Time for breakfast at the 11th Circuit

In Alice in Wonderland, the White Queen chides Alice about her professed inability to believe unbelievable things, suggesting that it is just a matter of practice.  Because of her own discipline in practicing this art, the Queen is able to assure Alice that “sometimes I’ve believed as many as six impossible things before breakfast.”  Lawyers, of course, have to be skilled at making arguments even for implausible positions, but the reply brief filed in the GSU copyright infringement appeal last Monday would challenge even the White Queen’s gullibility.

In this brief the plaintiff publishers are attempting to respond to the arguments made in the last round of filings by Defendant Georgia State University and the “friends of the court” who argued on its behalf.  This is essentially their last shot at convincing the judges that they should reverse the decision of the trial court that largely ruled in favor of fair use.  Unfortunately for the publishers, it is not very convincing.

The core argument of this brief is one the publishers have been making, unsuccessfully, throughout the case — that the so-called “course pack” cases from two decades ago are absolutely dispositive in this case and render incorrect all of the fair use analysis done by Judge Evans in her comprehensive ruling at trial.  Some of this argument is based on misdirection, wherein the publishers argue that the judge was treating digital formats differently from print.  She did no such thing, of course; she distinguished the situation before her from the course pack cases because the facts were different.

The publisher  do address the distinction more directly, however, when they argue that GSU’s non-profit status is (for obscure reasons) not relevant to the fair use analysis.  Of course, the course pack cases explicitly rejected  fair use precisely because the defendants were commercial entities who were selling the course packs to students.  In the GSU case, on the other hand, the university is non-profit and the readings are made available at no charge.  It is absurd to say that this difference doesn’t matter.  In fact, at least one publisher I have dealt with granted gratis permission for an excerpt on e-reserves only after I assured them that no charge was made to students.  So even publishers understood that this was a crucial fact in determining the appropriateness of unlicensed uses in academia, before their lawyers told them they had better deny it.

From this basic assertion that the matter was already settled by different courts back in the 90’s, the publishers proceed to explain that the trial court was wrong on every one of the four fair use factors.  Much of the argument is very strange, twisting back on itself in an effort to obscure the clear and cogent path that Judge Evans used to arrive at her original ruling.  Its overall effect, however, is to emphasize what a sensible, careful analysis that trial court opinion offers.

It is, perhaps, worth looking at some of the general statements made in the opening summary of the brief’s argument to find some clues about how this analysis went so badly wrong.

First, of course, is this assertion that fair use is not supposed to favor non-profit educational uses.  We have heard this complaint many times over the long course of this cases, but here is last week’s version of it:

To sanction GSU’s practices under the rubric of fair use on the grounds urged by Appellees — GSU’s non-profit status and the importance of Appellants’ work as teaching tools — would undermine fundamental tenets of copyright law by effectively dedicating the works of scholarly publishers to the public domain. (emphasis added)

This is truly a staggering bit of argumentation.  First, a non-profit purpose is specifically mentioned as favoring fair use in the text of section 107 itself, so it is hard to see how it could NOT be an appropriate part of a fair use argument.  And a quick look at all of the exemplary purposes for fair use that are also mentioned in section 107 should convince any unbiased reader that social utility — the importance of education, for example — is the fundamental purpose for which fair use was created.  Indeed, courts have told us this over and over.  So the rubric suggested as inadequate is, in fact, a nice, concise statement of why the original ruling in this case was correct.  And then, the grotesque hyperbole that follows illustrates for us that the lawyers writing this brief know how far out on a limb they have climbed.  To say that a fair use finding effectively dedicates a work to the public domain is simply absurd.  I do not think the publishers could cite a single instance where fair use has had that effect, where the original became unmarketable because someone made a fair use of a portion of that work. When movie companies challenged the video recorder, for example, by saying that it would destroy the movie industry, they were making a parallel, and equally silly, claim; home video recorders, of course, did not harm the market for movies at all, even though entire films could be recorded under the Supreme Courts ruling on fair use.

