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Appeals Court Denies Verizon's Stay Request in Music Case


From: Dave Farber <dave () farber net>
Date: Thu, 05 Jun 2003 01:25:31 -0400


Date: Thu, 05 Jun 2003 10:09:11 +0900
From: Adam Peake <ajp () glocom ac jp>


<http://www.quicken.com/investments/news_center/story/?story=NewsStory/dowJones/20030604/ON200306041901001440.var&column=P0DFP>


Appeals Court Denies Verizon's Stay Request in Music Case
Wednesday, June 4, 2003 07:01 PM ET

Dow Jones Newswires

WASHINGTON -- A federal appeals court ordered Verizon Communications Inc. (VZ, news) to turn over the names of two high-speed Internet customers suspected of downloading copyrighted music files.

The U.S. Court of Appeals for the District of Columbia rejected Verizon's request for a stay of a lower court's order enforcing a subpoena obtained by the Recording Industry Association of America. Verizon had requested a stay pending its appeal of U.S. District Court Judge John Bates' decision.

Verizon "has not shown so great a likelihood of success on the merits as to outweigh the clearly greater harm that would accrue to the appellee if the stay were granted," the Appeals Court said.

The case is a test of the Digital Millennium Copyright Act, meant to protect intellectual property in the digital age.

"The Court of Appeals decision confirms our long-held position that music pirates must be held accountable for their actions, and not be allowed to hide behind the company that provides their Internet service," said RIAA president Cary Sherman. "Given that an epidemic of illegal downloading is threatening the livelihoods of artists, songwriters and tens of thousands of other recording industry workers who bring music to the public, we look forward to Verizon's speedy compliance with this ruling."

Sarah Deutsch, associate general counsel for Verizon, said the company will comply with the subpoena within the next 24 hours. The Appeals Court has agreed to hear Verizon's appeal on an expedited basis, with oral arguments scheduled for Sept. 16.

"The problem in this case is that the real harm is to consumers" who lose their privacy, said Ms. Deutsch. "The court is not in the position to weigh the harm to consumers."

Verizon is supporting a bill introduced by Sen. Sam Brownback (R., Kan.), that would raise the bar for subpoenas served on a company for activities not occurring on its network. The music files were allegedly shared using "peer-to- peer" software that plucks the copyrighted materials from users' personal computers.

-By Mark Wigfield; Dow Jones Newswires; 202-828-3397; mark.wigfield@ dowjones.com

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