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Supreme Court Ruling Makes Chasing File-Sharers Hugely Expensive

A court ruling has not only sharply reduced the amount of compensation rightsholders can expect from Danish file-sharing cases, but has also drawn a line on evidential standards. To accurately claim their losses in future, rightsholders will have to gain physical access to an infringer’s computer. A leading lawyer in the field says the costs will prove prohibitively expensive.

In 2005, anti-piracy group Antipiratgruppen (APG) and the underlying music group IFPI tracked a man who they say was sharing 13,000 music tracks via a Direct Connect network. The case moved through the legal system and went all the way to the Supreme Court.

The 6 year-old case has now been concluded and although the rightsholder plaintiffs in the case won their battle – albeit in a much smaller way than anticipated – the Court’s ruling is set to prove a huge setback to their overall war.

The case against the now 57-year-old was brought by APG on behalf of many IFPI-linked record labels and artists. As is so often in these cases, they had hoped for a punishing outcome in order to deter others. The rightsholders had originally demanded 440,000 kroner ($83,400) in compensation but that claimed amount was ultimately reduced to 200,000 ($37,900).

However, yesterday the Supreme Court decided that the defendant should pay only 10,000 kroner ($1,900), a major setback for the rightsholders who had hoped for a much higher precedent-setting amount on which to model future cases.

The compensation-limiting factor problem proved to be the reach of the evidence relied on by Antipiratgruppen. APG used techniques which scraped the index of the files said to be being made available by the defendant and then linked them back to his IP address, a method which has been acceptable in the past. But while the Court accepted that some sharing had occurred due to the defendant’s confession, it wasn’t satisfied that the index was an accurate representation of the files physically present on the defendant’s computer.

Per Overbeck, lawyer for the defendant, said that the lowered compensation award shows that it’s worth fighting back.

“The ruling demonstrates that it pays to be critical of Antipiratgruppen’s claims,” he said.

Speaking with Politiken, IFPI lawyer Johan Schlüter said that the Supreme Court decision to tighten the standard of proof in these cases could mean that Antipiratgruppen has to seize and investigate the defendant’s computer in any forthcoming cases, an expensive process that would require a bailiff, IT experts, and in some cases a locksmith.

“I will not directly say that we can not afford it, but it could be so expensive that it could mean we cannot pursue such matters,” said Schlüter. “We can not accept that we have become completely neutered, so we’ll now sit down with some IT people and think through what we can do to provide better documentation.”

Schlüter commented that the industry is in somewhat of a “cultural battle” with illegal copying and he could have a point. A recent moral standards study in Denmark found that a high percentage of the public found illicit downloading socially acceptable.

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  • Hikaricore

    You can run and tell that homeboy!

    • ZENDER

      RIAA is dumb..really, really dumb…for real

    • Anonymous

      That is € 0,10 for a song. Plus they will have to enter someone’s home and take their computer. You need the police with you to do that. They are not going to lend themselves for that. It is easier to prove someone is sharing on DC++ than it is on torrents. And on torrents they can only see the one torrent you are sharing that they themselves are also on (which won’t be 13000 songs).

      I also find it troubling that any ‘evidence’ collected solely by an ‘interested party’ (i.e. the rights holders or their agents), with no independent overview whatsoever, could ever be considered valid evidence at all. But i do not have the particulars on the case in question.

    • Emily

      Use Truecrypt

      • Kartoonkaptain

        Encrypting your hard drive can be tricky. You don’t HAVE to give them the password, but you can be hit with other penalties for not complying as a result.

        • DRuNKeN MaSTeR

          I’m using TrueCrypt, just use a hidden volume. You’ll have to passwords, the first you can give out (if forced), they see you have some stuff and that’s it. The real stuff is inside the hidden volume (in the free space of the original volume). Without the proper password it just looks like gibberish and _nobody_ can tell, that there is data (it’s free space…).

