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AOL not liable for unauthorised e-books

Lisa M Bowman CNet

Published: 19 Mar 2002 11:40 GMT

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In a ruling that further clarifies whether Internet service providers are responsible for material on their networks, a federal judge ruled that America Online is not liable for the unauthorised posting of some e-books on its Web servers.

Harlan Ellison, author of several books and hundreds of short stories, sued AOL in 2000, alleging the company violated his copyrights by allowing unauthorised copies of his work to remain on Usenet servers for two weeks. Ellison originally named the newsgroup host and Stephen Robertson, the fan who scanned the work and uploaded it onto the Usenet servers, in the lawsuit, but both parties settled, leaving AOL as the only defendant.

Last week, US District Judge Florence-Marie Cooper ruled that AOL is protected by provisions in the Digital Millennium Copyright Act (DMCA) that shield ISPs from liability if they remove disputed content when notified. The DMCA is a controversial law originally designed to bring copyright law into the digital age.

In her ruling, Cooper noted the newsgroup in this case "seems to have been used primarily to exchange pirated and unauthorised digital copies of text material, primary works of fiction by famous authors, including Ellison."

However, she granted AOL's request to reject Ellison's allegations, saying the company, which provides Usenet servers, "did not induce or encourage Robertson to directly infringe Ellison's work."

Cooper's ruling sheds more light on how courts are interpreting the ISP exemption in the DMCA -- a trend that has many service providers breathing a sigh of relief.

"We're very pleased with the court ruling in this case," AOL spokesman Nicolas Graham said. "This was simply a restatement of accepted policy and legal principles."

As lawmakers were hammering out content-protection laws a few years ago, ISPs feared they would be unduly taxed with cracking down on copyright theft. When the DMCA was being drafted, ISPs such as AOL successfully lobbied for exemptions that would prevent them from having to spend all their time policing their networks.

In recent years, copyright owners have tested those exemptions by filing lawsuits accusing ISPs of contributing to copyright infringement. Although many ISPs have succeeded in having such suits rejected, peer-to-peer companies seeking shelter under the exemptions haven't been so lucky.

Most recently, the entertainment industry has cracked down on companies including Napster and StreamCast, alleging they have allowed rampant copyright infringement by providing a vehicle for consumers to swap files. So far, courts have rejected the DMCA defence for peer-to-peer networks, although some provisions of Cooper's ruling could help their argument.

Ellison, who did not immediately return requests for comment, can appeal the ruling.


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