Union Calendar No. 198
105TH CONGRESS
1ST SESSION
H. R. 2265
[Report No. 105–339]
A BILL
To amend the provisions of titles 17 and 18, Unit-
ed States Code, to provide greater copyright pro-
tection by amending criminal copyright infringe-
ment provisions, and for other purposes.
OCTOBER 23, 1997
Reported with an amendment, committed to the Commit-
tee of the Whole House on the State of the Union, and
ordered to be printed
IB
Union Calendar No. 198
105TH CONGRESS
1ST SESSION
H. R. 2265
[Report No. 105–339]
To amend the provisions of titles 17 and 18, United States Code, to provide
greater copyright protection by amending criminal copyright infringement
provisions, and for other purposes.
IN THE HOUSE OF REPRESENTATIVES
JULY 25, 1997
Mr. GOODLATTE (for himself, Mr. COBLE, Mr. FRANK of Massachusetts, and
Mr. CANNON) introduced the following bill; which was referred to the
Committee on the Judiciary
OCTOBER 23, 1997
Additional sponsors: Mr. DELAHUNT, Mr. GALLEGLY, and Mr. CLEMENT
OCTOBER 23, 1997
Reported with an amendment, committed to the Committee of the Whole
House on the State of the Union, and ordered to be printed
[Strike out all after the enacting clause and insert the part printed in italic]
[For text of introduced bill, see copy of bill as introduced on July 25, 1997]
A BILL
To amend the provisions of titles 17 and 18, United States
Code, to provide greater copyright protection by amend-
ing criminal copyright infringement provisions, and for
other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘No Electronic Theft
(NET) Act’’.
SEC. 2. CRIMINAL INFRINGEMENT OF COPYRIGHTS.
(a) DEFINITION OF FINANCIAL GAIN.—Section 101 of
title 17, United States Code, is amended by inserting after
the undesignated paragraph relating to the term ‘‘display’’,
the following new paragraph:
‘‘The term ‘financial gain’ includes receipt, or
expectation of receipt, of anything of value, including
the receipt of other copyrighted works.’’.
(b) CRIMINAL OFFENSES.—Section 506(a) of title 17,
United States Code, is amended to read as follows:
‘‘(a) CRIMINAL INFRINGEMENT.—Any person who in-
fringes a copyright willfully either—
‘‘(1) for purposes of commercial advantage or
private financial gain, or
‘‘(2) by the reproduction or distribution, includ-
ing by electronic means, during any 180-day period,
of 1 or more copies or phonorecords of 1 or more
copyrighted works, which have a total retail value of
more than $1,000,
shall be punished as provided under section 2319 of title
18.’’.
(c) LIMITATION ON CRIMINAL PROCEEDINGS.—Section
507(a) of title 17, United States Code, is amended by strik-
ing ‘‘three’’ and inserting ‘‘5’’.
(d) CRIMINAL INFRINGEMENT OF A COPYRIGHT.—Sec-
tion 2319 of title 18, United States Code, is amended—
(1) in subsection (a), by striking ‘‘subsection (b)’’
and inserting ‘‘subsections (b) and (c)’’;
(2) in subsection (b)—
(A) in the matter preceding paragraph (1),
by striking ‘‘subsection (a) of this section’’ and
inserting ‘‘section 506(a)(1) of title 17’’; and
(B) in paragraph (1)—
(i) by inserting ‘‘including by elec-
tronic means,’’ after ‘‘if the offense consists
of the reproduction or distribution,’’; and
(ii) by striking ‘‘with a retail value of
more than $2,500’’ and inserting ‘‘which
have a total retail value of more than
$2,500’’; and
(3) by redesignating subsection (c) as subsection
(e) and inserting after subsection (b) the following:
‘‘(c) Any person who commits an offense under section
506(a)(2) of title 17—
‘‘(1) shall be imprisoned not more than 3 years,
or fined in the amount set forth in this title, or both,
if the offense consists of the reproduction or distribu-
tion of 10 or more copies or phonorecords of 1 or
more copyrighted works, which have a total retail
value of $2,500 or more;
‘‘(2) shall be imprisoned not more than 6 years,
or fined in the amount set forth in this title, or both,
if the offense is a second or subsequent offense under
paragraph (1); and
‘‘(3) shall be imprisoned not more than 1 year,
or fined in the amount set forth in this title, or both,
if the offense consists of the reproduction or distribu-
tion of 1 or more copies or phonorecords of 1 or more
copyrighted works, which have a total retail value of
more than $1,000.
‘‘(d)(1) During preparation of the presentence report
pursuant to Rule 32(c) of the Federal Rules of Criminal
Procedure, victims of the offense shall be permitted to sub-
mit, and the probation officer shall receive, a victim impact
statement that identifies the victim of the offense and the
extent and scope of the injury and loss suffered by the vic-
tim, including the estimated economic impact of the offense
on that victim.