Copyright infringement in civil law is any violation of the exclusive rights of the owner. In US law, these rights include reproduction, preparation of derivative works, distribution of copies by sale or rental, and public performances or displays. In the United States, copyright infringement is sometimes confronted via
lawsuits in civil court, against alleged infringers directly or against providers of services and software that support unauthorised copying. For example, major motion-picture corporation MGM Studios filed suit against P2P file-sharing services Grokster and Streamcast for their contributory role in copyright infringement. In 2005, the Supreme Court ruled in favour of MGM, holding that such services could be held liable for copyright infringement since they functioned and, indeed, wilfully marketed themselves as venues for acquiring copyrighted movies. The
MGM v. Grokster case did not overturn the earlier
Sony v. Universal City Studios decision, but rather clouded the legal waters; future designers of software capable of being used for copyright infringement were warned. In the United States, copyright term has been extended many times over from the original term of 14 years with a single renewal allowance of 14 years, to the current term of the life of the author plus 70 years. If the work was produced under
corporate authorship it may last 120 years after creation or 95 years after publication, whichever is sooner. Article 50 of the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs) requires that signatory countries enable
courts to remedy copyright infringement with injunctions and the destruction of infringing products, and award damages.
Criminal law Punishment of copyright infringement varies case-by-case across countries. Convictions may include jail time or severe fines for each instance of copyright infringement. In the United States, wilful copyright infringement carries a maximum fine of $150,000 per instance. Article 61 of the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPs) requires that signatory countries establish
criminal procedures and penalties in cases of "willful trademark counterfeiting or copyright piracy on a commercial scale". Criminal copyright infringement requires that the infringer acted "for the purpose of commercial advantage or private financial gain" (). To establish criminal liability, the
prosecutor must first show the basic elements of copyright infringement: ownership of a valid copyright, and the violation of one or more of the copyright holder's exclusive rights. The government must then establish that
defendant wilfully infringed or, in other words, possessed the necessary
mens rea.
Misdemeanor infringement has a very low threshold in terms of number of copies and the value of the infringed works. The
ACTA trade agreement, signed in May 2011 by the United States, Japan, and the EU, requires that its parties add criminal penalties, including incarceration and fines, for copyright and trademark infringement, and obligated the parties to actively police for infringement.
United States v. LaMacchia 871 F.Supp. 535 (1994) was a case decided by the
United States District Court for the District of Massachusetts which ruled that, under the
copyright and
cybercrime laws effective at the time, committing copyright infringement for non-commercial motives could not be prosecuted under criminal copyright law. The ruling gave rise to what became known as the "LaMacchia Loophole", wherein criminal charges of
fraud or copyright infringement would be dismissed under current legal standards, so long as there was no profit motive involved. The United States
No Electronic Theft Act (NET Act), a federal law passed in 1997, in response to LaMacchia, provides for criminal prosecution of individuals who engage in copyright infringement under certain circumstances, even when there is no monetary profit or commercial benefit from the infringement. Maximum penalties can be five years in prison and up to $250,000 in
fines. The NET Act also raised
statutory damages by 50%. The court's ruling explicitly drew attention to the shortcomings of current law that allowed people to facilitate mass copyright infringement while being immune to prosecution under the
Copyright Act. Proposed laws such as the
Stop Online Piracy Act broaden the definition of "willful infringement", and introduce felony charges for unauthorised
media streaming. These bills are aimed towards defeating websites that carry or contain links to infringing content, but have raised concerns about domestic abuse and internet censorship.
Non-commercial file sharing Legality of downloading To an extent, copyright law in some countries permits downloading copyright-protected content for personal, noncommercial use. Examples include
Canada and
European Union (EU) member states like
Poland. The personal copying exemption in the copyright law of EU member states stems from the
Information Society Directive of 2001, which is generally devised to allow EU members to enact laws permitting making copies without authorisation, as long as they are for personal, noncommercial use. The Directive was not intended to legitimise file-sharing, but rather the common practice of
space shifting copyright-protected content from a legally purchased
CD (for example) to certain kinds of devices and media, provided rights holders are compensated and no copy protection measures are circumvented. Rights-holder compensation takes various forms, depending on the country, but is generally either a levy on "recording" devices and media, or a tax on the content itself. In some countries, such as Canada, the applicability of such laws to copying onto general-purpose storage devices like computer hard drives, portable media players, and phones, for which no levies are collected, has been the subject of debate and further efforts to reform copyright law. In some countries, the personal copying exemption explicitly requires that the content being copied be obtained legitimately (i.e. from authorised sources, not file-sharing networks). In April 2014, the
Court of Justice of the European Union ruled that "national legislation which makes no distinction between private copies made from lawful sources and those made from counterfeited or pirated sources cannot be tolerated."
Legality of uploading Although downloading or other private copying is sometimes permitted, public distribution – by uploading or otherwise offering to share copyright-protected content – remains illegal in most, if not all, countries. For example, in Canada, even though it was once legal to download any copyrighted file as long as it was for noncommercial use, it was still illegal to distribute the copyrighted files (e.g. by uploading them to a
P2P network).
