NZ copyright bill reborn?

InternetNZ has slammed moves to redraft a controversial section of copyright law, saying the Government is cutting corners and trying to impose a "broken remedy".

Section 92a would have obliged internet service providers (ISPs) to terminate the accounts of repeat copyright infringers "in reasonable circumstances", but was canned in March after opposition from critics who were concerned people could be cut off without proof of their guilt.

The Economic Development Ministry has set up a working group of intellectual property and internet law experts to develop policy proposals and questions for consultation with stakeholders over a three-week period from July.

The ministry will seek Cabinet approval for its policy for dealing with online copyright infringement in August, and anticipates a bill will be drafted in September or October.

InternetNZ deputy executive director Jordan Carter says the process is unlikely to deliver an acceptable policy. "The concerns we have are that it looks like it's a pretty quick process and it looks like they are trying to find a better way to do the termination remedy when feedback from the public and the majority of submissions indicated that it's termination that's the problem."

Terminating internet accounts is a disproportionate punishment for online copyright infringement, and a "notice regime" aimed at educating people about copyright and why it's important would be far more appropriate, he says.

The absence of representatives from internet service providers and internet user groups in the ministry's working group means their opinions won't be championed strongly enough. "They aren't interested in a deep review of whether termination is the right remedy and how to deal with copyright infringement. They're trying to make a broken remedy work."

The ministry says it will work to ensure any legislation leading to the termination of internet accounts is explicit and "takes into account issues of due process, practicality and enforceability".

Telecommunications Carriers Forum independent chair Richard Westlake says it is disappointed a promised review of the law and its implications has not occurred. "There's been nothing said or seen which would imply that level of broader consultation and re- thinking has taken place or is in place. There is a working group but we're concerned the issue has been pre-judged."

Recording Industry Association chief executive Campbell Smith says the ministry's process provides a certain path forward. "My only concern would be the length of time it's going to take. Given the perilous state our industry is in due to copyright infringement any length of time is really damaging. But we do understand there needs to be a process. This issue has been discussed for some time already. The Government is well aware of everybody's concerns, which will be taken into account in this process."

Rights-holders and ISPs came close to an agreement on a termination policy before section 92a was canned and a consensus could be reached this time, he says.

Labour communications spokeswoman Clare Curran says the party welcomes the move to "finally" announce a process but the Government appears to be looking for a quick-fix. Ms Curran hosted a copyright forum earlier this year which raised several issues about copyright protection.

"There's a need to educate the public about copyright, people need to understand why it's important and rights-holders need to develop new business models to protect copyright as existing models aren't working."

Terminating internet accounts is a major point of contention. Financial penalties would likely be more effective, she says.

Ms Curran plans to hold talks with interested parties in Auckland and Labour will develop its own draft policy on the issue.

Victoria University associate professor in law Geoff McLay says the Government has decided on a termination policy and should now work to allay the fears of the policy's opponents by developing an independent arbitration process. The Copyright Tribunal would not necessarily be the best arbiter, as it has not been set up for that purpose, he says.

Controversy is as rife overseas.

France's Constitutional Council ruled last week that a law that would see internet users accused of copyright infringement disconnected after three warnings was unconstitutional.

Four founders of Swedish file- sharing website Pirate Bay were sentenced to a year in jail for distributing copyright material in April.

The verdict caused a swell in support for Sweden's "Pirate Party" which won a seat in the European Parliament in last week's elections, campaigning on copyright and patent reform.

Internet traffic in Sweden halved in April after an EU directive came into force obliging ISPs to turn over data on illegal filesharers to copyright holders.