The Sydney Morning Herald reports that Australian ISP iiNet is challenging movie studios’ claims of copyright infringement on its network. One of their arguments is that, because BitTorrent peers shares bits rather than entire files, its users are not committing infringement.
In the Federal Court today, where iiNet is being sued in a landmark case by seven major movie studios and the Seven Network for allegedly permitting customers to download movies illegally, iiNet’s lawyers said they would clarify their position on the issue by next Wednesday.
However, they foreshadowed possible arguments that infringements did not occur, by questioning whether transferring files over BitTorrent on a “one-to-one” basis was equivalent to making them “available to the public” under copyright law.
They also claimed that, because files are broken up into tiny “packets” before being sent over BitTorrent, this may not be enough to suggest a “substantial portion” of a copyrighted file was distributed.
The movie studios also claim that iiNet is liable because it refuses to disconnect users accused of infringement.
The studios claim iiNet in effect “authorised” customers’ copyright infringement by failing to disconnect them when notified of the infringements by the movie studios.
iiNet’s barrister, Richard Cobden, SC, said the ISP was not required to act on a “mere allegation of copyright infringement” and used comments from former attorney-general Philip Ruddock that apparently back up this claim.
iiNet has previously said that the case was “like suing the electricity company for things people do with their electricity”.
I don’t think the “sharing bits” thing would work in the US, but it’s nice to see an ISP not cave into movie studio pressure, even if the consequence is possibly making itself liable. Why can’t we have more ISPs like this one, who won’t bend over merely because of accusations alone?





