By Josh Halliday.
"High court rules in ISPs favour as FAST slams BT and TalkTalk's campaign against DEA, claiming they're just protecting financial interests"
BT and TalkTalk have won the right to a judicial review of the Digital Economy Act on all four of the contested legal grounds, the high court ruled.
The verdict, delivered late on Friday afternoon, represents a 4-0 victory for two of the UK's largest broadband providers, though the Act was already on its way to judicial review before Mr Justice Wyn Williams had made the judgment.
It does little to change the course of the controversial Act in the short term, but it stops the dust settling.
The Act has its supporters. The Federation Against Software Theft (FAST) has been vociferous in its support of many of the Digital Economy Act's more contentious proposals since they first surfaced.
John Lovelock, chief executive of FAST, said on Friday that BT and TalkTalk's public comments about the basis for their opposition was "a fig-leaf for their own agendas." The UK's Motion Picture Association (MPA) and the British Phonographic Industry (BPI) have said much the same thing.
"It is staggering that this Act, born out of years of consultation, of debate and of parliamentary time, is now being challenged in some last ditch attempt by the ISPs to ensure they are not hit financially," Lovelock said.
"We have long struggled with rampant internet piracy, together with other intellectual property rights holders and that debate did appear to have taken a step forward when this Act was passed earlier in the year.
"But what we are now seeing is a rear guard action by some as a potential move to undermine its credibility and legal framework through the courts," he says, citing research purporting to show that 70% of illicit filesharers would switch off their torrents if they were sent a warning letter.
A leaked business plan for London-based solicitors' firm ACS:Law shows hundreds of thousands of pounds can be recouped from sending out letters of this kind. The practice of pursuing people suspected of sharing copyrighted content has sparked controversy in recent months, with two London law firms – ACS:Law and Gallant Macmillan – being the focus of complaint from those who claim to be wrongly accused.
"It was always our hope that the graduated response provisions of this Act will be proportionate and drive traffic towards legitimate downloads. What can be wrong with that? FAST has consistently called for behaviour change," Lovelock argues.
"We know that when people are challenged, they change their behaviour. An inevitable part of the legislative framework must discourage people from taking the illicit route. At this time of economic pressure it is great news for the country too, since more legitimate sales will mean more tax revenue and more workers in employment – everyone wins."
Fast in September suggested that "the Digital Economy Act is here to stay, so cut it some slack". FAST quotes IDC figures estimating that 27% of software used in UK businesses is illicit or wrongly licensed.
Other rights holders, also generally supportive of the Act and its measures, believe there is little to say until Ofcom's draft initial obligations code, expected in the next few weeks.
