ITC Can’t Regulate Web, Appeals Court Rules

In a ruling that thrilled advocates for an open web, the Federal Circuit Court of Appeals ruled that the International Trade Commission does not have the authority to regulate information on the internet. The ITC has become a popular venue for patent and copyright disputes, but a recent case dealt with digital data crossing international borders. Judge Sharon Prost drew a clear line between physical and digital goods, saying, “The Commission’s decision to expand the scope of its jurisdiction to include electronic transmissions of digital data runs counter to the ‘unambiguously expressed intent of Congress ….Common sense dictates that there is a fundamental difference between electronic transmissions and ‘material things.’” The ruling disappointed groups hoping to use the expanded authority to target online content pirates.