Confused reasoning about the DMCA
Over at CNET, Adam’s colleague Patrick Ross has an incredibly confused defense of the Digital Millenium Copyright Act:
When content producers know that they can experiment with various protection approaches, they’re more comfortable entering the online market. Also, investors are more inclined to fund such efforts. Imagine a world of unlimited digital content, packaged with a range of TPM at varying prices. In that world, consumers can purchase exactly the amount of use they need and not pay for more.
But if HR-1201 [the Digital Media Consumers Rights Act, introduced by Rep. Boucher] becomes law, every consumer could legally hack any TPM by claiming fair use, and as fair use isn’t codified, there would be as many definitions of it as there are consumers. Consumers would be legally sanctioned to break their contracts with the content provider.
No sane business operator enters a contract in which one party has the right to disregard its terms at will, but that’s what HR-1201 permits. That hated TPM would disappear from the market, as there’s no reason to employ a lock if everyone has a legal right to the key. But as TPM leaves, so do the digital offerings that come with it.
The first sentence of the last paragraph is a simple, unambiguous falsehood. The Boucher bill specifies “that it is not a violation of [the DMCA] to circumvent a technological measure in connection with gaining access to or using a work if the circumvention does not result in an infringement of the copyright in the work.”
You tell me how that abrogates any contracts.
This isn’t just nitpicking. TPM schemes can place any kind of restriction they want on their cusomers, including restrictions imposed retroactively and without notifying their customers. (Apple, for example, unilaterally reduced the number of copies of its songs existing customers were allowed to burn to CD after the songs had already been sold) There is no reason whatsoever to assume that a TPM scheme constitutes a “contract” between a company and its customers. Prohibiting circumvention of TPM schemes doesn’t aid contract enforcement, because a TPM isn’t a contract.
On the other hand, the Boucher bill would not in any way prevent the enforcement of actual contracts. Fair use is not a defense against breach of contract, and Boucher’s legislation wouldn’t change that. So if a user signs an agreement promising not to break a TPM scheme, and then breaks it anyway, the company that designed the TPM would have every right to sue the customer.
There’s also absolutely no reason to think that content wouldn’t be made available for download without TPMs. Every CD is effectively TPM-free. I could take any CD I own, “rip” the songs on it, and upload them to a P2P network. Yet the recording industry still sells CDs. Why would we think online downloading would be any different?
The folks at PFF desperately want to portray the DMCA as a “free market” approach to copyright problems. But the shoe just doesn’t fit. TPM systems are not contracts, and circumventing them, as such, is not theft. Simply stated, the DMCA is a government-imposed restriction on the design of technological devices. It’s fine to argue that such restrictions are needed to curtail piracy, but such restrictions have nothing to do with freedom of contract.
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I think the main issue is whether we want to proceed down the road of treating copyright law as a default protection provided by government that can be made either less or more restrictive through contract. Creative Commons provides flexible, less restrictive ways for copyright owners to license their content. Should we allow more restrictive arrangements through TPM? I think so, but consumer awareness and expectation will be the defining market response as to whether a TPM succeeds (with or without a DMCA). Maybe this means that like computer software, all digital media will have shrinkwrap licenses in which purchase equals acceptance, and circumvention of DRM means breach of contract.
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That's all well and good, but I think it's important to keep in mind that contracts are governed by contract law. Contract law has different rules from copyright law-- there are no statutory damages, and you can't be thrown in jail for willfully breaking a contract. Moreover, in contract law, there is a concept of efficient breach-- there are circumstances where something is technically against contract, but the other party doesn't bother to enforce the terms because it doesn't actually harm his or her interests.
TPMs ought to be treated the same way. They're a way of reminding consumers of their contractual obligations (to the extent it even does that-- again, TPMs don't always reflect consumer obligations) but the human should always have the discretion of circumventing the TPM.
Incidentally, what's really interesting about the software example is that TPMs was tried in the software industry, and they failed so badly that most companies abandoned them in the mid-1990s. What they found was that it did absolutely nothing to prevent piracy (since a few skilled hackers would crack the software and share the cracked version with everyone else) but that it did inconvenience a lot of their paying customers by making arbitrary restrictions on how the software was used. What the software industry ultimately realized was that the people who were paying them for a license weren't their enemies and it was foolish to treat them that way.
My prediction is that the same will happen with TPMs for music and video. It's already obvious that they're doing absolutely nothing to stop piracy. At some point consumers will start getting irritated by the fact that (for example) their iTunes Music Store songs can't be played on any MP3 player other than an iPod. Music industry execs will eventually realize their customers would be a lot happier buying music unencumbered with restrictive, arbitrary, and ultimately ineffectual copy protection.
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For example, the terms of the DRM on DVDs are spelled out in a secret 50-page contract between the "DVD Copy Control Association" and the DVD player vendor, and another between the DVDCCA and the DVD pressing plant, and another between the DVDCCA and the publisher of the DVD.
I think most DRM systems would die in the market if consumers were actually notified of the restrictions involved. It seems that the vendors agree; they document every other part of their products.
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Although Slashdot's blurb read something like, "Here's a funny article about DRM . . . ," giving the impression that it was satire, in actual fact the author was perfectly serious. I also read the article expecting something a la "The Onion," but Mr. Ross is not joking.
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