[2025] FCAFC 49
General information, not legal advice.
Federal Court of Australia (Full Court)
2025-04-10
Owens JJ
Original judgment source is linked above.
Board of Fire Commissioners (NSW) v Ardouin (1961) 109 CLR 105; [1961] HCA 71
Australian National Airlines Commission v Newman (1987) 162 CLR 466; [1987] HCA 9
CJ Burland Pty Ltd v Metropolitan Meat Industry Board (1968) 120 CLR 400; [1968] HCA 77
Clunies-Ross v Commonwealth of Australia (1984) 155 CLR 193; [1984] HCA 65
Copyright Agency Limited v State of New South Wales (2008) 233 CLR 279; [2008] HCA 35
Dixon v London Small Arms Co Ltd (1876) 1 App Cas 632, HL(E)
Feather v The Queen [1865] EngR 205; (1865) 6 B&S 257
General Steel Industries Inc v Commissioner for Railways (NSW) (1964) 112 CLR 125; [1964] HCA 69
JT International SA v Commonwealth of Australia (2012) 250 CLR 1; [2012] HCA 43
Pfizer Corporation v Ministry of Health [1965] AC 512
Re Australasian Performing Right Association Ltd's Reference (1982) 45 ALR 153; [1982] FCA 272
Suatu Holdings Pty Ltd v Australian Postal Corporation (1989) 86 ALR 532; [1989] FCA 60
University of Western Australia v Gray (No 20) [2008] FCA 498
AUSTRALIAN NEWS CHANNEL PTY LTD (ACN 068 954 478)
Note: Entry of orders is dealt with in Rule 39.32 of the Federal Court Rules 2011.
The copyright in a literary, dramatic, musical or artistic work or a published edition of such a work, or in a sound recording, cinematograph film, television broadcast or sound broadcast, is not infringed by the Commonwealth or a State, or by a person authorised in writing by the Commonwealth or a State, doing any acts comprised in the copyright if the acts are done for the services of the Commonwealth or State.
Consideration of government use of copyright material must start with the recognition that, subject to Pt VII, the Act "binds the Crown" (s 7). The Crown in Australia was not liable for infringement of copyright before the introduction of Pt VII, Div 2 of the Act. ...
Section 7 ... was first introduced following legislative developments which commenced with the Crown Proceedings Act 1947 (UK) and resulted in the abrogation of Crown immunity in the United Kingdom in respect of copyright infringement. In its terms, s 7 highlights the fact that Pt VII, Div 2 provides for an exception (and defence) to infringement provisions which would otherwise apply to the Crown.
Our attention has been drawn to the facts that Section 3 of The Crown Proceedings Act, 1947, provides for civil proceedings against the Crown in respect of infringements of copyright, as well as in respect of infringements of patents and registered designs, but the Copyright Act contains no specific provisions about Crown use of copyright material, of the kind included in the Patents Act and Registered Designs Act about Crown use of patented inventions and registered designs.
Notwithstanding anything in this Act, any Government department, and any person authorised in writing by a Government department, may make, use and exercise any patented invention for the services of the Crown in accordance with the following provisions of this section.
It appears to us to be anomalous that, whilst there are permanent provisions for Crown use of patented inventions and registered designs ... there are no corresponding statutory provisions for Crown use of any other copyright material. It seems to us that it may well be at times necessary for a Service Department, for example, when seeking tenders for military equipment ... , to copy drawings of, and documents about, the equipment in question, without always waiting for the prior consent of any owners of any copyright in the drawings and documents. ... At the same time, it is to be remembered that copyright covers a wide field over much of which, for example, copyright in musical works, the needs for Crown use without the prior consent of the owner are not the same as in the case, for example, of matters relating to military equipment. We accordingly recommend that power to reproduce copyright material for the services of the Crown should be granted by amendment of the Copyright Act ... , subject to provision for the payment of compensation ... . There should be an added limitation that the rights in question should be exercisable only in connection with equipment for the armed forces of the Crown, and perhaps also for purposes of Civil Defence and of essential communications.
A majority in the House of Lords held that the formula, of some antiquity, was not limited to the internal activities of government departments but included use by government departments in the fulfilment of duties imposed on them by legislation, and that the expression was broad enough to cover provision of products to the public.