And of course, we should not ignore that phrase “the works of scholarly publishers.”  Throughout this brief the publishers are not sure whether they are arguing for their own profits or on behalf of authors.  Sometime they throw the authors in to their argument, but mostly they want the court to believe that they, the publishers, actually created the works in question ex nihilo.  But none of these works were created by publishers, and their argument collapses when we realize that the fees they are seeking have virtually no role at all in incentivizing scholarly creation, which is what copyright is for. More about this in a minute.

But before we leave fair use proper, we should also examine this gem: “Fair use … imposes on the proponent of fair use the burden of demonstrating the limited nature of the unauthorized use …”  There is no such requirement in the text of the law, of course, and the Sony case about VCRs illustrates, at the highest level of U.S. legal precedent, that simply because a practice is widespread does not prevent it from being a fair use.

To return to the issue of incentives, let’s look at one more passage from the preliminary statement in this brief:

This blatant end-run of copyright law not only threatens to undermine the established legal norms that have long governed course-pack copying, but it comes at a time when Appellants and other academic publishers are investing heavily in publishing and delivering content in digital form.  These publishers cannot hope to recoup their investment if institutions like GSU are permitted to make exact digital copies of their works … without compensation to the works’ authors and publishers.

The first part of this quote is, as we have already seen, irrelevant; a fair use ruling in the GSU case would not alter the precedent created by the course pack cases, when those cases are properly understood.  But the second part is also interesting, and it echos an earlier statement, quoted from one of those course pack cases, about how publishers have “risked their capital to achieve dissemination.”  By way of reply, we should note first that dissemination is quite different now than it was nearly twenty years ago when that case was decided.  Many  Gold OA journals and other forms of digital writing can be distributed with much less expense than these traditional publishing houses claim is required.  So we are entitled to ask if it is being done efficiently by them; whether that capital the Court is asked to protect is being invested wisely.  And in any case, copyright law is not designed to support any particular business model, but to give creators more reason to create.

Given these statements, the Appeals Court would be justified, I think, in asking the plaintiffs to open the books and show how much investment is being made, how it is being spent, and how dependent that investment really is on permission fees.  The trial judge did not think those fees mattered all that much to publisher revenue.  If the plaintiffs continue to assert that their business will be ruined by fair use, they should be obligated to prove it, and also to show that the threat is systemic and not just the result of poor management.

Finally, it is worth noting that authors have now appeared in the argument.  Whereas earlier the issue was “the works of scholarly publishers,” now, in classical fashion, the authors have been belatedly recalled and tossed in to the mix.  Publishers have made pathos-filled appeals on behalf of starving authors in order to justify their own businesses since copyright began.  But academic authors are different, so this reflexive reference to authors should not go unchallenged.  In response to this argument, there are two questions the Court of Appeals should examine closely.  First, how much money actually makes its way into the hands of authors, rather than the publishers, from permission fees paid to the Copyright Clearance Center?  Second, what role, if any, do these fees play in creating the incentive that academic authors have to create scholarly monographs, recognizing that all of the books in question in this lawsuit are such monographs, rather than textbooks.  These questions are perfectly within the competence of the Court of Appeals, both because they are relevant to the second fair use factor and because the publishers’ reply brief has put them at issue.

Th Eleventh Circuit Court of Appeals is asked to swallow lots of unbelievable things in this reply brief.  Now is the time for them to sit down at the metaphorical breakfast table (harkening back to the White Queen) and demand substantive information from the plaintiffs before they finish this meal.

Finding out who your friends are

The period for filing amicus curiae (“friend of the court”) briefs in the appellate phase of the Georgia State University copyright and fair use case has closed, so it is a good time to take stock of who has weighed in on each side, and what their arguments look like.  Even though this will be a long post, it is still only a very sketchy summary of all of the arguments being made.

I have already written about some of the arguments made in support of the publishers who brought the original lawsuit and are pursuing this appeal after having lost in the district court.  Notably, we have discussed the strange argument made, essentially on behalf of the Copyright Clearance Center, which is helping to organize and finance this quixotic lawsuit, by two former Registrars of Copyright that fair use was never intended to favor non-profit educational uses.  We also noted the decision by the U.S. Justice Department NOT to get involved on behalf of the publishers.

