Canadian copyright law promises to dominate discussion in Ottawa over
the coming weeks as hearings on Bill C-32, the controversial copyright
bill, are set to begin within a few days. My weekly technology law
column (Toronto
Star version, homepage
version) notes that if the past six months are
any indication, Members of Parliament will be asked to sort through
confusing rhetoric in order to understand the implications of the
proposed changes. Separating fact from fiction will not be easy,
but
getting straight answers to the following questions will be crucial:
1. Will Bill C-32
give education institutions the right to engage in massive
uncompensated copying?
No. The inclusion of education as a fair dealing category will not mean
that any educational copying will be free. It will only mean that
educational copying will be eligible for analysis under a six-part test
developed by the Supreme Court of Canada to determine whether the
copying qualifies as fair dealing. The changes in Bill C-32 are more
modest than often claimed as they merely fill some gaps in the existing
list of fair dealing categories.
2. Will Bill C-32
give consumers
the right to make backup copies and view or read their purchases on the
device of their choice?
Sometimes. The bill includes new consumer exceptions that open the door
to legally recording television shows (time shifting), moving content
between devices (format shifting) and making personal backup
copies.
However, the bill also says that if the content, such as DVDs and
e-books, contains a digital lock, consumers can’t circumvent the lock
in order to exercise their rights. Since digital locks are
commonly
found on these products, Canadians may not actually get to exercise
their new “rights.”
3. Aren’t the
digital lock rules in Bill C-32 required by international law?
No. The government has made implementing the World Intellectual
Property Organization’s Internet treaties a key priority and those
treaties include a requirement to provide legal protection for digital
locks. However, the treaties feature considerable flexibility
that
permits countries to allow users to circumvent digital locks for legal
purposes. The Bill C-32 model is one of the most restrictive
approaches in the world – even the U.S. permits circumvention of DVD
locks for some non-commercial purposes – and could be amended to match
the more flexible implementations found in countries such as New
Zealand and Switzerland.
4. Does Bill C-32
require Internet providers to help combat piracy?
Yes. The bill codifies a “notice-and-notice” system that gives
rights
holders the power to notify ISPs of alleged infringements and requires
the ISPs to forward the notifications to the targeted
subscribers.
ISPs bear the costs of this system, which has been used informally in
Canada for more than five years. Studies have shown that a majority of
users that receive notifications cease placing the infringing file back
on file sharing networks.
5. Does Bill C-32
create a “licence to steal” by reducing statutory damages awards?
No. Canada is one of the few countries in the world with
statutory
damages for copyright, which can lead to liability of up to $20,000 per
infringement. The lofty awards were designed for commercial
infringement, as no one envisioned multi-million dollar lawsuits
against individuals. Since that has become a reality in the U.S.,
Bill
C-32 establishes a $5,000 cap for non-commercial infringement, which
still represents a very significant penalty for such activities.
6. Will Bill C-32′s
user-generated content provision deprive creators of commercial
opportunities?
No. The provision, which legalizes the creation of certain forms
of
user generated content, is limited to non-commercial activities,
requires attribution, and does not apply if there is a substantial
adverse effect, financial or otherwise, on the exploitation or
potential exploitation of the original work.
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