Hachette v. Internet Archive

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Hachette Book Group, Inc. v. Internet Archive
USDCSDNY.svg
Court United States District Court for the Southern District of New York
Full case name Hachette Book Group Inc., et al. v. Internet Archive, et al.
Court membership
Judge sitting John G. Koeltl

Hachette Book Group, Inc. v. Internet Archive, No. 20-cv-4160 (JGK), 664 F.Supp.3d 370 (S.D.N.Y. 2023), WL 2623787 (S.D.N.Y. 2023), was a case in which the United States District Court for the Southern District of New York determined that the Internet Archive, a registered library, committed copyright infringement by scanning and lending complete copies of certain books through controlled digital lending mechanisms. Stemming from the creation of the National Emergency Library (NEL) during the onset of the COVID-19 pandemic, publishing companies Hachette Book Group, Penguin Random House, HarperCollins, and Wiley alleged that the Internet Archive's Open Library and National Emergency Library facilitated copyright infringement of their books.

Contents

The case primarily concerns the fair use of controlled digital lending (CDL) of complete copies of certain books owned by the publishing companies that were party to the case. The case does not concern the display of short passages, limited page views, search results, books out of copyright, out of print, or books without an ebook version currently for sale. [1]

On March 25, 2023, the court ruled on the case. [2] In August 2023, the parties reached a negotiated judgment, including a permanent injunction barring the Internet Archive from lending complete copies through CDL of some of the plaintiffs' books. [3] The decision was upheld by the Second Circuit Court of Appeals in September 2024, which the Internet Archive did not challenge further. [4]

In December 2020, Publishers Weekly included the lawsuit among its "Top 10 Library Stories of 2020". [5]

Background

The Internet Archive is a non-profit organization and legally a library; it is governed by copyright laws specific to libraries. It is based in San Francisco, California; the Archive maintains Open Library, a digital library index and lending system. As many of the works in the Internet Archive are under copyright, the Archive used a controlled digital lending (CDL) system, a practice that relies upon digital rights management (DRM) to prevent unauthorized downloading or copying of copyrighted works. Open Library can generate digitized material (ebooks) from print copy. The Open Library CDL system ensured that only one digital copy is in use for each print copy or otherwise authorized ebook copy available.

On March 24, 2020, following shutdowns caused by the COVID-19 pandemic, the Internet Archive opened the National Emergency Library, removing the waitlists used in Open Library and expanding access to these books for all readers. More than one user could borrow a book at the same time. [6] [7] Two months later, on June 1, the National Emergency Library (NEL) was met with a lawsuit from four book publishers. Two weeks after that, on June 16, the Internet Archive closed the NEL, [8] and the prior Open Library CDL system resumed after the 12 weeks of NEL usage.

Lawsuit

On June 1, 2020, Hachette Book Group and other publishers, including Penguin Random House, HarperCollins, and Wiley, filed a lawsuit against the Internet Archive for the National Emergency Library. [9] [10] The plaintiffs argued that the practice of CDL was illegal and not protected by the doctrine of fair use. [11] Furthermore, they argued that the Internet Archive was not abiding by CDL, as it had acknowledged that its partner libraries were not always withdrawing their physical copies from their shelves. [12]

By June 2022, both parties to the case requested summary judgment for the case, each favoring their respective sides, which Judge John G. Koeltl approved of a summary judgment hearing to take place later in 2022. [13] No summary judgment was issued, and instead a first hearing was held on March 20, 2023. [14] Over the course of the hearing, Koeltl appeared unmoved by the IA's fair use claims and unconvinced that the publishers' market for library e-books was not impacted by their practice. [15]

The 127 publishers' books in the suit are also available as ebooks from the publishers. The Internet Archive said afterwards it would appeal this ruling, but otherwise would continue other digital book services which have been previously cleared under case law, such as books for reading-impaired users. [1] [16] [17]

Senator Thom Tillis of North Carolina, chairman of the intellectual property subcommittee on the Senate Judiciary Committee, said in a letter to the Internet Archive that he was "concerned that the Internet Archive thinks that it—not Congress—gets to determine the scope of copyright law". [18]

As part of its response to the publishers' lawsuit, in late 2020 the Archive launched a campaign called Empowering Libraries (hashtag #EmpoweringLibraries) that portrayed the lawsuit as a threat to all libraries. [19]

In a 2021 preprint article, Argyri Panezi argued that the case "presents two important, but separate questions related to the electronic access to library works; first, it raises questions around the legal practice of digital lending, and second, it asks whether emergency use of copyrighted material might be fair use" and argued that libraries have a public service role to enable "future generations to keep having equal access—or opportunities to access—a plurality of original sources". [20]

Internet Archive press conference

Shortly before oral arguments, the Internet Archive held a press conference with comments from several people who implied that the issues in this case were much broader than the 127 books specifically named in the suit. [21] All presenters agreed that book publishers need to make money to pay their expenses including authors. The question is whether the National Emergency Library (NEL) actually harmed the publishers.

