[DMCA-Activists] [Fwd: pho: c|net: French investigators probe copy-protected CDs]

[Seth Johnson]

-------- Original Message --------
Subject: pho: c|net: French investigators probe copy-protected
CDs
Date: Thu, 26 Aug 2004 23:24:51 -0700
From: John Parres <address@hidden>
To: pho <address@hidden>

"...The DDCCRF carried out its own tests, and a judge
subsequently ordered a judicial examination of EMI Music France
and Fnac on charges of fraud. The charges carry possible prison
terms of up to 2 years for company executives, and a fine of
about $45,000, UFC attorney Sandra Woehlin said. UFC has also
demanded that the discs be withdrawn from the market..."

----------
French investigators probe copy-protected CDs

By Christophe Guillemin
Special to CNET News.com
http://news.com.com/2100-7344-5325887.html

Story last modified August 26, 2004, 2:58 PM PDT


French authorities have launched an investigation of EMI France
and music retailer Fnac over anticopying technology included on
CDs that allegedly renders them unplayable on some systems.

A magistrate judge on July 31 ordered the investigation following
a review of consumer complaints by a local division of the Bureau
of Competition's antifraud unit (DDCCRF).

The move is among the most threatening actions yet taken in
Europe against record labels and retailers over anticopy
technology.

The labels want to prevent consumers from making direct copies of
CDs into unprotected computer files, such as MP3s, which can then
be distributed over the Internet and peer-to-peer networks such
as Kazaa. The move has led to a sharp backlash from consumers who
fear they may lose the ability to make personal backup copies of
CDs, something that's currently allowed under copyright laws in
some countries, including France. In addition, such digital
rights management technology has been linked to problems playing
back discs on some devices.

French regulators were alerted to the playback problems in
September 2003 by a consumer group known as UFC-Que Choisir,
which submitted numerous complaints from CD buyers to the
Hauts-de-Seine bureau of the DDCCRF.

"For months, complaints from buyers of locked CDs have piled up
in UFC-Que Choisir's mailbox," the group said in a statement.
"These letters noted that many CDs out of the package were not
readable on certain devices, including hi-fi systems, computers
and car stereos."

The DDCCRF carried out its own tests, and a judge subsequently
ordered a judicial examination of EMI Music France and Fnac on
charges of fraud. The charges carry possible prison terms of up
to 2 years for company executives, and a fine of about $45,000,
UFC attorney Sandra Woehlin said. UFC has also demanded that the
discs be withdrawn from the market.

"In this case, CDs should be readable on any device while
respecting the standards in force," she said.

Fnac, the biggest music retailer in France, said it believes it
acted in good faith towards consumers.

"As soon as Fnac was informed of the problems encountered with
certain protected audio CDs, the company immediately set up
information points to help consumers," Fnac said in a statement.
"Fnac also agreed to give refunds to customers who found problems
playing back the discs?knowing that these problems are not
foreseeable."

Fnac added that it believes it has stood on the side of the
consumer, and said that the actual number of reported problems
have been very few.

EMI France said it has updated its anticopying system since the
sales period of the discs under review by the court.

"EMI France does not wish to comment in detail on the
examination," the company said in a statement. "This business
relates to discs marketed between October 2002 and August 2003.
These discs were equipped with a copy control version that hasn't
been used by EMI France for at least a year."

In September 2003, EMI in a civil lawsuit was ordered to provide
a refund to a consumer who could not play back a copy-protected
CD on her car stereo.

Christophe Guilleman of ZDNet France reported from Paris. CNET
News.com's Evan Hansen contributed to this report.

-----------------------------------------------------------------
This is the Pho mailing list.
Help? http://www.pholist.org/help.php