In Victorian times they were the armed services - the navy and the army - the Civil Service, the foreign colonial and consular services, the Post Office, and perhaps some others. Now there are many more Governmental activities which are staffed and operated by servants of the Crown, and are subject to the direction of the appropriate Minister. But it is not suggested that for this purpose any distinction is to be made between the older and the newer services ... .
The Gregory Committee recommended that the Crown should be empowered to reproduce copyright material in connexion with the equipment of the Armed Forces and possibly also for civil defence and essential communications, subject to compensation (para. 75). This recommendation has, to a large extent, been put into effect by the provisions of the Defence Contracts Act, 1958. The Solicitor-General of the Commonwealth has expressed the view that the Commonwealth and the States should be empowered to use copyright material for any purposes of the Crown, subject to the payment of just terms to be fixed, in the absence of agreement, by the Court. A majority of us agree with that view. The occasions on which the Crown may need to use copyright material are varied and many. Most of us think that it is not possible to list those matters which might be said to be more vital to the public interest than others. At the same time, the rights of the author should be protected by provisions for the payment of just compensation to be fixed in the last resort by the Court. Our recommendation in this regard is, of course, confined to the Crown in the strict legal sense of that term and is not intended to cover statutory corporations, such as the Australian Broadcasting Commission and the Australian National Airlines Commission, which are not entitled to the privileges and immunities of the Crown.
We note that the Commonwealth and the States have a right to use inventions, subject to the payment of compensation, under section 125 of the Patents Act 1952-1955. We recommend the enactment of a provision on similar lines in respect of Crown use of copyright material.
The position of the Crown is more clearly defined under the Bill than under the present law. The Crown will continue to have copyright in respect of works produced or published by it. The Bill puts beyond doubt that the Crown is bound by the copyright law. Provision is made, however, for the use of copyright material for the services of the Commonwealth or the States upon payment of compensation to the owner of the copyright.
... followed a form of provisions governing the rights of the Commonwealth and the States to use inventions subject to the payment of compensation; this course had been expressly suggested by the Spicer Committee.
(a) That s 183(1) was modelled on, and intended to be construed consistently with, provisions tracing their ancestry to s 27 of the Patents, Designs and Trade Marks Act 1883 (UK) is clear (and so much was said by the High Court in Copyright Agency v NSW at [60], quoted above).
(b) Those provisions had an established meaning, with the phrase "for the services of the Crown" being described by the High Court in Copyright Agency v NSW at [56] as a formula "of some antiquity". The decision of the House of Lords in Pfizer, given only three years before the enactment of the Act, was a recent illustration of that fact. Various of the speeches in Pfizer, for the reasons we have set out above, made plain that the "services of the Crown" were not (or at the very least were not limited to) the provision of benefits to members of the public. Rather, the phrase was understood to refer to Departments and other organisations of government. It follows that the contention advanced by ground 4 of the notice of appeal, that "services" meant only the acts comprising the "outward facing functions" of government, must be rejected.
(c) The failure to adopt the words "for any purposes of the Crown" used in the Report of the Spicer Committee to describe the scope of the permission being recommended, and the use instead of the phrase "for the services of the Commonwealth or State", does not have the significance that the appellant sought to attribute to it. For the reasons given above, it is plain that the Spicer Committee in fact considered the two phrases to bear an equivalent meaning.
Proceedings do not lie against the Commission, an employee of the Commission, a person acting for or on behalf of the Commission under a contract with the Commission or an employee of such a person in respect of any loss or damage suffered by a person by reason of any default, delay, error, omission or loss in the receipt, transmission or delivery of postal articles or of money.
... [A] statutory limitation or exclusion provision such as s 104 is to be strictly construed for it protects the interests of a statutory authority which is given privileges in the nature of a monopoly for provision of a public service, at the expense of what otherwise would be individual justiciable rights: Australian National Airlines Commission v Newman [1987] HCA 9; (1987) 70 ALR 275; 162 CLR 466 at 471, 476; Queensland v Australian Telecommunications Commission (1985) 59 ALR 243; 59 ALJR 562 at 563. Thus, such phrases in s 104(1) as "in respect of" and "by reason of" are to be construed narrowly rather than generously, as would otherwise be the case.
