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Judge OKs Challenge To RIAA's $750-Per-Song Claim

NewYorkCountryLawyer writes "In UMG v. Lindor, in Brooklyn federal court, the presiding judge has held that Marie Lindor can try to prove that the RIAA's claim of $750-per-song statutory damages is a violation of the Due Process Clause of the Constitution, since she has evidence that the actual wholesale price of the downloads is only 70 cents. This decision activates an earlier ruling by the Magistrate in the case that the record labels must now turn over 'all relevant documents' regarding the prices at which they sell legal downloads to online retailers, and produce a witness to give a deposition by telephone on the subject. Judge Trager rejected the RIAA's claim that the defense was frivolous, pointing out that the RIAA had cited no authorities contradicting the defense, but Ms. Lindor's attorneys had cited cases and law review articles indicating that it was a valid defense. See the Decision at pp. 6-7."

24 of 333 comments (clear)

  1. Re:Damages for companies? by 91degrees · · Score: 5, Insightful

    The law is out of date. It was written at a time when the possibility of an individual sharing several copies of hundreds of songs was inconceivable. $750 per title as damages for a company that's churning out hundreds of copies for sale at market stalls is hardly totally unreasonable, since they could easily be, and probably would be selling several hundred even if the exact amount sold is impossible to judge. Still not a brilliantly just law but that's another matter.

  2. Who's the pirates, again? by jandersen · · Score: 2, Insightful

    And they call us pirates? A decent, fairly honest, average person or a dishonest, greedy juggernaut of a company - who would you rather deal with, legalities or not? I know who I wouldn't want to turn my back on.

  3. Seems like a valid arugment to me. by Hamster+Lover · · Score: 3, Insightful

    A song that sells for $.70 wholesale should not automatically trigger damages of $750 if the same song is "stolen" or misappropriated. If I understand correctly, his Due Process argument is that the damages are grossly disproportionate to the loss, 70 cents or so. Another example would be if a car is valued at $10,000 and is somehow damaged or stolen, the raw value of goods stolen or damaged is $10,000, the cost of the car, not some arbitrary amount set by law.

    1. Re:Seems like a valid arugment to me. by Grym · · Score: 5, Insightful

      Another example would be if a car is valued at $10,000 and is somehow damaged or stolen, the raw value of goods stolen or damaged is $10,000, the cost of the car, not some arbitrary amount set by law.

      I argue that the greatest victory of the content industry, contrary to what most would say, was not extending copyrights to 75 years or establishing the draconian protections of the DMCA. Rather, the their greatest triumph has been to define the terms of the debate.

      Instead of talking about temporary monopolies, we talk about "intellectual property." Instead of focusing on the "promotion [of] the progress of science and useful arts" (both the wording and the intent of constitution), we exclusively consider the so-called "property rights" of the creator(s).

      And because of this, the content industry is able to conflate established property law with completely unrelated areas of law: plagiarism and government-granted monopolies. The result is not surprisingly inconsistent and the source of confusion all-around. Illegal downloaders are labeled as "thieves" instead of what they really are, copyright infringers. The public domain is not viewed as a benefit to society but as a loss of potential profits.

      And they even manage to benefit both ways. They can accuse downloaders of theft, BUT THEN use the strict penalties of copyright infringement (originally intended to punish commercial infringement) against non-commercial and non-profiting individuals.

      The entire issue is the ultimate triumph of sophistry over justice. Due process is violated when the punishment ($750 per song) doesn't match the crime (non-commercial copyright infringement). The intent of the constitution lays at the wayside when our arts and sciences are actually hurt because of the increased cost and difficulty of actually bringing a product or innovation to the market. The right to free speech is trampled upon when the DMCA is used inappropriately to take down embarrassing internal memos or other evidence of public fraud/deception(ex. Diebold voting machine code).

      -Grym

  4. It's about damn time! by BCW2 · · Score: 2, Insightful

    A judge has figured out that there is no basis for the RIAA's damage claims. Took long enough to find a judge with enough brains to see that all the RIAA has ever done is intimidate and extort. I hope they do something really dumb and get fined big for pissing off the judge. Every attorny defending one of these cases needs to be informed of this step. It really could put an end to this stupidity.

    --
    Professional Politicians are not the solution, they ARE the problem.
    1. Re:It's about damn time! by Zelucifer · · Score: 2, Insightful
      That isn't at all what even the Summary said. The judge basically said that there may be merit to the defendants claim that damages of $750 dollars per song violates Due Process.

      I highly doubt it will end the lawsuits, however it may keep the RIAA from suing file shares with fewer than say... 5000 songs. That's about $3500 at 70 cents a song.

      --
      The corner of a round room
  5. Shoplifting... by Sqweegee · · Score: 2, Insightful

    Wouldn't just shoplifting the CDs cost less in fines if you were caught?

  6. Frivolous, frivolous, FRIVOLOUS!!!!!! by StarWreck · · Score: 2, Insightful
    Judge Trager rejected the RIAA's claim that the defense was frivolous


    The prosecution for a frivolous lawsuit is calling the defense frivolous? Isn't that like the pot calling the sheet of white paper black?
    --
    ... and in the DRM, bind them.
  7. Re:Damages for companies? by sholden · · Score: 4, Insightful

    If the law is out of date it's still the law, right?

