Record Industry May Not Subpoena Providers

[Dave Farber <dave () farber net>]

Delivered-To: dfarber+ () ux13 sp cs cmu edu
Date: Fri, 19 Dec 2003 13:04:23 -0500
From: Barry Ritholtz <britholtz () maximgrp com>
Subject: Record Industry May Not Subpoena Providers
To: dave () farber net
Dave,

For IP: Breaking news re: Record Industry May Not Subpoena Providers

Barry L. Ritholtz
Market Strategist
Maxim Group
405 Lexington Avenue,
New York, NY 10174
(212) 895-3614
(800) 724-0761
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The Big Picture:
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Record Industry May Not Subpoena Providers
Dec 19, 10:44 AM (ET)
http://apnews.myway.com/article/20031219/D7VHHPHO0.html

By TED BRIDIS

WASHINGTON (AP) - A federal appeals court on Friday rejected efforts by the 
recording industry to compel the nation's Internet providers to identify 
subscribers accused of illegally distributing music online.

In a substantial setback for the industry's controversial anti-piracy 
campaign, the three-judge panel from the U.S. Court of Appeals for the 
District of Columbia overturned a ruling by the trial judge to enforce a 
copyright subpoena.

U.S. District Judge John D. Bates had approved use of the subpoenas, 
forcing Verizon Communications Inc. to turn over names and addresses for at 
least four Internet subscribers. Since then, Verizon has identified dozens 
of its other subscribers to music industry lawyers.

The appeals court said one of the arguments by the Recording Industry 
Association of America "borders upon the silly," rejecting the trade 
group's claims that Verizon was responsible for downloaded music because 
such data files traverse its network.

Verizon had challenged the constitutionality of the subpoenas under the 
1998 Digital Millennium Copyright Act.

The law, passed years before downloading music over peer-to-peer Internet 
services became popular, compels Internet providers to turn over the names 
of suspected pirates upon subpoena from any U.S. District Court clerk's 
office. A judge's signature is not required. Critics contend judges ought 
to be more directly involved.

Verizon had argued at its trial that Internet providers should only be 
compelled to respond to such subpoenas when pirated music is stored on 
computers that providers directly control, such as a Web site, rather than 
on a subscriber's personal computer.

In his ruling, the trial judge wrote that Verizon's interpretation "makes 
little sense from a policy standpoint," and warned that it "would create a 
huge loophole in Congress' effort to prevent copyright infringement on the 
Internet."





Barry L. Ritholtz
Market Strategist
Maxim Group
405 Lexington Avenue,
New York, NY 10174
(212) 895-3614
(800) 724-0761
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Volatility and Risk Management during Wartime:
http://cbs.marketwatch.com/news/story.asp?guid=%7B51CB3218%2D1F2C%2D4157%2D95A9%2D93A0C81CD5FB%7D&;



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