Why MiHoYo Game Content Leaks May Not Constitute Criminal Copyright Infringement in China?

(By You Yunting) Recently, Chinese media reported that the video game developer miHoYo had filed a criminal complaint that someone cracked its game testing client and leaked unreleased character designs online. Following a criminal investigation, the police detained the suspects and determined to prosecute them for the crime of copyright infringement, as the unauthorised disclosure not only infringed miHoYo’s copyrights but also satisfied the statutory threshold for criminal prosecution due to the substantial volume of online views. From the perspective of protecting corporate rights and combating online infringement, the prompt intervention of the police is understandable. However, from the standpoint of the principle of modesty and the principle of legality, it is worth examining whether this case is appropriate for criminal prosecution. In the author’s view, such an act is better addressed through civil remedies rather than criminal proceedings.

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AI Face-Swapping Infringement: How to Defend Your Rights in China?

(By You Yunting) Recently, an AI face-swapping scandal on the Hongguo short-drama platform has attracted widespread public attention. The likenesses of multiple ordinary individuals have been AI-generated and used in short dramas on the platform without authorization: some were edited into lewd and greedy villains roles in the drama Taohuazan (English translation: Peach Blossom Hairpin) , while others were directly made the leading actress. While celebrities make headlines when their faces are misused, ordinary people often don’t even know they’ve been cast. Infringers count on you not discovering the infringement, or being too reluctant to sue even if you find out, or that the compensation awarded will be negligible. Today, we will explain how to enforce your rights on your own, with three core steps: evidence collection, complaint, and litigation.

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How to Protect Your Works When AI Lowers the Barrier to Film Creation to Zero

(By You Yunting) The recent AI-generated Chinese short drama Huo Qubing has gone viral. Reportedly, the computing production cost was a mere 3,000RMB, yet it racked up massive views. A friend asked me: “Can I charge for this video since it’s entirely generated by AI?” My response: “Certainly, it can be offered for a fee. However, under the Copyright Law, works generated entirely by AI are generally ineligible for copyright protection. If someone else uses this video to charge fees, you may have no legal recourse to stop them.” Therefore, to secure enforceable rights, creators must proactively embed protectable intellectual property (IP) or personality rights into their video as an “IP moat”.

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How Will NVIDIA’s Purchase of Pirated Content to Train AI Be Characterized Under Chinese Law?

(By You Yunting) Recently, a lawsuit filed by U.S. copyright holders against NVIDIA for allegedly using pirated materials to train AI models has attracted significant public attention. According to the complaint, in order to quickly obtain more than 500 terabytes of data, NVIDIA proactively contacted the pirate website Anna’s Archive and paid hundreds of thousands of U.S. dollars to download a large volume of pirated content, including copyrighted books and articles.

Anna’s Archive is one of “shadow libraries” known for their decentralized and anonymous nature, most of which typically provide access to literature in a way that infringes upon its copyright. If the plaintiffs’ allegations are true, it will be a serious blemish on the reputation of NVIDIA, the world’s most valuable company, to have paid a pirate website for content and then been sued by copyright holders. However, the unauthorized use of training data can be considered the “original sin” of nearly all general AI companies. In both China and the United States—the two global leaders in AI technology, numerous lawsuits concerning AI training data have already emerged. We will discuss whether, under Chinese law, NVIDIA’s alleged conduct will be considered breach of law.

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How Difficult is it for Heygen AI Services that Make Guo Degang Tell English Jokes to Land in China?

(By You Yunting) Recently, many videos of celebrities speaking foreign languages have appeared on the Internet, such as Guo Degang and Zhao Benshan telling English jokes, and Taylor Swift and Donald Trump speaking Chinese, which is actually supported by using AI services of Heygen. I visited Heygen’s website and found that it was not available to domestic users with no WeChat and Alipay in the service payment channel, but in fact Heygen’s founders are two Chinese, both graduating from Tongji University. Today I would like to discuss the formalities Heygen needs to go through in order to have its AI services land in China.

