I found this quite interesting.... Kevin in VT
Canada Puts Arctic Chill On Music Industry
http://www.washingtonpost.com/wp-dyn/articles/A41679-2004Apr1.html
By Cynthia L. Webb washingtonpost.com Staff Writer Thursday, April 1, 2004; 10:01 AM
Tired of being harassed by suits from the recording industry just because you want to share some free music online? Go to Canada.
A Canadian federal judge essentially ruled yesterday that song-swapping in the Great White North is legal. The decision throws a curve ball at the music business, which has been ramping up its international efforts this week to thwart online music piracy. The most notable example is the International Federation of the Phonographic Industry, which started taking legal action against hundreds of suspected European file sharers. The Recording Industry Association of America (RIAA) also has been on a lawsuit binge since last year. . Federal Court of Canada ruling (PDF)
USA Today noted that "[w]hile two courts -- in Denmark and the USA -- ruled in favor of file-sharing services in the past, Canadian Judge Konrad von Finckenstein is the first to OK the actions of file sharers." The Globe and Mail reported that the decision "went far beyond privacy issues, dealing a huge blow to the Canadian music industry and its efforts to stop Internet users from sharing music files. Mr. Justice Konrad von Finckenstein ruled yesterday that the Canadian Recording Industry Association (CRIA) failed in all respects to make a case for requiring Internet companies to turn over the identities of big music downloaders."
Indeed, the ruling gives a nod to file-swappers and gives the peer-to-peer community fresh ammunition to fend off legal volleys from the recording industry. Nevertheless, media coverage is already pointing out that the ruling's legal impact here in the United States could be minimal if not nil.
"Canadian law isn't binding," New York copyright attorney Whitney Broussard told USA Today "But you could see lawyers here making the same kind of arguments and pointing to the Canadian decision." . USA Today: Canadian Judge Says Swapping Songs Online Is Legal . Canada's Globe and Mail: Ruling Deals Blow To Music Industry . The Associated Press via washingtonpost.com: Canada Rules Against File Sharing Suits (Registration required)
The Los Angeles Times said "Michael Geist, a University of Ottawa professor who specializes in Internet law, said Von Finckenstein's ruling could eliminate the music industry's ability to sue individual Canadians. File sharers in other countries may not find similar protection, he said, noting that Canadian copyright law carves out an exemption for copying music for private use."
The paper also reported that Judge von Finckenstein's "legal blessing was an unexpected setback to the music industry's expanding international effort to stop free and unauthorized downloads. But experts said the judge's ruling hinged on elements of Canadian law not found in many other countries
CRIA General Counsel Richard Pfohl in a statement picked up by CNET's News.com said: "In our view, the copyright law in Canada does not allow people to put hundreds or thousands of music files on the Internet for copying, transmission and distribution to millions of strangers."
BBC News reported more details on how the case in Canada originated. "Canada's music industry, the sixth largest in the world, had been encouraged to take action following the success of anti-piracy crackdowns in the US. The companies claim music swapping costs them millions of dollars in lost sales every year," the news service said. "Firms including EMI and Universal wanted the courts in Canada to order internet service providers to give them the names of 29 alleged large-scale offenders. But Judge [von Finckenstein], of Canada's Federal Court, stressed that online music swapping did not constitute commercial distribution." . BBC News Online: Judge Blocks Online Piracy Action . CNET's News.com: Judge File-Sharing Legal In Canada
Canadian Sensibilities
From the Vancouver Sun: "In what analysts termed a stunning decision, von Finckenstein ruled that file-sharing, the uploading and downloading of files over the Internet using shared directories like those on Kazaa, is not illegal under Canadian copyright law, reaffirming what the Copyright Board of Canada has already ruled," the paper said. . The Vancouver Sun: Sharing Music Over Internet Not Illegal, Court Rules
Matthew Ingram of the Globe and Mail wrote that the judge's ruling "didn't just poke a few holes in the industry's legal case - he blew it completely out of the water. In fact, if it was a turkey and this was hunting season, it would be nothing but a cloud of feathers. There were a number of reasons why Judge Finckenstein might have quashed the Canadian Recording Industry Association's attempt to identify individual music uploaders, including the fact that it is difficult to tie specific IP (Internet Protocol) addresses to individual users, or to ensure that those users were the ones who actually shared the music files at the time in question."
Ingram also wrote that "as far as [Canada's] Federal Court is concerned, neither the downloading nor the sharing of digital music files is illegal under Canadian law. Should it be? Judge von Finckenstein didn't deal with that issue, since it's not the court's job. If the federal government wants file-swapping to be illegal, it will have to make that clear - because as of Wednesday, one of the country's senior judges is convinced that it is not. And the recording industry is left to lick its wounds and plan some other form of attack." . The Globe and Mail: Ingram: File Swappers Win Big
The Ottawa Business Journal called the ruling "a blow for the Canadian Recording Industry Association (CRIA). Last month, the industry association took five Internet Service Providers to Federal Court in an attempt to force them to disclose the names and addresses of 29 people alleged to have shared hundreds of songs with others using programs like Kazaa. In his ruling, von Finckenstein said that downloading a song or making files available in shared directories like those on Kazaa was not a crime. The ruling means that the five ISPs will not have to disclose the identities of the 29 individuals. Without the names, CRIA can't file lawsuits," the paper said. . The Ottawa Business Journal: Federal Judge Quashes Attempt To Identify Music Uploaders
The Edmonton Journal wrote: "Given Wednesday's blunt decision by the court, the mainline record industry may next turn to federal legislators, seeking amendments to the Copyright Act. It could be a longer wait than the Glass Tiger comeback CD, considering that it took almost a century to clean up the complicated relic last time. With federal Liberals gun-shy of anything approaching corporate stroking and the Conservatives and NDP in touch with their respective libertarian and youth pandering sides, the Mexican standoff isn't likely to resolve anytime soon." . The Edmonton Journal: Ruling Leaves Industry In Musical Mexican Standoff
Rising Sales, Falling Employment
Music sales continue to rise, according to new numbers from Nielsen SoundScan. "Album sales for the first quarter rose 9.2% from a year earlier, with strong gains in sales of both current and older albums. Total sales for the quarter reached 158 million copies, up from 144.7 million for the first quarter of 2003," The Wall Street Journal reported. But the paper said the "industry continues to cut back. Yesterday, EMI Group PLC announced it was cutting 1,500 jobs, or 20% of its work force, and dropping weak acts from its roster. Warner Music Group also is in the midst of deep personnel cuts." . The Wall Street Journal: Album Sales Show 9.2% Increase In Quarter as Rebound Continues (Subscription required)