Tenenbaum's Final Brief — $675K Award Too High
NewYorkCountryLawyer writes "The final brief (PDF) filed by the defendant Joel Tenenbaum in SONY BMG Music Entertainment v. Tenenbaum seems to put the final nail in the coffin on the RIAA's argument that 'statutory damages' up to $150,000 can be awarded where the record company's lost profit is in the neighborhood of 35 cents. Not only do Tenenbaum's lawyers accurately describe the applicable caselaw and scholarship, something neither the RIAA nor the Department of Justice did in their briefs, but they point out to the Court that the US Court of Appeals for the First Circuit — the appeals court controlling this matter — has itself ruled that statutory damages awards are reviewable for due process considerations under the guidelines of State Farm v. Campbell and BMW v. Gore. The brief is consistent with the amicus curiae brief filed in the case last year by the Free Software Foundation."
I certainly hope in the end Tenenbaum gets awarded fees, or this'll just be a gain for society at Tenenbaum's expense.
When you're afraid to download music illegally in your own home, then the terrorists have won!
Lawyer: "I Have created this airtight and brilliant brief! It is Irrefutable and right! All of society will benefit from my genius! I am sure to win Lawyer of the year for this awesome brief!"
Judge:"That's nice, any who, back to what I was saying..."
Is it sad that I am more likely to recognize you and your posts by your sig than your name or UID?
What we need is a non-metaphorical shotgun. Or a non-crappy justice system. Preferably the latter, because we sure don't have it now
No, there is no "-1 I'LL NEVER ADMIT BEING WRONG!!!" mod.
I especially like this side note:
"For additional absurdity, imagine further that the Industry actually got
judgments of $18 million in damages from roughly 30,000 teenagers, which is
approximately the number of lawsuits they filed against consumers until the end of 2008.
That would mean they had outstanding judgments for $540 billion dollars - or more than
the total revenue the recording industry can expect to earn in about 50 years at its current
size of $11 billion per year."
And yet, in view of so many incomprehensible RIAA decisions to date, it's hard to be hopeful.
hi!
You're failing to take into account how peer-to-peer works: most people have a share ratio of about 1:1. On average, any one person can only be held accountable for distributing one copy of something they seed.
I'm intersted in knowing how RIAA know that he distributed the songs to "millions of people". And what was his share ratio on these songs? Eg. If his share ratio on these songs were 1,000,000 then it could be said that he's passed those songs onto a million people. If it were 1.5 then it can be said that he passed it on to 1 person and half of it onto another person (and then there'd need to be discussion as to how much was lost by passing half an MP3 onto someone).
Just my 2c.
dnuof eruc rof aixelsid
Please show me in his post where he says that damages should only count for the original download. You seem to be putting words in his mouth.
"record company's lost profit is in the neighborhood of 35 cents"
That statement can only be true if you're talking about the original download. Distribution rights are far more expensive.
I think I don't buy the black and white argument, but the logic does strongly bias towards teh first seeder. Quite literally, to borrow from Will Smith, "If you don't start nothin', there won't be nothin'!" No seeders, no sharing, no infringements.
Obviously the sharers have a piece of the liability too, since if they didn't request and didn't hang around the seeders wouldn't be sharing with anyone. But that is much that same as the drug dealer and the drug user problem, or looking for who started and participated in a bar brawl. They are in a symbiotic relationship, but the "offenses" of each party are somewhat different.
To put a number on it, I'd say the relationship is a declining harmonic progression, with the seeder carrying weight 1, and each successive participant in the torrent carrying weight 1/n. The millionth guy, Tenenbaum, may be the straw that broke the RIAA's back, but his actual contribution is near meaningless.
Behold, this dreamer cometh. Come now, and let us slay him... and we shall see what will become of his dreams.
The fact that the defendant has made an argument isn't news.
I beg to differ, especially in this case. This was the first time that either of the parties directly confronted the central issue. If you look at the table of authorities you'll see that most of the cases and other authorities that were cited were never cited by either side in any prior brief, and that the discussion of Gore and Campbell is likewise totally new. Also the revelation that the 1st Circuit has already applied Gore & Campbell to statutory damages is crucial. It means.... Judge Gertner will be doing likewise.