The Internet Archive's practice of scanning and lending books is central to Hachette v. Internet Archive. A Real Page-Turner.jpg
The Internet Archive's practice of scanning and lending books is central to Hachette v. Internet Archive.

Lila Bailey, Senior Policy Counsel for the Internet Archive, [22] noted that:

In the past, publishers stood against microfilm and photocopiers, crying harm. They said they would be harmed by interlibrary loan. They lobbied for decades against libraries being allowed to provide access for the blind and print disabled. They were wrong. It took years, but eventually, the law affirmed each of these things, and the public benefitted. With this lawsuit, publishers have repeated those same claims of massive harm from controlled digital lending. ... When asked under oath, their own executives admitted this. ... [They even] instructed their own 950 dollar per hour expert not to even try to measure economic harm. ... On the other hand, when we invited economists from Northeastern University and the University of Copenhagen to look at the sales and library lending data produced in this case, they came to a singular conclusion: The Internet Archive's digital lending had no measurable effect on the market whatsoever. [23]

Bailey's conclusion was supported by other speakers. [24] [25] [26]

Harvard Law School Professor Lawrence Lessig said that book publishers need to make a profit to serve the public, but the material available to the public should not be limited to what commercial enterprises find profitable. Netflix, for example, offers subscribers access to thousands of movies and television shows but routinely stops offering content for which the demand is too low. That doesn't happen with libraries. Without controlled digital lending, out-of-print books become essentially unavailable to the vast majority of humanity. "We need access to our past, not just the part of our past that is economically or commercially viable." [27]

Expert reports

An expert report filed with the court by Northeastern Econ Prof. Imke Reimers also reported that "sales in the first five years after an edition's publication account for up to 90% of lifetime sales." [28]

On the other side, University of Chicago computer science professor Ian Foster reported that the Internet Archive's actual CDL practices sometimes violated their claims, lending out more copies than they physically had. [29]

Final judgment

Judge John G. Koeltl ruled on March 24, 2023, granting the publishers' request. [30] He held that the Internet Archive's scanning and lending of complete copies constituted copyright infringement and that the Internet Archive's fair use defense failed all four factors of the "fair use test". He rejected the Archive's argument that their use was "transformative" in the sense of copyright law. [31] He further stated that "Even full enforcement of a one-to-one owned-to-loaned ratio, however, would not excuse IA's reproduction of the Works in Suit". [30]

Internet Archive founder Brewster Kahle declared their intention to appeal the ruling. [2]

While Judge Koeltl issued a summary judgment in favor of the plaintiffs and against the defendant, he did not assess damages. Instead, he directed the parties to brief the court on how they thought the case should be resolved in a way that comports with the judge's decision. [30] The deadline for this was extended several times; [32] the final extension was granted on July 28, extending the deadline to August 11, 2023, with Judge Keoltl writing, "No further extensions." [33]

On August 11, 2023, the parties reached a negotiated judgment. The agreement prescribes a permanent injunction preventing Internet Archive from loaning the plaintiffs' books in full through CDL, except those for which no e-book is currently available for sale from the publisher, [3] as well as an undisclosed payment to the plaintiffs. [34] [35] The agreement also preserves the right for the Internet Archive to appeal the previous ruling. [34] [35] As a result of the lawsuit, more than 500,000 books were made unavailable from loaning in full through CDL. The Internet Archive appealed to restore full CDL access to the affected books. [36]

Appeal

On September 11, 2023, the Internet Archive filed a notice which appealed the ruling to the United States Court of Appeals for the Second Circuit. [37] On December 15, 2023, the Internet Archive filed its opening brief in its appeal. [38] [39] Shortly afterwards, several other organizations filed friend of the court briefs. [40]

The oral argument phase of the appeal occurred on June 28, 2024. [41]

On September 4, 2024, the Second Circuit Court of Appeals affirmed the lower court rulings. The court stated "On the one hand, eBook licensing fees may impose a burden on libraries and reduce access to creative work. On the other hand, authors have a right to be compensated in connection with the copying and distribution of their original creations. Congress balanced these 'competing claims upon the public interest' in the Copyright Act. We must uphold that balance here." [42] [43]

The Internet Archive did not petition to have the case reviewed by the Supreme Court of the United States by the Second Circuit's deadline in December 2024, leaving the court injunction in place. [4]

