Social networking sites' licensing terms: A cause of worry for users?' by Phalguni Mahapatra and Anindya Sircar in (2024) The Journal of World Intellectual Property comments
Terms of service (ToS) for social networking sites (SNS) like Instagram, Meta, X, and so on, is a clickwrap agreement that establishes a legal relationship between platform owners and users, yet probably it is the most overlooked legal agreement. The users of these sites often overlook the ToS while registering themselves on these sites and even if users (especially those with no legal background) are attempting to read them, it is difficult for them to understand because of the legal jargon. As a result, they end up signing away legal rights about which they are unaware. According to these sites' ToS, though the ownership of the user-generated content is bestowed upon the user but the users grant to these sites “a non-exclusive, royalty-free, transferrable, sub-licensable, worldwide license” and this license can be used “to host, use, distribute, modify, run, copy, publicly perform or display, translate and create derivative works of user's content.” These sites even bestow on themselves the right to modify the content which poses challenges to the right-holders' moral rights. The fact that these platforms can sublicense the user's work creates complexities when a user intends to grant an exclusive license of his work. There is no clarity on the language of the terms like the manner of exploiting the user's content, what happens if the sublicensing is for a wrongful purpose? The problem magnifies as there is neither explicit indication about the duration of the license nor about the territorial extent. This would suggest that these sites can get a perpetual license on the content of the users. These SNS have consumers spread worldwide but in their ToS, they have forum selection clauses that list out the courts and districts in California. This means users will be discouraged to bring a copyright suit due to the lack of an option to file a claim in their home country. The US case Agence France Presse (AFP) v. Morel helps us conclude twofold mainly there is a hope that SNS will not take ToS to shield themselves from further use of the user's work and strengthen the idea that these platforms may choose to license to their partners. Further, in 2018, the Paris Tribunal declared most clauses of Twitter “null and void” due to the nature of the license and also, because it was not in compliance with French Intellectual Property Code. This gives a faint hope for a positive shift in the legal treatment of user-generated content. Though these sites claim to retain the sublicensing right to run their sites smoothly but the licensing is very broad and carries the possibility of many usages of the content that too without paying compensation to the user. Therefore, this paper aims to highlight and give insight into the unfair licensing terms of the most often used social networking sites and its implications.