Relaxed penalties Some countries, like Canada and Germany, have limited the penalties for non-commercial copyright infringement. For example, Germany has passed a bill to limit the fine for individuals accused of sharing movies and series to €800–900. Canada's
Copyright Modernization Act claims that statutory damages for non-commercial copyright infringement are capped at C$5,000 but this only applies to copies that have been made without the breaking of any "digital lock." However, this only applies to "bootleg distribution" and not non-commercial use.
DMCA and anti-circumvention laws Title I of the US
DMCA, the
WIPO Copyright and Performances and Phonograms Treaties Implementation Act has provisions that prevent persons from "circumvent[ing] a technological measure that effectively controls access to a work". Thus if a distributor of copyrighted works has some kind of software,
dongle or password access device installed in instances of the work, any attempt to bypass such a
copy protection scheme may be
actionable – though the US Copyright Office is currently reviewing anticircumvention rulemaking under DMCA – anti-circumvention exemptions that have been in place under the DMCA include those in software designed to filter websites that are generally seen to be inefficient (child safety and public library website filtering software) and the circumvention of copy protection mechanisms that have malfunctioned, have caused the instance of the work to become inoperable or which are no longer supported by their manufacturers. According to
Abby House Media Inc. v. Apple Inc., it is legal to point users to DRM-stripping software and inform them how to use it because of lack of evidence that DRM stripping leads to copyright infringement.
Online intermediary liability Whether
Internet intermediaries are liable for copyright infringement by their users is a subject of debate and court cases in a number of countries.
Definition of intermediary Internet intermediaries were formerly understood to be
internet service providers (ISPs). However, questions of liability have also emerged in relation to other Internet infrastructure intermediaries, including Internet backbone providers, cable companies and mobile communications providers. In addition, intermediaries are now also generally understood to include
Internet portals, software and games providers, those providing virtual information such as interactive forums and comment facilities with or without a
moderation system, aggregators of various kinds, such as
news aggregators,
universities,
libraries and
archives,
web search engines,
chat rooms,
web blogs,
mailing lists, and any website which provides access to third party content through, for example,
hyperlinks, a crucial element of the
World Wide Web.
Litigation and legislation concerning intermediaries Early court cases focused on the liability of
Internet service providers (ISPs) for hosting, transmitting or publishing user-supplied content that could be actioned under civil or criminal law, such as
libel or
pornography. The debate has shifted away from questions about liability for specific content, including that which may infringe copyright, towards whether online intermediaries should be generally responsible for content accessible through their services or infrastructure. The US
Digital Millennium Copyright Act (October 1998) and the European
E-Commerce Directive (June 2000) provide online intermediaries with limited statutory immunity from liability for copyright infringement. Online intermediaries hosting content that infringes copyright are not liable, so long as they do not know about it and take actions once the infringing content is brought to their attention. In US law this is characterised as "
safe harbor" provisions. Under European law, the governing principles for Internet Service Providers are "mere conduit", meaning that they are neutral 'pipes' with no knowledge of what they are carrying; and 'no obligation to monitor' meaning that they cannot be given a general mandate by governments to monitor content. These two principles are a barrier for certain forms of online copyright enforcement and they were the reason behind an attempt to amend the European
Telecoms Package in 2009 to support new measures against copyright infringement.
Peer-to-peer issues Peer-to-peer file sharing intermediaries have been denied access to safe harbour provisions in relation to copyright infringement. Legal action against such intermediaries, such as
Napster, are generally brought in relation to principles of
secondary liability for copyright infringement, such as
contributory liability and
vicarious liability. These types of intermediaries do not host or transmit infringing content, themselves, but may be regarded in some courts as encouraging, enabling or facilitating infringement by users. These intermediaries may include the author, publishers, and marketers of
peer-to-peer networking software, and the websites that allow users to download such software. In the case of the BitTorrent protocol, intermediaries may include the
torrent tracker and any websites or search engines which facilitate access to
torrent files. Torrent files do not contain copyrighted content, but they may refer to files that do, and they may point to trackers which coordinate the sharing of those files. Some torrent indexing and search sites, such as The Pirate Bay, now encourage the use of
magnet links, instead of direct links to torrent files, creating another layer of indirection; using such links, torrent files are obtained from other peers, rather than from a particular website. Since the late 1990s, copyright holders have taken legal actions against a number of peer-to-peer intermediaries, such as pir,
Grokster,
eMule,
SoulSeek,
BitTorrent and
Limewire, and case law on the liability of Internet service providers (ISPs) in relation to copyright infringement has emerged primarily in relation to these cases. Nevertheless, whether and to what degree any of these types of intermediaries have secondary liability is the subject of ongoing litigation. The decentralised structure of
peer-to-peer networks, in particular, does not sit easily with existing laws on online intermediaries' liability. The BitTorrent protocol established an entirely decentralised network architecture in order to distribute large files effectively. Recent developments in peer-to-peer technology towards more complex network configurations are said to have been driven by a desire to avoid liability as intermediaries under existing laws. ==Limitations==