the Government of Canada, and the Senate itself. It’s not just about the two years of suspension without pay, or the reimbursement or legal fees, or indeed about the further clawbacks of his salary that the Senate undertook for his abuse of expense claims, or about the lost income from speaking fees that he could have claimed had he not been dragged through the process. No, Duffy is so concerned about the lack of Charter rights for those who work on the Hill that he’s willing to take on this multi-million-dollar lawsuit for the principle of the matter.

Such a hero.

Now, I will be the first to admit that yes, the way in which Duffy’s suspension handled was hugely problematic, and that his rights to due process were trampled on because of political expediency, it cannot be argued that the Senate was illegitimate in the way it acted because as a self-governing parliamentary body, the Senate not only has the ability to police its own, it is in fact the only body that can police its members because of parliamentary privilege and institutional independence.

While Duffy’s lawyer was effusive in his characterisation of Duffy’s acquittal, I’m not sure that it completely passes the smell test – Duffy was found not to have met the criminal test for fraud and breach of trust, but you cannot say that no rules were broken. The Senate has pointed to numerous examples where this was the case and fined him appropriately, and while he claims that the rules were too loose and vague, that is certainly not the case with all of his rejected claims. And it will raise questions if this suit goes ahead because the judge’s ruling was indeed problematic (and I know for a fact that there are other judges on that same bench who were not keen on it), and without an appeal being raised, that could raise more questions with this trial – if it goes to trial.

Of course, we can’t deny that perhaps Duffy is looking for a settlement of a couple of million dollars, but I’m not sure that of the parties involved, the Senate would bite and go for it. They are still pretty sore about the whole thing and are keen to continue to prove that they are taking a hard line to those who abuse it. I would wager that they are more likely to fight this to the bitter end on principle, come what may.

Meanwhile, Susan Delacourt sees an odd parallel between Duffy and Omar Khadr in that their rights were violated (which is a bit of a stretch, legally speaking), while Christie Blatchford suggests that perhaps Duffy is indeed owed something because his rights to due process were robbed.

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Roundup: Preferential tax treatment warranted?

The hits keep on coming when it comes to the rhetoric about the proposed small business tax changes. If you listened to doctors, you would think that the government was outlawing self-incorporation. They’re not. If you listen to the Conservatives, it’s a “massive tax hike” and “hugely complex changes” which also doesn’t quite scan – yes, there is some complexity in how they plan to enforce the changes, but that’s not the same thing.

People also keep insisting that these changes won’t allow them to use their incorporation for savings purposes (whether for a buffer or for a maternity leave), which again, is not the case as the new rules have been outlined.

https://twitter.com/lindsaytedds/status/900542218041044992

Of course, when these facts meet their rhetoric, we have been assaulted with yet more wailing and gnashing of teeth that these preferential tax treatments are a “reward” for the risks that these entrepreneurs take. Which again, doesn’t actually fly with the research. (See Kevin Milligan’s thread starting here, which I won’t reproduce in its entirety).

In fact, you can make a number of arguments about whether the government should be subsidising the risk of entrepreneurs. Also, the it should be restated that preferential tax rates are not the reward for becoming an entrepreneur – there are other rewards inherent in the role.

Instead, we come back to the government’s argument about tax fairness, and why those who choose to self-incorporate and have families to split/sprinkle their income with should be the only ones to enjoys such privileges. Nobody seems to be able to answer that question. Funnily enough. Instead, it’s more disingenuous rhetoric and outright falsehoods about what’s being proposed here, that benefits only the very wealthy few for whom this kind of tax “planning” makes sense.

Meanwhile, Andrew Coyne takes on the notion that small businesses should get preferential tax rates for risk-taking, while taking down the critics of his arguments, who similarly are building cases on false premises.

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Roundup: Making a martyr of herself

If there’s one thing that we’re talking about right now that’s not the interminable Standing Orders debate, it’s Senator Lynn Beyak, of the “well intentioned residential schools” remarks, which came shortly after her incomprehensible remarks about trans people while saying that good gays don’t like to cause waves. And after being removed from the Senate’s Aboriginal Peoples committee, she put out a press release that didn’t really help her cause.

