Naked Law

Are copyright laws out of date? The government thinks so…..

Due to the continued evolution of the internet, it seems that many of our existing laws are being adapted to accommodate the unique challenges that the online world presents. Often, this process involves a relaxing of UK laws to increase profitability of online businesses - but when does ‘relaxed’ become 'too relaxed'?

This question is dividing opinion following David Cameron’s announcement earlier this month that IP laws are to be reviewed to make them fit for the internet age.  He suggested that the law could be relaxed to be closer to the laws in the US, and to allow greater use of copyright material without the permission of the owner. He noted that the founders of Google ‘have said that they could never have started their company in Britain.’

Some internet campaigners have welcomed the announcement, saying that it will boost small businesses, whilst the film and music industries are likely to continue to resist reform.

UK law firm Taylor Wessing, meanwhile, has said that it does not believe that the Government can introduce a US-style fair use exemption without renegotiating the text of the European Copyright Directive 2001/29/EC, which sought to harmonise copyright law across Europe.

It remains to be seen whether the Government will achieve the right balance between accessibility and practicality. Professor Ian Hargreaves, the current chair of Digital Economy at the Cardiff School of Journalism, Media and Cultural Studies and Cardiff Business School, will be leading the review.

ICO issues first penalties for data protection breaches

In recent times, mass loss of personal data has become major news, particularly where it involves well-known organisations or sensitive information.  We reported back in January that guidance from the Information Commissioner’s Office on monetary penalties for serious data protection breaches had been approved by the government. It is only now, however, that the first monetary penalties have been served by the on those found guilty.

The first of the two penalties issued was for £100,000 and was served on Hertfordshire County Council for two serious incidents where employees faxed personal details involving child sexual abuse and care proceedings. One of the main reasons for such a high penalty in this case was the fact that the local authority had allowed the breach to happen twice in two weeks and had not learnt from the original mistake.  Rather embarrassingly, both faxes had been sent from the Council’s legal department!

The second penalty of £60,000 was served on employment services company A4e for the loss of an unencrypted laptop containing personal information about 24,000 people, including their names, income levels and dates of birth.

These penalties are a stark warning to organisations that the ICO is willing to use the full weight of its enforcement powers where necessary, including issuing monetary penalties of up to £500,000.

Will the Digital Economy Act ever be fully implemented?

You may remember back in July that we mentioned the ongoing Digital Economy Act debate.  Well, suffice to say that the discussion on the Act is now turning from a debate into a saga , as TalkTalk and BT have been granted judicial review of the Digital Economy Act by the High Court.

By way of recap, one of the issues that BT and TalkTalk had with the Act was not only its content, but the way in which it had been debated. The companies argued, along with a number of MPs, that the legislation had been ‘rushed through parliament’ before the election, and was debated too briefly for its complex nature, with apparently only 6% of MPs attending the debate.’

Another problem the internet service providers have with the Act is that parts of it require them to take action against suspected illegal file sharers where the ISP has 400,000 or more subscribers. Both BT and TalkTalk were concerned that this would drive their customers to smaller ISPs. Part of the review will consider whether these parts of the Act are in breach of the e-commerce directive, which rules that ISPs cannot be held liable for traffic on their networks.

Now the courts will look at the Act in detail and consider whether it is legal and justifiable.

Andrew Heaney, director of strategy and regulation at TalkTalk, has called on the government to put the legislation on hold pending the enquiry. On the other side are the music industry, who believe the Act is necessary to reduce online copyright infringement by way of file sharing. But is either side going to be satisfied with the judge’s ruling?

We will keep you updated on this…..