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How Does George Martin Prove ChatGPT’s Misuse of Game of Thrones as Training Materials

(By You Yunting) It was reported that Authors Guild and 17 writers, including George Martin, author of A Song of Ice and Fire: A Game of Thrones, brought a collective action against OpenAI, an intellectual intelligence company to the United States District Court for the Southern District of New York, claiming that OpenAI used the copyrighted work to train AI models without authorization[1]. With great interest in how the plaintiff proved OpenAI misused A Song of Ice and Fire: A Game of Thrones to train ChatGPT, I read the Complaint on the website of Authors Guild. In this article, I would like to analyze this case based on copyright laws.

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What Problems Does “AI Sun Yanzi” Have in Intellectual Property and Law?

(By You Yunting) Various AI generated songs by “AI Sun Yanzi” hit the screen the other day. Related intellectual property issues became hot topics on media. I would like to discuss legal issues relating to songs generated from real person’s voice extracted by AI engines.

In brief, based on intellectual property law, it is not very likely that songs generated by AI trained with real person’s voice and used for non-commercial purpose infringe other person’s rights, but before they are made available online, licenses for copyright, backing music and elements used in videos should be obtained. In Civil Code, however, songs generated by AI trained with real person’s voice must be subject to the person’s authorization or otherwise, could infringe personal rights. Let’s look at the “AI Sun Yanzi” case.

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Are AI Generated Works Copyrightable? I and ChatGPT Give Different Answers

(By You Yunting) With much attention drawn to ChatGPT, people are interested in discussing whether AI generated works are copyrightable. When I am asked this kind of question, my answer is basically no. However, when I asked ChatGPT, the most well-known AI program, it answered yes. Open AI, ChatGPT developer claimed that it was entitled to benefits from these works. I would like to discuss this issue with you.

Ask Is AI generated content copyrightable?
ChatGPT Answer Yes, it is. In copyright law, original works created by individuals and organizations, including natural people and machines are copyrightable. All kinds of AI generated content that is protectable under copyright law, including words, pictures, audio recordings, videos and other forms of content are protected by copyright law.
Ask Can I get a share of profits from sale of AI (or chatgpt) generated works that are protected by copyright law?
ChatGPT Answer Sale or use of a copyright law protected AI generated work (such as a ChatGPT generated text) for other commercial purpose should be subject to license or authorization granted by the copyright owner, i.e. original author or licensor. Sale or use of the content of ChatGPT developed by a company or an individual with its copyright owned by the developer for other commercial purpose should be subject to license or authorization granted by the company or individual. In this case, ChatGPT developer or owner could get a share of the profits in an proportion agreed by the parties or explicitly set out in the authorization or license agreement.

First, my argument is that no person should be granted copyright in or paid a license fee for AI generated works because they are not copyrightable in nature. Users can claim their rights under the Anti-Unfair Competition Law in case of AI generated work infringement.

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Legal Protection of Digital Derivatives of Drama (Part II)

(By Lv Xuanxuan)

I. Civil right protection

As stated above, digital derivatives are virtual property because of its form and value. In Section 5 Civil Rights of Chapter I General Provisions of Civil Code include general provisions about digital and internet based virtual property, stating that digital and internet based virtual property should be protected according to relevant legal provisions, if any. Pursuant to Articles 240 and 241 of Civil Code, real property or property owner is legally entitled to possess, use, receive profits from, assign or create a right to use or security interest in the property, but the person with a right to use or security interest in the property cannot exercise their rights by harming the property owner’s rights. In Article 323 of Civil Code which sets out five rights relating to use of property, the person with a right to use other person’s real property or property can legally possess, use or receive profits from the property. In addition, Civil Code also includes security, pledge, lien and occupation related rules. Because of the legality of rights in property, ownership and the right to assign internet based virtual property is based on creditor’s right to ask for payment of debts owed to them, not directly coming from the property related provisions of Civil Code.

