Other Organizations' Statements on MGM v Grokster

Joint Statement from AFM, AFTRA, Directors' Guild, Screen Actors Guild, Writers Guild of America
Public Knowledge
Electronic Frontier Foundation
Congressmembers Steny Hoyer and Mary Bono
Congresswoman Diane Watson
Recording Artists' Coalition
National Academy of Recording Arts and Sciences (NARAS)
RIAA
MPAA
Senator John Cornyn
Congressman Howard Berman

Statement of AFM • AFTRA • Directors Guild • Screen Actors Guild • Writers Guild of America

CREATIVE COMMUNITY PRAISES SUPREME COURT DECISION IN GROKSTER CASE

June 27, 2005

In a decision announced today, the United States Supreme Court overturned the ruling of the Ninth Circuit Court of Appeals in favor of the plaintiffs in the case of MGM, et al. v. Grokster, Ltd., et al.  

The following is a joint statement from the preeminent entertainment unions – American Federation of Musicians, American Federation of Television and Radio Artists, Directors Guild of America, Screen Actors Guild, and Writers Guild of America, west – on today’s Supreme Court ruling.  These organizations also filed a “friend of the court” brief in January 2005 urging the Court to consider the negative impact of Internet piracy on artists.

“Today a clear and unmistakable message has been sent – that work created by our members deserves the same basic financial protections as every other product in the marketplace.  Unauthorized file-swapping of copyrighted material is property theft, plain and simple, and this theft destroys the very protections that allow our members to sustain a career and provide for their families.  We applaud the Supreme Court’s decision that advances in technology serve to enhance and promote, rather than undermine, the vibrant and diverse cultural and artistic traditions of this country.

“Today’s decision marks an economic and creative victory for every creator whose livelihood has been threatened by the blatant copyright infringement running rampant on peer-to-peer sites across the Internet.  What is most important about it is the determination that just because something can be distributed freely, does not mean that it is free, and that the financial rights of creators and copyright holders can no longer be ignored.”

Public Knowledge Statement Regarding MGM v Grokster

June 27, 2005

The following statement is from Gigi B. Sohn, president of Public Knowledge, on the Grokster decision today:

"Today's Court decision in the Grokster case underscores a principle Public Knowledge has long promoted -- punish infringers, not technology. The Court has sent the case back to the trial court so that the trial process can determine whether the defendant companies intentionally encouraged infringement. What this means is, to the extent that providers of P2P technology do not intentionally encourage infringement, they are exempt from secondary liability under our copyright law. The Court also acknowledged, importantly, that there are lawful uses for peer-to-peer technology, including distribution of electronic files 'by universities, government agencies, corporations, and libraries, among others.'

"The Court is clearly aware that any technology-based rule would have chilled technological innovation. That is why their decision today re-emphasized and preserved the core principle of Sony v. Universal City Studios -- that technology alone can't be the basis of copyright liability -- and focused clearly and unambiguously on whether defendants engaged in intentional acts of encouraging infringement. The Court held expressly that liability for providing a technological tool such as the Grokster file-sharing client depends on 'clear expression or other affirmative steps taken to foster infringement.' What this means is, in the absence of such clear expression or other affirmative acts fostering infringement, a company that provides peer-to-peer technology is not going to be secondarily liable under the Copyright Act."

HOYER, BONO JOINT STATEMENT ON GROKSTER RULING
Representatives Are Co-Founders of the Congressional Recording Arts and Sciences Caucus

June 27, 2005

WASHINGTON - House Democratic Whip Steny Hoyer (MD) and Representative Mary Bono (R-CA) released the following statement today in response to the Supreme Court's 9-0 decision in Metro-Goldwyn-Mayer Studios, Inc. v. Grokster, Ltd.:

"We are extremely pleased that the Supreme Court's 9-0 decision in the Metro-Goldwyn-Mayer Studios, Inc. v. Grokster, Ltd. case protects the innovative and copyrighted works of our nation's creative community.  This decision supports our U.S. industries that employ more than five million Americans and produce one of our top exports: intellectual property, including motion pictures and music. Furthermore, it is a strong repudiation to the rapid proliferation of copyright piracy on the internet.