Other responses

Association of American Publishers

The Association of American Publishers released a press statement that said, "In celebrating the opinion, we also thank the thousands of public libraries across the country that serve their communities everyday[ sic ] through lawful eBook licenses. We hope the opinion will prove educational to the defendant and anyone else who finds public laws inconvenient to their own interests." [44] The AAP has been critical of the Internet Archive for suggesting that libraries engage in the same practices that they do, arguing that only 13 public libraries in the US had cooperated with the Open Library. [45]

See also

Related Research Articles

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Project Gutenberg (PG) is a volunteer effort to digitize and archive cultural works, as well as to "encourage the creation and distribution of eBooks." It was founded in 1971 by American writer Michael S. Hart and is the oldest digital library. Most of the items in its collection are the full texts of books or individual stories in the public domain. All files can be accessed for free under an open format layout, available on almost any computer. As of 13 February 2024, Project Gutenberg had reached 70,000 items in its collection of free eBooks.

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References

  1. 1 2 Peters, Jay; Hollister, Sean (March 24, 2023). "The Internet Archive has lost its first fight to scan and lend e-books like a library". The Verge . Archived from the original on March 25, 2023. Retrieved March 24, 2023.
  2. 1 2 Corbett, Jessica (March 25, 2023). "Internet Archive to Appeal 'Chilling' Federal Ruling Against Digital Books". Common Dreams.
  3. 1 2 Rose, Meredith Filak (August 21, 2023). "Some Unexpected Sanity in the Hachette v. Internet Archive Lawsuit". Public Knowledge. Retrieved November 12, 2023.
  4. 1 2 Italie, Hillel (December 6, 2024). "Online library drops its legal battle to provide free e-books without publishers' permission". ABC News . Archived from the original on December 10, 2024. Retrieved December 10, 2024.
  5. ↑ Albanese, Andrew (December 11, 2020). "The top 10 library stories of 2020". Publishers Weekly . Archived from the original on January 27, 2021. Retrieved February 19, 2021.
  6. ↑ Johnson, Sydney (September 10, 2024). "Internet Archive's Open Library Faces Uncertain Future After Court Sides With Publishers". www.kqed.org. Retrieved September 23, 2024.
  7. ↑ Lovine, Anna (March 25, 2023). "Internet Archive loses first ruling in copyright lawsuit". Mashable. Retrieved September 23, 2024.
  8. ↑ Brooke, Rachel (March 20, 2023). "Judge Hears Oral Arguments in Hachette Book Group v. Internet Archive". Authors Alliance. Archived from the original on March 23, 2023. Retrieved March 25, 2023.
  9. ↑ Harris, Elizabeth (June 1, 2020). "Publishers Sue Internet Archive Over Free E-Books". The New York Times . Archived from the original on June 12, 2020. Retrieved March 24, 2023.
  10. ↑ "Hachette v. Internet Archive". Electronic Frontier Foundation. October 9, 2020. Archived from the original on March 25, 2023. Retrieved March 25, 2023.
  11. ↑ Robertson, Adi (March 20, 2023). "The Internet Archive is defending its digital library in court today". The Verge. Archived from the original on March 25, 2023. Retrieved March 25, 2023.
  12. ↑ Albanese, Andrew (September 6, 2022). "NEXT JOB Publishers, Internet Archive Trade Reply Briefs in Book Scanning Case". Publishers Weekly. Retrieved November 12, 2023.
  13. ↑ Albanese, Andrew (June 13, 2022). "Internet Archive, Publishers to Seek Summary Judgment in Book Scanning Lawsuit". Publishers Weekly . Archived from the original on June 14, 2022. Retrieved June 15, 2022.
  14. ↑ Brittain, Blake (March 20, 2023). "Internet Archive faces skeptical judge in publishers' copyright lawsuit". Reuters. Archived from the original on March 25, 2023. Retrieved March 20, 2023.
  15. ↑ Albanese, Andrew (March 20, 2023). "At Hearing, Judge Appears Skeptical of Internet Archive's Scanning and Lending Program". Publishers Weekly. Archived from the original on March 23, 2023. Retrieved March 23, 2023.
  16. ↑ Hernandez, Joe (March 26, 2023). "A judge sided with publishers in a lawsuit over the Internet Archive's online library". NPR. Archived from the original on March 27, 2023. Retrieved March 27, 2023.
  17. ↑ Brittain, Blake (March 20, 2023). "Internet Archive faces skeptical judge in publishers' copyright lawsuit". Reuters. Archived from the original on March 25, 2023. Retrieved March 25, 2023.
