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Judge Lowers Jammie Thomas' Damages to $54,000

An anonymous reader writes "Judge Michael Davis has slashed the amount Jammie Thomas-Rassett is said to owe Big Music from almost $2,000,000 to $54,000. 'The need for deterrence cannot justify a $2 million verdict for stealing and illegally distributing 24 songs for the sole purpose of obtaining free music. Moreover, although Plaintiffs were not required to prove their actual damages, statutory damages must still bear some relation to actual damages.' The full decision (PDF) is also available."

49 of 390 comments (clear)

  1. My favorite part by Anonymous Coward · · Score: 5, Informative
    Per NewYorkCountryLawyer:

    Judge Davis also indicated that he found even the reduced amount to be "harsh" and that, were he -- rather than a jury -- deciding the appropriate measure of damages, the award would have been even lower than $54,000. But he felt that since the jury had determined the damages, it was his province to determine only the maximum amount a jury could reasonably award.

    1. Re:My favorite part by sanosuke001 · · Score: 4, Interesting

      I know it won't be as funny pointing out the irony, but it's his decision on what is the maximum amount reasonable so he goes on to say that he can't make the amount lower because it isn't his decision? How the hell did he drop it to $54,000 if it wasn't his decision?

      --
      -SaNo
    2. Re:My favorite part by DeadDecoy · · Score: 4, Insightful

      Maybe because there's some legal specification as to the min/max of statutory dmgs? As a judge he is allowed to move the slider but not change the endpoints, I'm guessing.

    3. Re:My favorite part by BJ_Covert_Action · · Score: 3, Insightful

      ...it was his province to determine only the maximum amount a jury could reasonably award.

      If that language was used in the official decision then that means that the maximum allowable fine per song would be set to $2,250 = $54,000/24 right? Is that how legal precedence is established?

      It still seems quite high. I wonder if another case could appeal to get it lowered even further to something like, say, $5.00 per song. I mean, when you think about it, $54,000 could buy someone a 4 year education, a really nice car, could be used for a downpayment on a decent home, or, for the philanthropic, would be a very sizeable charity donation. That money that Jamie Thomas has to pay, now, could be used for some very important things that could help progress society (as in, employing a home builder or auto manufacturer, helping Jamie grow educationally to become a more productive member of society, etc.) Instead, it is going to line the pockets of some already very rich folk who are probably going to spend it on blow and hookers, or maybe, at best, a very overpriced car that contributes to little more than an ego.

      Lame.

    4. Re:My favorite part by Anonymous Coward · · Score: 5, Insightful

      As I understand it (I'm not a lawyer):

      His decision was that the amount awarded was in violation of the principles of remittitur. As a result, it was his duty to find the absolute maximum in damages which could be awarded based on the violations. In this case, he determined that sharing 24 songs could be worth, at most, $54,000 in damages ($2,250 per song).

      He ALSO felt that, while that was the maximum in damages, he believed this case was not deserving of the maximum in damages. HOWEVER, he felt that while altering the damages awarded to be in line with remittitur were within his powers, he did not feel that lowering it further were, and thus let the judgement of the jury stand as much as possible.

    5. Re:My favorite part by PunditGuy · · Score: 5, Informative

      $750 minimum x treble damages for willful infringement x 24 violations = $54000.

    6. Re:My favorite part by Applekid · · Score: 5, Funny

      Treble damages? Were the shared songs THAT bad?

      --
      More Twoson than Cupertino
    7. Re:My favorite part by Ossifer · · Score: 4, Funny

      Just wait until they apply bass damages...

    8. Re:My favorite part by cpt+kangarooski · · Score: 3, Informative

      Well, he might have chosen to triple it, but treble damages are not part of the statute.

      Willfulness merely raises the maximum amount that can be awarded per work infringed from $30,000 to $150,000. Nothing prevents a court from awarding the minimum of $750 per work infringed even for willful infringements.

      --
      -- This and all my posts are in the public domain. I am a lawyer. I am not your lawyer, and this is not legal advice.
    9. Re:My favorite part by Ossifer · · Score: 3, Funny

      Do you go around telling kids there's no Santa Claus?

    10. Re:My favorite part by EvanED · · Score: 5, Informative

      Well, he might have chosen to triple it, but treble damages are not part of the statute.