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Legal Protection of Digital Derivatives of Drama (Part I)

(By Lv Xuanxuan)

Issues

Digital collectibles (artworks) that emerged over the past year or so are a hot topic in culture and art. As one example, an artist uploads a digital file of painting, audio, video or creative works in other forms onto a third party platform, creates a file copy on the digital book of a block chain as “NFT” and backs it up with encrypted currency. As another example, a performance organizer sells tickets with characters in a play (art images) on a third party platform.[1] Digital collectibles (artworks) come from “NFT” applications. “NFT” technology is used to record ownership of artworks or collectibles and other assets. “NFT” is the abbreviation of “Non-Fungible Tokens” which according to Collins English Dictionary[2] means a digital certificate registered in a block chain and is usually translated into Chinese as “non-homogenous tokens”.

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What is Disney’s Greatest Concern After Expiration of Copyright in Mickey Mouse

(By You Yunting) The 94-year-old Mickey Mouse will reach the end of its copyright protection term in the US, Disney’s headquarters. Actually, its copyright protection terms in other countries almost all expired some time ago. Being well acquainted with Mickey Mouse IP, Disney has maximized profits by running its business skillfully and continuing making innovations. However, it has weaknesses as well. This article discusses the most destructive practices by its rivals to the commercial value of Mickey Mouse, potential damage to Mickey Mouse’s commercial value by making it a horror or pornographic movie, and its corresponding solutions.

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Key Points that Performers Should Know When Protecting Themselves from Internet Portrait Right Infringement

(By Lv Xuanxuan and Sun Yinuo) Back in September 2020, Beijing Internet Court published “Rules on Hearing and Deciding Internet Portrait Right Cases” (“Rules”) stating that unauthorized use of a person’s portrait in an advertorial should be deemed as infringement; unauthorized use of a recognizable portrait should be deemed as infringement; the popularity of the person in the portrait is important to calculate the amount of damages; false endorsement will result in more liabilities; and legal and reasonable use of portraits should not be deemed as infringement. According to statistics, the number of portrait right infringement cases, mostly connected with portraits of well-known public figures, especially celebrities in areas of entertainment, ranked immediately below the number of internet copyright infringement cases. Infringement of portrait right of “performers” in areas of entertainment is common. This article gives performers some advice on how to protect their rights in internet portrait right infringement cases to help them claim rights in an appropriate way and seek reasonable and effective remedies.

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Strategies for Protecting Intellectual Property Rights in Online Education Platform Software

(By Gao Shaoyi, Li Rong)Online education is becoming increasingly more important to educational and training industries due to the impact of Covid-19. Online education platforms provide various educational services including course video recording, live online teaching, personalized teaching and instructing, test question searching, work assessment, etc., which to some extent reduce the effect of suspension of on-campus classes on teachers and students. There are many online education platform developers and a lot of online education platform software products launched. Some software brands are copied from others. Therefore, for online education platform software developers, giving a protection for intellectual property rights in their online education platforms in all respects is the only way to gain more core competitive advantages and succeed in today’s market.

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As “Changing Face Images” Becomes a Hot Issue, Can ZAO Use Portraits of Its Users at Its Own Discretion by the User Agreement?

There is a widespread distrust in high tech companies around the world since the scandal of the Cambridge Analytic information of Bookface broke out. A user agreement for ZAO, a Chinese-made app for changing human face images in videos became a hot issue on the internet the other day because of its provision that no person can use the app without giving the right to use their face images permanently. Many people thought that the app developer Changsha SHEER Network Technology Inc. (“ZAO Company”) infringed the user’s portrait right and privacy.

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Comments on the Decided Case of “Explaining Pictures” from Three Lives and Three Worlds Woven Together by Secrets

(By Ni Tinggang) Beijing Internet Court recently closed a case arising from the right to transmit information on the internet, in which the defendant Shenzhen Shushu Technology Co., Ltd. (“Defendant”) transmitted a continuous series of pictures from the TV series Three Lives and Three Worlds Woven Together by Secrets (“Episodes in Dispute”) by using the method of “explaining a movie with pictures”, infringing the right to transmit on the internet proprietary information of the plaintiff Youku Network Technology (Beijing) Co., Ltd. (“Plaintiff”). The court decided the identity of the infringing person and the exclusion of reasonable use for good reasons. However, I have noticed that the type of works in question and the plaintiff’s eligibility decided by the court is questionable and worth discussion.

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