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Napster, the Net Act, and the Criminal Prosecution of File-Sharing." American University Law Review 50, No.2 (2000): 473-532

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Napster, the Net Act, and the Criminal Prosecution of File-Sharing. American University Law Review Volume 50 | Issue 2 Article 7 2000 COMMENT: A Nation of Felons?: Napster, the Net Act, and the Criminal Prosecution of File- Sharing Aaron M. Bailey American University Washington College of Law Follow this and additional works at: http://digitalcommons.wcl.american.edu/aulr Part of the Law Commons Recommended Citation Bailey, Aaron M. "COMMENT: A Nation of Felons?: Napster, the Net Act, and the Criminal Prosecution of File-Sharing." American University Law Review 50, no.2 (2000): 473-532. This Comment is brought to you for free and open access by the Washington College of Law Journals & Law Reviews at Digital Commons @ American University Washington College of Law. It has been accepted for inclusion in American University Law Review by an authorized administrator of Digital Commons @ American University Washington College of Law. For more information, please contact [email protected]. COMMENT: A Nation of Felons?: Napster, the Net Act, and the Criminal Prosecution of File-Sharing This comment is available in American University Law Review: http://digitalcommons.wcl.american.edu/aulr/vol50/iss2/7 BAILEYPP.DOC 8/15/2001 11:40 AM COMMENT A NATION OF FELONS?: NAPSTER, THE NET ACT, AND THE CRIMINAL PROSECUTION OF FILE-SHARING ∗ AARON M. BAILEY TABLE OF CONTENTS Introduction.........................................................................................474 I. Background ...............................................................................478 A. The Fury Over MP3 “File-sharing”.....................................478 1. Technology....................................................................478 2. Why prosecute, and who? .............................................481 a. Potential defendants ...............................................482 b. Prosecutors ..............................................................484 c. Victims......................................................................485 B. The Object of “Theft”: Copyright as Property, Infringement and Defenses ...............................................488 1. What is being “stolen”? .................................................488 2. Criminal infringement before the rise of the internet..........................................................................489 3. Copyright Felony Act of 1992 and No Electronic Theft Act of 1997 ..........................................................491 4. Contributory and vicarious infringement....................493 5. Defenses to criminal infringement ..............................497 a. Substantial noninfringing uses ...............................498 b. Fair use.....................................................................500 6. Copyright legislation in the digital age........................502 ∗ Editor-in-Chief, American University Law Review, Volume 51; J.D. Candidate, 2002, American University, Washington College of Law; M.A., 1998, American University; A.B., 1995, Wabash College. The author thanks the many people who made this Comment possible, including Professor Peter Jaszi, Russell Upton, and Antonia Fasanelli. Special thanks go to Susan K. Nutter and my parents, Al and Teresa Bailey, without whose support the entire project would have been impossible. 473 BAILEYPP.DOC 8/15/2001 11:40 AM 474 AMERICAN UNIVERSITY LAW REVIEW [Vol. 50:473 II. Analysis.......................................................................................506 A. Is File-Sharing an Inherently Criminal Activity? ...............506 B. Criminal Liability for FTSs? ...............................................509 1. Contributory and vicarious criminal liability...............509 2. Conspiracy and accomplice liability.............................511 C. Criminal Infringement and File-Sharing Software Users....................................................................................513 1. Identification of criminal infringers ............................514 2. The elimination of the profit motive, the value of infringed works, and fair use........................................518 3. “Willful” infringement ..................................................522 4. Constitutional constraints to enforcement: The Fourth Amendment......................................................524 5. Entrapment ...................................................................529 6. Jurisdiction ....................................................................530 Conclusion ...........................................................................................531 Mr. Levy’s case should serve as a notice that the Justice Department has