State bill could cripple P2P

A bill introduced in California's Legislature last week has raised the possibility of jail time for developers of file-swapping software who don't stop trades of copyrighted movies and songs online.

The proposal, introduced by Los Angeles Sen. Kevin Murray, takes direct aim at companies that distribute software such as Kazaa, eDonkey or Morpheus. If passed and signed into law, it could expose file-swapping software developers to fines of up to $2,500 per charge, or a year in jail, if they don't take "reasonable care" in preventing the use of their software to swap copyrighted music or movies--or child pornography.

Peer-to-peer software companies and their allies immediately criticized the bill as a danger to technological innovation, and as potentially unconstitutional.

"State Sen. Murray did not choose to seek out the facts before introducing misguided legislation that effectively would make criminals out of many companies that bring jobs and economic growth to California," Mike Weiss, CEO of Morpheus parent StreamCast Networks, said in a statement. "This bill is an attack on innovation itself and tax-paying California-based businesses like StreamCast depend on that freedom to innovate."

The bill comes as much of the technology world is waiting for the Supreme Court to rule on the legal status of file-swapping technology.

Federal courts have twice ruled that peer-to-peer software companies are not legally responsible for the illegal actions of people using their products. Hollywood studios and record companies appealed those decisions to the nation's top court, which is expected to rule on the issue this summer.

In the meantime, entertainment companies' push for federal legislation on file-swapping issue has been put temporarily on the back burner. A controversial bill that would have put more legal responsibility on the peer-to-peer developers failed to pass at the end of last year's congressional session.

California has taken a lead among states in putting pressure on the file-swapping world. Attorney General Bill Lockyer was a key figure last year in pushing for more state-level legal scrutiny of the companies' actions, and Gov. Arnold Schwarzenegger has sought to ban illegal downloading on any state computers, including those owned by the state university systems.

Murray himself sponsored a bill last year--later signed by the governor--that requires file sharers who send a copyrighted work to at least 10 people to provide a valid e-mail address or risk jail time. He has also authored bills on spyware and spam.

The senator said his bill was intended only to encourage companies to take advantage of existing technology for filtering networks, not to impose requirements impossible to meet.

"To the extent that they agree that they can filter, we think it's reasonable to require filters for peer to peer activity," Murray said. "We're only asking for reasonable controls. We're not asking for people to create new technology or recreate the wheel."

Several companies, including Audible Magic and Shawn Fanning's Snocap , have demonstrated technology that could be used to block trades of copyrighted music, although no such tool has yet been publicly shown for Hollywood movies. Some file-swapping companies say these tools would be impractical to use on a widespread basis.

Murray has worked closely with the entertainment companies on this type of issue, but has also been a staunch critic of record labels' accounting practices and the way they treat their artists. He said he did not work with the MPAA or other groups in drafting the new bill.

See more CNET content tagged:
file-swapping, P2P, bill, StreamCast Networks, entertainment company

Add a Comment (Log in or register) 37 comments (Page 1 of 3)
That sucks
by January 18, 2005 6:42 PM PST
I think that it's kinda good wbut i'm a low budget person and this is usuallyu how I get my music. There should be another way for copyrighted music to be shared between eachother.
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A waste of courts time
by xpgeek11 January 18, 2005 7:48 PM PST
What happens when the program in question is developed outside of the US ?
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What reasonable filtering?
by unknown unknown January 18, 2005 8:17 PM PST
Reasonable is a rather vague term, and worrying in legistlation like this because it leaves it to the courts to decide what's reasonable. Some judges could make the bar very high and other could make it almost non-existant. What about individuals who write their own software who don't have the money to use Audiable magic and SnoCap (both of which sound like they'd be easily hacked). As it stands now I believe this law is unconstitual as is the one requiring a valid email address (almost unenforcable).
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Completely UNREASONABLE.
by computer_genius January 18, 2005 11:36 PM PST
Stopping file-sharing of music?! Or copyrighted ones, even?! What's the use of file sharing if you can't download music, videos, and other types of files? And if the law's going to ban P2P, what about legal ones like LimeWire? They're going to embed spyware into it? It doesn't have spyware so it would be quite unfair if they would embed spyware into it. And how can the program manufacturers stop people who share those 'copyrighted' files? The only thing I agree with is the banning of porno movies, not the entire P2P system. They should not punish the program manufacturers; they can just log the IP adds. of people who share the illegal files and punish those who do it. It would be really unfair for the program manufacturer to be punished because of the program consumers, for me that is.
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whatever they will do they cant stop them
by January 19, 2005 12:31 AM PST
has ive said they can put spyware, they can squeeze people, they can do everytheing they want, but 1 thing is sure if kaaza closes a new one will open, if that new one also closes after a while someone will do a diferent one.
This case its like a virus programmer, cause he does the disease but he knows the cure.

since ive remember i´ve always been porting
myself between programs such napster, winMX, emule, and so on.

resuming they put spyware on one, they will lose ppl that will port themselfs to another one, and so on.

And has ive always said, it will always exist a dark side of the internet ONLINE.

my regards Ludgero Jordao
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Rubbish
by Steven N January 19, 2005 1:21 AM PST
This shows only how corrupt legislative systems have become is with all the lobbying pools going on. You clearly see the influence of the record industry behind this.

It has already been said twice by courts that the companies that create P2P software are not responsible of the illegal conduct of the customers.

They have to make up their mind. If P2P companies are liable for their customers conduct, then they should do the same for VCRs, CD/DVD writers that can make copies too. Then you could also say all OSses on PC's, or even the PC's themselves should be outlawed, because they are not stopping it too.

Using the weapons lobby analogy (guns don't kill people, humans do): P2P doesn't share pirated media, people do.
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P2P Not the problem
by Stomfi January 19, 2005 2:49 AM PST
P2P is the obvious technology for a robust and effecient computer network. The problem lies in the fact that the network providers should be supplying the inhouse network user interface server which would do P2P on their network, and the user should be choosing thier preferred human interface hardware, not the computing platform.
The P2P network is the computing platform. Robust, Secure, and very very fast.
Once we get rid of these antiquated desktop computers and move up to a networked P2P system, none of these teething problems will be relevant.
So lets us instead lobby our polititions to get our ISP to supply an inhouse ISP controlled P2P server and enjoy all the benefits of real computing power without these silly 20th century problems.
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Gun control lobbyist will eat this up.
by rshelton3000 January 19, 2005 5:24 AM PST
The gun control lobbyists have been trying for decades to get a similar bill passed. The gun companies have stalled these bills by stating they do not promote the use of their product in illegal acts and therefore should be held blameless. By using a similar tactic the developers may be able to forestall any bills or civil actions against them. However, if the bill passes it will spell doom for all other products that could possibly be used in an illegal act including, guns, software, computers, cars, baseball bats, hockey sticks, socks, rope, tape, chlorox, buildings, ... the list goes on and on. So maybe we should all move back into our caves and just forego this invention called society.

R. Shelton
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What next?
by LilBambi January 19, 2005 6:59 AM PST
Ask not who for whom the bell tolls. It tolls for thee.

Well, there goes innovation. If this is what happens to politicians when corporate buttheads get into the act, we will never see any freedom among innovators for the future. Talk about throwing out the baby with the washwater! (figure of speech)

"When the people find they can vote themselves money, that will herald the end of the republic." Benjamin Franklin

Sad days are coming.
Reply to this comment
P2P law?
by bake2999 January 19, 2005 7:25 AM PST
Does this mean I can still shoot anybody.
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