100 Iowa L. Rev. 1789 (2015)

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Abstract

In American Broadcasting Companies v. Aereo, Inc., the Supreme Court addressed a growing split among lower federal courts regarding the copyright liability of a business that retransmitted broadcast television programs to its subscribers for a monthly fee without obtaining a license or paying royalties. In holding that Aereo violated exclusive public performance rights, guaranteed to copyright holders by the Copyright Act, the Court overturned the Second Circuit’s interpretation of the Copyright Act’s Transmit Clause. The Court’s holding relied on Aereo’s substantial similarity to cable television to conclude that Aereo’s system “performed” “to the public” under the Transmit Clause. This Comment argues that the Court’s decision in Aereo provided little guidance regarding other service providers and could threaten the development of new technologies. The uncertain state of the law after Aereo requires action by Congress to provide more guidance. A comprehensive overhaul of the Copyright Act would best address the problems in applying the Copyright Act to modern technology, as exemplified by the Aereo litigation.