CCH Canadian Ltd. v. Law Society of Upper Canada

“Fair dealing is not a loophole, it is a legal right.”

SHORT DESCRIPTION

The decision in CCH Canadian Ltd. v. Law Society of Upper Canada is one of the most influential judgments on copyright law globally. The Supreme Court of Canada clarified the scope of the doctrine of fair dealing and held that it is not merely a defence to copyright infringement, but a substantive right of users. This judgment plays a crucial role in maintaining the balance between the rights of copyright holders and the public’s right to access knowledge, particularly in academic, legal, and research environments.

FACTS OF THE CASE

CCH Canadian Ltd., a well-known legal publisher, owned copyright in several law reports, case compilations, and legal materials. The Law Society of Upper Canada maintained a library that provided photocopies of legal materials, including judgments, statutes, and commentaries, to lawyers, law students, and researchers upon request. CCH alleged that this practice amounted to systematic copyright infringement and claimed that the Law Society had no authority to reproduce copyrighted works without permission or licensing.

The Law Society argued that the photocopying services were limited in nature, closely monitored, and provided strictly for the purposes of legal research and study. It contended that such use fell squarely within the scope of fair dealing under Canadian copyright law.

ISSUES INVOLVED

The Supreme Court was required to determine whether the photocopying of copyrighted legal materials for research purposes constituted infringement or fell under fair dealing. The Court also examined whether fair dealing should be interpreted narrowly as an exception or broadly as a user’s right. Another important issue was whether institutional libraries could rely on fair dealing when providing copies to their users.

ARGUMENTS OF THE PARTIES

CCH argued that large-scale photocopying by an institutional library could not be considered fair dealing and that such practices harmed the economic interests of publishers. It was further submitted that allowing libraries to copy materials freely would undermine the incentive to create and publish scholarly works.

The Law Society countered that access to legal information is fundamental to the administration of justice. It argued that the copying was reasonable, limited, and purpose-driven, and that denying fair dealing would create barriers to legal research and professional practice.

FINDINGS AND OBSERVATIONS OF THE COURT

The Supreme Court held that fair dealing must be given a broad and liberal interpretation. It ruled that fair dealing is a user’s right and forms an integral part of copyright law. The Court laid down factors to determine whether dealing is fair, including the purpose, character, amount, and effect of the copying. Applying these principles, the Court found that the Law Society’s practices were reasonable and did not amount to infringement. The Court emphasized that copyright law must strike a balance between protecting creators and ensuring public access to knowledge.

SUGGESTION / PRACTICAL TAKEAWAY

This judgment provides strong protection to educational institutions, libraries, and research bodies. It underscores the importance of implementing controlled and purpose-specific copying practices. Over-enforcement of copyright should not come at the cost of public interest and access to information.

JUDGMENT

Year: 2004

The Supreme Court of Canada held that the Law Society’s photocopying practices constituted fair dealing and did not infringe copyright.