      This is correct; the decision addresses this issue:

      Of course, the Copyright Act contains no treble damages provision. The Courts remittitur is not an attempt to create such a provision. Rather, the Court has labored to fashion a reasonable limit on statutory damages awards against noncommercial individuals who illegally download and upload music such that the award of statutory damages does not veer into the realm of gross injustice. Finding a precise dollar amount that delineates the border between the jurys wide discretion to calculate its own number to address ThomasRassets willful violations, Plaintiffs farreaching, but nebulous damages, and the need to deter online piracy in general and the outrageousness of a $2 million verdict is a considerable task. The Court concludes that setting the limit at three times the minimum statutory damages amount in this case is the most reasoned solution.

    11. Re:My favorite part by Anonymous Coward · · Score: 5, Funny

      They were MP3s - of course the treble was damaged

    12. Re:My favorite part by Labcoat+Samurai · · Score: 3, Insightful

      Keep an eye on that vein in your forehead.... Honestly, I think you're blowing this out of proportion. You could most likely buy *a* house in her area with 54,000 dollars. If it wouldn't be enough for a reasonably nice house, maybe that undermines his point a bit, but the point is that 54,000 dollars is still quite a lot of money for a person who isn't independently wealthy.

    13. Re:My favorite part by nacturation · · Score: 5, Informative

      Bullshit. $54,000 is one THIRD of the median home price. Where do you get your information, and why did you bother posting that?

      Quit trolling. The original statement was:

      To put it in perspective, $54,000 would buy a house in her neighborhood.

      So here you go. A house for $54,000 in Brainerd, Minnesota: http://kurilla.com/listing.cfm?MLS=188019

      --
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    14. Re:My favorite part by Psion · · Score: 4, Funny

      Wow. Looks like someone just found out they paid too much money for their house.

    15. Re:My favorite part by Cederic · · Score: 3, Informative

      You could buy a house for £140k on my street. I know this, I'm living in it.

      90% of the houses on my street cost £280k to £400k. I couldn't even get a mortgage on those houses, let alone afford to pay one.

      Yet it would be perfectly reasonable to state that you could buy a house for £140k on my street. That it's not the median price, the mean price or indeed all that much above the lowest prices doesn't invalidate that, and does highlight just how much money £140k would be to someone in my area, even those living in the £400k houses.

      So you may understand that statement to mean the typical price of an item, but I don't, and I'm guessing the person that originally made it doesn't.

  2. Alt Title: Judge Makes Damages Only Mostly Insane by viking099 · · Score: 4, Insightful

    $54,000 is still a crazy amount all things considered, but hopefully this judgment can stand as a sort of benchmark for future ones, even if it's not setting a precedent.

  3. Some relation? by Rix · · Score: 4, Informative

    The wholesale price of 24 songs is $16.80. $54,000 is over 3,000 times the maximum possible damages.

    1. Re:Some relation? by Khashishi · · Score: 3, Insightful

      I think you missed the "distributing" part.

    2. Re:Some relation? by jollyreaper · · Score: 3, Insightful

      The wholesale price of 24 songs is $16.80. $54,000 is over 3,000 times the maximum possible damages.

      What kind of punishment would I get for shoplifting a $16 CD? Isn't petty theft like a $500 fine and community service? This guy didn't even steal anything.

      --
      Kwisatz Haderach
      Sell the spice to CHOAM
      This Mahdi took Shaddam's Throne
    3. Re:Some relation? by LandDolphin · · Score: 3, Insightful

      Overkill is the point. That's what makes it a deterrent.

      --
      Spelling and Grammar errors have been added to this post for your enjoyment
  4. Stealing? by mcgrew · · Score: 5, Insightful

    'The need for deterrence cannot justify a $2 million verdict for stealing and illegally distributing 24 songs for the sole purpose of obtaining free music.

    I take issue with the language used. If I download and then upload a song, that's copyright infringement. If I walk into WalMart and shoplift a CD, that's stealing. WalMart has been deprived of their property. In neither case has the record company been deprived of anything. Plus, WalMart owns the CD, Warner does NOT own the music. In the US, this "property" belongs to all of us; the "content creator" has a limited time monopoly on its publication, not ownership.

    If I steal a CD and get caught I have a misdemeanor criminal charge and a few hundred dollar fine, but if I infringe copyright and get caught it costs $50k. This is better than before, but still very bad.

  5. Welp... by Pojut · · Score: 4, Insightful

    ...I think it is still a bit much, but it's a hell of a lot better than it was. I like that the judge acknowledged that he wasn't doing this because he sympathised with the defendant, but rather was disgusted with the punishment based on the crime. The reasons he gave for changing the amount are the way a judge SHOULD be.

