Interesting. I didn't know that Fox was not available in Canada.
I even have heard it is illegal to receive Fox by satellite. (I am not sure how this technically is possible perhaps Mare has more information about that)
I don't know about Canadian copyright law, but in general there are many types of duplication that are technically possible, even easy, but of course are illegal. In the U.S., under the DMCA, it could well also be illegal to decrypt an encrypted TV transmission without specific authorization, even if the so-called "encryption" was minimal and obvious (on the order of difficulty of Pig Latin, let's say).
Caveats: I am not a lawyer, Canadian law may well be different anyway, and it seems clear that the law in this area is in flux right now.
From what I understand many Canadians had Direct tv or Dish satellite dishes installed and using a US billing address were able to use them or if not used the somewhat less legal cards to descramble the signals. The reason for this was that the US services had many channels unavailable here in Canada through the cable and satellite services. This was a grey area of law until a ruling was made that these dishes were illegal on grounds of rights holders here in Canada were being infringed. Many still have these dishes and I assume still use them but technically they are illegal and could be confiscated by the police. This is a situation where the police and politicians are treading carefully because it would not go down very well if individual homeowners had this happen to them. Recently the Canadian services have increased the number of channels available to more approximate what is available to US satellite and cable subscribers so the need for a US sat dish is less so now than before. Still no Fox though. I'm not sure if Fox even wants to worry about being available in Canada at this point since they are not in total saturation on cable systems in the US still as far as I know.