Challenges for Copyright by ICT: Internet Service Providers

ISPs (Internet Service Providers) (and to a certain extent also telecom operators) are involved in the copyright debate primarily because of their role in the transmission and storage of digital information. Problems arise particularly concerning caching, information residing on systems or networks of ISPs at the directions of users and transitory communication.

Caching

Caching it is argued could cause damage because the copies in the cache are not necessarily the most current ones and the delivery of outdated information to users could deprive website operators of accurate "hit" information (information about the number of requests for a particular material on a website) from which advertising revenue is frequently calculated. Similarly harms such as defamation or infringement that existed on the original page may propagate for years until flushed from each cache where they have been replicated.

Although different concepts, similar issues to caching arise with mirroring (establishing an identical copy of a website on a different server), archiving (providing a historical repository for information, such as with newsgroups and mailing lists), and full-text indexing (the copying of a document for loading into a full-text or nearly full-text database which is searchable for keywords or concepts).

Under a literal reading of some copyright laws caching constitutes an infringement of copyright. Yet recent legislation like the DMCA or the proposed EU Directive on copyright and related rights in the information society (amended version) have provided exceptions for ISPs concerning particular acts of reproduction that are considered technical copies (caching). Nevertheless the exemption of liability for ISPs only applies if they meet a variety of specific conditions. In the course of the debate about caching also suggestions have been made to subject it to an implied license or fair use defense or make it (at least theoretically) actionable.

Information Residing on Systems or Networks at the Direction of Users

ISPs may be confronted with problems if infringing material on websites (of users) is hosted on their systems. Although some copyright laws like the DMCA provide for limitations on the liability of ISPs if certain conditions are met, it is yet unclear if ISPs should generally be accountable for the storage of infringing material (even if they do not have actual knowledge) or exceptions be established under specific circumstances.

Transitory Communication

In the course of transmitting digital information from one point on a network to another ISPs act as a data conduit. If a user requests information ISPs engage in the transmission, providing of a connection, or routing thereof. In the case of a person sending infringing material over a network, and the ISP merely providing facilities for the transmission it is widely held that they should not be liable for infringement. Yet some copyright laws like the DMCA provide for a limitation (which also covers the intermediate and transient copies that are made automatically in the operation of a network) of liability only if the ISPs activities meet certain conditions.

For more information on copyright (intellectual property) related problems of ISPs (BBSs (Bulletin Board Service Operators), systems operators and other service providers) see:

Harrington, Mark E.: On-line Copyright Infringement Liability for Internet Service Providers: Context, Cases & Recently Enacted Legislation. In: Intellectual Property and Technology Forum. June 4, 1999.

Teran, G.: Who is Vulnerable to Suit? ISP Liability for Copyright Infringement. November 2, 1999.

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Challenges for Copyright by ICT: Copyright Owners

The main concern of copyright owners as the (in terms of income generation) profiteers of intellectual property protection is the facilitation of pirate activities in digital environments.

Reproduction and Distribution

Unlike copies of works made using analog copiers (photocopy machines, video recorders etc.) digital information can be reproduced extremely fast, at low cost and without any loss in quality. Since each copy is a perfect copy, no quality-related limits inhibit pirates from making as many copies as they please, and recipients of these copies have no incentive to return to authorized sources to get another qualitatively equal product. Additionally the costs of making one extra copy of intellectual property online are insignificant, as are the distribution costs if the copy is moved to the end user over the Internet.

Control and Manipulation

In cross-border, global data networks it is almost impossible to control the exploitation of protected works. Particularly the use of anonymous remailers and other existing technologies complicates the persecution of pirates. Also digital files are especially vulnerable to manipulation, of the work itself, and of the (in some cases) therein-embedded copyright management information.

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Liability of ISPs

ISPs (Internet Service Provider), BBSs (Bulletin Board Service Operators), systems operators and other service providers (in the U.S.) can usually be hold liable for infringing activities that take place through their facilities under three theories: 1) direct liability: to establish direct infringement liability there must be some kind of a direct volitional act, 2) contributory liability: a party may be liable for contributory infringement where "... with knowledge of the infringing activity, [it] induces, causes or materially contributes to the infringing activity of another." Therefore a person must know or have reason to know that the subject matter is copyrighted and that particular uses violated copyright law. There must be a direct infringement of which the contributory infringer has knowledge, and encourages or facilitates for contributory infringement to attach, and 3) vicarious liability: a party may be vicariously liable for the infringing acts of another if it a) has the right and ability to control the infringer's acts and b) receives a direct financial benefit from the infringement. Unlike contributory infringement, knowledge is not an element of vicarious liability.


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Copyright management information

Copyright management information refers to information which identifies a work, the author of a work, the owner of any right in a work, or information about the terms and conditions of the use of a work, and any numbers or codes that represent such information, when any of these items of information are attached to a copy of a work or appear in connection with the communication of a work to the public.

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