  6. It's a positive by NewYorkCountryLawyer · · Score: 5, Interesting

    Yes the amount is still absurd, but at least the principle that the statutory damages must bear a reasonable relationship to the actual damages has been invoked and vindicated. My blog post is here: Jammie Thomas verdict reduced from $1.92M to $54,000 and my Slasdhot submission is here.

    --
    Ray Beckerman +5 Insightful
  7. Re:They need to by plague3106 · · Score: 4, Insightful

    I have a restaurant. You run around town telling people we spit in each and every plate that goes out. I've lost business because of it. Are you saying I'd have to go and find each and every person that didn't come to my restaurant because of your lies? Even if I could find them all, what possible way would I have to convince them to testify for me?

    Any simple solution to a complex problem is wrong.

  8. Re:3 - 5 years? by Yold · · Score: 3, Informative

    Well, "he" is a single mother of 4 who works w/ a Tribal Council, meaning she is probably paid a little better than a social worker. Considering the fact that you can buy a decent house in the boonies around Duluth for $60,000, I'd say that this will greatly cut into her kids' college fund.

    RTFA

  9. Actual damages are 35 cents per work by NewYorkCountryLawyer · · Score: 5, Informative

    The maximum actual damages is ~35 cents per infringed work, since the wholesale price is ~70 cents and the expenses are around ~35 cents. Under constitutional principles, the statutory damages awarded should not have exceeded $1.40 per infringed work, or a total of $33.60. Even the reduced award is 6428 times the actual damages, a grossly excessive amount.

    --
    Ray Beckerman +5 Insightful
    1. Re:Actual damages are 35 cents per work by Nukenbar · · Score: 3, Insightful

      To say that that a copyright holder could only recover his actual damages would render the law meaningless. That is why the law allows for statutory damages "in a sum of not less than $750 or more than $30,000 as the court
      considers just." Three times the minimum does not seem excessive as a matter of law to me.

    2. Re:Actual damages are 35 cents per work by EvanED · · Score: 5, Funny

      The judge seemed to indicate he thought $54,000 was still high, how did he settle on that number?

      Hmmm, if only he wrote some sort of opinion that explained his reasoning...

    3. Re:Actual damages are 35 cents per work by NewYorkCountryLawyer · · Score: 3, Informative

      NewYorkCountryLawyer, why do you insist on ignoring the DISTRIBUTING side of things?

      I don't ignore it. I just recognize that in this case there was no proof of
      -her disseminating copies
      -to the public
      -by sale or other transfer of ownership, or by rental, lease or lending....

      all of which are required for distribution under the Copyright Act.

      --
      Ray Beckerman +5 Insightful
  10. learn to read? by ClioCJS · · Score: 5, Insightful

    I think you missed the part where distributing was never proved.

    --
    -Clio
    Karma: Bad (mostly from not giving a fuck)
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    1. Re:learn to read? by Spazmania · · Score: 4, Insightful

      Perhaps, but I didn't miss the part where the judge explained (citing case law) that statutory damages are intended to be a replacement for unproven and potentially unprovable actual damages.

      --
      Moderating "-1, Disagree" is simple censorship. Have the guts to post your opinion.
    2. Re:learn to read? by Lord+Bitman · · Score: 4, Informative

      the average seed ratio is between 0 and 2 uploads per download. 100 is possible, but highly unlikely. 3000 is absolutely absurd, especially for someone who is supposedly only sharing 24 songs.

      --
      -- 'The' Lord and Master Bitman On High, Master Of All
  11. Re:3 - 5 years? by BJ_Covert_Action · · Score: 4, Insightful

    Depending on his salary and how much he wants to spend on living expenses, he can pay that off in a few years.

    And if he didn't have to pay it off, he could, you know, spend the money on something that enriches society, like, say, purchasing a piece of real estate and thus maybe helping someone retire, purchasing a LOT of music legally and thus, compensating the artists justly, purchasing some new gizmos and gadgets that help sales rates and thus, help companies like Apple and Motorola and Google and so on continue to produce new, good products. In other words, he could spend that $54,000 on living and that money would get distributed throughout society. Now, instead, it will filter into the check books of record execs and lawyers and be spent in the brothels of hell, thus bringing nearer the inevitable hell on Earth apocalypse....or on hookers and coke.