When the briefs supporting the publishers are examined, the striking fact, to me, is that no one supports their position who does not stand to gain direct financial benefit if it is upheld.  No one is arguing that giving more money to the intermediaries who are such a drain on college and university budgets is a good idea in itself, or would be a benefit for scholarship.  The supporting groups like the American Association of University Presses (whose participation on this side is especially tragic), the Authors Guild and the “Copyright Alliance” are all looking to line their own pockets by supporting a reversal of the trial court.  Not surprising really, nor an evil intent in the abstract, but something that is well beyond the purpose and intent of the copyright law.  This is prospecting for gold on the part of the publishers, and they are trying to do it on public property.

I was interested to see that one of the parties on the amicus brief filed by the Author’s Guild was a group called the “Text and Academic Authors Association,” of which I had never heard.  Was this really an group of academic authors opposed to fair use on campus?  Well, only sort of.  The website of this oddly named group (all authors write text; I think they mean “textbook”) shows that the majority of their leadership council is made up of non-academics or retired professors, who presumably no longer need to rely on fair use for good teaching.  And the strange perspective of the group can best be judged by this article arguing that textbook prices are justified and are not too high to interfere with quality education, a perspective thoroughly debunked by nearly every study as well as by day-to-day experiences on campus.  Indeed, the only sensible way to read the article is to recognize that every “myth” it undertakes to refute represents a demonstrable fact. More on this shortly.

So now lets look at the friends of GSU and some of the arguments they are making.  In addition to the brief filed by GSU itself, there are at least five amici groups –  The Library Copyright Alliance filed a brief on behalf of the ALA, the ACRL, and the ARL, and was joined in that brief by the Electronic Frontier Foundation.  There was a joint brief from the American Council on Education, the Association of American Universities and three other higher education groups, one by the American Association of University Professors, and another from an independent group of academic authors and legal scholars.  Finally, ASERL, the Association of Southeastern Reasearch Libraries, which is the nation’s largest regional research library consortium, filed its own brief (which — full disclosure — I had a very small role in assisting with).

Note how clearly these friends of the court break down between those arguing for their own private gain versus those trying to uphold a public good.  Given all the rhetoric about copyright as primarily intended to benefit the public interest in hundreds of precedents, the 11th Circuit Court of Appeals cannot help, one would think, but notice this disparity.

Let’s look at some of the arguments from a few of these documents.

In the Appellees’ own brief (that’s Georgia State) we find the fundamental points that are elaborated and supported by all of the amici.  Primarily, the Appellees argue that all four of the fair use factors weigh more or less heavily in favor of fair use for short excerpts provided as course readings and accessible only by students in a particular class.  This argument is supported in the brief from ACE and the other university groups.  The GSU discussion is especially interesting on the fourth fair use factor, impact on the market.  First, it makes the point that the publishers argument about how the “easy” licensing that is supposedly available should make this factor count against fair use is circular.  As many courts have recognized, this argument would undermine virtually all fair use, which Congress could not have intended (although the publishers do), and insofar as Judge Evans accepted it in the trial court, she erred.  Then the Appellees go on to point out that that licensing market actually is neither easy nor comprehensive.  Fair use continues to be needed in this area even if one applies a market failure standard for fair use, because the “market” for licensing, and even the CCC’s blanket campus license, fail higher education far too often.  As we will see, other amici also support this point.

Two other points made in the Appellees’ brief are worth noting.  First, they argue, as I have in the past, that Judge Evans’ work-by-work analysis of fair use was the appropriate approach to the case, dictated both by the nature of fair use itself and by higher court precedents.  Second, they show that the publishers’ reliance on the principle of “media neutrality” is just a silly distraction (my words, not those in the brief).  Judge Evans simply did not apply fair use any differently in the digital realm than it would be applied to print works; she distinguished some cases that involved print, but she did so for much better reasons, reasons the publishers would like the 11th Circuit to overlook.

