Trade Associations, Policy Groups Oppose ITC Regulation of Internet Information

In a joint filing by the Electronic Frontier Foundation, Center for Democracy and Technology, Public Knowledge, R Street Institute and eight other organizations, IPEC was urged to "seek steps to limit the ITC's attempt to regulate Internet content" and to attempt to forestall the incursion on competitive markets enabled by excessive ITC jurisdiction. The submission, authored by Public Knowledge Patent Reform Project Director Charles Duan, bashed ITC's ruling last year, which claimed it has the authority to block the transmission of digital information. The ruling was imposed against orthodontic device manufacturer ClearCorrect after the commission found it to be using patent-infringing data sent from its office in Pakistan to make molds for corrective devices. ClearCorrect appealed the ruling and the case is awaiting a decision from the U.S. Court of Appeals for the Federal Circuit (see 1508110051">1508110051).

In their submission, the groups said the ITC's decision erects new trade barriers for data flows rather than removing them. "The unexpectedly expansive nature of the ITC's ruling is highlighted by the possibility that the ruling could potentially open the door to forcing Internet service providers to block their customers from accessing certain foreign websites," the filing said. "IPEC should stand against such a sweeping interpretation of this trade agency's powers. Wholesale blocking of websites is far, far afield from the commission's statutory mandate."

The groups said IPEC should act to prevent the effects of the ITC's decision from "harming American businesses, innovation, and freedom." They suggested IPEC coordinate with the ITC and the U.S. Trade Representative (USTR) to limit application of the commission's decision by not blocking digital data. "Given the substantial economic and policy costs to blocking the free flow of information, IPEC should" work with the USTR and ITC to establish agency rules or policies to preserve the openness of the Internet, the submission said. The groups also suggested IPEC should refuse to impose liability on domestic consumer-level Internet service providers and support balanced, carefully considered legislation that "tailors the [ITC's] role in the digital age."

The Library Copyright Alliance, which includes the American Library Association, said they're "at the fulcrum of a delicate legal balance between rights holder control and public access and meaningful use." The group said IPEC's plan should attempt to strike the right balance between protection and access, base policies on data rather than beliefs, focus on eliminating counterfeit goods that threaten health and safety, and promote the availability of lawful content through the implementation of public access and open education policies. "We ask that the IPEC keep in mind that enlarging the control of rights holders necessarily diminishes the rights of the public and of intermediaries, including libraries," the filing said. The alliance also said IPEC, through its Joint Strategic Plan, should be acting to implement and expand on the efforts of the federal government to increase the availability of lawful content through its public access initiatives and its support for open educational resources. The MPAA and the Future of Music Coalition were also among the groups that submitted comments with IPEC concerning its strategic plan.