YouTube v Viacom: Round 2

YouTube and Viacom are in for a legal battle. I haven't read much yet but below I've listed the conclusions of the United States Court of Appeals for the Second Circuit which sent the case back to disctrict court. The district court was instructed to re-consider issues surrounding whether YouTube was liable for infringement when its users uploaded copyrighted video's and songs online. Google's, who owns YouTube, saw a slight fall in stock prices after the news spread. For those legal nerds out there here's the Second Circuit Courts decision.

Here are some other articles covering the reversal:
Reuters: Viacom wins reversal in landmark YouTube case
The Wall Street Journal: Viacom Advances in YouTube Suit
The New York Times: Judge Sides With Google in Viacom Video Suit

If you need to catch up on whats been going on here is a PBS story from 2010 which covered the original decisions and the implication:  What the Viacom vs. YouTube Verdict Means for Copyright Law

In an interesting side note, YouTube and Paramount did come to an agreement recently where YouTube will provide movies for rent online for $5. Maybe its the fact that I can get a movie at Redbox for $1 and pay a bit more for Netflix which gives me unlimited movies but, $5 seems a bit steep to me. Then again, if the content is more along the lines of the recent blockbusters, the price may fit the bill.

I look forward to the day where we can see movies on opening weekend from the comfort of our own homes, though its not likely to happen since that would effectively cut a studios profits down dramatically.

Here are the courts CONCLUSIONS:


To summarize, we hold that:

(1)  The District Court correctly held that 17 U.S.C. § 512(c)(1)(A) requires knowledge or
awareness of facts or circumstances that indicate specific and identifiable instances of
infringement;

(2)  However, the June 23, 2010 order granting summary judgment to YouTube is VACATED because a reasonable jury could conclude that YouTube had knowledge or awareness under § 512(c)(1)(A) at least with respect to a handful of specific clips; the cause is  REMANDED for the District Court to determine whether YouTube had knowledge or awareness of any specific instances of infringement corresponding to the clips-in-suit;

(3)  The willful blindness doctrine may be applied, in appropriate circumstances, to demonstrate knowledge or awareness of specific instances of infringement under § 512(c)(1)(A); the cause is  REMANDED for the District Court to consider the application of the willful blindness doctrine in the first instance;

(4)  The District Court erred by requiring “item-specific” knowledge of infringement in its interpretation of the “right and ability to control” infringing activity under 17 U.S.C. § 512(c)(1)(B), and the judgment is REVERSED insofar as it rests on that erroneous construction of the statute; the cause is REMANDED for further fact-finding by the District Court on the issues of control and financial benefit;

(5) The District Court correctly held that  three of the challenged YouTube software functions—replication, playback, and the related videos feature—occur “by reason of the storage at the direction of a user” within the meaning of 17 U.S.C. § 512(c)(1), and 35 the judgment is AFFIRMED insofar as it so held; the cause is REMANDED for further fact-finding regarding a fourth software function, involving the syndication of
YouTube videos to third parties.

 On remand, the District Court shall allow the parties to brief the following issues, with a view to permitting renewed motions for summary judgment as soon as practicable:

(A) Whether, on the current record, YouTube had knowledge or awareness of any specific  infringements (including any clips-in-suit not expressly noted in this opinion);

(B) Whether, on the current record, YouTube willfully blinded itself to specific infringements;

(C) Whether YouTube had the “right and ability to control” infringing activity within the meaning of § 512(c)(1)(B); and

(D) Whether any clips-in-suit were syndicated to a third party and, if so, whether such syndication occurred “by reason of the storage at the direction of the user” within the meaning of § 512(c)(1), so that YouTube may claim the protection of the § 512(c) safe harbor.