Preparing for the Post I.P. World SFU SIAT Graduate Colloquium 12/5/12 Jon Festinger, Q.C. Centre for Digital Media Festinger Law & Strategy LLP @gamebizlaw jon_festinger@thecdm.ca jon@fblawstrategy.com Description • “A whirlwind tour of the current state of intellectual property law; an examination of its inherent ethical conundrums; the prevailing tensions between freedom & creativity; and a few observations regarding possible destinies.” What Legal Principle Do I Need To Know? • THERE IS NO PROTECTION FOR AN IDEA IN THE WESTERN CANNON • ONLY FOR ITS EXPRESSION IN FIXED FORM • THE “IDEA/EXPRESSION DICHOTOMY” Methodology • Current “news” : WHY? • Work back to principles. • All made possible by another law; 2nd Law of thermodynamics….. • “The entropy of the universe always increases…” • “Entropy is also a gauge of randomness or chaos within a closed system. As usable energy is irretrievably lost, disorganization, randomness and chaos increase.” …..And a 2nd Law to know – but not a Legal Principle… Yes, we are now in the puddle… Trying to make sense of the cube… * Personal Themes • 1. Legal structure neither the problem…nor the solution. • 2 (a). Creativity is (among) the most basic, most valuable and most important human characteristics. • 2 (b). Key ethical corollary – measuring stick ought to be “cumulative creativity quotient” – ethics & rationality over subjectivism {thank you Derek Parfit “On What Matters”}. • 3.The “puddle” is healthy, evolutionary, more creative and facilitates more creativity. *Art by Avrel Zimmerman-Festinger Age 10 Index • 1. Whirlwind tour of current IP legal issues • 2. Examination of ethical conundrums & the tensions between freedom and creativity • 3. A few observations regarding possible destinies 1. The Whirlwind Tour Core Change Examples (AKA - Case Studies - Is The System Broken?) • “Online dispatch software providing licensed professional drivers the ability to receive and fulfill on-demand car service reservations as your private driver.” • New York Times “Bits” – Dec. 3, 2012 | “Daily Report: Car-Service App Tangles With Regulators”http://bits.blogs.nytimes.com/2012/12/03/dail y-report-car-service-app-tangles-with-regulators/ • Uber wins unanimously in Washington, DC, which is now rewriting its taxi laws (The Verge) Dec. 4,2012http://www.theverge.com/2012/12/4/3728850/was hington-dc-taxi-uber-regulations Also Check Out…. • Songza: Crowd sourced radio replacement through playlists and free music. • No controversy yet but considerable Canadian broadcaster concerns over Netflix Case to Watch 1 • “Court weighs broadcasters’ challenge to Diller’s Aereo” (Reuters) Nov. 30, 2012http://www.reuters.com/article/2012/11/30/us-aereobroadcasters-appeal-idUSBRE8AT18I20121130 • Intricate system of miniature antennas each assigned to a single subscriber which receive live TV signals and stream them to you. See “Why Johnny can’t stream: How video copyright went insane” by James Grimmelmann Aug. 30, 2012http://arstechnica.com/techpolicy/2012/08/why-johnny-cant-stream-how-videocopyright-went-insane/ • Sly way to comply with copyright laws OR simply a technology that allows individual consumers to decide what to watch. Case to Watch 2 • Capital Records/Universal Music action against MP3 resale website. • Issue: Does the “First Sale Doctrine” that allows you to resell physical CD’s also allow resale of digital equivalents? • ReDigi system erases original track – so no additional copy. • “ReDigi case reaches court” (CompleteMusicUpdate) Oct. 8, 2012 http://www.thecmuwebsite.com/article/redigi-casereaches-court/ Two More Pieces of the Puzzle • “DVR Use One Factor in Networks’ Low Ratings” (New York Times, Dec. 2, 2012)http://www.nytimes.com/2012/12/03/business/medi a/dvrs-and-weak-shows-explain-low-ratings-for-tvnetworks.html?