    It's not the like RIAA can't buy an update to it.

  8. Re:RIAA defense... by FuzzyDaddy · · Score: 3, Insightful
    This is how I originally understood they were able to get away with charging $750 per song, because it counts for all the people who then go the song from them.

    That would be true if the song was some sort of one of a kind trade secret. But given the availability of these "bootleg" copies, I find it hard to believe that her downloaded copy led to ANY more people not buying the song. The prevalence of this music on the internet, and the ease of making and sharing unprotected copies, means that her download of a single copy almost certainly did NOT make it available to a single person to whom it was not available before.

    If you broke into my company and stole our designs and posted them on the internet, then yes, I can make a claim for huge damages. But the cat's out of the bag already - she didn't pay her $0.99, but I find it hard to believe she contributed to even a single person not paying their $0.99.

    --
    It's not wasting time, I'm educating myself.
  9. Re:70 cents a song? by neozenkai · · Score: 2, Insightful

    It just shows how incompetent the RIAA is. They're so happy with all the money they're making right now that they fail to see that a system like the one you describe would actually work. An American-based AllOfMP3 that was actually backed by the RIAA, or, at least, the artists themselves, would be quite successful. I don't know about you, but I'd rather pay $2.50 for an album than spend an entire day downloading it from eMule or BitTorrent.

  10. Thanks, but... by Just+Some+Guy · · Score: 3, Insightful

    I certainly appreciate the legal insight, but did you actually read the interview? I'm too lazy right now to search that article for posts from you, but I certainly read it.

    It was awful.

    They may be wonderful, open people in person. They might also be world-renowned legal experts for all I know. However, the answers given in that interview were terse, dismissive, and generally not well targeted to their intended audience. I thank them for their contributions to our knowledge pool, but I don't think you can honestly read the article you cited and use it as an example of an ungrateful readership.

    --
    Dewey, what part of this looks like authorities should be involved?
    1. Re:Thanks, but... by Anonymous Coward · · Score: 2, Insightful

      I certainly think you can. In case you're not aware, the law is a very complex maze that very much depends on the exact specifics of each case. Throughout that interview, people were bitching at him because he didn't give them a yes/no answer to complex questions that needed more information--a lot more information. If you can't understand that, then you can be lumped into the group of ungrateful assholes, as far as I'm concerned.

  11. Re:$750 sounds right by Anomolous+Cowturd · · Score: 2, Insightful

    Ah yes. The argument that you ought to be punished for what somebody else did. Er... maybe did. Sounds pretty fair to me.

    --
    Software patents delenda est.
  12. Re:It's so simple... by Anonymous Coward · · Score: 1, Insightful

    "Stop downloading music that you aren't paying for, and the RIAA will go away."

    Well the RIAA has been around before you could download files (did you know they developed the so-called RIAA Equilization Curve?), so their existence isn't dependent on file sharing.

    If you mean, the RIAA will stop becoming involved in lawsuits and restricting rights of people if downloading magically stopped, I can't prove or disprove this, but I offer the following thoughts:

    1) At this point, it's impossible to stop downloading. It's like saying "if all people were fair and true, the police would not be needed".

    2) Times change. Nobody will be satisfied with the model of buying "records" at the "record store" any more. And electronic downloads are now coming with restrictions that didn't exist just a few years ago. More to the point, the RIAA as a political entity has been actively involved in altering the political landscape to restrict users fair use rights

    3) That doesn't make it correct that people download songs. However, when a person downloads a song, morally, it's the equivalent of parking at a meter and not putting in $.50 to pay for the meter. This generally results in a ticket and a fine of a few dollars. We're not in the habit of bankrupting people who park illegally, and we shouldn't be in the business of doing the same over a CD.

    And the truth of the matter is that I don't mind Sony and other record companies putting rootkits, and all kinds of restrictions on their music. I just don't understand why the government is doing it's best to prop up a revenue model for these guys at the expense of individuals.

  13. Re:Englsh translation? by schabot · · Score: 2, Insightful

    I'm sorry, I'm Canadian, racists aren't humourous here anymore I guess.

  14. Re:Damages for companies? by clambake · · Score: 2, Insightful

    The law is out of date. It was written at a time when the possibility of an individual sharing several copies of hundreds of songs was inconceivable.

    By that logic, I'd say that the law protecting the songs is out of date as well. There is no reason why a single entity should be able to control a bit of information for more than 70 years, that's just crazy. She should get off scott free!

  15. Re:Englsh translation? by Maxo-Texas · · Score: 2, Insightful

    Everything is funny.

    Death.
    Adultery.

    Hell I have a friend who jokes about Aids and he had a few of his friends die of it.

    Laughter is the best medicine.

