Appeals Court Upholds Landmark Ruling Against Controlled Digital Lending
The Second Circuit Court of Appeals affirmed that digitized scanning and distribution of copyrighted books without publisher licenses constitutes copyright infringement.
The United States Court of Appeals for the Second Circuit has unanimously affirmed the district court ruling in Hachette Book Group v. Internet Archive, concluding that the Internet Archive's "Controlled Digital Lending" (CDL) program infringes publisher and author copyrights.
The lawsuit, originally brought by major publishers including Hachette, HarperCollins, John Wiley & Sons, and Penguin Random House, challenged the unauthorized scanning and distribution of print books online.
Ruling Summary
The three-judge panel rejected the defense that scanning print books and lending digital copies constitutes fair use:
- Commercial Impact: The court noted that unauthorized ebook lending competes directly with legitimate publisher library ebook licenses.
- Non-Transformative Use: Scanning full text books without altering their content or adding critical commentary is non-transformative.
- Protection of Author Royalties: The ruling protects library licensing revenue streams, which provide essential royalty income for authors.
The decision establishes clear legal boundaries surrounding digital library lending and protects standard library licensing frameworks.
Sources
- US Court of Appeals Opinionaccessed
- Publishers Weekly Legal Coverageaccessed
Ruth Kelleher
Editor
Ruth has covered the publishing trade since 2009 and sets every directory standing on Authors Daily. She is the named contact for corrections and right-of-reply requests.
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