_r=0 • “American Television Stations Call For Fair Canadian Import Trade Practices” http://www.ustvcoalition.org/ …and Two More… • “French broadcasting authority proposes cultural exemption to net neutrality” (Hogan Lovells - Nov. 26, 2012)http://www.lexology.com/library/detail.aspx?g=5a01 5cc3-da1f-456d-90ee-7e2b233e7dca • Researchers find Megaupload shutdown hurt box office revenues, despite gains for blockbusters (TNW – Nov. 24, 2012)http://thenextweb.com/insider/2012/11/24/research ers-find-megaupload-shutdown-had-a-negative-effect-onbox-office-revenues/ Paradigm Choice System is Broken: Examples • “Elon Musk: ‘If We Published Patents, It would be Farcical’ (Nov. 9, 2012) – SpaceX & China…http://www.businessinsider.com/elon-muskpatents-2012-11 • “Apple finally gets its patent on a rectangle with round corners: But is it too broad to use?” (Nov. 7, 2012)http://www.theverge.com/2012/11/7/3614506/apple -patents-rectangle-with-rounded-corners • “Apple gets design patent on virtual page turning, but doesn’t own the page turn” (Nov. 19, 2012)http://www.theverge.com/2012/11/19/3659382/appl e-design-patent-on-virtual-page-turn More Examples • “The Patent Problem” by Steven Levy (Wired - Nov. 13, 2012) – about a document scanning patent holder/troll who never able to build a working product but feels practically website infringes.http://www.wired.com/opinion/2012/11/ff-stevenlevy-the-patent-problem/all/ • “The Cost of Reading Privacy Policies” – McDonald/Cranor – 2008 study posing the question: “if website users were to read the privacy policy for each site they visit just once a year, what would their time be worth?” 2008 Answer: 244 hours (35 working days = 1 2/3 months). Just privacy policies, not EULA’s & ToS’.http://lorrie.cranor.org/pubs/readingPolicyCostauthorDraft.pdf Related Problem Trajectory # 1 Provider or Publisher? • Providers generally have few free speech rights or content liabilities (“takedown/safe harbor”). • “Google loses Australian defamation case after court rules that it is accountable as a publisher” (The Verge – Nov. 26,2012). Search results linking French insurance company to words “crook” and “con man.”http://www.theverge.com/2012/11/26/3694908/googledefamation-australia-publisher • “Verizon called hypocritical for equating net neutrality to censorship: Telecom only claims responsibility for content when it's convenient” (Ars Technica – Nov. 16, 2012).http://arstechnica.com/tech-policy/2012/11/verizoncalled-hypocritical-for-equating-net-neutrality-to-censorship/ What about “Merged Content”? • Multiple screen within screen issues (main content + additional supplier content + crowd-sourced content: text + audio + video + location ++++) • Multiple input dilemma = split legal approach for split screens? Which standard will a Court apply – lowest common denominator/ to each its own? • What standard applies? Expression rights/defamation liabilities v. safe harbor/takedown – To edit or not to edit? • Split regime – but why not both? One relates to defamation/other to copyright. Related Trajectories # 2 & # 3 Privacy (commercial) & Privacy (gov’t/law enforcement) & Web Jurisdiction • ‘Mr. Ward’s “unreasonable” expectation of privacy towards data held by his ISP’ (McCarthy Tetrault LLP) Nov. 8, 2012 – expectation of ISP privacy unreasonable in context of investigation for crimes of possession and trafficking of child pornography (Canada) • http://www.lexology.com/library/detail.aspx?g=0ef8a1c268de-46ed-8aa6-4ce8b7826ccf • “Courts Divided Over Searches of Cellphones” (NY Times) Nov. 25,2012 (U.S.) • http://www.nytimes.com/2012/11/26/technology/legalityof-warrantless-cellphone-searches-goes-to-courts-andlegislatures.html?pagewanted=all Related Trajectories # 2 & # 3 (con’d) • “What Privacy is For” by Julie E. Cohen 126 Harv. L. Rev. (forthcoming 2013 – draft Nov. 5, 2012) • http://www.harvardlawreview.org/symposium/papers2012 /cohen.pdf • LEADING TO >>>>>>>>>> • “New World Order: is the UN about to take control of the internet?” (The Verge) Nov. 29,2012 • http://www.theverge.com/2012/11/29/3706352/un-itutalks-dubai-guide End of Whirlwind Tour Index Reminder • 1. Whirlwind tour of current IP legal issues • 2. Examination of ethical conundrums & the tensions between freedom and creativity • 3. A few observations regarding possible destinies 2. Examination of Ethical Conundrums & the Tensions Between Freedom and Creativity • All facets of the same “cube” >>>> • Exemplified by Fair Use/Fair Dealing Conundrums… Three Examples of the Conundrums • “Early-Morning Raid (in Finland) Sent To Confiscate 9-YearOld’s Winnie The Pooh Laptop For Downloading Music” (Techdirt) Nov. 26, 2012http://www.techdirt.com/articles/20121122/02340221122/ early-morning-raid-sent-to-confiscate-9-year-olds-winniepooh-laptop-downloading-music.shtml • “Tattoo Artist sues THQ Over Designs Appearing in UFC Games” (GamePolitics) Nov. 20, 