ARTICLE
27 January 2012

Big News For Internet Service Providers

DS
DMH Stallard

Contributor

DMH Stallard is an award winning South East law firm with offices in London, Brighton, Gatwick, Guilford, Hassocks and Horsham. DMH Stallard has grown rapidly since it was established in 1970, and continues to maintain its focus on building long term relationships with clients to help deliver their goals and objectives.

On 28 July 2011 in the case of Twentieth Century Fox Film Corporation and Anor v British Telecom [2011] EWHC 1981 (CH), and for the first time in UK history, the High Court granted an injunction against an Internet Service Provider (ISP).
United Kingdom Media, Telecoms, IT, Entertainment

On 28 July 2011 in the case of Twentieth Century Fox Film Corporation and Anor v British Telecom [2011] EWHC 1981 (CH), and for the first time in UK history, the High Court granted an injunction against an Internet Service Provider (ISP).

BT was ordered by the High Court to block access to an unlawful file sharing site called www.newzbin.com. The action could not be brought against the offenders as they were, now, based outside of the UK Court's jurisdiction.

Newzbin Limited (a UK company) had previously been found liable for copyright infringement in 2010 (Twentieth Century Fox Film Corporation & Anor v Newzbin Ltd). Following this determination the company had gone into liquidation. In the 2011 action the Court heard that a successor website, providing similar services, had been set up and was operating from the same address.

Newzbin used "Usenet", a system originally designed to allow users to read and post short messages. Usenet enabled Newzbin's users to post binary content onto public bulletin boards. This binary content often included CD's and DVD films. Often this content was too large to post in one go so users would post hundreds of Usenet messages, Newzbin then categorised these for its users and placed them under headings such as "Movies". Users could search by these headings in order to download complete films and CD's.

The Claimants knew that BT used specialist technology called "Cleanfeed" in order to block pornographic content so sought an order which asked that BT apply this software to prevent its customers from accessing www.newzbin.com.

When making its determination the Court relied on section 97A of the Copyright Design and Patents Act (CDPA) 1988, this gives the High Court power to grant an injunction against a party where there has been infringement of intellectual property rights.

Section 97A provides a two stage test.

"The High Court...shall have power to grant an injunction against a service provider, where that service provider has actual knowledge of another person using their service to infringe copyright".

The Court determined that both these tests were met - BT had "actual knowledge" that its customers were infringing copyright and that they were able to do this by using BT's services.

This injunction against BT undoubtedly sets a precedent. Mr Justice Arnold noted this in his judgment stating he did not believe that this determination would necessarily lead to a flood of similar applications as in this case there had been a substantial amount of evidence against Newzbin, as well as the 2010 hearing.

On 26 October 2011 Mr Justice Arnold ordered BT to block its estimated six million customers' access to www.newzbin.com within fourteen days.  Newzbin claim that the block was ineffective and that over 90% of its active UK users have since downloaded its workaround software.

On 13 December 2011, Sky blocked its customers' access to Newzbin in accordance with a court order and it would seem that other ISPs may be forced to take such action if served with a similar court Order.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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