As a matter of language, a power to acquire land for a public purpose appears to us to be prima facie limited to an acquisition of land which is needed or which it is proposed to use, apply or preserve for the advancement or achievement of that purpose.
If the power to acquire for a public purpose which the Act confers is construed as extending to purposes quite unconnected with any need for or future use of the land, the ministerial power thereby created would be surprisingly wide in that, subject only to monetary compensation, it would encompass the subjection of the citizen to the compulsory deprivation of his land, including his home, by executive fiat to achieve or advance any ulterior purpose which was a purpose in respect of which the Parliament has power to make laws or, in the case of land in a Territory, "any purpose in relation to that Territory". It is, in our view, unlikely that the Parliament would have intended to confer such a power other than by the use of clear words to that effect and subject to stringent and specially framed controls or safeguards against its abuse.
(a) First, it was said to show that, where a statute permits the Crown to engage in acts which would otherwise infringe a right held by another person, it ought to be narrowly construed, even if the statute provides for compensation to be paid.
(b) Secondly, the weight placed on the preposition "for" in its analysis was said to indicate by analogy that the phrase "for the services of the Commonwealth or State" required a "close connection between the particular act comprised in the copyright and the particular services of the Crown to be carried out using that copyright work or subject matter".
It is a very different matter to propose that the law-making power of the university authorises regulations which alienate or interfere with property rights not vested in UWA. The words of section 16E are not apposite to such a wide construction. Moreover, there is a well established presumption against construing legislation as interfering with vested proprietary interests.
The evident purpose of s 125, having regard to sub-s (7), is to ensure that the Governments of the Commonwealth and of the States have the invention available to them for the benefit of the services of the respective Governments at once, rather than at the end of the term of the letters patent. Under s 132 the Patents Act recognizes that in Australia those services are managed or performed, not exclusively by departments of government, but as well by "authorities" of the Commonwealth or State. ...
The railway system of the State is, in my opinion, undoubtedly a service of the State and the use of the invention in the construction of railway carriages to be used by the Commissioner in that railway system is a use for a service of the State or for the services of the State ... whichever may be the proper way to read the final words of s 125(1).
One could scarcely imagine that sections such as ss 125 and 132, with their evident practical purpose, did not extend to include within the expression the use of the services of the Commonwealth or State, the use of an invention for the purposes of one of the Government railway systems in Australia.
(a) The use of the singular indefinite article "a" to identify the copyright to which the statutory permission applies (i.e., "copyright in a literary, dramatic, musical or artistic work"); and
(b) The framing of the permission by reference to "any acts comprised in the copyright".
(a) The reference in s 183(3) to "the acts in respect of which the authority is given" does not mean that any authority is required to be framed at the level of individual acts. An authority can be expressed at a level of generality appropriate to the scope of the permission sought to be granted. It may be accepted, as the appellant submitted, that the Crown "may authorise copying a work, but not communicating it". But that does not mean that the Crown must explicitly authorise both copying and communicating, and may not, as it has done here, authorise the respondent to do "any acts comprised in the copyright". If a narrow authority is granted, then it may well be that a narrow act-by-act analysis is required. But if a general authority is granted, then the analysis will often be capable of proceeding at a higher level.
(b) The content of the obligation imposed on the Commonwealth and States by s 183(4), in circumstances where "an act comprised in a copyright has been done", to "inform the owner ... of the doing of the act" and furnish information "as to the doing of the act" will, once more, vary according to the circumstances of individual cases. Whether or not a copyright owner has, within the meaning of the provision, been "informed" of the otherwise infringing acts and provided with appropriate information will necessarily depend on particular facts. We do not think that it can be said that in all (or even many) cases, compliance with that obligation could only be achieved by specifically identifying each individual act (as opposed to identifying the set, or a sub-set, of otherwise infringing acts in some more general way). It follows that we do not accept as a general proposition that s 183(4) "clearly contemplates that the Crown be required to provide specific information as to the doing of acts comprised in the copyright, such as 'on x date 10 copies were made of y work by z authorised party'". In some cases particularity of that kind may be required, but in others a more compendious approach will be justified.