  • liquidmonkey

    sweden FTW, great news BUT HEY, who stil uses DC++ anyway???

    • Phobophobia

      it was a 6yo case!

      • Ninja

        Wasn’t it DENMARK? Along with being a 6 yo case?

    • http://billy.wenge-murphy.com/ Billy Wenge-Murphy

      Jailing pirates FTW? That’s worse than the US.

      • SL

        Wait until sharing becomes a felony.

        • http://billy.wenge-murphy.com/ Billy Wenge-Murphy

          Right, I am afraid of that day….when the US follows in Sweden’s footsteps ;) Sweden is setting an awful precedent.

      • 4ntonl1nd

        Well it’s us orders :P

    • http://profiles.google.com/stefannumber1 stefan r.v.o.

      Sweden !=Denmark

  • Parsec

    These “IT-people” that Johan Schlüter speak of, let’s find them.

  • BenniWest

    A worring development…..the AGP NOT the police coming into my house….I think not!!

    I know I would rather go to court and let them try to prove what files I have shared, rather than my house being raided on an assumption that I have said files on my computer, then my computer being taken?!?!?!?!

    looks like a huge legal conundrum, what if they get wrong information and start raiding houses of completely innocent people(and they do get it wrong as we all know)

    even better,

    What happenes if they raid your house take your computer, there are no files for their clients present but there is still a couple of TB worth of OTHER copied files….? would they then take you to court over these files even though technically they should never of found them???

    Bad times…..

    • http://www.facebook.com/doctorhoo32 Jim Daisy

      It’s simple if any one other than the police wer to seize anything from your home. It would not be able to put presented as evidense. Even the police would have to have a warrent for a specific thing.

      • herp2thederp

        This is blatantly and wholly untrue. If I couldn’t see from your post alone, that you are ignorant, I would be forced to conclude you were lying.

        Feel free to read the actual rules, regarding rights holders options (and boy do they have options!) that are in effect as we type:
        https://www.retsinformation.dk/Forms/R0710.aspx?id=133272#K57a

        • Anonymous

          Yeah that is for commercial scale infringement and even then they need the police to be present. The police is not going to help them knock on regular people’s doors. They would lose all respect and authority from citizens.

      • Scary Devil Monastery

        That’s only valid in the US. In Sweden and Denmark the police are allowed to present any evidence they have, irrespective of how it was gathered. If someone breaks into your computer and finds it full of torrentfiles he may go to jail but the evidence he has stolen is usable in any court.

        • Robin

          crypt everthing, if they ever get anyting, its blank and useless to tem

      • Scary Devil Monastery

        That’s only valid in the US. In Sweden and Denmark the police are allowed to present any evidence they have, irrespective of how it was gathered. If someone breaks into your computer and finds it full of torrentfiles he may go to jail but the evidence he has stolen is usable in any court.

  • Ninja

    Epic win. In the end the guy paid what $ 0,15 per track and I think this isn’t quite a fair price, I’d go for $ 0,4 lmao. Epic. If he had kept his mouth shut he could have gotten away paying ZERO and leaving MAFIAA with all the expenses.

    Encryption and torrent ppl. And Danish MAFIAA will be uber screwed ;))

    • Anonymous

      Screw encryption. If you live in the US, the law states that you have the right to one backup copy. JUST SAY YOU BOUGHT EVERYTHING BEFORE YOU DOWNLOADED IT. If they ask where the physical copies are, tell them you throw them in the trash after you make your back-up copy since you prefer the backup copy’s format over the dated CD & DVD (who has rooms for a thousand DVD cases cluttering their house?), then explain the advantages to having it in the XviD, MP3 or whatever format you have it in. If it is a cracked program or game, you’re screwed. Just say you don’t know how it got on there, say friends use your computer sometimes, and if they say it’s still your fault, insist that it is entirely plausible that the plaintiff could have placed it on there after they did not find it since THEIR tech experts are now in possession of your hardware. ABOVE ALL, NEVER CONFESS. NEVER. PLACE DOUBT IN THE PERSON SUING YOU WHENEVER YOU CAN.