Over 90% of the use of Grokster software is for infringement purposes. Therefore, this decision prevents the legitimization of peer-to-peer file sharing software programs such as Grokster that encourage and facilitate the illegal sharing of copyrighted works.   This activity subverts not only our economy, but also the creative community, such as songwriters, musicians, screen writers and other artists who drive American creative and artistic innovation.

Clearly, technological advancements have fostered the enjoyment of these creative works. There can be a future for peer-to-peer networks as long as they uphold copyright protections.  However, while we have a healthy debate on how to reconcile intellectual property laws in the face of new technologies, our government first must protect intellectual property rights.  As we move into the digital marketplace, it is incumbent upon the courts and policymakers to demonstrate that they can and will protect intellectual property rights now and in the future.  Therefore, we strongly support the decision of the Supreme Court in this case.  We are hopeful that this decision will ensure that any further litigation proceeds with the goal of ending this infringing activity."            

Congresswoman Mary Bono and Congressman Steny Hoyer are the co- founders and co-chairs of the Congressional Recording Arts and Sciences Caucus.

Electronic Frontier Foundation: Supreme Court Ruling Will Chill Technology Innovation
Copyright Liability Standard in Grokster Decision Endangers P2P and Other New Technologies

June 27, 2005

Washington, DC - Today the Supreme Court issued a ruling that could impede makers of all kinds of technologies with expensive lawsuits. The long-awaited decision in MGM v. Grokster states that P2P software manufacturers can be held liable for the infringing activities of people who use their software. This decision relies on a new theory of copyright liability that measures whether manufacturers created their wares with the "intent" of inducing consumers to infringe. It means that inventors and entrepreneurs will not only bear the costs of bringing new products to market, but also the costs of lawsuits if consumers start using their products for illegal purposes.

"Today the Supreme Court has unleashed a new era of legal uncertainty on America's innovators," said Fred von Lohmann, EFF's senior intellectual property attorney. "The newly announced inducement theory of copyright liability will fuel a new generation of entertainment industry lawsuits against technology companies. Perhaps more important, the threat of legal costs may lead technology companies to modify their products to please Hollywood instead of consumers."

The Supreme Court has also ordered the lower court to consider whether peer-to-peer companies Grokster and StreamCast can be held liable under the new standard. StreamCast is confident that it will pass muster under the new, multi-pronged test.

[more...]

Congresswoman Watson: "Supreme Court decision on Grokster a Giant Victory for American Creativity and Innovation"  

June 27, 2005

Washington, DC – Congresswoman Diane E. Watson (CA-33rd), chair of the Congressional Entertainment Industries Caucus, today applauded the Supreme Court's unanimous decision vacating the 9th Circuit Court of Appeals' ruling in MGM v. Grokster and remanding the case back to the lower court. It held that internet file-sharing services must be held responsible for intellectual property violation if they intend for their customers to use software primarily to swap songs and movies illegally.
 
"Today's unanimous decision by the Supreme Court represents a great triumph for American creativity and innovation. File sharing companies that actively coax consumers into violating copyrights laws can no longer escape legal consequences under the guise of "fair use," stated Congresswoman Watson. 'They will no longer be able to unduly profit from the talent and hard work of our nation's creators," added Watson.
 
The Supreme Court agreed to hear MGM v. Grokster in December 2004 after the 9th Circuit's ruling in favor of the defendants. At issue is whether a peer-to-peer technology company can be held financially liable for illegal activities taking place on its network. The Circuit Court, citing the 1984 Sony-Betamax decision, held that "substantial non-infringing uses" of Grokster exists and thus could not be shut down. The Supreme Court reverses, stating that "one who distributes a device with the object of promoting its use to infringe copyright. . . is liable for the resulting acts of infringement by third parties."  
 
"Today's clear guidance from the Supreme Court will help enhance the effective enforcement of our nation's copyright laws and strengthen the public's respect for the value of intellectual property rights," said Congresswoman Watson. "I hope today's decision will send a message to all pirates that winking and nodding at digital theft will not be tolerated any more than theft itself. I am confident that the lower courts will carefully apply this well-reasoned opinion in finding Grokster and other similar companies liable for actively inducing their customers into illegal use of their products."

Statement by Neil Portnow, President of The National Academy of Recording Arts & Sciences, Inc. on the Supreme Court’s Ruling on MGM v. Grokster

June 27, 2005

The National Academy of Recording Arts & Sciences, Inc. (The Recording Academy®) represents 17,000 musicians, composers, artists, engineers, producers and songwriters and is dedicated to improving the quality of life and cultural condition for music and its makers.