  18. ↑ Harris, Elizabeth (June 11, 2020). "Internet Archive Will End Its Program for Free E-Books". NY Times. Archived from the original on June 15, 2020. Retrieved June 15, 2020.
  19. ↑ Ojala, Marydee (January–February 2021). "Controlled digital lending: legal lending or piracy?". Online Searcher . Vol. 45, no. 1. Archived from the original on February 18, 2021. Retrieved February 18, 2021.
  20. ↑ Panezi, Argyri (March 28, 2021). "A public service role for digital libraries: the unequal battle against (online) misinformation through copyright law reform and the emergency electronic access to library material". Cornell Journal of Law and Public Policy . SSRN   3813320. Archived from the original on July 30, 2021. Retrieved July 30, 2021. Article reportedly forthcoming.
  21. ↑ Chris Freeland, ed. (March 20, 2023). "Internet Archive Press Conference: March 20, 2023". Internet Archive . Wikidata   Q117825695.
  22. ↑ Lila Bailey, Wikidata   Q117745845
  23. ↑ Lila Bailey (March 20, 2023). "Press conference statement: Lila Bailey, Internet Archive". Internet Archive Press Conference: March 20, 2023. Wikidata   Q117745831.
  24. ↑ Rasmus Jørgensen (February 25, 2022), Expert report of Rasmus Jørgensen, PhD, Wikidata   Q117757229
  25. ↑ Rasmus Jørgensen (May 27, 2022), Reply expert report of Rasmus Jørgensen, PhD, Wikidata   Q117756653
  26. ↑ Imke Reimers (February 25, 2022), Expert report of Imke Reimers, Ph.D., Wikidata   Q117749346
  27. ↑ "Press conference statement: Lawrence Lessig, Harvard Law". Internet Archive Press Conference: March 20, 2023. March 20, 2023. Wikidata   Q117825676.
  28. ↑ Imke Reimers (February 25, 2022), Expert report of Imke Reimers, Ph.D., Wikidata   Q117749346
  29. ↑ Ian T. Foster (March 31, 2022), Supplemental expert report of Prof. Ian Foster, p. 122, Wikidata   Q117749404
  30. 1 2 3 "Opinion" (PDF). Archived (PDF) from the original on March 30, 2023.
  31. ↑ Albanese, Andrew (March 25, 2023). "In a Swift Decision, Judge Eviscerates Internet Archive's Scanning and Lending Program". Publishers Weekly. Retrieved November 12, 2023.
  32. ↑ Orders 191-213 between April and July 2023.
  33. ↑ John G. Koeltl (July 28, 2023), Final extension of deadline in Hachette v. Internet Archive (PDF), Wikidata   Q121133396
  34. 1 2 Freeland, Chris (August 17, 2023). "What the Hachette v. Internet Archive Decision Means for Our Library". Internet Archive Blogs. Internet Archive. Retrieved January 4, 2024.
  35. 1 2 "Publishers and Internet Archive Submit Negotiated Judgment with Permanent Injunction to District Court in Hachette Book Group, et al, v. Internet Archive". publishers.org. Association of American Publishers. August 11, 2023. Retrieved August 15, 2023.
  36. ↑ "Why are so many books listed as "Borrow Unavailable" at the Internet Archive". Internet Archive Help Page. March 17, 2024. Retrieved June 13, 2024.
  37. ↑ Robertson, Adi (September 11, 2023). "Internet Archive appeals loss in library ebook lawsuit". The Verge . Retrieved September 13, 2023.
  38. ↑ Van der Sar, Ernesto (December 18, 2023). "Internet Archive: Digital Lending is Fair Use, Not Copyright Infringement". TorrentFreak . Archived from the original on December 18, 2023. Retrieved December 19, 2023.
  39. ↑ "Brief for Defendant-Appellant Internet Archive" (PDF). The Internet Archive . December 15, 2023 – via TorrentFreak.
  40. ↑ Bailey, Lila (December 29, 2023). "Friend of the Court Briefs Filed in Internet Archive's Appeal". The Internet Archive . Retrieved January 4, 2024.
  41. ↑ Hachette Book Group, Inc. v. Internet Archive Appeal Oral Argument Second Circuit. United States Court of Appeals for the Second Circuit (Audio). June 28, 2024 – via Internet Archive.
  42. ↑ Roth, Emma (September 4, 2024). "The Internet Archive just lost its appeal over ebook lending". The Verge. Retrieved December 7, 2024.
  43. ↑ https://storage.courtlistener.com/recap/gov.uscourts.ca2.60988/gov.uscourts.ca2.60988.306.1.pdf
  44. ↑ "Publishers Prevail in Summary Judgement Against Internet Archive for Copyright Infringement". Association of American Publishers. March 24, 2023. Retrieved November 6, 2023.
  45. ↑ Pallante, Maria A. (March 31, 2023). "Reflections from the Association of American Publishers on Hachette Book Group v. Internet Archive: An Affirmation of Publishing" (PDF). Association of American Publishers. Retrieved November 6, 2023.
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