By Ronni Mok, JD/MBA Candidate L’24
Enacted in 2020, the Copyright Alternative in Small-Claims Enforcement Act (CASE Act) established a Copyright Claims Board (CCB), effectively a small claims court-type system for relatively small copyright disputes, under the U.S. Copyright Office. The Office plans to open the new board, and to start hearing disputes, before late June of 2022.
Congress created the CCB as a voluntary low-cost alternative to federal court for relatively small copyright disputes. Once an author has registered with, or at minimum submitted an application to, the Copyright Office, any copyright infringement claims can be brought to the CCB. Unlike the federal courts, the CCB has limits to the damages it can award: up to $15,000 in statutory damages and no more than $5,000 in attorney’s fees (in cases of bad faith), unless a party shows unusual circumstances. Injunctions can be awarded, but only if the infringer agrees. The CCB will also have limited discovery, and will not apply the federal rules of evidence, allowing the case to be handled with lesser filing fees. Proceedings, however, are voluntary, as the accused infringer can opt out, leaving the federal courts as the only recourse.
Given that small claim proceedings are designed to be more efficient and affordable compared to traditional court filings, the CCB is anticipated to attract more copyright owners. The opt-out provision is a potential problem for creators as it may inhibit the CASE Act’s goal of providing a simpler venue to those who need it the most. Alternatively, copyright law professor Rebecca Thusnet of Harvard University has expressed concerns about potential abusers filing high volumes of claims. In a statement to Bloomberg, Tushnet warns of potential notice and understanding issues.
The initial deadline for implementing the tribunal was December 27, 2021, but the CASE Act allowed the Copyright Office to delay by 180 days, if necessary. Last year, Register of Copyrights Shira Perimutter decided to postpone the formal setup of the small claims copyright tribunal, giving the CCB until May 2022 to kick-off. With the announcement of judges for the board and continuous roll out of proposed regulations throughout 2021 and early 2022, the CCB is expected to start hearing claims as soon as the coming spring.