KSLU Corner™ New AIBE previous QP

IPR and information technology: online piracy of computer programmes and its modes

Law of Intellectual Property and Information Technology · Unit IV · Topic 7 of 12 · 6 min read

Why software sits at the meeting point of IP and IT, what software is in law (goods, licence, copyright), the modes of piracy from softlifting and hard-disk loading to P2P, cracking and app cloning, the civil, criminal and IT Act responses, and the debate on piracy, access and open source.

On this page
  1. 1. The relationship between IPR and IT
  2. 2. What software is in law
  3. 3. Why software is easy to pirate
  4. 4. Modes of piracy
  5. 5. The legal response in India
  6. 6. Comparative note on piracy
  7. How this is examined
Cases checked to exist. Read the judgment before quoting a holding.

Every case cited here has been checked to exist — the citation resolves and names the right parties. The propositions attributed to each case have not been verified line by line against the judgment. Case names link through to the full judgment: read it before quoting a holding in an examination answer, and never carry a proposition from notes into court on trust.

The examinable core. Software is both a product of IT and its main tool, which is why the syllabus begins Unit IV with “the relationship between IPR and IT”. A good answer explains why software is unusually easy to pirate, lists the modes of piracy precisely, and then maps each mode to the provision that catches it: the Copyright Act for copying and distribution, section 65A for cracking, and the IT Act for unauthorised access and source code tampering.

1. The relationship between IPR and IT

The two interact in three directions.

  1. IT creates new subject matter for IP: computer programmes, databases, semiconductor layout designs, digital content, domain names, and now AI models and outputs. Law has had to choose a regime for each, usually stretching an old one (copyright for software and databases) and sometimes inventing a new one (the EU database right; the Semiconductor Integrated Circuits Layout-Design Act, 2000).
  2. IT makes infringement easier: perfect copies at no cost, worldwide distribution, anonymity.
  3. IT also enables enforcement: digital locks (technological protection measures), watermarks and rights management information, licence keys and online activation, content recognition systems on platforms, and website blocking. Lessig’s point that code regulates applies here (Unit I).

Peter Drahos and John Braithwaite, in Information Feudalism: Who Owns the Knowledge Economy? (2002), argue that the expansion of IP in the information economy, driven by a small number of corporations through TRIPS, transfers knowledge from the public into private hands. The book is on the KSLU reading list and is the standard critical source for this unit.

2. What software is in law

3. Why software is easy to pirate

4. Modes of piracy

ModeWhat it involves
Softlifting (end-user piracy)Installing one licensed copy on more computers than the licence allows; sharing copies within an office or among friends
Client-server overuseMore users on a network using the programme at one time than the licence permits
Hard-disk loadingA dealer installs unlicensed copies on computers it sells, as an incentive to buy the hardware
CounterfeitingMaking and selling copies made to look genuine, with copied packaging, manuals and labels
OEM and academic unbundlingSelling separately software licensed only with particular hardware, or academic versions to commercial users
RentingRenting copies for temporary use without permission
Internet piracyOffering programmes for download from websites, auction sites, file lockers or through peer-to-peer and torrent networks
CrackingRemoving or bypassing licence checks with cracks, patches and key generators, or distributing stolen licence keys
Cloning and reverse engineering beyond what the law permitsCopying the code or structure of an app or game and republishing it under a new name
Account and subscription abuseSharing or reselling cloud and subscription credentials, unauthorised access to software-as-a-service

The online modes are the “online piracy” the syllabus mentions. They combine with other harms: cracked software is a common carrier of malware, and pirate sites rely on advertising.

5. The legal response in India

Copyright Act, 1957

Information Technology Act, 2000

Contract

End-user licence agreements, shrink-wrap and click-wrap terms limit use and transfer. Electronic contracts are valid under section 10A of the IT Act.

Cases

Delhi High Court decisions such as Microsoft Corp. v. Yogesh Papat (2005) granted damages against dealers who loaded unlicensed software, and the court routinely issues ex parte injunctions with local commissioners to inspect businesses running unlicensed copies.

6. Comparative note on piracy

The US adds the DMCA ban on circumvention devices and statutory damages per work infringed. The EU Software Directive (2009/24/EC), Article 7, requires remedies against putting into circulation infringing copies and against means intended solely to remove technical protection of a programme. TRIPS Article 61 requires criminal procedures for wilful copyright piracy on a commercial scale.

Debate: piracy, price and access. One view treats piracy as theft that deprives developers of the return that funds new software. Another, found in Drahos and Braithwaite and in development scholarship, says that prices set for rich markets put software beyond reach in poorer ones, that piracy has historically spread skills, and that the remedy is access through pricing, open-source alternatives and government procurement policy. Free and open-source software uses copyright itself to secure freedom: the GNU General Public License requires that modified versions be distributed on the same terms (“copyleft”). The Government of India’s policy on adoption of open source software (2015) favours it for e-governance.

How this is examined

Likely long questions: “Explain the relationship between IPR and information technology.” “What is software piracy? Discuss its various modes and the legal remedies available in India.” “Examine online piracy of computer programmes under the Copyright Act, 1957 and the IT Act, 2000.”

Likely short notes: softlifting; hard-disk loading; counterfeiting of software; copyleft; section 63B; section 65 of the IT Act; Engineering Analysis.