tory licensing under subsection (a) shall have no royalty
obligation for such secondary transmissions.
‘‘(d) NONCOMPLIANCE WITH REPORTING AND REGU-
LATORY
REQUIREMENTS.—Notwithstanding subsection
(a), the willful or repeated secondary transmission to the
public by a satellite carrier into the local market of a tele-
vision broadcast station of a primary transmission made
by that television broadcast station and embodying a per-
formance or display of a work is actionable as an act of
infringement under section 501, and is fully subject to the
remedies provided under sections 502 through 506 and
509, if the satellite carrier has not complied with the re-
porting requirements of subsection (b) or with the rules,
regulations, and authorizations of the Federal Commu-
nications Commission concerning the carriage of television
broadcast signals.
‘‘(e) 
WILLFUL
ALTERATIONS.—Notwithstanding
subsection (a), the secondary transmission to the public
by a satellite carrier into the local market of a television
broadcast station of a primary transmission made by that
television broadcast station and embodying a performance
or display of a work is actionable as an act of infringement
under section 501, and is fully subject to the remedies pro-
vided by sections 502 through 506 and sections 509 and
510, if the content of the particular program in which the
performance or display is embodied, or any commercial ad-
vertising or station announcement transmitted by the pri-
mary transmitter during, or immediately before or after,
the transmission of such program, is in any way willfully
altered by the satellite carrier through changes, deletions,
or additions, or is combined with programming from any
other broadcast signal.
‘‘(f) VIOLATION OF TERRITORIAL RESTRICTIONS ON
STATUTORY LICENSE FOR TELEVISION BROADCAST STA-
TIONS.—
‘‘(1) INDIVIDUAL VIOLATIONS.—The willful or
repeated secondary transmission to the public by a
satellite carrier of a primary transmission made by
a television broadcast station and embodying a per-
formance or display of a work to a subscriber who
does not reside in that station’s local market, and is
not subject to statutory licensing under section 119,
or a private licensing agreement, is actionable as an
act of infringement under section 501 and is fully
subject to the remedies provided by sections 502
through 506 and 509, except that—
‘‘(A) no damages shall be awarded for such
act of infringement if the satellite carrier took
corrective action by promptly withdrawing serv-
ice from the ineligible subscriber; and
‘‘(B) any statutory damages shall not ex-
ceed $5 for such subscriber for each month dur-
ing which the violation occurred.
‘‘(2) PATTERN OF VIOLATIONS.—If a satellite
carrier engages in a willful or repeated pattern or
practice of secondarily transmitting to the public a
primary transmission made by a television broadcast
station and embodying a performance or display of
a work to subscribers who do not reside in that sta-
tion’s local market, and are not subject to statutory
licensing under section 119, then in addition to the
remedies under paragraph (1)—
‘‘(A) if the pattern or practice has been
carried out on a substantially nationwide basis,
the court shall order a permanent injunction
barring the secondary transmission by the sat-
ellite carrier of the primary transmissions of
that television broadcast station (and if such
television broadcast station is a network sta-
tion, all other television broadcast stations af-
filiated with such network), and the court may
order 
statutory 
damages 
not 
exceeding
$250,000 for each 6-month period during which
the pattern or practice was carried out; and
‘‘(B) if the pattern or practice has been
carried out on a local or regional basis with re-
spect to more than one television broadcast sta-
tion (and if such television broadcast station is
a network station, all other television broadcast
stations affiliated with such network), the court
shall order a permanent injunction barring the
secondary transmission in that locality or re-
gion by the satellite carrier of the primary
transmissions of any television broadcast sta-
tion, and the court may order statutory dam-
ages not exceeding $250,000 for each 6-month
period during which the pattern or practice was
carried out.
‘‘(g) BURDEN OF PROOF.—In any action brought
under subsection (d), (e), or (f), the satellite carrier shall
have the burden of proving that its secondary transmission
of a primary transmission by a television broadcast station
is made only to subscribers located within that station’s
local market or subscribers being served in compliance
with section 119.
‘‘(h) GEOGRAPHIC
LIMITATIONS
ON
SECONDARY
TRANSMISSIONS.—The statutory license created by this
section shall apply to secondary transmissions to locations
in the United States, and any commonwealth, territory,
or possession of the United States.
‘‘(i) EXCLUSIVITY WITH RESPECT TO SECONDARY
TRANSMISSIONS OF BROADCAST STATIONS BY SATELLITE
TO MEMBERS OF THE PUBLIC.—No provision of section
111 or any other law (other than this section and section
119) shall be construed to contain any authorization, ex-
emption, or license through which secondary transmissions
by satellite carriers of programming contained in a pri-
mary transmission made by a television broadcast station
may be made without obtaining the consent of the copy-
right owner.
‘‘(j) DEFINITIONS.—In this section—
‘‘(1) DISTRIBUTOR.—The term ‘distributor’
means an entity which contracts to distribute sec-
ondary transmissions from a satellite carrier and, ei-
ther as a single channel or in a package with other
programming, provides the secondary transmission
either directly to individual subscribers or indirectly
through other program distribution entities.
‘‘(2) LOCAL MARKET.—The ‘local market’ of a
television broadcast station has the meaning given
that term under section 3 of the Communications
Act of 1934.
‘‘(3) NETWORK STATION; SATELLITE CARRIER;
SECONDARY
TRANSMISSION.—The terms ‘network
station’, ‘satellite carrier’ and ‘secondary trans-
mission’ have the meanings given such terms under
section 119(d).
‘‘(4) 
SUBSCRIBER.—The 
term 
‘subscriber’
means a person that receives a secondary trans-
mission service by means of a secondary trans-
mission from a satellite and pays a fee for the serv-
ice, directly or indirectly, to the satellite carrier or
to a distributor.
‘‘(5) TELEVISION
BROADCAST
STATION.—The
term ‘television broadcast station’ means an over-
the-air, commercial or noncommercial television
broadcast station licensed by the Federal Commu-
nications Commission under subpart E of part 73 of
title 47, Code of Federal Regulations.’’.
(b) INFRINGEMENT OF COPYRIGHT.—Section 501 of
title 17, United States Code, is amended by adding at the
end the following new subsection:
‘‘(f) With respect to any secondary transmission that
is made by a satellite carrier of a primary transmission
embodying the performance or display of a work and is
actionable as an act of infringement under section 122,
a television broadcast station holding a copyright or other