The CRTC is off the hook. The Supreme Court of Canada will now decide whether or not Internet Service Providers (ISPs) are broadcast undertakings.

In 2009, the CRTC referred the issue to the Federal Court of Appeal. The body ruled last July that ISPs are not “broadcasters” compelled to support Canadian content Creation or subject to the Broadcasting Act.

The lower court instead ruled ISPs are content-neutral when they offer online access to audiovisual content.

The Supreme Court on Thursday gave a coalition of guilds and unions leave to petition the Federal Court of Appeal ruling on ISPs as broadcast distributors, which involved major carriers like Bell Canada, Cogeco, Rogers Communications and Shaw Communications and the CRTC.

The coalition, including ACTRA, the Canadian Media Production Association, The Directors Guild of Canada and the Writers Guild of Canada, on Thursday said it will appear before the highest court when it takes up the case.

The Supreme Court will need to consider whether or not the lower court erred when considering ISPs content-neutral, and so not operating like broadcasters.

The coalition of unions and guilds contends ISPs, by enabling consumer access to an exponentially growing supply of video content online, are subject to the Broadcasting Act and should contribute to content production.

The status of ISPs in the broadcast system, and whether they should be regulated by the CRTC, is key because Canadians increasingly go online to pull video off of websites like YouTube and iTunes.

Accordingly, content creators argue the failure to designate ISPs as broadcasters will leave a growing hole in the distribution system as a place from which contributions to homegrown production are not made.