(c) The stipulation in s 183(5) that where "an act comprised in a copyright has been done under subsection (1), the terms for the doing of the act" are those either agreed or fixed by the Copyright Tribunal, may be seen to acknowledge that compensation for all uses of copyright material is to be paid to the owner, but it does not imply that the analysis of whether particular conduct falls within or without the protection of s 183(1) must necessarily proceed on an act-by-act basis. At the risk of burdensome repetition, the nature of the analysis appropriate to a case will depend on the facts.
(d) The presence of the "sampling" regime, as an alternative to s 183(4), contained in ss 183A to 183F, does not undermine the conclusions we have just expressed. The utility of that alternative regime does not depend on acceptance of the appellant's submissions as to the level of particularity with which otherwise infringing acts are required to be identified in accordance with sub-ss 183(3)-(5). There will be a wide range of circumstances where, by reason of the nature, volume, or circumstances of the Crown's use of a copyright owner's material, the sampling regime will represent an efficient means by which the owner's rights can be determined.
[T]he case was put for the Commission on the basis that each individual act of the Commission did not have to be examined under s 183 to ascertain whether a particular act, for example, the broadcasting of a sound recording, constituted an act done for the services of the Commonwealth but that any act done by the Commission, which fell within s 183, was always an act done for the services of the Commonwealth.
One can visualize that, in many instances, even in a very short period, a television or sound broadcast by the Commission may involve acts which, in the absence of some authorization, would infringe a great many copyrights owned by a number of owners. It seems unlikely that Parliament intended to place such broad obligations [i.e., those arising under sub-ss 183(3)-(5)] on the Commonwealth. In addition, one part of a broadcast may not be of a kind which could be said to be done for the services of the Commonwealth, if for no other reason, because of its nature.
Governments and their departments such as the representative government clients not only engage in the over-the-counter provision of services to the public (such as drivers licences, passports and social security payments). They are also responsible for managing the provision of services in a broader sense, extending to back-office tasks including policy making, internal decision making, and the preparation of information for public release.
(a) The appellant's construction would deny the uncontroversial operation of the equivalent words considered in Pfizer, and restrict their meaning to that aspect that was in dispute. In other words, in that case, it was accepted by both parties, and all members of the House of Lords, that the use of a patented invention for the internal activities of government departments was within the immunity created by s 46(1) of the Patents Act 1949 (UK); the dispute concerned whether the immunity also extended to the provision of products to the public. The appellant contends for a construction advanced by no one in Pfizer: that the words "for the services of the Crown" mean only the provision of benefits to the public.
(b) The appellant's construction would also be inconsistent with the recommendation of the Report of the Spicer Committee, in fulfilment of which s 183(1) was enacted. That Report recommended a broader immunity than that implemented in consequence of the Report of the Gregory Committee. It will be recalled that that latter Committee had recommended that the Crown's right to use copyright material ought to be limited to the right to reproduce copyright material in connection with the equipment of the Armed Forces, and potentially also for civil defence and essential communications. The appellant's construction would exclude those uses of copyright material. To do so is plainly inconsistent with the intended scope of the immunity to permit the use of copyright material "for any purposes of the Crown".
(c) A range of what might be considered incoherent distinctions would be required to be drawn. For example, the appellant contended that the copying of newspaper articles for use by the Department of Foreign Affairs in making decisions about the content of travel advisory warnings would not be permitted by s 183(1), but the publication of an extract from an article in a travel advisory warning would be allowed. It is difficult to discern any rational reason why s 183(1) would have been intended to permit the use of copyright material in the latter but not the former circumstances.
[I]t would be very difficult for state governments to obtain a complete understanding of the issues affecting the relevant interests in the community, and the particular portfolio interests of a state department or agency, without media monitoring. ... [T]he positions of key stakeholders can evolve over time and are often made known through subtle public statements to the media, and the ability for government advisors to be able to read these, through ongoing access to transcripts and reports from media monitoring gives them the opportunity accurately to anticipate the development of an issue and advise accordingly. ... [D]ue to the increasing volume of media content in both digital and hard copy formats, as well as the rapid pace at which media monitoring for government needs to be conducted to fulfil its purpose, it is generally not feasible for most government entities to conduct media monitoring in-house.
