More Copyright Trolls Rushing In To Take Advantage Of Canadian Copyright Notice System Loopholes

from the no-longer-relegated-to-underbridge-housing dept

Wed, Mar 11th 2015 3:50pm — Tim Cushing

Canada's new copyright notice system is swiftly become a playground for copyright trolls. As Michael Geist reports, Canadian legislators could have baked in a few limitations to curb abuse, but chose instead to ensure the Rightscorps of the world could twist the legislation to their advantage.

Despite more than a year of work on potential regulations – including possible costs to rights holders for sending notifications – Industry Minister James Moore abandoned the process, implementing the system with no costs, no limitations on notice content, no restrictions on settlement demands, and no sanctions for the inclusion of false or misleading information. The government’s backgrounder says that the law “sets clear rules on the content of these notices”, however, it does not restrict the ability for rights holders to include information that goes beyond the statutory minimum.

Righstcorp is called out for a reason. It was the first to seize this opportunity to shake down Canadian internet users with pre-settlement offers. To make its requests appear more "reasonable," Rightscorp lied in its letters to alleged infringers.

The notice falsely warns that the recipient could be liable for up to $150,000 per infringement when the reality is that Canadian law caps liability for non-commercial infringement at $5,000 for all infringements. The notice also warns that the user’s Internet service could be suspended, yet there is no such provision under Canadian law.

Beyond that, Rightscorp has no intention of litigating these cases -- which would be the only way for it to secure statutory damages. Even in the US, where the sky-high $150,000 applies, Rightscorp has yet to actually sue anyone for copyright infringement. It instead hopes to nickel-and-dime its way to the top of the troll heap with $20/per infringement "settlements."

Now another copyright troll is invading the same territory. CEG TEK (Copyright Enforcement Group… um… TEK) has started sending out reams of useless and misleading paper threatening alleged infringers in Canada, citing the new law in order to appear really, really serious about possibly doing something expensive to those on the receiving end.

At least this letter acknowledges the $5,000 cap on infringement awards, but it only uses that higher number to make its demands in the low-hundreds per infringement more palatable. The rest of it is standard demand letter histrionics.

In Canada, the unauthorized copying, performance, and/or distribution of Rights Owner’s Work is illegal and is subject to civil sanctions (with statutory damages of up to $5,000 or non-statutory damages that could be higher) and/or criminal sanctions, and is a violation of the Canada Copyright Act (R.S.C., 1985, c. C-42). The recent amendments to the Copyright Act, which came into force on November 2012, have confirmed Rights Owner’s right to have its copyright protected in Canada.

[...]

If you have questions about your legal rights, you should consult with your own legal counsel (i.e., barrister, solicitor, lawyer, and/or attorney).

CEG HAS BEEN AUTHORIZED BY RIGHTS OWNER TO OFFER A SETTLEMENT SOLUTION TO RESOLVE THIS MATTER AND PREVENT LEGAL ACTION.

You have until Saturday, March 28, 2015 to access the settlement offer and settle online.

Of course, the letter makes it appear as though CEG can actually offer a complete release from legal culpability for only $xxx, and the artful use of ALL CAPS around "SETTLEMENT SOLUTION" and "LEGAL ACTION" could give some recipient the sense that something dangerous lurks behind this mass-mailed "threat." But CEG, like Rightscorp, can't make much money with "LEGAL ACTION." Nope, it's all about "SETTLEMENT SOLUTIONS." Serve to thousands. Collect from tens. Call it a day.

There's no lawsuit coming. A search for CEG in the Justia database returns a single lawsuit -- and in that one, CEG was the defendant. Perhaps that's why the letter stays suitably vague about the consequences of ignoring these missives. At this point. CEG TEK's business model only allows for repeated sending of demand letters and, if needed, more use of the Caps Lock key.

Still, the shakedowns will have an effect, mostly on the wholly ignorant or easily intimidated -- which makes copyright trolling indistinguishable from any number of scams. The victims are those who don't know any better. And Canada's decision to enact a copyright notice system filled with holes only encourages entities like CEG and Rightscorp to expand their "markets."

