Anna's Archive loses $322M Spotify piracy case without a fight

Anna’s Archive is generally known as a meta-search engine for shadow libraries, helping users find pirated books and other related resources.

However, last December, the site announced that it had also backed up Spotify, which came as a shock to the music industry.

Anna’s Archive initially released only Spotify metadata, and no actual music, but that put the music industry on high alert. Together with the likes of Universal, Warner, and Sony, Spotify filed a lawsuit days later, hoping to shut the site down.

Through a preliminary injunction targeting domain registrars and registries, the shadow library lost several domain names. However, not all were taken down, and the site registered various new domain names as backups.

The legal pressure also appeared to pay off in other ways. Not long after the lawsuit was filed, the shadow library removed the Spotify listing for their torrents page. The same applies to the first batch of music files that was accidentally released in February.

The site’s operator, Anna’s Archivist, hoped that these removals would motivate the music industry to back down, but that wasn’t the case. Instead, they returned to court requesting a $322 million default judgment after the defendant failed to show up in court.

$322 Million, Granted in Full

Yesterday, Judge Jed Rakoff of the Southern District of New York entered a default judgment against the site’s unknown operators, awarding Spotify and the major labels the requested $322 million damages award in full.

The music labels get the statutory maximum of $150,000 in damages for around 50 works. Spotify adds a DMCA circumvention claim of $2,500 for 120,000 music files, bringing the total to more than $322 million.

The plaintiff previously described their damages request as “extremely conservative.” The DMCA claim is based only on the 120,000 files, not the full 2.8 million that were released. Had they applied the $2,500 rate to all released files, the damages figure would exceed $7 billion.

| Plaintiff(s) | Damages Sought | Amount | |---|---|---| | Warner | Statutory damages for willful copyright infringement (17 U.S.C. § 504(c)) at $150,000 for 48 sound recordings | $7,200,000.00 | | Sony | Statutory damages for willful copyright infringement (17 U.S.C. § 504(c)) at $150,000 for 50 sound recordings | $7,500,000.00 | | UMG | Statutory damages for willful copyright infringement (17 U.S.C. § 504(c)) at $150,000 for 50 sound recordings | $7,500,000.00 | | Spotify | Statutory damages for circumvention of a technological measure (17 U.S.C. § 1203(c)(3)(A)) at $2,500 for 120,000 music files | $300,000,000.00 | | Total | | $322,200,000.00 |

Anna’s Archive did not show up in court, and the operators of the site remain unidentified. The judgment attempts to address this directly, by ordering Anna’s Archive to file a compliance report within ten business days, under penalty of perjury, that includes valid contact information for the site and its managing agents.

Whether the site will comply with this order is highly uncertain.

For now, the monetary judgment is mostly a victory on paper, as recouping money from an unknown entity is impossible. For this reason, the music companies also requested a permanent injunction.

Permanent Injunction Targets Domains

In addition to the damages award, Rakoff entered a permanent worldwide injunction covering ten Anna’s Archive domains: annas-archive.org, .li, .se, .in, .pm, .gl, .ch, .pk, .gd, and .vg.

Domain registries and registrars of record, along with hosting and internet service providers, are ordered to permanently disable access to those domains, disable authoritative nameservers, cease hosting services, and preserve evidence that could identify the site’s operators.

The judgment names specific third parties bound by those obligations, including Public Interest Registry, Cloudflare, Switch Foundation, The Swedish Internet Foundation, Njalla SRL, IQWeb FZ-LLC, Immaterialism Ltd., Hosting Concepts B.V., Tucows Domains Inc., and OwnRegistrar, Inc.

Anna’s Archive is also ordered to destroy all copies of works scraped from Spotify and to file a compliance report within ten business days, under penalty of perjury, including valid contact information for the site and its managing agents. That last requirement could prove significant, given that the identity of the site’s operators remains unknown.

A Way Out, at a Price

In theory, Anna’s Archive has the option to prevent the domain suspension. The permanent injunction allows the site to seek relief from this measure, after showing that it has paid the full $322 million damages award and complied with all injunctive obligations.

That’s an unlikely option, to say the least. At the same time, however, it is not guaranteed that the site’s domain names will be suspended. As reported previously, several domain names, including the Greenland-based .gl version, are linked to registries and registrars outside the jurisdiction of the U.S. court.