Supreme Court Must Act on Dangerous Copyright Infringement Overreach

By Grant Spellmeyer, ACA Connects President & CEO

This week, many in the broadband industry have their eyes fixed on the Supreme Court as we await a decision on a case challenging the legality and future of the Universal Service Fund. Yet, there is another pending decision before the Court that could cost broadband operators billions of dollars, fundamentally alter the relationship between subscribers and their service providers, and cause some Americans to lose access to the internet. That decision is whether the Court will hear arguments on whether broadband providers should be held liable when their subscribers commit online music piracy. 

The case before the Court stems from several lawsuits brought by record labels over the past few years asking that internet service providers be held liable when their subscribers committed copyright infringement by illegally downloading music. The Supreme Court has been asked to decide the issue of broadband providers’ responsibility for their users’ illegal actions after multiple trial decisions and appeals have resulted in conflicting interpretations of the law.  

Broadband providers do not want to police their subscribers’ internet activity, or be compelled to cut service to homes or businesses at even the hint of potential copyright infringement to avoid threats of ruinous liability. Million- and billion-dollar settlements and trial awards in these cases would also redirect necessary funds away from broadband deployment to unserved and underserved locations, causing further delay in closing the digital divide. New fees and price hikes on innocent subscribers would also likely be needed to cover exorbitant legal costs. 

In an encouraging sign, last month the Department of Justice weighed in on the case at the Supreme Court’s request. The DOJ sided with internet providers, arguing that they should not be held liable for not terminating subscribers that had been accused of copyright infringement. DOJ explained that the mere offering of broadband service does not encourage or contribute to infringing activity, nor does the profit motive to sell broadband subscriptions mean that providers benefit financially from such infringement. Additionally, the DOJ argued that a previous court decision in the record labels’ favor would pressure broadband providers to discontinue service at the first sign of possible misconduct, which threatens disrupting vital connectivity for innocent users.  

ACA Connects and our hundreds of Members – the independent broadband providers that serve Main Street America – are working hard every day to ensure that our tens of millions of subscribers are able to enjoy the benefits of an open, affordable, and reliable internet. We appreciate the Department of Justice’s arguments supporting our efforts to serve customers without worrisome surveillance, online censorship, unaffordable prices, or threats of disconnection. We now ask the Supreme Court to act and bring much-needed clarity and commonsense to this important issue. 

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