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Filed Under: canada, copyright, copyright trolling, notice

26 Comments

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Anonymous Coward, 11 Mar 2015 @ 3:56pm

In other news Rightscorp loses big on extortion racket.
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- sophisticatedjanedoe (profile), 11 Mar 2015 @ 4:56pm
  
  Re:
  Doctorow's phrase "publicly traded copyright trolls" made my day.
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Gothenem (profile), 11 Mar 2015 @ 5:20pm

Caps Lock?
Honestly, I doubt they even know about this fabled "Caps Lock" key, and instead press the Shift key before each and every capital letter.
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Anonymous Coward, 11 Mar 2015 @ 5:23pm

Just get a VPN ( Not on Canadian or US soil ) Problem Solved
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- That Anonymous Coward (profile), 11 Mar 2015 @ 6:20pm
  
  Re:
  Or in the alternative, perhaps punish those who are abusing the legal process and work in reforming copyright so that there is no longer actually an incentive to make a bulk of your income via "speculative invoicing"?
  
  Sometimes the best solution is the one that is the hardest to work towards, but copyright trolls (no matter the form) should be a huge red flag that the law in its current form is broken and the innocent & the guilty (I never said everyone was an angel) are being harassed in these schemes while the law turns a blind eye to creating the problem.
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  - Anonymous Coward, 11 Mar 2015 @ 7:24pm
    
    Re: Re:
    I'm starting to think we need to start treating IP lawyers, corporations, lobbyists, and the politicians that work for them the way a sensible business should treat shoplifting & minor theft: consider them minor nuisance losses, and work around them.
    
    Honestly, the best ROI strategy at this point may be to build a global mesh network (and mesh society), and spray down the parasites with disinfectant when they try to creep in. Building a new world is simply an easier, more attractive task than dealing with the vermin.
    [ link to this | view in chronology ]
    - Anonymous Coward, 11 Mar 2015 @ 8:05pm
      
      Re: Re: Re:
      "Building a new world is simply an easier, more attractive task than dealing with the vermin."
      And rebuilding is so much better for the economy *wink* :)
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    - Pragmatic, 12 Mar 2015 @ 8:26am
      
      Re: Re: Re:
      I used to be in favor of a limited copyright law that would actually benefit creatives but I reached the end of my rope in an earlier post. It's time to kill copyright altogether, unless someone can provide me with a compelling reason to keep it in some way, shape or form.
      
      I said "compelling," not "pro-copyright propaganda, hyperbole, and lies."
      
      It is NOT property and other remuneration solutions exist.
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    - Pragmatic, 12 Mar 2015 @ 8:26am
      
      Re: Re: Re:
      I used to be in favor of a limited copyright law that would actually benefit creatives but I reached the end of my rope in an earlier post. It's time to kill copyright altogether, unless someone can provide me with a compelling reason to keep it in some way, shape or form.
      
      I said "compelling," not "pro-copyright propaganda, hyperbole, and lies."
      
      It is NOT property and other remuneration solutions exist.
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- ANOTHER GUY, 13 Apr 2015 @ 4:51pm
  
  Re:
  WHAT IS A vpn??
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Anonymous Coward, 11 Mar 2015 @ 8:06pm

Good! Maybe this will get them out of the U.S.
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Anonymous Coward, 12 Mar 2015 @ 2:25am

let's face it, if there is an opportunity to do something correctly or to not do it, you can trust government to screw everything up! how did this guy get the job, for f***s sake?
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- Anonymous Coward, 12 Mar 2015 @ 5:31am
  
  Re:
  Is it the government screwing things up ... or the corporate puppet masters that are to blame?
  [ link to this | view in chronology ]
  - edinjapan (profile), 12 Mar 2015 @ 8:01am
    
    Re: Re:
    Both I bet. Harper's people aren't known for being internet saavy and the PM has sold his soul to his American corporate masters. Diefenbaker did the same thing years ago when he destroyed Canada's aviation industry by yielding to US demands and it turned out badly for him.
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GEMont (profile), 12 Mar 2015 @ 10:59pm

Graduation Day
Well wuddya know.

Another Canajun Poly Tishun has discovered that you can get cash from a troll without even crossing the bridge.

Congratulations to Industry Minister James Moore.

You've entered the Big Boys Game Area.