Of course, the more we talk about Beyak in the media and demand that Something Must Be Done about her, the more it’s going to embolden her and her supporters. The fact that she’s starting to martyr herself on the cause of “opposing political correctness” is gaining her fans, including Maxime Bernier, whom she is supporting in the leadership. Bernier says he doesn’t agree with her statement about residential schools, but he’s all aboard her “political correctness” martyrdom. Oh, and it’s causing some of the other Conservative senators to close ranks around her, because that’s what starts to happen when someone on their team is being harassed (and before you say anything, my reading of Senator Ogilvie’s “parasites” comment was more dark humour in the face of this situation than anything, and reporters taking to the Twitter Machine to tattle and whinge makes We The Media look all the worse).

But seriously, Beyak is not an important figure. She’s marginal at best within her own party, and her comments have marginalized her position further. But the more that people continue to howl about her, or post e-petitions demanding that the government remove her (which is unconstitutional, by the way), the more she turns herself into a martyr on this faux-free speech platform that is attracting all manner of right-wing trolls, the more she will feel completely shameless about her words. We’ve shone the spotlight, but sometimes we also need to know when to let it go and let obscurity reclaim her.

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Roundup: Don’t take conventions to court

A group of East Coast lawyers has decided to launch a court challenge about the possibility that the government might appoint a new Supreme Court justice that is not from Atlantic Canada, and my head is already hitting the desk because while you can conceivably argue that the regional composition of the court may very well be a constitutional convention, by that very same argument, a constitutional convention is non-justiciable, so you can’t actually take it to court.

So, to recap, until an appointment is actually made, the whole quixotic venture is premature. Constitutional conventions are politically enforceable but not legally, in part because we don’t actually want people to constantly take the government to court when they lose at politics (which already happens too much – and it’s almost as bad as writing to the Queen when you lose at politics). There was a court case not too long ago when Democracy Watch took the government to court because Stephen Harper went to the Governor General to call an early election despite the (useless) fixed-election date legislation having been enacted, and the courts dismissed it because prerogative powers are constitutional conventions (and while unwritten, are nevertheless still part of our constitutional framework).

And don’t get me wrong – I do think there is a very good case that the regional composition is a constitutional convention because it reflects the federalist principle that is necessary to give its decisions the political legitimacy necessary to be the arbiter of jurisdictional disputes in this country, and that is a pretty big consideration. But the courts are probably not the best place to solve this issue. Having the Atlantic premiers write the Justice Minister to warn her about breaching the convention is probably a better course of action, as would having backbench Liberal MPs from the region expressing their displeasure (though, for all we know, they may already be doing so behind closed doors in the caucus room). And a public campaign that lays out this argument (as opposed to just one centred around it being unfair or about maligning the political correctness of trying to find a new justice that better reflects certain diversity characteristics) wouldn’t hurt either. But this group of lawyers should know better than to try and make a non-justiciable issue justiciable.

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Roundup: Shirtless panic

Photos of our prime minister, shirtless and on vacation, continues to make people lose their minds. A week later, and it remains an item of discussion – or derision – and feeds this particular faux cynicism about media coverage, despite the fact that it clearly is not what is topping the headlines. The fact that other countries mention it triggers our inherent Canadian desire to go “Look! Other countries are talking about us!” and we report that, and suddenly it’s “all anyone can talk about” when clearly it’s not the case. And then come the lame attacks based on it, like the latest round of Conservative ads, where they accuse the media of focusing on Shirtless!Trudeau instead of the economy.

The problem with that narrative is that the economic news was clearly the headline for the days in which those numbers got released, but hey, so long as we can try and keep up this narrative that the PM is a selfie-obsessed pretty boy who’s too stupid to manage the economy, the more we think it’ll do something to bolster our own numbers (never mind that being effectively leaderless is not helping the poll numbers of either opposition party).

So with that in mind, here’s Jen Gerson telling everyone to relax about Shirtless!Trudeau because it’s August, we’re all on vacation anyway, and that this isn’t just about Trudeau but about the sea change in tone that has taken place in this country over the past year, and that people need to lighten up.

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