"Today is a good day for music fans and the 17,000 musicians, composers, artists, engineers, producers and songwriters that are the members of the Recording Academy. By unanimously upholding the rights of creators, the Supreme Court has defended an environment for legal online music services to thrive.

As the National Academy of Recording Arts AND Sciences, our membership embraces new technologies that deliver their music to fans in innovative ways. The court is forging the way for the legal digital services - those that compensate the creative professionals - to enable music fans to hear their favorite artists wherever, whenever and however they want.

The unanimous Supreme Court opinion sends a clear message to those who use technology to encourage copyright infringement, while recognizing the importance of honest, legitimate innovation that fosters protection of the rights of creators of music.

Previously The Recording Academy submitted an amicus brief on behalf of the creative community, which depends on sales of its works to earn a living. We thank the Court for its insight into this important case and for the protection of music makers. The Academy will continue to defend its members' rights wherever and whenever necessary."

[link]

RIAA Statement On MGM V. Grokster Supreme Court Ruling

June 27, 2005

WASHINGTON -- In response to the U.S. Supreme Court's ruling today in the case MGM v. Grokster, the Recording Industry Association of America (RIAA) issued the following statement from Chairman and CEO Mitch Bainwol:

"With this unanimous decision, the Supreme Court has addressed a significant threat to the U.S. economy and moved to protect the livelihoods of the more than 11 million Americans employed by the copyright industries. The Supreme Court has helped to power the digital future for legitimate online businesses – including legal file sharing networks – by holding accountable those who promote and profit from theft. This decision lays the groundwork for the dawn of a new day – an opportunity that will bring the entertainment and technology communities even closer together, with music fans reaping the rewards."

[link]

RECORDING ARTISTS’ COALITION HAILS UNANIMOUS SUPREME COURT GROKSTER DECISION IN FAVOR OF THE ENTERTAINMENT INDUSTRY

June 27, 2005

The Recording Artists’ Coalition (RAC) applauds the Supreme Court’s decision to overturn the Grokster case, establishing clearly for the first time that creators of unauthorized peer-to-peer (P2P) file-sharing systems are liable for contributory copyright infringement if they induce the users of their system to share unauthorized copyrighted music and movie files.  This decision is a victory for all recording artists, songwriters, and their fans. 

The 9-0 decision, released this morning, also paves the way for record labels and recording artists to enter into serious negotiations to license copyrighted music to the developers of P2P systems. 

“By ruling against Grokster, the Supreme Court has vindicated the rights of artists, songwriters, and copyright owners.  There is no more important case for the future of our business.  These unauthorized P2P systems promote copyright infringement on an unprecedented scale.  They make millions of dollars in advertising, but pay the artists nothing,” said Don Henley, president and co-founder of RAC.

In January 2005, RAC, the National Academy of Recording Arts & Sciences, along with a number of artist and songwriter associations, and 54 high-profile recording artists, filed an Amicus Brief with the U.S. Supreme Court in the Grokster litigation urging the Supreme Court to overturn the Ninth Circuit’s opinion that Grokster, Kazaa, Morpheus, and other unauthorized P2P systems are not liable for contributory copyright infringement.

The 54 recording artists who signed on to the RAC/NARAS Amicus Brief are: Don Henley, Glenn Frey, Joe Walsh & Timothy B. Schmit (the Eagles), Jimmy Buffett, Kenny "Babyface" Edmonds, “Mya” Harrison, Gavin Rossdale, Sheryl Crow, Kix Brooks & Ronnie Dunn (Brooks & Dunn), Bonnie Raitt; Natalie Maines, Martie Maguire & Emily Robison (The Dixie Chicks), Stevie Nicks, Phil Vassar, Patty Loveless, Reba McEntire; Mickey Hart & Bill Kreutzman (of The Grateful Dead), Avril Lavigne, Dido, Denyce Graves, Tom Jones; Jesse Colin Young, Sarah McLachlan, Martina McBride, Sam Moore (of Sam & Dave), Joe Terry & David White (of Danny and the Juniors), Billy Preston, Boz Scaggs, Diana Krall, Elvis Costello, Brian Wilson, Kenny Rogers, Tom Waits; Tyler Stewart, Jim Creeggan, Steven Page, Ed Robertson & Kevin Hearn (Barenaked Ladies), Deryck Whibley, Dave Baksh, Cone McCaslin & Steve Jocz (Sum 41), Brandon Hargest, Brittany Hargest, Chris Fedun & Lesley Moore (Jump 5), Bethany Dillon, Nichole Nordeman, and Michael W. Smith.

