Inside Google

Justice Dept. Cites Possible Copyright, Antitrust Violations

Critics of the agreement, including consumer groups and competitors
Amazon and Microsoft, argue that it would give Google near exclusive
licensing rights to millions of out-of-print books, potentially harming
consumers by giving the company exclusive control over prices for
digital books. "A single entity cannot be allowed to build a digital library based
on a monopolistic advantage," said John M. Simpson, a consumer advocate
with public interest group Consumer Watchdog.

Concerns Over Class Action, Copyright, Antitrust Law

The DoJ was also praised by the consumer watchdog known as Consumer
Watchdog, a notorious thorn in Google’s side. But the watchdog argues
that even if the DoJ’s concerns are alleviated, the court should reject
the settlement. "Solving the antitrust problem is only [part] of the
problem,” said Consumer Watchdog’s John Simpson.

The Department of Justice said the Google Book Search settlement would violate class action, copyright and antitrust law and said it should not be approved without changes. Consumer advocates were joyous about the DOJ’s finding: "This is a victory for consumers and the broad public
interest," said John M. Simpson, consumer advocate with Consumer
Watchdog. "Consumer Watchdog supports digitization and digital
libraries in a robust competitive market open to all organizations,
both for-profit and non-profit, that offer fundamental privacy
guarantees to users. But a single entity cannot be allowed to build a
digital library based on a monopolistic advantage when its answer to
serious questions from responsible critics boils down to: ‘Trust us.
Our motto is "Don’t be evil."’"

The
Open Book Alliance, a group formed by interests who oppose the current
settlement plan, said it was pleased with DOJ’s action. Making books
searchable, readable and downloadable can unlock huge amounts of
cultural knowledge but the arrangement as drafted is the wrong way to
go about making that promise a reality, the group said. One of Google’s
chief critics, a nonprofit called Consumer Watchdog, said even if DOJ’s
concerns are addressed, the settlement should not be implemented.

John Simpson of Consumer Watchdog said he was pleased with the filing. "As the Justice brief makes clear, the proposed class-action
settlement is monumentally overbroad and invites the court to overstep
its legal jurisdiction, to the detriment of consumers and the public,"
Simpson said in an email.

SANTA MONICA, CA — Consumer Watchdog praised the U.S. Justice
Department for objecting to the proposed Google Books settlement in a
brief the department filed in U.S. District Court tonight. The nonpartisan, nonprofit consumer group had asked the Justice
Department to intervene in the case on antitrust grounds last April.
Justice announced it was investigating in July. Justice’s objections
tonight went beyond antitrust concerns.

The U.S. Department of Justice has come out against the proposed
agreement to settle copyright lawsuits that authors and major
publishers filed against Google over the search company’s book search
program. Consumer Watchdog, a
consumer protection organization that earlier this year urged the DOJ
to get involved, filed a 30-page document opposing the agreement,
saying it will "strip rights from millions of absent class members,
worldwide, in violation of national and international copyright law,
for the sole benefit of Google. There should be a competitive book-search market, while the U.S.
Congress must solve the orphan works problem. The parties simply cannot justify this ‘solution’ which does not
adequately protect the Rightsholders and unfairly benefits a single
party," reads the Consumer Watchdog statement.

The U.S. Department of Justice late Friday urged the court overseeing Google’s book search settlement with authors and publishers to reject the settlement in its current form, although it strongly hinted that the parties are flexible on certain provisions.

Consumer advocate group Consumer Watchdog asked the DOJ to enforce this offer. Privacy advocates oppose the deal because they believe Google will collect too much info on users without proper precautions to protect readers’ privacy.

WASHINGTON, DC —  Any plan offered by Google meant to overcome
objections to the proposed Google Books settlement must include a
“binding agreement with the full force of law,” Consumer Watchdog told
the U.S. Justice Department today. Justice has until Friday to file
its position on the books settlement with the court.