The Library Copyright Alliance also demonstrates, in their brief, that all four fair use factors actually favor Georgia State’s fair use argument, supporting from a slightly different perspective the argument made by GSU and by the multiple college and university associations.  The LCA goes on to argue that this fair use argument is widely-recognized in the educational community, and that GSU’s policy on copyright and fair use is consistent with widespread practices through education.  One result of that fact is a clear demonstration that upholding the trial court’s finding of fair use would not have any negative effect on scholarship.  Colleges and universities have relied on fair use in this way, even in the pre-digital world, for a long time.  Yet scholars continue to produce scholarly works at an ever greater rate, undaunted by fair uses made of those works (and they continue, unfortunately, to transfer copyright in those works to these irresponsible publishers).  Fair use supports scholarship, it does not undermine it.  And the publishers have not discovered any “new” threat to scholarly production that must be averted; they simply decided that they needed and deserved more money from academic budgets.

The LCA also develops the point about the failure of the licensing market for electronic reserves and other course readings.  A reversal in this appeal would not cause that market to grow.  It would not, that is, actually result in more money in the system to support scholarship, even if we assume that money in publishers’ coffers did support scholarship.  In fact, if the trial court’s findings of fair use were reversed, education would be harmed because fewer resources would be available for teaching, since library and university budgets cannot support the astronomical fees that publishers want to charge for licensing.  The overall effect on the production of scholarly work would be negative, which undermines the fundamental purpose of copyright law in the U.S.

The ASERL brief develops this point a bit further, partly by pointing out that the licensing market touted so highly by publishers is already harming the ability of colleges and universities to teach students.  On every campus it is easy to find stories about how the inability to get permission, either because of the prohibitive cost of licensing or because no license for the particular work was available, forced a teacher to changed his or her plans and resort to “plan B” pedagogy.  Most librarians have had to assist such faculty to find other, less optimal, resources in those situations; it is something we do well, but wish we didn’t need to do.

Related to this point is the discussion in the ASERL brief about the cost of higher education, and the role of publishers and licensing in those costs.  One statistic the brief cites shows that textbook prices have actually risen much faster in the past 30 years than tuition and fees have, which is a telling refutation of the argument made by the TAA in the article mentioned above.  And the structure of digital licensing from the CCC actually contributes to accelerating costs, because the CCC will refund the licensing fees for printed course packs that are not sold, but requires that e-reserve materials be licensed for each student in the class regardless of how many times an excerpt is actually accessed or even whether or not it is used by anyone.  Where, by the way, is their concern for “media neutrality” in that pricing policy?

Finally, I want to end this long post by quoting a passage from ASERL’s amicus brief that deserves to be remembered by everyone thinking about fair use.  In discussing the mistaken assertion by the publishers that all fair uses must be transformative and that, in any case, fair use should be extremely limited in application, ASERL reminds the Court of Appeals that, on the contrary, fair use is an integral and indispensable part of the very structure of U.S. copyright law, without which that law would arguably be unconstitutional:

Fair use is not a rarely-used “exception” to a copyright holder’s rights that should only be applied “on occasion.” [citing arguments from Appellants brief] Rather, fair use is viewed by the courts as “necessary to fulfill copyright’s very purpose.” [citing the Supreme Court in the Campbell case]… Fair use is necessary, in part, because “[t]he primary objective of copyright is not to reward the labors of authors, but [t]o promote the ‘Progress of Science'”… [citing the Constitution and the Supreme Court in the Feist case].  And for that reason, following direction from Article III of the Constitution, the District Court was correct to apply fair use “in a way that promotes the dissemination the knowledge, and not simply its creation.” [quoting Judge Evans and again citing the Supreme Court].

All of the arguments that support BOTH the creation and dissemination of knowledge line up on the side of affirming the trial court in this case.  It ought to be an easy decision for the 11th Circuit Court of Appeals.  And it is well past time for scholars and universities to rebel against so-called “scholarly” publishers who try to use the courts to undermine the best interests of research, teaching and learning in a futile attempt to improve their bottom line.