      • Whatever

        Keep uTorrent portable ?

        Will it not create:
        “C:Documents and SettingsApplication DatauTorrent” ?

        • Ninja

          it’d be a dream to have utorrent on my usb stick saving the configurations and currently downloading files in it.. I personally don’t know how to do it without it creating files on my hdd.

        • DocGerbil100

          From the µTorrent manual:

          “Encapsulated ‘Installation’
          While %AppData%uTorrent is the default directory for storing the settings, µTorrent actually searches the directory that the executable file is located in first before looking in %AppData%uTorrent. As such, so long as the directory that the executable is located in contains a settings.dat file (even a blank one), µTorrent will look no further, and use only the files located in its current directory instead. With this behavior, it is possible to create encapsulated µTorrent “installations” for use on portable flash drives, or just to have an isolated copy for any other reason.

          If you don’t already have an encapsulated install, you can manually move the contents of %AppData%uTorrent into the same directory as the µTorrent executable to create such an install.”

          RTFM, chaps! :D

        • Anonymous

          And RAM drives FTW ;)

        • Elena

          U can try to regularly install it, then take all your directories (cut and paste but backup first just in case) paste them to encrypted usb stick and try to run app from there, often the shortcuts won’t work but no problem having to open app from usb stick by clicking on it. I used to run emule this way.

      • Crocadilly

        Thanks for your tips, mate.

        It’s still easier to simply encrypt your disk. In the US, encryption is not illegal, and due to constitutional rights you do not have to give the police the password (you have the right to not incriminate yourself).

        You can have a cracked copy of anything including the worst child pornography on Earth – no one (currently) can crack today’s AES encryption standards.

        Computer forensics specialists CANNOT ACCESS ENCRYPTED DATA.

        As a plus, if your equipment is seized, if cops can’t crack encryption (or get any useful information out of it), your chance of getting your equipment returned are greater.

        As you mentioned, when the Feds come knocking on your door, simply pull the power plug.

        • Tie

          true all but u need to shut down as ram sometimes info is stored, in order to clear your ram u need to shut down not simply pull the plug, although i dunno if ram is any use to them.

      • Katie

        I totally forgot about running your file shareing app off of a usb stick but I have did it in the past. I did recently though put my browser and all bookmarks on an encrypted folder on a flash drive so no one sees what I look at on the pc and all files dowloaded go to an encrypted drive. Basicaly computer only has programs on it and other stuff thats not incriminating. Having a file sharing progam on ur pc is not illigal but I will add it to a separate usb stick in future because some times usb sticks says “error can’t write to drive” due to lots of reads/writes per second, so wil run browsers off one usb and file sharing programs off of another usb stick.

      • Borderliner

        While generally an interesting approach there is one problem – generally you won’t be harassed for downloading, but for uploading. The backup is allowed for personal use, not for distributing it to others. All the suers have to do is show that they could obtain a copy from you, that they own the distribution rights and haven’t given/sold/rented those rights to you, and it’s basically over. All you can then do is to claim that they are lying, but if they are even a little bit dedicated they won’t have a problem with backing everything up. While you, conveniently, “trashed the physical copies and bills into trashbin” ;)

      • Borderliner

        While generally an interesting approach there is one problem – generally you won’t be harassed for downloading, but for uploading. The backup is allowed for personal use, not for distributing it to others. All the suers have to do is show that they could obtain a copy from you, that they own the distribution rights and haven’t given/sold/rented those rights to you, and it’s basically over. All you can then do is to claim that they are lying, but if they are even a little bit dedicated they won’t have a problem with backing everything up. While you, conveniently, “trashed the physical copies and bills into trashbin” ;)

  • http://www.facebook.com/jordan.kratz Jordan Kratz

    good.the MAFIAA can suck.they get no money out of me ever.