I.e., bye bye RIAA damages theory.
Ray Beckerman +5 Insightful
Maybe every court should use this as a precedent. Four hundred forty one thousand times the actual damages should be the statutory award. That makes total sense.
Under copyright law, plaintiffs don't have to prove actual damages if they opt for statutory damages. And they didn't. OTOH, the defendant can show evidence of actual damages to mitigate or reduce the statutory damages. But Tenenbaum didn't. That's why his constitutional argument, relying on an alleged $.30 per song, fails at the outset - he never presented any evidence that that was the actual damages.
Come on. You think that every single time that one user downloads a song from another user on a P2P network means a sale was lost? At best, these users either have no intention of buying music, or they don't believe the music is worth what they're being asked to pay. Sidestepping the issue of whether or not their actions are morally or legally correct for a moment, these users STILL have no intention of ever buying music. These lawsuits are simply a means for the recording industry to wring outrageous profits from a demographic of the population who they wouldn't be able to make money from otherwise, under the guise of a law that was enacted when printing presses were the technological boogeymen du jour. The argument that the unknown, indeterminable, unquantifiable amount of music that Tenenbaum actually "distributed" impacted RIAA sales in any significant way (much less than to the tune of $675K) is total lunacy...
Well, in the only case in which I am aware of the issue having come up, the judge agreed with you -- not with them. USA v. Dove held that it is absurd to argue that each unauthorized download represents a lost sale.
Ray Beckerman +5 Insightful
Since the "distribution troll" is working this thread, I'll make this statement once:
The distribution right in 17 USC 106(3) requires:
-that it be by a sale, or other transfer of ownership, or by a rental, lease, or lending, AND
-that it be to the public.
Ray Beckerman +5 Insightful
How the hell do they get 150,000 out of 1 act of distribution?
Really wondering here, I fail to understand how that seemed like a fair punishment to the folks making the law.
Seems like setting speeding tickets at $1000 per mile over the posted limit.
I think this is the best argument - the folks who made the law didn't intend $150k to be applied to dopes like Tenenbaum, just the $30k range. The definition of willfulness the RIAA is using is wrong. But no defendant has argued it, instead trying to claim that they only caused 30 cents in damages.
So how has radio not yet put them out of business?
And why is this distribution right worth $30k?
Say he distributes it to 1 person, and they distribute it to 1000 people, what sense does it make for him to be responsible for 1001 redistributions?
Say you have an exclusive monopoly on something - say you create a new Mona Lisa, or discover a new way to make jet fuel out of water. You can charge whatever the market will bear for your painting or fuel because you have a natural monopoly.
Now say someone sneaks in and makes a copy of your painting, or steals your exclusive formula, and they give it away for free. Now, you can't charge anything, because any potential customer will just get it for free. Poof - your hard work is gone. It doesn't matter whether 100 people make jet fuel from water or 1 million people do - you can't make anything from your invention, even if it cost you a million dollars to research and develop, because anyone can get the information for free.
The first distribution destroys the exclusivity, and most of the value is in the exclusivity. Therefore, the first unlicensed distribution destroys most of the value of the property.
To put it in terms of your exclusive distribution right view:
If I upload a copy of your music to someone else, I've deprived you of 1 sale, but I've done no more damage to your ability to further distribute your track than you're doing to yourself by selling it to anyone who'll buy.
... provided that my potential customer will only purchase from me. But when I'm charging $1 for the song and you're giving it away for free, why would they go to me?
If it were some sort of unreleased track then I would be denying you your exclusivity in being able to distribute the track, and if I were to be the source of that getting onto X filesharing network then I would be doing you a lot of damage, but once you start selling it to all and sundry, I'm only costing you the lost sale for the people I distribute it to. Unless you want to get into some really messy argument about the second person not having had the opportunity to distribute it if they hadn't got it for free.
Sure, any person along the chain could have been the one to upload it for free to the net... But you did it, and I can prove you did it. Therefore, you're responsible. The statute doesn't require that the plaintiff find the sole uploader or original uploader... any infringer is liable. Basically, the defense "but it was already online, so when I distributed it, I wasn't causing additional harm" may sound good but isn't supported by the statute, and any judge who accepted it would be reversed immediately.