    --
    She was like chocolate when she drank... semi-sweet at first and then increasingly bitter.
  16. Re:Reckon it in terms of upstream bandwidth by Red+Flayer · · Score: 1, Insightful

    Except, of course, that if one uploads to a third-party site, then the person doing the uploading doesn't need to use the bandwidth. They've provided the copy to potentially limitless downloaders, while only maxing out the upload for 320 secs. This is, after all, the whole point of uploading the file -- so you don't get bogged down in p2p data transfer but still manage to make the content available.

    --
    "Trolls they were, but filled with the evil will of their master: a fell race..." -- J.R.R. Tolkien on Olog-hai
  17. Linear vs. Exponential Spread Responsibility by gtmaneki · · Score: 4, Insightful

    You've hit on the point exactly. The RIAA is indirectly arguing (through its high damage calculations) that if you upload a file, then you are responsible for its exponential growth in sharing -- not just what you directly shared, but the shares made of the song by others in each succeding generation.

    The argument made by the parent and great-grandparent is that you should only be responsible for only your local circle of sharing, and not the further sharing of the people you shared with in the first round. In other words, just the linear spread of the song.

    Something tells me the law is probably unclear on where the cutoff on responsibility lies, since the exponential spread of perfect copies is a relatively new issue. And since the RIAA cannot or will not determine what generation in the exponential spread you are, everybody is treated as if they were the primary introducer for sharing the song and hit with the high damages. That's a great example of trying to have your cake and eat it too!

  18. Re:Damages for companies? by Robber+Baron · · Score: 3, Insightful
    .. what I'm curious about is who checks that the RIAA hasn't already put a claim in for this particular song somewhere further up the chain? ie. person A shares a file that persons B,C & D download. RIAA files a suit against person A, claims $750 damages. Person A pays. RIAA now files suits against B,C & D (who are now also sharing the file) claiming $750 from each of them too, even though, in theory the claim against person A was for ALL downstream sharing too.


    So maybe what P2P software writers ought to do is add a checkbox to their program that says "I've been reamed by the RIAA...you can now download all of my songs without fear of penalty as your right to do so has been paid for".
    --

    You're using her as bait, Master!

  19. You must not deal with law much by db32 · · Score: 3, Insightful

    Having been dealing with lawyers lately on a variety of subjects. You certainly seem to have never really dealt with a lawyer. Our complex systems and their complex systems don't even begin to compare. At least in our complex systems there are right and wrong answers. In law there really isnt. Law simply is not cut and dry. The laws are vaguely worded and complex and left to the interpretation of judges (whose opinions, methods, and backgrounds in relavent fields all vary greatly). The lawyers job is to take your money, take the law, and make a best attempt at convincing the judge that the law reads in your favor, in the mean time, the other lawyers job is to take the oppositions money and try to convince the judge that THEIR interpretation is the correct one. In the meantime there are a bunch of lawyers in the legislative end of government deliberately writing vague and confusing law to ensure lawyers remain employed and that law will never be cut and dry and comprehendable by the common man. That anytime anything comes up you will be forced to get a lawyer to talk to a judge, because anything else is courtroom suicide due to the complexity and vagueness of the law. If you have a lawyer telling you things are cut and dry and its a no brainer, then you probably have an inexperienced lawyer or a dishonest one (well they are all basically dishonest, but you want them to be honest with you at least). Do you honestly believe that if law was so cut and dry easy lawyers would get paid $200+/hr to do terribly little? Do you honestly believe that if it was so simple there would be so many stupid cases constantly clogging up our legal system?

    In the meantime you should start charging a $2500 retainer before fixing anyones computer. See how far that goes.

    --
    The only change I can believe in is what I find in my couch cushions.
    1. Re:You must not deal with law much by Jah-Wren+Ryel · · Score: 2, Insightful
      If the honest response to a legal question is that "It comes down to the judge on any given day," or "you can be sued for anything," or "depends on how good your lawyer is," then we aren't really dealing with Professionals in law. (All parties-- lawmakers, judges, lawyers, and police.)

      It seems to me that the most important development in all of legal history - codification of the law (popular history marks it as the creation of the Code of Hammurabi) has been eroded into non-existence. Essentially, we are right back were we started with "the law" being whatever the various authority figures say it is at any particular moment.
      --
      When information is power, privacy is freedom.
  20. Re:Damages for companies? by pthisis · · Score: 3, Insightful

    what I'm curious about is who checks that the RIAA hasn't already put a claim in for this particular song somewhere further up the chain? ie. person A shares a file that persons B,C & D download. RIAA files a suit against person A, claims $750 damages. Person A pays. RIAA now files suits against B,C & D (who are now also sharing the file) claiming $750 from each of them too, even though, in theory the claim against person A was for ALL downstream sharing too.

    The original claim was not for all downstream sharing. It was simply the minimum statutory damage specified by Congress when they wrote the law.

    The issue here is not that the RIAA picked an unreasonable figure; the $750 is actually the _minimum_ statutory amount they can ask for. The issue is that the statutory amounts are arguably so unreasonable as to be an unconstitutional violation of due process.

    The defendant is not challenging the RIAA per se, but rather the constitutionality of the law itself.

    --
    rage, rage against the dying of the light