Major Labels Accused Of $6 Billion Copyright Infringement

Major Labels Accused Of $6 Billion Copyright Infringement

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HereBeMonsters

Original Poster:

14,180 posts

188 months

Tuesday 8th December 2009
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http://techdirt.com/articles/20091207/1201017234.s...

The major labels and their friends like to throw around huge numbers of "damages" when it comes to copyright infringement. But how about when they're on the receiving end of a copyright infringement lawsuit. Up in Canada, there's a class action lawsuit against the Canadian divisions of all of the major record labels, suggesting that the labels have infringed on the copyrights of artists to the tune of $6 billion (Updated: the original math was off, it's actually $6 billion, not $60). As Michael Geist explains:

The claims arise from a longstanding practice of the recording industry in Canada, described in the lawsuit as "exploit now, pay later if at all." It involves the use of works that are often included in compilation CDs (ie. the top dance tracks of 2009) or live recordings. The record labels create, press, distribute, and sell the CDs, but do not obtain the necessary copyright licences.

Instead, the names of the songs on the CDs are placed on a "pending list", which signifies that approval and payment is pending. The pending list dates back to the late 1980s, when Canada changed its copyright law by replacing a compulsory licence with the need for specific authorization for each use. It is perhaps better characterized as a copyright infringement admission list, however, since for each use of the work, the record label openly admits that it has not obtained copyright permission and not paid any royalty or fee.

Over the years, the size of the pending list has grown dramatically, now containing over 300,000 songs. From Beyonce to Bruce Springsteen, the artists waiting for payment are far from obscure, as thousands of Canadian and foreign artists have seen their copyrights used without permission and payment.

And yet, amazingly, the record labels -- these "strong defenders" of the importance of copyright and paying for every use -- somehow have decided that it makes no sense to pay this bill. The list itself details about $50 million in unpaid royalties that are owed, often to well known musicians who it would be quite easy for the industry to find and pay up. As for the $6 billion number? Well, the class action lawsuit that's been filed seeks statutory damages starting at $20,000 per infringement and going up from there. Given that these same record labels have been defending those same (or, similar, in the US, at least) statutory rates for infringement, you have to wonder how they can realistically claim that those statutory rates shouldn't apply to themselves as well.

Once again, though, we're seeing what's really happening. The record labels are copyright defenders only when they profit unfairly from it. When they can screw over others via ignoring copyright, they have no problem doing so.

HereBeMonsters

Original Poster:

14,180 posts

188 months

Tuesday 8th December 2009
quotequote all
I guess I should have put this in The Lounge... frown

KaraK

13,265 posts

215 months

Tuesday 8th December 2009
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HereBeMonsters said:
I guess I should have put this in The Lounge... frown
at least it stands a chance of staying sane in here, although you might have seen more exposure in "News" etc.

Still giood find HBM, while I'm not going to get into the whole rights and wrongs of common or garden music piracy I must say that people pond scum making substantial profits of other peoples works without paying them for it is just disgusting!

neilr

1,527 posts

269 months

Tuesday 8th December 2009
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The hypocrisy of the record industry knows no bounds. It will attempt to take everything it can from everyone it can until theres nothing more to take and will continue to do so unless stopped. A corrupt and disgusting industry owned and run by corrupt and disgusting people.

I hope this law suit is a success.

tank slapper

7,949 posts

289 months

Tuesday 8th December 2009
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That they are asking for damages of exactly the same figures that the record companies have been claiming are completely fair and justified when it is them pursuing the public, is hilarious. Hoist by their own petard indeed. If they win the case, the outcome could be pretty good - either the companies get an enormous fine (my heart bleeds) or they are forced to admit they have been grossly exaggerating their claims of damages.

KB_S1

5,967 posts

235 months

Tuesday 8th December 2009
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KaraK said:
Still giood find HBM, while I'm not going to get into the whole rights and wrongs of common or garden music piracy I must say that people pond scum making substantial profits of other peoples works without paying them for it is just disgusting!
You mean like the pirate bay founders?


This is a pretty bad case of corporate theft it seems.
I am sure I was told of a major label being caught with cracked software on an entire office network recently too.

KaraK

13,265 posts

215 months

Wednesday 9th December 2009
quotequote all
KB_S1 said:
KaraK said:
Still giood find HBM, while I'm not going to get into the whole rights and wrongs of common or garden music piracy I must say that people pond scum making substantial profits of other peoples works without paying them for it is just disgusting!
You mean like the pirate bay founders?


This is a pretty bad case of corporate theft it seems.
I am sure I was told of a major label being caught with cracked software on an entire office network recently too.
I did say I wasnt going to get into it but as a matter of fact I don't particularly approve of the Pirate Bay founders either.

havoc

30,725 posts

241 months

Sunday 13th December 2009
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tank slapper said:
That they are asking for damages of exactly the same figures that the record companies have been claiming are completely fair and justified when it is them pursuing the public, is hilarious. Hoist by their own petard indeed. If they win the case, the outcome could be pretty good - either the companies get an enormous fine (my heart bleeds) or they are forced to admit they have been grossly exaggerating their claims of damages.
yes

Will absolutely love the outcome of this one...although I'm not betting against a whitewash, even in Canada!

suthol

2,215 posts

240 months

Sunday 13th December 2009
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The team my daughter works with has successfully prosecuted a similar case here in Oz and was also successful on the other side of the fence against Kazza.

Currently involved in a rather significant case against an ISP for not preventing illegal downloads, final summing up completed by both sides and now waiting on the judgement.