You're an American Politico now. Cash for favors is so much better than plain old theft eh.

Enjoy the yacht. Did they get you a nice bimbo?

Would you like that line'o'coke refreshed?

---
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Batman, 19 Mar 2015 @ 4:32pm

Letter
Got one of those letters by email the other day. Think I'm going to ignore it.
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Over Anxious Fool, 2 Apr 2015 @ 4:31pm

I received one of these emails this morning signed by Mr. Ira himself and I clicked the URL and entered the code to get more info on what was going on before I did my research. That is all I did, I didn't add any personal info, did I do any damage to myself?
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- Some guy, 3 Apr 2015 @ 9:41am
  
  Re:
  You might get more emails but the general consensus in the post/comments here: http://dietrolldie.com/ceg-tek-rightscorp-etc/
  
  Is no.
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Sergio Castro, 13 Apr 2015 @ 12:06pm

CEG TEK
I received several notices of copyright infringement from CEG TEK they seem legit so I felt that if I did wrong I should try to should make it right, so I tried calling their ph # top make arrangements to settle as their letter offers but it apparently is not working.
Am I safe by forgetting about this notices? ..I do not want to be taken to court and become an example ..if not for nothing else is because I can't afford anything .. a pension cheque does not go very far
Appreciate any feedback about this
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another guy, 13 Apr 2015 @ 2:48pm

ceg
I wish someone with knowledge about this business of copyrights some advice on what to do I guess there are a lot of ignorant fools like me who know nothing about it and answer their notices I 've tried to do the right thing and I've tried to call the # on the page to talk to someone and I was told "no longer in service" so I sent a Message to them in doing so I may have done more damage to myself because now they must have my info... I f anybody knows what to do please post a reply there is a lot of anxious fools like me since Canada opened its doors to this copyright trollers
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a canadian, 17 Apr 2015 @ 3:46am

ceg tek
I suggest any Canadians google lawyer Michael Geist and read his blogs he is very into all this , when you read his blog you will relax about these BS notices ts a scam we can thank our beloved government for allowing to happen is it me ar does the Government. mess up everything they touch
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Shookup, 20 Apr 2015 @ 5:56pm

I paid settlement
I got a letter yesterday and it shook me so much that I ended up just paying the settlement. In hindsight I wish I had done more research and that research would have led me to decide on not paying. So... I will use CyberGhost all the time now and never pay any settlement if I get any more notices.

Mine was from Shaw Cable, c/o CEG TEK International on behalf of Copyright Owner: SBO Pictures DBA Wicked Pictures for the video of Spin Class Ass 2 which I obtained via BitTorrent.
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- ghost (profile), 23 Apr 2015 @ 6:17am
  
  Re: I paid settlement
  @ Shookup.
  
  So how much did they get you for. I got an email from CEG TEK International on behalf of Giant Media Group yesterday. I didn't click on the link for fear of giving them any more breadcrumbs to help them find me. How much were they asking?
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  - Shookup, 23 Apr 2015 @ 7:40am
    
    Re: Re: I paid settlement
    It was $225.
    
    But knowing what I know now I shouldn't have paid.
    Read:
    http://metronews.ca/news/canada/1348052/canadians-under-no-obligation-to-pay-for-piracy/
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    - ghost (profile), 23 Apr 2015 @ 7:57am
      
      Re: Re: Re: I paid settlement
      Thanks. I didn't say it but I got a second email today about another Giant Media Group film. I find it interesting they are sending them on different days, yet their "settlement" is due the same day, May 1st.
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Maximum Venture, 8 Apr 2016 @ 8:26pm

Canipre data being used to spread bad Canadian law
In Canada, companies like CEG-TEK and Canipre are using the the ISPs (TekSavvy is one that's made it public) under the notice-and-notice part of Bill C-60 that been in force since 2015. The problem is the notices can pretty much say what they want, though the actual bill puts limits on what damages can amount to. Down south some states are using Canipre data to push for similar laws.

http://www.maximumventure.ca/article/are-online-copyright-infringement-laws-affecting-canadians -one-year-laterquestion

https://en.wikipedia.org/wiki/An_Act_to_amend_the_Copyright_Act_(38th_Canadia n_Parliament,_1st_Session)
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