    1) It sets an example. Don't get caught

    To which I respond:

    Come a day there won't be room for naughty men like us to slip about at all

    -Malcolm Reynolds, Serenity.

  12. Re:They need to by idontgno · · Score: 3, Informative

    I assume you're proposing your idea of slander and damages, not trying to recite your current understanding of the law in this area.

    IANAL, but a quick google turned up this interesting page about defamation and harm. Quoting (emphasis mine):

    The Libel or Slander must Harm or Damage the Plaintiff

    Where libel is concerned, damages are presumed and the plaintiff need not prove special harm. Special harm is harm to one's reputation that results in monetary losses. If the libelous matter requires proof of additional, or extrinsic, facts for one to understand its defamatory meaning or its reference to the plaintiff, it is called libel per quod, which does require proof of special harm.

    Slander generally requires proof of special harm. If the defamatory statement amounts to slander per se, however, the plaintiff is not required to prove special harm; damage is presumed. Slander per se includes statements that the plaintiff engaged in criminal behavior or sexual misconduct or that the plaintiff has a communicable disease. Statements that adversely affect the plaintiff's trade or profession are also slander per se.

    Read more at Suite101: The Law of Defamation: Libel or Slander and Causing Harm to Reputation http://law.suite101.com/article.cfm/the_law_of_defamation#ixzz0dNf06jQq

    So, in your precise scenario, spreading lies (verbally or published) that damage my business reputation are automatically presumed to cause damage. According to this Wikipedia page, all states of the United States except Arizona, Arkansas, Missouri, and Tennessee consider "allegations or imputations injurious to another in their trade, business, or profession" to be defamatory per se.

    --
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  13. Re:Alt Title: Judge Makes Damages Only Mostly Insa by cetialphav · · Score: 3, Insightful

    Still, I think $18,000 is a number that already more than took into effect the need for deterrence and costs of enforcement, since it's already massively higher than any actual damages or lost revenues, which are in the several hundreds of dollars.

    I think the problem with the law is that there are two different things it is addressing. This case is about an individual who shared a handful of songs with a few people with no expectation of monetary gain. For that case, a few thousand dollars is a significant deterrent.

    But there is also the case where someone decides to make a business out of selling illegally copied music. The statutory damages in the law are really meant to be a serious deterrent to this kind of business. Without being able to attach a really big number to each infringing activity, someone might decide that the risk of paying a few thousand dollars is offset by the big money you can make by selling music without having to pay any artists.

    I think the law itself is reasonable, it just gets really ugly when it is applied to individuals. They probably need to expand the law to distinguish personal file sharing from commercial intent. That could result in reasonable penalties for infringement. It sounds like the judge was doing the best he could to provide justice while still following the law.

  14. Re:It's still BS by Pulzar · · Score: 3, Insightful

    How the hell is a song worth $2250?

    Minimum is $750, and that is tripled in case of willful infringement, which is what jury decided was the case.

    As he said in his ruling, you can't only look at the actual damages, since this fine needs to serve as a deterrent, too. If you are only going to pay the value of the songs you downloaded when you get caught, then there would be no deterrent to downloading songs for free.

    --
    Never underestimate the bandwidth of a 747 filled with CD-ROMs.
  15. I'd like that, but... by Weaselmancer · · Score: 3, Insightful

    I'm hoping that this is the death blow for the RIAA.

    I'd really like it if it was, but I don't see how this could have that result.

    It's not like they could have gotten the two million from this poor person anyways. About 50k is probably the limit they would have gotten from her anyways. She'll be in debt to the RIAA until she dies from old age, most likely. My college loan was less than that (about half actually) and I'm *still* paying on the bastard.

    And a precedent in that court was set. Payoff is: $750 * 3 * [number of songs]. Wait until they catch some poor schmuck sharing his whole boot drive. It'll be back up in the millions pretty quick. 50k is what you get for sharing only 24 songs.

    Nope, this doesn't go down in the win column for us I'm thinking.

    --
    Weaselmancer
    rediculous.
  16. She'll never work again by Areyoukiddingme · · Score: 4, Informative

    As has been pointed out, that's roughly the value of a house in the area of the country she lives in. She's married now so I'm guessing she'll quit her job (if she hasn't already), and never work for a wage again. Since she can't get rid of the judgment by declaring bankruptcy, she has no incentive to ever earn money that will only be taken away from her.

    So the RIAA has only succeeded in removing one person from the labor pool. Congratulations.

