Sunday, September 20, 2020

TorrentFreak's Latest News

 

'Copyright Troll' Loses Legal Battle and Must Pay $172,173
Ernesto Van der Sar, 20 Sep 11:21 PM

indianapolis skylineOver the past years, dozens of independent photographers have taken their copyright disputes to court, accusing companies of using their work without permission.

While many of them have a legitimate claim, these 'photo' lawsuits generally have a bad reputation. This is in part due to the tactics employed both in and outside of court.

One of the most active attorneys, Richard Liebowitz, made a name for himself through such controversial practices. Courts have repeatedly reprimanded the attorney for various types of misconduct, including a $100,000 sanction a few weeks ago.

Another common name in federal courts is Richard Bell, who's both a photographer and attorney. Over the years he filed more than 100 lawsuits for the unauthorized use of an Indianapolis skyline photo he claims to own the rights to.

To outsiders, these cases may appear to be regular copyright claims, but they also show the hallmarks of "copyright trolling." The attorneys use the pressure of federal lawsuits and potential statutory damages of $150,000 to extract high settlement fees from defendants, without fighting a case on its merits.

While it's unclear what the success rate of this practice is, most cases are indeed settled outside of court, suggesting that the strategy pays off. However, that's not always the case. For Richard Bell it recently backfired.

Bell Sues Carmen Commercial over Skyline Photo

In 2016 Bell filed one of his many lawsuits. The target, in this case, was Carmen Commercial Real Estate Services who used the contested skyline photo in a blog post.

When Bell contacted Carmen Commercial he was offered a $1,000 settlement. However, the attorney wanted more and requested $5,000. He threatened a lawsuit if the real estate company failed to pay up.

This type of settlement pressure is not new. However, Carmen Commercial chose not to pay up and opted for a court battle instead. There, the company argued that Bell couldn't prove that he owns the rights to the photo. And if he took it, it was made under the "work for hire" doctrine.

Bell Can't Prove he Owns the Copyright

The case eventually went to trial where the jury sided with the real estate company. Bell obviously wasn't happy with the outcome and demanded a new trial.

This request was recently denied by a federal court in Indianapolis. Not only that, the court also awarded $172,173 in attorneys' fees and costs to the real estate company. This is justified, the court argued, in part due to the pressure tactics that were used.

"Defendant here offered to settle the matter for $1,000 before suit was filed. Yet Bell proceeded to trial seeking $150,000 in statutory damages on scant evidence of willful infringement," Judge James Sweeney writes.

'Improper' Motive

The court correctly mentions that Bell has filed many lawsuits over the 'skyline' photograph. It also notes that other judges have mentioned that his motive appears to be to extract quick and easy settlements instead of protecting his copyrights.

"Here, the record similarly reflects that Bell used the threat of litigation costs to extract quick settlements," Judge Sweeney writes, highlighting two letters where Bell threatened legal action and even higher costs if Carmen Commercial didn't pay up.

bell threats

These settlement demands can be quite lucrative. They can reach 1,000 times the market value of an actual license, the court mentioned. The defendant, however, will always have costs, whether they choose to pay up or if the matter ends up in court.

$172,173 to Deter and Compensate

This means that defendants in these cases are at a disadvantage, so compensation for their costs, which are way higher than the initial settlement offer, is appropriate. Otherwise, it would be a hollow victory. At the same time, it should deter the attorney from filing similar lawsuits in the future.

In this case, Carmen Commercial calculated its costs to be $172,173, which the court deemed to be reasonable. While it wasn't a quick and easy win for the real estate company, it's certainly a big one.

As for that skyline photo which started this four-year legal battle, Carmen Commercial still uses that in its blog posts. With proper permission from the rightsholder, we presume.

A copy of Judge Sweeney's order, denying a new trial and granting the motion for fees and costs, is available here (pdf)

From: TF, for the latest news on copyright battles, piracy and more.

Spanish Piracy Giant 'Megadede' to Shut Down, Successors Queue Up
Ernesto Van der Sar, 20 Sep 08:15 PM

megadede logoSpain is an interesting country when it comes to piracy. On the one hand, it has one of the highest piracy rates worldwide, but there is no shortage of enforcement actions either.

In recent years there have been several criminal investigations into unauthorized IPTV streaming, torrent and streaming portals have been taken to court, and ISPs have been ordered to block pirate sites as well.

It appears that, despite all the legal pressure and threats, new pirate sites and services continue to appear online. Unlike in some other countries, these are often localized as well.