  • Nah

    Drive Encryption.. Done.

    • Maremie

      me too, heh heh.stupid maffia.

    • Whatever

      If this is usefull depends on where you are.

      UK: You can be forced to give your password and they destroy your hardware.
      DK: It would work i guess but use a very strong password because they plan to brute force (see article).
      NL: You are actually allowed to have those files so no reason to encrypt the mp3′s however encryption would be needed because of programs capable of uploading which would be evidence.
      US: You are a terrorist and they will keep your hardware.

      • Whatever

        Forgot:

        Spain: Don’t bother.

      • Whatever

        Forgot:

        Spain: Don’t bother.

      • Ninja

        UK: set a password to work as a kill switch (ie: physically damage the hardware with some tension surge or anything like that that can prevent them from reading it) and say “DAMNED [name of hdd manufacturer here], THE WARRANTY JUST EXPIRED YESTERDAY!!!”
        DK: think of a dumb long easy to remember phrase and use it as password adding numbers in the middle and let them spend their entire existence trying to break your encryption with brute force. You can write down the phrase as a reminder, you’ll know where you put the numbers and symbols ;)
        NL: use Linux and portable apps along with encryption
        US: add a bomb to your hardware and set it to explode in case any1 opens your machine without the proper password/procedure so you’ll be called a terrorist with justice (hardware will be destroyed in the process so encryption is only needed in case they turn on the pc before trying to strip the hardware.. actually you may be destroyed in the process in which case you’d be the file sharing martyr and get 100 virgins and a Terabit connection when you arrive in heaven)
        Spain: buy a beer and propose a toast to anti-piracy clowns.

      • Anonymous

        You can never be forced to give up your password. What are they going to do, torture you over sharing music? You can not be asked to assist in your own conviction. You can not brute force a good encryption, it would take them years. And the password they find might only reveal part of the encrypted files.

        • Crocadilly

          You’re right, mate, you cannot be forced to give up your password in the US. In Britain, however, possession of an encrypted disc requires that you give the police the password whenever they ask. If you don’t, you get an automatic jail stay of two years. This law is much loved by child pornographers – they prefer the two years of jail time over encrypted discs over the 25 to life prison term for their real crimes.

        • Lanye

          if u use good encryption, no one knows its encrypted. Take this for instance, u get files corrupt sometimes. Heck i have downloaded corrupt files and rar files have broken that won’t extract and say “file corrupted”. There’s the answer or use good encryption that doen’t show as encrypton.

      • Rock

        ok fella if u use good encruption, the file, drive, etc won’t show as encrypted so they won’t know

    • Whatever

      If this is usefull depends on where you are.

      UK: You can be forced to give your password and they destroy your hardware.
      DK: It would work i guess but use a very strong password because they plan to brute force (see article).
      NL: You are actually allowed to have those files so no reason to encrypt the mp3′s however encryption would be needed because of programs capable of uploading which would be evidence.
      US: You are a terrorist and they will keep your hardware.

    • Gargamel

      Court Order to unlock it or go to jail. Your done

      • CHARLIESHEEN

        Truecrypt + Hidden partitions = WINNING

        • Anonymous

          I fully agree. For the UK and other countries that say “give us your password or go to prison” then TrueCrypt provides the best solution.

          You can create an encrypted drive that can be opened either end. Your usual end contains your naughty stuff and the passphrase is between you and God. The other end just load it with thousands of harmless files and set an insulting passphrase.

          Just dont forget either passphrase and if the Police come calling your harmless drive awaits.

          I should also add forcing someone to incriminate themselves seems totally unethical and I doubt it would pass European human rights laws.

        • Anonymous

          I fully agree. For the UK and other countries that say “give us your password or go to prison” then TrueCrypt provides the best solution.

          You can create an encrypted drive that can be opened either end. Your usual end contains your naughty stuff and the passphrase is between you and God. The other end just load it with thousands of harmless files and set an insulting passphrase.