    1. Re:She'll never work again by Hurricane78 · · Score: 3, Insightful

      So? I’d hire her exactly because of her refusing to cave to the bullshit reality of others.
      That makes her reliable not to fall for schizophrenia-like diseases, like religion, strong irrational beliefs, being detached from reality etc.
      Which is a great and rare quality to have.

      Also, I’d hire her for minimum legal wage, and unofficially pay her a lot more.

      --
      Any sufficiently advanced intelligence is indistinguishable from stupidity.
  17. Irony by Spazmania · · Score: 4, Interesting

    Here's a spot of irony for you...

    We used to say, "Dude, it's just infringement. It's not really theft."

    Now we say, "Christ, it's just petty theft."

    --
    Moderating "-1, Disagree" is simple censorship. Have the guts to post your opinion.
  18. Re:Incorrect analogy. by LandDolphin · · Score: 3, Informative

    In case you were unaware, you don't have to upload 3000 copies of a file for 3000 people to be able to download the file.

    --
    Spelling and Grammar errors have been added to this post for your enjoyment
  19. Re:Re:Incorrect analogy. by dissy · · Score: 3, Informative

    Where did you get 3,000 CDs?

    It was right in the parent post.

    See that little 'parent' button right next to 'reply' ? Try clicking it some time. It might give you an insight into what everyone else is talking about.

    You'll see how this works in a few hours when this post is modded flamebait due to others doing exactly what you did, not reading the parent post and thus replying to this comment 100% out of context :P

  20. Re:They need to by vagabond_gr · · Score: 4, Insightful

    The cost of enforcement is pretty high, so actual damages might have to include those.

    This is totally absurd. If I steal a bread and the bakery develops their own hitech satellite surveillance system to catch me, they couldn't possible claim that they lost a billion dollars because I stole a bread.

    If the cost of enforcement is more that the actual damages, it's a stupid business decision and clearly their problem that they chose to do it.

  21. Shoplifting for fun and profit. by TiggertheMad · · Score: 4, Insightful

    What kind of punishment would I get for shoplifting a $16 CD? Isn't petty theft like a $500 fine and community service?

    Perhaps that's the lesson to be learned here. Don't pirate music, just go down to the local music store and steal it.

    --

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  22. Re:3 - 5 years? by Zordak · · Score: 5, Insightful

    Those kids were never going to college.

    She's a single mother of 4, that means not only did she not have the sense to not get knocked up without proper support, she did it 4 times. There isn't a lot of common sense in that family so its highly unlikely any of her rugrats are going to do anything more than Janitorial service. Its possible, but its just not a realistic expectation.

    Or, you know, it's possible that she was married and that her husband ran off with another man, or mysteriously disappeared from a bar one day, or was killed in an auto accident, or a million other things. But don't let facts like having no idea what her situation is get in the way of your right to sneer at her.

    --

    Today's Sesame Street was brought to you by the number e.
  23. Off-topic but by slimjim8094 · · Score: 3, Informative

    I'm a student-IT assistant at my university (it's like $40 a week, but I don't have to do anything). Part of this job is handing out infringement notices.

    I've only done a few, but I have to say - they're doing these right. First of all, they are sending out DMCA C&Ds (which is an order to remove the infringing material i.e. delete it, and not get caught again), not lawsuits. Second, they have the list of the exact files, infringing products, dates and times, and checksums - all linked to the IP address which has been duly looked up by our IT department (we are, after all, an ISP and bound by the same rules). They actually send the whole thing along as an XML file, with a custom schema

    Maybe they're just laying off a bit because it's college students. But they're really being quite reasonable IMHO - and this is coming from someone who did, and does, hate the MPAA/RIAA with the burning passion of a thousand firey suns. No lawsuits, and it effectively boils down to a warning. If it comes to it, they leave discipline to the university (who will cut of 'net access, or worse).

    Big media is still a leech, contributing little of value to the creative process - but when they make an accusation, they at least aren't being dicks about it.

    YMMV.

    --
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  24. $0 by jmcvetta · · Score: 3, Insightful

    No damages of any amount are appropriate when the "crime" in question is virtuous act of making recorded music available to all, thereby enriching the people as a whole.

  25. Re:Alt Title: Judge Makes Damages Only Mostly Insa by NewYorkCountryLawyer · · Score: 3, Informative

    Look on the bright side: $54k isn't going to pay RIAA's fees, either.

    The RIAA has probably spent a million dollars on this case.

    --
    Ray Beckerman +5 Insightful