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Printed for the use of the Committee on Energy and Commerce

Available via the World Wide Web: http://www.access.gpo.gov/congress/house

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U.S. GOVERNMENT PRINTING OFFICE
WASHINGTON: 2004

JEPOSITORY

For sale by the Superintendent of Documents, U.S. Government Printing Office
Internet: bookstore.gpo.gov Phone: toll free (866) 512–1800; DC area (202) 512-1800

Fax: (202) 512-2250 Mail: Stop SSOP, Washington, DC 20402-00612 1 2004

TANFORD UNIV”

JONSSON 1"

COMMITTEE ON ENERGY AND COMMERCE

JOE BARTON, Texas, Chairman

W.J. "BILLY" TAUZIN, Louisiana

RALPH M. HALL, Texas

MICHAEL BILIRAKIS, Florida

FRED UPTON, Michigan

CLIFF STEARNS, Florida
PAUL E. GILLMOR, Ohio

JAMES C. GREENWOOD, Pennsylvania
CHRISTOPHER COX, California
NATHAN DEAL, Georgia
RICHARD BURR, North Carolina
ED WHITFIELD, Kentucky
CHARLIE NORWOOD, Georgia
BARBARA CUBIN, Wyoming
JOHN SHIMKUS, Illinois
HEATHER WILSON, New Mexico
JOHN B. SHADEGG, Arizona
CHARLES W. "CHIP” PICKERING,
Mississippi, Vice Chairman
VITO FOSSELLA, New York
STEVE BUYER, Indiana
GEORGE RADANOVICH, California
CHARLES F. BASS, New Hampshire
JOSEPH R. PITTS, Pennsylvania
MARY BONO, California
GREG WALDEN, Oregon
LEE TERRY, Nebraska
MIKE FERGUSON, New Jersey
MIKE ROGERS, Michigan
DARRELL E. ISSA, California
C.L. "BUTCH" OTTER, Idaho
JOHN SULLIVAN, Oklahoma

JOHN D. DINGELL, Michigan

Ranking Member

HENRY A. WAXMAN, California EDWARD J. MARKEY, Massachusetts RICK BOUCHER, Virginia

EDOLPHUS TOWNS, New York
FRANK PALLONE, Jr., New Jersey
SHERROD BROWN, Ohio

BART GORDON, Tennessee
PETER DEUTSCH, Florida
BOBBY L. RUSH, Illinois
ANNA G. ESHOO, California
BART STUPAK, Michigan
ELIOT L. ENGEL, New York
ALBERT R. WYNN, Maryland
GENE GREEN, Texas
KAREN MCCARTHY, Missouri
TED STRICKLAND, Ohio
DIANA DEGETTE, Colorado
LOIS CAPPS, California

MICHAEL F. DOYLE, Pennsylvania
CHRISTOPHER JOHN, Louisiana
TOM ALLEN, Maine

JIM DAVIS, Florida

JANICE D. SCHAKOWSKY, Illinois
HILDA L. SOLIS, California

CHARLES A. GONZALEZ, Texas

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CONTENTS

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THE DIGITAL MEDIA CONSUMERS' RIGHTS

ACT OF 2003

WEDNESDAY, MAY 12, 2004

HOUSE OF REPRESENTATIVES,
COMMITTEE ON ENERGY AND COMMERCE,

SUBCOMMITTEE ON COMMERCE, TRADE,
AND CONSUMER PROTECTION,
Washington, DC.

The subcommittee met, pursuant to notice, at 10 a.m., in room 2123, Rayburn House Office Building, Hon. Cliff Stearns (chairman) presiding.

Members present: Representatives Stearns, Upton, Whitfield, Shimkus, Shadegg, Radanovich, Pitts, Bono, Terry, Ferguson, Issa, Otter, Barton (ex officio), Schakowsky, Gonzalez, Towns, Rush, Stupak, Green, McCarthy, Strickland, and Davis.

Also present: Representative Boucher.

Staff present: David Cavicke, majority counsel; Chris Leahy, majority counsel and policy coordinator; Shannon Jacquot, majority counsel; Brian McCullough, majority professional staff; William Carty, legislative clerk; Jonathan Cordone, minority counsel; and Ashley Groesbeck, minority staff assistant.

Mr. STEARNS. Good morning, everybody. I'm pleased to welcome all of you to the Commerce, Trade, and Consumer Protection Subcommittee hearing on H.R. 107, the Digital media Consumers' Rights Act of 2003.

We are particularly grateful to our guests from the content and technology communities, consumer groups, academic groups for allowing us to present a balanced hearing on the issues and the challenges facing the copyright field in an era of rapid technological innovation.

I can't remember when this subcommittee last had three panels of so many distinguished experts. So obviously we're anticipating a very interesting, insightful examination of these issues and they're very important.

In yesterday's analog world, the centuries old concept of "fair use" established that some previously unauthorized use of copyrighted works by individuals should be allowed because their value to society outweighs the costs to the copyright holder. This is based on the belief that not all copying should be banned. The Copyright Act, which codified the "fair use" doctrine, specifically allowed the use of copyrighted material for "purposes such as criticism, comment, news reporting, teaching, scholarship, or research" while it strictly prohibited all unauthorized commercial sales of a copyrighted material. In short, the history of "fair use" has been a his

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