          Just dont forget either passphrase and if the Police come calling your harmless drive awaits.

          I should also add forcing someone to incriminate themselves seems totally unethical and I doubt it would pass European human rights laws.

      • Crocadilly

        Again, except in the US where you are protected from incriminating yourself by the fifth amendment.

  • SomeGuy

    “A recent moral standards study in Denmark found that a high percentage of the public found illicit downloading socially acceptable.”

    Well then it IS socially acceptable, isn’t it? Time to update those laws I guess, after all they work for the people, don’t they?

    • Blazeflack

      That’s a nice thought but we all know they work for whoever has the most to offer

  • Whatever

    Offtopic but should be in an article on TF
    If they were only joking it would be funny (although it is almost the 1st of April)

    So don’t drive through Belgium with your radio on in your car, tourists could be next…see (Dutch):

    http://tweakers.net/nieuws/73433/sabam-wil-vrachtwagenchauffeurs-muziekheffing-opleggen.html

  • Anonymous

    Oh wow, looks like the Kangaroo Courts finally got it right. Its about time.

    http://www.privacy-online.it.tc

    • Derp

      Stop spamming your shitty link in the comments, you fuck.

    • Ninja

      I hit like in your post just for the Kangaroo fail.

    • Ninja

      I hit like in your post just for the Kangaroo fail.

  • http://disqus.com/ Rob8urcakes

    I still wont be moving to Denmark too soon.

    Having my house and home violated for some tenuous allegation or suspicion that I’ve shared a file of Bugs Bunny with someone in Sarawak, Borneo doesn’t sound like a decent Supreme Court decision to me :(

    Maybe best to ask for political asylum in Myannmar instead lol – at least they put you under house arrest (which would be OK if their broadband is up to spec. and you can order online for some beers and rice.)

  • http://disqus.com/ Rob8urcakes

    I still wont be moving to Denmark too soon.

    Having my house and home violated for some tenuous allegation or suspicion that I’ve shared a file of Bugs Bunny with someone in Sarawak, Borneo doesn’t sound like a decent Supreme Court decision to me :(

    Maybe best to ask for political asylum in Myannmar instead lol – at least they put you under house arrest (which would be OK if their broadband is up to spec. and you can order online for some beers and rice.)

  • Bitcrusher

    TBP is OFF any news about this shit???

  • Momo

    If merely seeing the index is not enough to prove he has the files on his computer, you don’t need to seize the whole damn computer to prove he has the files… Can’t you just download the files?

  • Glib

    Store all your files on a Truecrypted volume; solved. If they ask, just tell them you have no idea whats in there, computer crashed a year ago and that harddrive stopped working.

    Win for pirates, anyways … gaining physical access to a PC could be a hilarious endeavour … especially if you just give them a different PC.

  • http://pulse.yahoo.com/_UPWWDPVCE2DVVW7BOKEVQLB2PM Zachary

    Fat Magnet would fix it all.

    • Crocadilly

      That doesn’t work. Any computer IT guy can still get the data off of it.

  • Anonymous

    He sure provided file sharers in Denmark some large gains.

    In the end he only paid $0.146 per track. He could put that sum on his credit card or even pay for it directly.

    More concerning is who pays the legal costs since he was found guilty? Six years of legal costs is enough to bankrupt a normal person.

    Trashing their evidence is the biggest gain here. Since copyright infringement is usually a civil matter then that means no Police involvement. Then since a private organization cant conduct search and seizure raids then so would their computer systems be out of reach.

    So they would need to find other evidence.

  • ROBERT LARCH

    NZ courts will put you in jail for a year if you don’t reveal your password! Yet most NZrs are brainwashed slaves who think it’s o.k to loose the rights we’ve had for hundreds of years because it may catch afew criminals!
    WE TAKE THE CAKE WHEN IT COMES TO SHEEPLE!!!!!!

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