The Canadian Recording Industry Association (CRIA) is attempting to capitalize on the Australian KaZaA ruling; University of Ottawa law professor Michael Geist provides a terrific, detailed rebuttal:

First, CRIA seeks to link the Australian decision with Canadian copyright reform. In reality, the two have as much in common as Australian rules football does to ice hockey.

[...]

Second, in claim designed to appeal to Canadian Heritage, it describes the implementation of WIPO in Canada as "WIPO-Lite", questioning whether the bill will be effective and allow Canada to "implement its international treaty obligations." We should be clear: Bill C-60's provisions (particularly the anti-circumvention provisions) are absolutely WIPO compliant.

[...]

Third, there is the absurd claim (designed to appeal to Industry Canada) that Canadian copyright laws have hamstrung online music sales. CRIA claims that "digital sales in this country run at one-half of one percent of US levels, but should be in the 12 to 15 percent range given relative broadband penetration in the two countries."

We should again be absolutely clear: Canadian online music sales have nothing to do with Canadian copyright legislation or copyright reform.