made prosecution of Internet piracy one of its priorities . Those who engage in this activity, whether or not for profit, should take heed that we will bring federal resources to bear to prosecute these cases. This is theft, pure and simple.1 James K. Robinson, Assistant Attorney General INTRODUCTION At the beginning of the new millennium, time and space are no longer obstacles to the flow of information and ideas.2 The Internet revolution is changing the way we live, work, and entertain ourselves.3 1. Ashbel S. Green, Net Piracy Law Gets First Conviction: UO Student, PORTLAND OREGONIAN, Aug. 21, 1999, at A1 (noting that the prosecution of Jeffrey Levy for criminal infringement of software and other protected works was the first successful prosecution under the No Electronic Theft (NET) Act of 1997). 2. See BRYAN ELLICKSON, GAUGING THE INFORMATION REVOLUTION 1-3 (1991); National Research Council, The Digital Dilemma: Intellectual Property in the Information Age, at http://books.nap.edu/ html/digital_dillemma/exec_summ.html (last visited May 22, 2000). 3. See DAN MABRY LACY, FROM GRUNTS TO GIGABYTES: COMMUNICATIONS AND SOCIETY 152-56 (1996) (describing the “explosion” of information technologies in the latter half of the twentieth century, including the advent of the “information highway”); David Beckman & David Hirsch, We Log On, Therefore We Believe: Philosophically Speaking, the Internet is Creating a New Reality, 86 A.B.A. J. 74 (2000) (arguing that attorneys must be cognizant of the Internet because it is homogenizing the way people view the world around them and speaking effectively to a jury requires knowledge of this Internet-reality); Peter Magnusson, The Internet Revolution History and Significance (Feb. 5, 1997), at http://www.sics.se/~psm/ar97/sld003.htm (noting that “[t]he Internet represents a fundamental and extensive force of change that will leave few areas of our lives unaffected”); National Research Council, The Digital Dilemma: Intellectual Property in the Information Age, at http://books.nap.edu/html/digital_dillemma/exec_summ.html (last visited May 22, BAILEYPP.DOC 8/15/2001 11:40 AM 2000] NAPSTER CRIMINAL PROSECUTION 475 At the same time, the Internet is also changing the way laws are broken.4 Internet-related technologies have recently become the focus of criticism and mild paranoia.5 For many, the focal point of this fear is the increasingly ugly battle centered on the distribution of copyrighted music via the Internet using a digital format known as “MP3.”6 Some critics argue that the monetary survival of artists is at stake because of the e-assault on copyright law led by “file-sharing” companies like Napster.com.7 Nevertheless, prosecutors have not yet filed criminal charges against these particular, alleged enemies of copyright.8 Although lawsuits may put MP3-trading Web sites out of business, the problem of file-trading will not end with Napster and its clones. Napster, which relies on an index available on a central server, is a 2000); COMPUTERS AND SOCIETY 2-5 (Colin Beardon & Diane Whitehouse eds., 1993). 4. See Laura Ann Forbes, Note, A More Convenient Crime: Why States Must Regulate Internet-Related Criminal Activity Under the Dormant Commerce Clause, 20 PACE L. REV. 189, 192 (1999) (noting that the Internet has provided a “new instrumentality” for criminals to commit old-fashioned crimes); Robert L. Ullmann & David L. Ferrera, Crime on the Internet, 42 BOSTON B.J. 4, 4 (1998) (noting that Internet crimes have grown in number along with the number of users and that the costs to businesses are astoundingly high). 5. One group of outraged music fans created a web site in an effort to sabotage Napster, explaining that its mission is to create “a monkey wrench in the machinery of online piracy” and noting that “[p]erhaps [this time web anarchy is] taking a form that shakes up your comfortable little online music shop.” See Cuckoo’s Egg Project Home Page, at http://www.hand-2-mouth.com/cuckooegg (last visited July 13, 2000). 6. See Tatiana Boncompagni, After Napster: Controversy Over Music Downloads Spurs Hill Lobbying Campaign, LEGAL TIMES (Washington, D.C.), Aug. 14, 2000, at 1 (noting that both Napster and the RIAA procured the services of lobbyists in Washington in an effort to secure beneficial legislation); Patricia Jacobus, Napster Suit Tests New Copyright Law, at http://news.cnet.com/news/0-1005-202-1679581.html (Apr. 11, 2000) (noting that the RIAA suit against Napster would be a significant test for application of the Digital Millennium Copyright Act); Major Recording Labels Sue MP3Board on Copyright (June 23, 2000), at http://legalnews.findlaw.com/ legalnews/ s/20000623/n23147889.html (reporting that BMG Music, Sony Music Entertainment, Inc., and Warner Brothers Records had filed a suit against MP3Board, Inc. for facilitating piracy of copyrighted musical works); Andy Sullivan, Online-Music
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