Names such as "Don Torrent," "DivxTotaL," and "Megadede" are relatively unknown in most parts of the world. However, in Spain, they are listed among the 100 most visited sites in the country, mixed in with major brands such as Google, Wikipedia, Amazon, Facebook, and Netflix.

Local Piracy Giant Megadede Shuts Down

This week one of these giants announced its demise. In a message posted on the site, Megadede.com's operators write that they are "forced" to announce that the site shuts down within a week.

"The members of the team are forced to announce that in less than a week megadede will come to an end. We hope you have enjoyed this time with us and take the opportunity to download your lists. Thanks for everything #megabye."

megadede-message

It's not clear who forced the operators to take action, but it is possible that legal pressure played a role. Unlike many other streaming sites, Megadede required an account to view all content. It didn't rely on search traffic but had a dedicated user base.

megadede lists

Megadede is one of the largest sites in Spain but has only been around for two years. It took over from Plusdede in 2018 after that site was ordered to shut down by the authorities. Plusdede, wasn't unique either, as it was reportedly built based on the database of Pordede, which shut down after being hacked.

Takeover is an Option

While Megadede will soon be gone, there is room for a takeover of the domain name or even the entire project. In the site's help and support section the operators write that they are willing to sell to a good bidder.

"If someone wants to buy the domain or the project, you can send an offer through the contact page. We will only answer offers that may interest us," they write.

This means that Megadede may possibly continue under new ownership. However, there is no shortage of alternatives either. After the site announced its shutdown decision several competitors said they were ready to take over the traffic.

Some, including DivMax.com, even offered to enable support for Megadede user 'playlists' to enable a smooth transition.

"The DixMax administration welcomes you. Due to the recent closure of Megadede we invite you to meet and discover DixMax.com and all its applications available for free. Downloaded Megadede playlists will soon be added," the site writes on Twitter.

From: TF, for the latest news on copyright battles, piracy and more.

TuneIn Blocking Debacle: Bombing Internet Radio Back to the Stone Age
Andy Maxwell, 20 Sep 12:43 PM

Radio SmashWhen it comes to copyright infringement matters, especially when that involves commercial players doing battle to prevent the wholesale spread of content, my basic position is that all is fair in love and war.

If a torrent site, IPTV provider or streaming platform has a specific role to distribute premium copyrighted content to the masses for profit, then they should expect a robust response. This is someone's content and it should come as no surprise that powerful people will attempt to protect it.

Even if only quietly, all players in this space understand the rules. Every now and again, however, copyright enforcement can hit a nerve even with the most understanding and pragmatic among us. It can be particularly jarring when the end result amounts to a reduction in previously enjoyed freedoms when that should not be the case.

TuneIn Radio Index Deemed to Be Copyright-Infringing

For those out of the loop, during the past few days TuneIn radio, a major aggregator of streaming radio links already in existence on the web, took the decision to conduct widespread geo-blocking of content in the UK. This was due to a High Court order obtained by record labels Sony and Warner who successfully argued that the service essentially became a broadcaster when it offered links to a 'new public' in the UK.

Purely on a legal footing and based on existing case law in the UK and EU, the decision makes quite a lot of sense. When access to unlicensed content is facilitated to a new audience, whether delivered via Internet radio stations or other Internet-based platforms, that generally amounts to a breach of copyright law.

On the ground, however, we are already seeing that the effects can be much more profound. TuneIn's decision to block access to a huge range of stations broadcasting content NOT owned by Sony or Warner shows that the chilling effect is already underway and sadly it's only likely to get worse.

Be Warned: TuneIn is Not the Only Aggregator

Anyone with a hardware-based Internet radio in the UK will probably have been sold it on the premise that it provides access to between 20,000 and 40,000 stations from around the world. These devices are the modern-day equivalent of AM or even shortwave radio, allowing us to listen to broadcasts without borders, from the most diverse and secluded regions and covering a massive range of niche topics and cultures.

Thanks to the decision by the High Court, however, this access could soon be a distant memory.

Hardware receivers, (of which I own two excellent ones, both Revo) are completely useless on the Internet radio side without access to an external index of radio stations and their related URLs. These massive indexes are not colorful like the one provided by TuneIn but they are functionally similar. One can search by station name and other parameters such as genre or region. This type of curation was deemed unacceptable by the High Court in the TuneIn case.

The big question now, of course, is how long will these platforms be able to offer services to users in the UK without facing the same kind of pressure applied to TuneIn? How long before they too start censoring access to global stations on the basis that they might breach the rights of the two labels that brought the action against TuneIn in the UK?