2012http://gamepolitics.com/2012/11/20/tattoo-artist-sues-thqover-designs-appearing-ufc-games#.UL7pupPjmOU • How The Video Game Industry Was Launched 40 Years Ago….Thanks To Infringement (Techdirt) Nov. 30, 2012http://www.techdirt.com/blog/innovation/articles/2012112 9/17592021179/how-video-game-industry-was-launched-40years-ago-thanks-to-infringement.shtml The Core Conundrum • Game Mods • Machinima • Remixing • BECAUSE THEY IMPLICATE CREATIVITY Some Questions ?? • Is there a “RIGHT To CREATe”? • Is Copyright “property ” or “right ”? • Are the problem “legal”? Or are we misunderstanding the balances of the idea/expression dichotomy? • Did Copyright grow of of free speech principles or property ownership values? (See the Statute of Anne 1710 “An Act for the Encouragement of Learning…” & Article 1 of the U.S. Constitution “To promote the Progress of Science and useful arts..”) • Does it mean anything that IP laws time limited? • Is it odd that copyright constrains speech? • Is it odd that IP Laws restrain mass creativity? SCC Paradigm Shifts • The August “Copyright Pentalogy” & previous cases • Moving from fair dealing as an exception to copyright infringement towards proactive “User Rights” • Right to Link • Right to longer iTunes previews • Tech Neutrality • Fair dealing is to be assessed from the point of view of the purchaser/user • “Research” need not be associated with traditional intellectual pursuits • See: “Reflections on the Supreme Court of Canada 2012 Copyright Decisions” (IP Osgoode) Nov. 29,2012http://www.iposgoode.ca/2012/11/ip-osgoodespeaker-series-the-honourable-mr-justice-marshallrothstein-%E2%80%93-reflections-on-the-supremecourt-of-canada-2012-copyright-decisions/ New Copyright Act • Parody & Satire – new Fair Dealing exceptions to infringement • New “User-Generated Content Exception To Infringement” – allows for creation and publication of “mash-up” videos and other user-generated content without infringement PROVIDED it is not used for a commercial purpose. • “What the New Copyright Law Means For You” by Michael Geist Nov. 13, 2012 • http://www.michaelgeist.ca/content/view/6695/135/ Index Reminder • 1. Whirlwind tour of current IP legal issues • 2. Examination of ethical conundrums & the tensions between freedom and creativity • 3. A few observations regarding possible destinies 3. A Few Observations Regarding Possible Destinies • “Google’s ‘Defend Your Net’ Campaign Implies That All of The Internet Is Fair Use” (TechCrunch) Nov. 27,2012http://techcrunch.com/2012/11/27/googles-defendyour-net-campaign-implies-that-all-of-the-internet-is-fair-use/ • “That Was Fast: Hollywood Already Browbeat The Republicans Into Retracting Report on Copyright Reform” (TechDirt) Nov.17, 2012http://www.phphosts.org/blog/2012/11/that-was-fasthollywood-already-browbeat-the-republicans-into-retractingreport-on-copyright-reform/ • Report examined “three myths”: 1. The purpose of copyright is to compensate the creator of the content; 2. Copyright is free market capitalism at work; & 3.The current copyright legal regime leads to the greatest innovation and productivity.http://www.hyperorg.com/misc/rsc_policy_brief_-_three_myths_about_copyright_law_and_where_to_start_to_fi x_it_--_november_16_2012.pdf Is the Puddle Looking Better Now? Oh….. •One More Thing….. Another Take on The Post IP World • In todays world….In real terms….It is possible that… • IP has become VIRTUALLY* MEANINGLESS mean·ing·less/ˈmēniNGlis/ Adjective: Having no meaning or significance. Having no purpose or reason. Synonyms: pointless - senseless - unmeaning - insignificant – inane *no pun intended IP Law Swept Away By? • Privity of Contract; AKA Licensing Agreements (EULA’s, ToS etc.) • Privacy Agreements • Broadcast &Telecom Regulation • Anti – Trust Law • Consumer Protection Cliffhanger…for another day…. Another “One More Thing”… • The best thought experiment about a “Post IP World”… • “Without copyright protection the world may never have known Jar Jar” – “World without copyright?” (WordsByNowak) Nov. 22, 2012http://wordsbynowak.com/2012/11/22/copyright-2/ Thank You for coming… • Thanks also to Prof. John Bowes & Jake Freiberg for the invitation… • And to Prof. Richard Smith, Prof. Kim Voll, Rory Holland and all the Faculty, Staff & Students at The CDM for their support and encouragement…. Come See Us Our Academic Partners