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"Law Bytes" is a weekly column on technology law that appears in several Canadian media outlets including the Toronto Star, Ottawa Citizen, and Canada.com. From 1999 - 2002, I wrote the Cyberlaw column for the Globe and Mail.



Why Creators and Consumers Should Welcome the "Netflix Threat"

The examination of the proposed Bell acquisition of Astral Communications took place last week in Montreal with the Canadian Radio-television and Telecommunications Commission hearing from a wide range of supporters and opponents of a deal that only last year was rejected as contrary to the public interest.  

As Bell and Astral sought to defend their plan, a familiar enemy emerged - Netflix. What does a U.S.-based Internet video service with roughly two million Canadian subscribers have to do with a mega-merger of Bell and Astral?  

My weekly technology law column (Toronto Star version, homepage version) notes that for the past few years, it has become standard operating procedure at CRTC hearings to ominously point to the Netflix threat. When Internet providers tried to defend usage based billing practices that led to expensive bills and some of the world's most restrictive data caps, they pointed to the bandwidth threat posed by Netflix. When cultural groups sought to overturn years of CRTC policy that takes a hands-off approach to Internet regulation, they argued that Netflix was a threat that needed to be addressed. So when Bell and Astral seek to merge, they naturally raise the need to respond to Netflix.


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Canadian Government Establishes Two-Tier Approach for Trade Talks: Insiders and Everyone Else

As the future of the proposed Canada - European Union Trade Agreement becomes increasingly uncertain - the EU has been unwilling to compromise on the remaining contentious issues leaving the Canadian government with a deal that offers limited benefits and significant costs - the Trans-Pacific Partnership Agreement (TPP) is likely to emerge as the government's new top trade priority.

The TPP has rapidly become of the world's most significant trade negotiations, with participants that include the United States, Australia, Mexico, Malaysia, New Zealand, Vietnam, Japan, and Canada. There is a veil of secrecy associated with the TPP, however, as participants are required to sign a confidentiality agreement as a condition of entry into the talks.  Despite those efforts, there have been occasional leaks of draft text that indicate the deal could require major changes to Canadian rules on investment, intellectual property, cultural protection, procurement, and agriculture.

My weekly technology law column (Toronto Star version, homepage version) notes the Canadian government has adopted several measures to guard against leaks by departmental officials. According to documents obtained under the Access to Information Act, a November 2012 email to government officials noted that their access to TPP texts was conditioned on "Secret" level clearance, an acknowledgement that all texts are watermarked and can be traced back to the source, and confirmation that no sharing within government is permitted without prior approval.


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Your Information is Not Secure: Thousands of Government Privacy Breaches Point to Need for Reform

As Canadians focused last week on the aftermath of the Boston Marathon bombing and the RCMP arrests of two men accused of plotting to attack Via Rail, the largest sustained series of privacy breaches in Canadian history was uncovered but attracted only limited attention.  Canadians have faced high profile data breaches in the past - Winners/HomeSense and the CIBC were both at the centre of serious breaches several years ago - but last week, the federal government revealed that it may represent the biggest risk to the privacy of millions of Canadians as some government departments have suffered breaches virtually every 48 hours.

The revelations came as a result of questions from NDP MP Charlie Angus, who sought information on data, information or privacy breaches in all government departments from 2002 to 2012.  The resulting documentation is stunning in its breadth.

My weekly technology column (Toronto Star version, homepage version) notes that virtually every major government department has sustained breaches, with the majority occurring over the past five years (many did not retain records dating back to 2002). In numerous instances, the Privacy Commissioner of Canada was not advised of the breach.



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CRTC Should Force Broadcasters To "Compete Just Like Any Other Sector"

Last month, Jean-Pierre Blais, the chair of the Canadian Radio-television and Telecommunications Commission, delivered a much-discussed speech at the Canadian Media Production Association's annual conference. The CMPA is Canada's leading organization for the production of Canadian film and television programming and Blais' message was intended to both congratulate and challenge the industry.

On the congratulatory side, Blais noted the Canadian film and television production had a record year in 2012, growing by over $500 million over the prior year, by far the highest total and fastest growth in over a decade. Canadian television production led the way, increasing 21.3 per cent in 2011/12, for a ten-year high of just under $2.6 billion. Most of the increase was due to English-language programming, with fiction production growing by over 41 per cent.

Blais' challenge came in several forms, but my weekly technology law column (Toronto Star version, homepage version) notes the comment that attracted the most attention was his remark that "under my watch, you will not see a protectionist. I'm a promotionist." Most observers took the comment to mean that the CRTC will not focus on mechanisms such as Canadian content requirements and foreign restrictions as a means to advance Canadian culture.  Rather, with billions being spent on the creation of Canadian programming, it is better to concentrate on marketing and promotion of those works.

Yet there was a second comment that garnered less attention, but that may ultimately prove more important. After encouraging the industry to become more innovative and entrepreneurial, Blais warned "you will need to compete, just like any other sector."


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Canada's Digital Divide Likely to Widen Due to Access and Adoption Failures

The state of Internet access in Canada has been the subject of considerable debate in recent years as consumers and businesses alike assess whether Canadians have universal access to fast, affordable broadband that compares favourably with other countries. A new House of Commons study currently being conducted by the Standing Committee on Industry, Science and Technology offers the chance to gain a better understanding of the strengths and weaknesses of Canadian high-speed networks and what role the government might play in addressing any shortcomings.

