Markets

Momentum Shifts Against Google in Old Books Controversy

By David Weir

Updated on: April 28, 2009 / 10:18 PM EDT / MoneyWatch

A number of new developments in the proposed settlement of a class action suit between Google and some authors over who will control the publishing rights of millions of out-of-print books indicate that the growing opposition to the terms of that settlement are gaining momentum.

The U.S. Justice Department has opened an antitrust inquiry into the matter, according to The New York Times, which adds: "The inquiry does not necessarily mean that the department will oppose the settlement, which is subject to a court review. But it suggests that some of the concerns raised by critics, who say the settlement would unfairly give Google an exclusive license to profit from millions of books, have resonated with the Justice Department."
Also today, U.S. District Judge Denny Chin, who is presiding in the case, announced that he is extending the deadline for those wishing to oppose the settlement by four months, from May 4 until September 4.
A powerful argument against any premature settlement of the case came to light today. U.C., Berkeley, Prefessor Pamela Samuelson, one of the leading legal experts on the issues of intellectual property rights that are central to this case, authored the letter.

There is a great deal of interest in this proposed class action settlement, which would establish a registry to administer the process of determining who holds copyright to out-of-print works, as well as paying fees to the rights owners, and establishing a revenue share between authors and Google over the advertising revenue and download fees expected to flow once Google completes its massive effort to scan and turn into digital practically every book or article it can locate throughout the pre-digital age.

Initially, I welcomed the deal (nothing like some money for out-of-print work and it also helps my old books join the Internet Era; but more recently I have joined those raising questions over the settlement and urging the judge to slow resolution of the case down.

Thanks to Peter Brantley and the Read20 List for keeping me in this loop.