... to help brief senior government officials and Ministers for possible media enquiries and to brief them about the manner in which various relevant issues were being portrayed in the media; to assist in investigations and enforcement action, including to detect potential regulatory breaches; to gauge responses reported in the media to policy development and initiatives; and to gauge the effectiveness of government information campaigns by reviewing media reports.
[The respondent's] media monitoring process involved copying the entire broadcast of the Foxtel Sky News Channel and Sky News Regional Channel, 24 hours a day, 7 days a week, on a desktop computer. That copy was held for two weeks and then deleted. Prior to its deletion, portions of this copy, corresponding with the Sky News broadcast between 5am and midnight every day of the week, were transferred from the desktop computer to [the respondent's] central storage platform. That transferred copy was held for 395 days before being deleted. Voice-to-text (VTT) software then processed the transferred copy corresponding to the following time periods: (a) Monday to Friday: 5.30am to midnight; (b) Saturday: 6am to 10.30am, 12pm to 12.30pm and 11pm to midnight; and (c) Sunday: 6am to 12.30pm and 7pm to 10pm. This VTT process allowed [the respondent's] software to search the copied broadcast content (over which the VTT was run) by keyword. Based on keywords allocated by [the respondent] to each government client, the copied broadcast content containing particular keywords was 'tagged' by [the respondent's] software, and made accessible to the client to whom that keyword related, within the 395 day window in which the copy of the subset of the Sky News broadcast was stored on [the respondent's] central storage platform.
...
As for [the appellant's] website content, [the respondent] used web crawlers to copy the entire Sky News website. That content was processed to determine whether any keywords were present. If none were, the content was deleted. If keywords were detected, the content was 'tagged' to the client's account to whom the keyword related and those copies were stored in [the respondent's] central storage platform for 12 months. A portion of that copied content was then communicated to the client, together with a URL link to the publisher's website.
[H]ours of content were copied each day which were never going to be used by [the respondent], because it was never transferred from the desktop computer to the central storage platform. Even in respect of that portion which was copied across to the central storage platform, again, much of what was copied was not used. ... [The respondent's] software was not able to undertake the 'tagging process' with broadcast content which had not been converted to text. However, the VTT process was only run over parts of the copy of the broadcast which had been transferred to the central storage platform.
[A]ssume for the sake of argument that Sky News broadcast, at 3am on a Tuesday, a musical work in respect of which copyright subsists and is owned by someone other than [the appellant]. That musical work is played once at that time and not again. That person's copyright would be infringed by [the respondent] copying a broadcast of the musical work on the Sky News broadcast, however, the copy of that musical work would never make its way off [the respondent's] desktop server, and thus never be used by anyone before being deleted. If one was considering that act alone, as one must, how could it be said to that copyright owner that its work was copied 'for the services of' the Crown? The Crown would never make use of that work; it would never even be provided to the Crown to use. If that is so with respect to that one act, the same must hold in respect of all acts comprised in the copyright; [the respondent] cannot be in a better position for conducting mass infringement than targeted infringement.
It may be that a better system is available which involves less copying and less redundancy. But that is not, of itself, a disqualifying factor in the operation of s 183(1). The language of that section does not introduce a notion of fair dealing, akin to that present in Part III, ss 40, 41, 41A and 42 of the Copyright Act. The broad and facilitative language of s 183(1) leaves it open for such copying activities, provided that they are done for the services of the Commonwealth.
I certify that the preceding eighty-two (82) numbered paragraphs are a true copy of the Reasons for Judgment of the Honourable Justices Cheeseman, Jackman and Owens.
Australian News Channel Pty Ltd
Isentia Pty Limited [2025] FCAFC 49
(1968) 120 CLR 400
(1984) 155 CLR 193
(2008) 233 CLR 279
(1982) 45 ALR 153
(1987) 70 ALR 275
(1985) 59 ALR 243
(1961) 109 CLR 105
(1987) 162 CLR 466
(1964) 112 CLR 125
(2012) 250 CLR 1
(1989) 86 ALR 532