The complete text of the RAC Amicus Brief and the Supreme Court decision will be available online at www.recordingartistscoalition.com.

Artist Quotes

"We’re really glad that the Supreme Court ruled the way they did.  Anything that makes it easier for our fans to access legitimate sources of music is a good thing."
-- Natalie Maines of the Dixie Chicks

"Artists are not against technology.  We fully embrace P2P technology.  But artists must have a choice between systems offering music for free and systems that pay us."
-- Bonnie Raitt

“This is a question of balancing the rights of creators with current technology.  Unauthorized P2P systems are clearly inducing infringement by the users – those systems need to be held accountable.  They can and should incorporate filters to prevent the illegal downloading of copyrighted material and until such time as they do, Grokster and similar, competitive systems should be held liable for the infringement and damage they are doing to the creative community and the public-at-large.”
-- Sheryl Crow

STATEMENT FROM MPAA PRESIDENT AND CEO DAN GLICKMAN
RE: Supreme Court ruling on MGM v. Grokster

June 27, 2005

"Today's unanimous ruling is an historic victory for intellectual property in the digital age, and is good news for consumers, artists, innovation and lawful Internet businesses.

"The Supreme Court sent a strong and clear message that businesses based on theft should not and will not be allowed to flourish.

"This decision will be of utmost importance as we continue developing innovative and legitimate ways to marry content and technology so consumers can access entertainment on a variety of devices.

"Protecting intellectual property rights and aggressively combating copyright theft will keep an engine of economic growth and job creation thriving; promote innovation; strengthen legitimate businesses that unite technology and content in innovative and legal ways; and ensure a future of quality and choice for consumers in the United States and around the world."

CORNYN STATEMENT ON MGM v. GROKSTER DECISION

"Those who facilitate theft often are just as guilty as the thieves themselves"

WASHINGTON-Sen. John Cornyn (R-Texas), a member of the Judiciary Committee's Intellectual Property subcommittee, made the following statement Monday regarding the U.S. Supreme Court's ruling in MGM v. Grokster:

"Today, the Supreme Court reinforced the principle that those who facilitate theft often are just as guilty as the thieves themselves.

"Every day, literally millions of dollars in copyrighted works are stolen via online services.  This theft is no less wrong because it is carried out in cyberspace - rather, potentially worse than common shoplifting, it is putting thousands of Americans out of work and is damaging one of the most important and vibrant sectors of the United States economy.  Unfortunately, the services that facilitate much illegal online file sharing have been designed to encourage just that type of behavior.

"When the founding fathers put the protection of intellectual property in the Constitution, they recognized the unique and unlimited creativity of the American people and the impact American innovators would have on the world in the areas of art and technology.

"Today's decision by the Supreme Court is an affirmation of those Constitutional principles and should be commended."

Sen. Cornyn is a member of the Judiciary Committee's Intellectual Property subcommittee and the Congressional International Anti-Piracy Caucus. He served previously as Texas Supreme Court Justice, Texas Attorney General, and Bexar County District Judge.

Berman Statement on MGM v. Grokster

June 27, 2005

WASHINGTON -- In response to the U.S. Supreme Court's ruling today in the case of MGM v. Grokster,  Rep. Howard L. Berman made the following statement:

"That this is a unanimous decision speaks volumes to what we all know is true:  stealing is stealing.   The culture which allowed a business to rely on theft has robbed our creative community.

"Today's ruling is a victory for American innovation. It helps assure that artists will continue to thrive and create the music and movies we love. Technology and the Internet win, too, because this decision will propel opportunities for legitimate music and movie distribution services. 

Rep. Howard Berman (CA)  is the ranking Democrat on the House Judiciary Committee's Subcommittee on Courts, the Internet, and Intellectual Property.

home | manifesto | resources | press & news | events | FAQs | subscribe | contact us | terms of service