The study is ongoing, yet my weekly technology law column (Toronto Star version, homepage version) notes that two issues are emerging as key concerns: access and adoption. 



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Quebec Court Rejects eBay's Online Contract Opening Door to Local Lawsuit

Few things are more common on the Internet than the lengthy, largely incomprehensible, online contracts that are often buried at the bottom of web pages with a simple link to "terms". These agreements sometimes run dozens of pages if printed out and invariably transfer all responsibility and liability to the user, while selecting a jurisdiction clause that is advantageous to the website and inconvenient to most users.

Consumers agree to these contracts dozens of times each day (sometimes proactively by clicking that they agree and most other times by impliedly agreeing to the terms by using the website), but the enforceability of all the terms within the agreement remains an open question.

The law has removed most uncertainty about whether an electronic contract can be enforceable - it can - but ensuring that the form of the contract is valid does not mean that all of its provisions will be enforced by a court.  My weekly technology law column (Toronto Star version, homepage version) notes that last month, a Quebec court provided an important reminder that some provisions may not be enforced, as it rejected eBay's standard terms which require all disputes to be adjudicated in California.


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What's Really Behind Canada's Anti-Counterfeiting Bill?

With only limited fanfare, earlier this month Industry Minister Christian Paradis introduced Bill C-56, the Combating Counterfeit Products Act. Since no one supports counterfeit products - there are legitimate concerns associated with health and safety - measures designed to address the issue would presumably enjoy public and all-party support. Yet within days of its introduction, the bill was the target of attacks from both opposition parties and the public.

The NDP raised the issue during Question Period in the House of Commons, accusing the government of trying to implement the widely discredited Anti-Counterfeiting Trade Agreement (ACTA) "through the backdoor." The public also picked up on the issue, noting that the bill appears to be less about protecting Canadians and more about caving to U.S. pressure (the U.S. called on Canada to implement ACTA on the same day the bill was tabled).

My weekly technology law column (Toronto Star version, homepage version) notes the concerns associated with the bill fall into two main categories: substance and ACTA implementation. The substantive concerns start with the decision to grant customs officials broad new powers without court oversight. Under the bill, customs officials are required to assess whether goods entering or exiting the country infringe any copyright or trademark rights.


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Lights, Camera, Kickstarter: How Internet Crowdfunding Is Changing the Way Movies are Funded

The movie Argo may have picked up the biggest prize in last week's Academy Awards ceremony, but it was the Best Documentary Short winner that had many on the Internet buzzing.  Inocente, a film about a 15-year old homeless girl who dreams of becoming an artist, took home the Oscar and in the process became the first Internet crowdsource funded film to win Hollywood's biggest award. Last year, the film raised $52,527 on Kickstarter, a crowdsource funding website that has raised over US$100 million to support the creation of independent films.

My weekly technology law column (Toronto Star version, homepage version) notes that the emergence of crowdsource funding - or crowdfunding - points to the power of the Internet as an important source of financial support for independent creators, whether film makers, musicians, software programmers, or authors.  Crowdfunding enables creators to raise funds through small contributions from the public by publicizing their project using the Internet and social media sites. Crowdfunding success stories encompass new products, companies, and community initiatives, but movies have fared particularly well.  


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Internet Surveillance Bill is Dead but Canada's Telecom Transparency Gap is Alive and Well

The government's recent decision to kill its online surveillance legislation marked a remarkable policy shift. The outcry over the plan to require Internet providers to install surveillance capabilities within their networks and to disclose subscriber information on demand without court oversight sparked an enormous backlash, leading to the tacit acknowledgment that the proposal was at odds with public opinion.

While many Canadians welcomed the end of Bill C-30, my weekly technology law column (Toronto Star version, homepage version) notes the year-long battle over the bill placed the spotlight on an ongoing problem with the current system of voluntary disclosure of subscriber information: Internet providers and telecom companies disclose customer information to law enforcement tens of thousands of times every year without court oversight.


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One Phone Call is Not Enough: Court Rules You Have the Right to Google a Lawyer

Hollywood crime dramas are infamous for the scene when an accused is taken to a local police station and permitted a single phone call to contact a relative or lawyer. While the storyline is myth - there is no limit on the number of phone calls available to an accused or detainee - a recent Alberta case established a new, real requirement for law enforcement. After a 19-year old struggled to find a lawyer using the telephone, the court ruled that police must provide an accused with Internet access in order to exercise their right to counsel.

Christopher McKay, who faced a driving while under the influence charge, told police that he wanted to exercise his right to legal counsel. McKay’s cellphone and other personal belongings were placed in a police locker when he arrived at the station. McKay was told there was a toll-free number available to contact a lawyer as well as White and Yellow pages that could be consulted. He called the toll-free number but was unable to find assistance.

My weekly technology law column (Toronto Star version, homepage version) notes that what followed was the product of a demographic deeply familiar Hollywood movies and reliant on the Internet. McKay assumed that he had used his single phone call and did not consider using directory assistance (411), which he did not think was a "viable search engine." Instead, he noted that Google was his main method to search for information.



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