As per the comment received by TorrentFreak this week from TuneIn, "Over the past several months, we have worked with broadcasters to confirm their licensing status, removing from our platform those radio stations whose licensing status we are unable to verify at this time."

"Unable to verify at this time" does not mean absolutely unlicensed. Neither does it mean that all removed stations breached the rights of the labels. TuneIn appears to be erring on the side of caution because it's terrified that under-blocking won't get the job done and could leave it liable for copyright infringement.

With Great Power Comes Great Responsibility

Anyone can set up an Internet radio stream in minutes and broadcast content that is not licensed for use in the UK because it doesn't need to be as it breaches nobody's rights. How does one go about proving that status to an index like TuneIn? Proving you don't need a license is much harder than simply having one to show.

The great charm of Internet radio is that it can be used to find fresh or unusual content that isn't owned by major labels like Sony and Warner, largely because it's not considered popular enough. In fact, platforms not broadcasting that type of content is a major plus for me personally as I have Spotify for that, should I need it.

So why were some of my favorite stations dedicated to promoting new artists and music who want to be promoted blocked by TuneIn this week in response to this lawsuit?

To draw a parallel, how would we feel if we turned on our regular radios to tune into a distant broadcast only to be greeted by a high-pitched tone put there to prevent us from listening? We wouldn't accept that and it's my opinion people shouldn't accept this either – this is not exclusively about two labels' rights.

In the 90s, when I spent quite a bit of time in Poland, I liked nothing better than to flick a hotel radio to AM to listen to a distant broadcast of what was then TalkRadio. Now, Polish citizens in the UK, who previously enjoyed a local channel from back home, face the prospect of it not being available in their second home via TuneIn, thanks to the fear of TuneIn breaching a High Court ruling.

The labels will argue this isn't their problem, as any blocking only needs to be done when a station breaches their rights. And they would be completely correct. But their actions have led to this situation and now everyone has to suffer, regardless of whether their international listening habits were covered by the lawsuit or not. But there are other issues too.

Driving Pirate Radio Back Onto the Streets is a Bad Idea

With great power comes great responsibility and bombing Internet radio back to the stone age to protect the rights of the few is overkill and counterproductive.

Fully-blown pirate/unlicensed radio stations are of course illegal in most countries but they serve a purpose. They existed and exist to bring niche content to a wider public completely underserved by licensed operations.

In the 80s, for example, early dance, plus soul, reggae, and funk music weren't broadcast on any legal station in the UK in any meaningful way, a gap that pirates like the then-illegal Kiss were happy to fill. And just look at the size of the market now, raking in countless millions for labels like Sony and Warner.

It took years for mainstream providers to catch up on these niches yet they're still miles behind today if quality and quantity are considered. Bluntly, they don't get involved until they see an audience because that's where the money is. Pirate radio stations incubated those audiences and still do today.

Admittedly, broadcasting via traditional antenna was and is both illegal and potentially dangerous. In recent years, however, many of these broadcasts have been switched to the Internet, reducing airwave pollution while continuing to serve fans with niche content that licensed broadcasters couldn't care less about. If this High Court ruling runs to its logical conclusion, aggregators will be too scared to index any of them.

That could be a way off, but the stage has been set. Big Music has the opportunity to step back now but history tells us that won't be the case. Fortunately, where there's a will there's a way. Labels can tear up the radio 'phonebook' operated by TuneIn and their counterparts but they can't block every station on the Internet, even though they'd probably like the power to.

The Future and What it May Hold

If a ruling can be obtained in the UK to compel geo-blocking of international stations, then it doesn't seem far-fetched to conclude that decisions could be obtained elsewhere too.

How long before United States aggregators must block all UK-based stations? How long before listeners in the Netherlands are barred from content broadcast to German or French audiences? When will Canadians be prevented from enjoying content from their cousins south of the border? Could we even face a situation where stations based anywhere in the world are forcibly removed from aggregators for not respecting their geographic licensing regions?

It may sound alarmist, and hopefully it is, but what people might have to prepare for in a worst-case scenario is radio aggregators being treated like illegal torrent indexes that are either forced offline or made to persistently teeter on the edge of a lawsuit.

The stations themselves are still broadcasting of course but listeners will probably have to get used to finding them another way. It might be a good time to get familiar with how to do that right now, before it's too late.

From: TF, for the latest news on copyright battles, piracy and more.

 
 
Powered by Mad Mimi®A GoDaddy® company

No comments: