STATEMENT OF STAN PARRIS ON VIDEO RECORDER LEGISLATION MR. CHAIRMAN, I APPRECIATE HAVING THE OPPORTUNITY TO TESTIFY THIS AFTERNOON, AND I COMMEND THE CHAIRMAN FOR HIS PROVIDING CONGRESS WITH THIS FORUM TO DISCUSS A VERY SERIOUS PROBLEM. I WAS EXTREMELY DISTURBED WHEN I LEARNED THAT THE NINTH U.S. CIRCUIT COURT OF APPEALS RULED THAT THE USE OF HOME VIDEO RECORDERS WAS IN VIOLATION OF FEDERAL COPYRIGHT LAWS. FRANKLY, I FEEL THAT THIS WAS JUST THE LATEST EXAMPLE OF IDIOCY IN THE FEDERAL JUDICIARY.. THIS UNREASONABLE DECISION MEANS THAT NINE TO TWELVE MILLION AMERICANS WHO VIEW THE THREE MILLION VIDEO RECORDERS ARE VIOLATING THE LAW IF THEY RECORD TELEVISION PROGRAMS WITHOUT FIRST HAVING THE PERMISSION OF THE PROGRAM'S PRODUCERS. BY THE END OF THIS YEAR, THERE WILL BE OVER THREE MILLION VIDEO RECORDERS IN AMERICAN HOMES, WITH AN ADDITIONAL SALE OF TWO MILLION ESTIMATED FOR 1982. SINCE THEIR INTRODUCTION IN THE EARLY 1970's, VCRS HAVE COME DOWN IN PRICE AND HAVE INCREASED IN POPULARITY. THEIR POPULARITY SEEMS TO STEM FROM THE FACT THAT VIDEO RECORDERS HAVE MANY USES. THEY CAN PLAY PRERECORDED VIDEO CASSETTES, THEY CAN BE USED WITH A VIDEO CAMERA TO MAKE HOME MOVIES, AND THEY CAN BE USED TO RECORD A TELEVISION PROGRAM AND PLAY IT BACK AT A LATER TIME. SURVEYS HAVE SHOWN THAT VCRS ARE USED MAINLY FOR RECORDING A PROGRAM AND PLAYING IT BACK WHEN IT IS MORE CONVENIENT. THIS CONCEPT IS REFERRED TO AS "TIME-SHIFTING." TO CORRECT WHAT I PERCEIVE TO BE AN UNWARRANTED INTRUSION BY THE FEDERAL COURTS INTO THE PRIVACY OF AMERICAN HOMES, I INTRODUCED LEGISLATION IN THE HOUSE WHICH WOULD PERMIT THE CONTINUED SALE AND USE OF VCRS FOR NON-COMMERCIAL PURPOSES. MY BILL, H.R. 4808, WAS INTRODUCED ON OCTOBER 21ST AND IS IDENTICAL TO THE LANGUAGE CONTAINED IN THE MEASURE PENDING BEFORE THIS COMMITTEE, S. 1758. AS OF THIS MORNING, WE HAD 25 CO-SPONSORS TO H. R. 4808, AND I'M SURE WE WILL BE ATTRACTING MORE SUPPORT AS THE PUBLIC AND MEMBERS OF CONGRESS BECOME AWARE OF THE DILEMMA POSED BY THE RECENT COURT DECISION. AS MY LIST OF CO-SPONSORS INDICATES, THIS IS A BI-PARTISAN ISSUE WHICH HAS THE INTEREST OF MEMBERS FROM ALL REGIONS OF THE COUNTRY. WITH OVER THREE MILLION RECORDERS ALREADY IN AMERICAN HOMES, IT IS OBVIOUS THAT VCRS HAVE BECOME A PROSPEROUS AND GROWING INDUSTRY. DUE TO THE POPULARITY OF VCRS, THE MANUFACTURERS AND DISTRIBUTORS OF VIDEO RECORDERS AND VIDEO TAPE ARE EXPERIENCING AN ENORMOUS AMOUNT IF THE NINTH CIRCUIT COURT OF APPEALS DECISION IS ALLOWED TO ONE FACTOR WHICH I'M SURE INFLUENCED THE COURT'S DECISION WAS THAT THE FEDERAL COPYRIGHT ACT DOES NOT CLEARLY DEFINE WHAT CONSTITUTES THE FAIR USE OF A COPYRIGHTED WORK. WHEN CONGRESS LAST AMENDED THE FEDERAL COPYRIGHT ACT IN 1976, VIDEO RECORDERS WERE STILL IN THEIR INFANCY. SINCE THAT TIME, VCRS HAVE INCREASED IN NUMBER AND POPULARITY, BUT CONGRESS HAS FAILED TO KEEP UP WITH THIS ADVANCE IN TECHNOLOGY. THE COPYRIGHT ACT SHOULD NOT BE USED TO PENALIZE CONSUMERS WHO USE VIDEO RECORDERS IN THEIR HOMES FOR NON-COMMERCIAL PURPOSES. I WOULD HOPE THAT CONGRESS WILL CORRECT THIS INEQUITABLE SITUATION BY AMENDING THE COPYRIGHT ACT AS SOON AS POSSIBLE. IF WE DO NOT TAKE ACTION, CONSUMERS MAY BE DENIED ACCESS TO TELEVISION PROGRAMS FOR FEAR THAT THEY MIGHT BE DUPLICATING A BROADCAST AND BE SUBJECT TO SOME SORT OF PENALTY. IF H.R. 4808 AND S. 1758 ARE ENACTED, WE WOULD BE PROTECTING THE VCR OWNERS FROM ANY INFRINGEMENT OF THE COPYRIGHT ACT IF THEY DO NOT USE THEIR RECORDERS FOR COMMERCIAL PURPOSES. THIS LEGISLATION IS THAT SIMPLE - THERE IS NOTHING COMPLEX OR CONTROVERSIAL ABOUT IT. SINCE CONGRESS HAS NOT KEPT UP WITH NEW ADVANCES IN TECHNOLOGY, THE COPYRIGHT ACT WILL EVENTUALLY HAVE TO BE AMENDED ALONG THESE LINES ANYWAY. IF WE DO NOT ACT, THIS MATTER WILL PROBABLY BE TIED UP IN THE COURTS FOR YEARS. I URGE MEMBERS OF THIS COMMITTEE AND MY COLLEAGUES IN THE CONGRESS TO SUPPORT THIS LEGISLATION IN AN EFFORT TO QUICKLY RESOLVE A VERY SERIOUS PROBLEM. II 97TH CONGRESS 1ST SESSION S. 1758 To amend title 17 of the United States Code to exempt the private noncommercial recording of copyrighted works on video recorders from copyright infringement. IN THE SENATE OF THE UNITED STATES ОСТОВЕВ 21 (legislative day, ОсТОВЕВ 14), 1981 Mr. DECONCINI (for himself and Mr. D'AMATO) introduced the following bill; which was read twice and referred to the Committee on the Judiciary A BILL To amend title 17 of the United States Code to exempt the private noncommercial recording of copyrighted works on video recorders from copyright infringement. 1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 3 That chapter 1 of title 17 of the United States Code is 4 amended by inserting at the end thereof the following new 5 section: 2 1 "8119. Limitation on exclusive rights: Exemption for cer 2 3 tain video recordings "Notwithstanding the provisions of section 106, it is not 4 an infringement of copyright for an individual to record copy 5 righted works on a video recorder if— "(1) the recording is made for a private use; and "(2) the recording is not used in a commercial nature.". SEC. 2. The table of sections for chapter 1 of title 17 of 10 the United States Code is amended by inserting after the 11 item relating to section 118 the following: "119. Limitation on exclusive rights: Exemption for certain video recordings.”. O Senator DECONCINI. Our first witness today is Prof. Leon Friedman of Hofstra University. Is Professor Friedman here? [No response.] Senator DECONCINI. If not, we will proceed to the next witness, Mr. Joseph Waz, the deputy director of the National Citizens Committee for Broadcasting. Mr. Waz, would you please come forward? Would you please identify yourself and proceed to summarize your statement? STATEMENT OF JOSEPH WAZ, DEPUTY DIRECTOR, NATIONAL CITIZENS COMMITTEE FOR BROADCASTING Mr. Waz. My name is Joseph Waz. I am deputy director of the National Citizens Committee for Broadcasting, which is a consumer group concerned with issues in the electronic media headquartered here in Washington. As noted in the testimony, copies of which will be provided, we enjoy the support of some 8,000 citizens and consumers here in the United States. Our board is chaired by Ralph Nader, and former FCC Commissioner Nicholas Johnson is also on our board. We appreciate your invitation to present our point of view on the interests of consumers before this committee as it addresses one of |