Draft Dallas Buyers Club letter to scare pirates into settlement

Draft Dallas Buyers Club letter to scare pirates into settlement

Bad news for Aussie Dallas Buyers Club pirates: the letter that Dallas Buyers Club LLC's lawyers are planning to send to infringers will threaten suspected pirates with incurred legal costs and charge for multiple film copies if a settlement is not reached.

As a quick recap, back in April the Federal Court of Australia ruled that certain Australian ISPs must give the names and addresses of account holders suspected of pirating the Dallas Buyers Club film so they could send letters detailing legal proceedings against copyright infringers.

The presiding Justice Nye Perram ordered that the letter be admitted as evidence to ensure the rights holders refrained from speculative invoicing (a practice that has seen US residents be threatened with court proceedings costing hundreds of thousands of dollars if a US$7,000 fine wasn't paid).

A copy of the letter and a 'suggested' phone transcript were admitted to court today, and it appears that threats are still on the agenda.

Letter Dallas Buyers Club

Hide your kids – the Dallas Buyers Club's after them too

Though the letter advises that suspects are potentially liable for the 'uploading and downloading of the film', 'the legal costs incurred' and 'additional damages', there is no mention of settlement price.

This ambiguity allows the company free reign on negotiating a case by case settlement and the accompanying suggested telephone transcript suggests that the company will use the fear of court proceedings as leverage, in extracting the most money possible from account holders.

Amongst statements that "a person under 18 who engaged in the unlawful distribution of the Dallas Buyers Club is still liable for that conduct", the suggested phone transcript pushes the point that an immediate settlement offer "will not be the same amount claimed by our client should this matter proceed to court".

Transcript Dallas Buyers Club

Not just the cost of a film

And in response to people asking why the settlement costs are more than just the cost of downloading the film, the script follows: "our clients are also out of pocket for legal and compliance costs [that] form part of the damage… to which they are also entitled to claim from you".

Not only does the transcript suggest that phone operators ask for personal information like your annual salary to determine a settlement amount, but it also suggests explaining that "any file shared [through a BitTorrent application] is made available to hundreds, if not thousands of persons, thereby giving a potential claim for multiple copies of our clients work".

If you receive a letter we'd recommend contacting a lawyer, iiNet is offering free legal advice.








Other ISPs to join the Dallas Buyers Club target list

Other ISPs to join the Dallas Buyers Club target list

Following an announcement from iiNet earlier in the week which included an offer to its customers for pro-bono legal advice to those suspected of illegally downloading the Dallas Buyers Club film, rights holders and ISPs met again to negotiate compensation for the ISPs costs in divulging customer details.

The most foreboding element to emerge from the hearing yesterday was that Voltage Pictures confirmed it would now pursue other Australian ISPs including Telstra, Optus and TPG, for similar copyright violations by account holders.

Nathan Mattock, a partner at Marque Lawyers, the representatives of Voltage Pictures, told Mashable yesterday, "DBC will be writing to the other ISPs in the next week seeking consent to similar court orders as those obtained against iiNet."

Will other Aussie ISPs stand up for their customers?

Since the collective ISPs lost the preliminary discovery case, the involved ISPs are up for 75 per cent of Voltage Pictures' legal fees, which may be enough motivation for other ISPs to roll-over on their customers.

Mattock also said that the technology used in the landmark proceedings against iiNet were just a 'test case', which ran for a month and captured only a small selection of pirates.

Using the same technology, Voltage now plans to expand to a 12-18 month period where it will capture the IP addresses of infringers from any Australian ISPs.

The cost of infringement

Yesterday Voltage pictures and Australian ISPs reconvened before the court to negotiate the compensation requested by the ISPs for the expenses involved in finding and disclosing the identities of the 4,726 suspected of copyright infringement of the Dallas Buyers Club film.

Though in an earlier hearing the ISPs were negotiating for $275,000 in compensation on the operational costs of identifying suspected infringers, the figure currently on the table is $108,000.

Both the legal representatives of the Dallas Buyers Club and the presiding Judge believed that the sum requested by iiNet, Dodo, Internode, Amnet, Adam Internet and Wideband seemed excessive, but a decision on the appropriate compensation will not be handed down until June 18th.