We're now going to look at other limitations to copyright, other than fair use. Big area fair use, but that's not the only type of limitation. We're going to look at some other factors like the first sale doctrine. What is it? What does it mean? What does it allow us to do? What does it not allow us to do? We're going to look at performance rights limitations. Relatively easy is expired copyright, it's not there anymore but it's something you should at least argue or look at, whether you might have an argument based on expired copyright, and finally, customer goodwill. Why might that be a limitation? These are our other copyright limitations and there are some other areas as well. Now in terms of the first sale doctrine, this is an important limitation on copyrights. The principle here is if you're the owner or creator of a copyright and you sell it to someone new, you sell a book to me, it's not the original of the book, it's not the original manuscript and you're not selling me all the rights to the book. You're just selling me a copy, one copy. I buy this book and now I want to share it with my friend. Under copyright, you could say I have the right to control distribution so you can't sell it, but first sale doctrine says no, we're going to allow resale. More than as a defense, really here is a right of resale because I have the right to sell this work to a new owner and it's not a copyright violation. The first sale doctrine also might give me the right to modify it, to write in my textbook and sell it to someone else, without it being a copyright violation. This becomes important with a question like, is it legal to rent movies in a DVD rental store, or VCD, earlier, rental store? The courts looked at this, the copyright holder said no, we don't want people to rent. Even earlier they said, we don't want libraries to allow people to borrow books and the first sale doctrine is the defense that's used. Where it is legal because what you're effectively doing under first sale is while you're renting the video or borrowing the book from the library, you are the temporary owner. The rights of ownership, and to use the work, have been temporarily transferred to the new owner, and then that right reverts back to the video store. It's a temporary transfer of ownership, just like when you rent an apartment, you temporarily make that your home. It's legally your home, your residence, even though you don't own it, you have the rights of a property owner to prevent unreasonable search, and seizure, or other things. Even a rental of a car, book, movie, apartment is a temporary ownership right that reverts at the end of the lease period or rental period. What about movies in a hotel room? You could rent a movie, that's legal. How about watching a movie in a hotel room? It might be legal, or illegal, it depends on how you do it. That sounds odd, it can be legal and illegal at the same time? Not quite, let's look at an example. Let's say hotel guests want to watch a movie. One option is they could go down to the concierge, or the front desk if it's a cheaper hotel, maybe they don't have a concierge, they just have a front desk, but you rent a DVD. Maybe the rental charge is zero, that's okay, they loan you a DVD, or they rent you a DVD. You watch that movie in your room, you take the DVD up to your room and you watch it in the DVD player in the room, that's legal. That's supported, it's like a video rental store. Now, the hotel says, this means we have to have a DVD in every room and we have to have all these DVDs out, somebody watches it for two hours, but then they keep the DVD overnight, nobody else can watch it. They're not really watching it the whole time, we'd have to go up to the room and say, are you done with that DVD, somebody else wants it. Why don't we have them just call down to the front desk and tell us to put the DVD into a DVD player, one DVD player. We'll connect it via wire to the room, so that we will push a button and one DVD player with one DVD in it will connect to one room. Now electronically, as an engineer you'd say, yeah, it's the same thing, you just have a long wire instead of a short wire. But it turns out that's not legal and you might say why? It's one DVD, one DVD player, one room, one TV, one wire. How is it different? It's technically the same thing, but not legally the same thing, why? First, the first case is a first sale defense. The hotel room is considered as your home. You effectively own that hotel room during the period you're staying there. It is your private residence for the period of your hotel stay. And you own that DVD while you're borrowing it, temporarily, but it's your home and your DVD and it's a first sale defense that can transfer that DVD to you, it is legal. In the second case, now the first sale defense doesn't work because you're not giving them the DVD, you're playing it for them. You're not having them put it in the DVD player, you're doing it in the office and you're transmitting it over a public space, the hallway between the office and the room. That public space, it's still owned by the hotel, so it's private technically in some ways, but it's public meaning it's not part of that user's residence because it's only home use that's permitted for watching the DVD. The hallway is not their home, not even temporarily, it's not their room. By transmitting it over a wire between the office and the room, even if it was a DVD player for each room, because it transmits across the hallway, it's illegal. This was an actual case that was decided against a hotel who did something efficient and so it's not a legal use. Another example is software leases. If you buy Microsoft Office or Windows, they don't sell it to you, they lease it to you. They say this is a lease or a license. We're not selling it to you, so you don't have a first sale defense. Apple, when you buy an iPhone or an iPad, says we are licensing this software to you, we're not selling it to you. But courts may say [SOUND] it looks to us like a sale, so a judge may change a lease or a license into a sale by saying a one time payment, unlimited use. To us, as a judge, it looks like a sale. So you lose your first sale defense or you gain your first sale defense. What does that mean? Be careful, that's what it means. Be careful. You think you have a first sale defense, or you think you can beat a first sale defense because you have a license of software, maybe it's not quite so easy. Another area of rights is performance rights, which means that there are limits as to what you could stop people from doing. People have the right to perform works in public, particularly like music and this is very important, especially if it's non-commercial use. Generally, the rights are only exempted if they're non-commercial, meaning not for profit. Face-to-face education, we can do a lot of things in performance. I can sing a song, and I can get away with that in face-to-face educational context, even if it's copyright protected. Or religious services, I'm worshiping in church, there's no profit, it's charity. I'm just singing something for charitable purposes, that may be exempted as a performance right or charitable performances in general. For charity, raising money for the homeless, or some other charitable purpose. Or limited reception at home. Limited home reception might be a wireless broadcast, something like Bluetooth. Its limited reception, you are transmitting from your iPad to your earpiece. It is transmitting over public airways, but it's limited reception, only one person can see it or hear it. A fair is a public setting, a public, usually government sponsored activity and performances by or for the handicapped are generally exempted. That gives you a beginning to this first sale doctrine and performance rights limitations. In our next video, we'll look at expired copyrights, goodwill and more. [MUSIC]