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Libraries and publishers clash over bill to regulate ebook licensing; committee defers measure
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Summary
HB 2577 would let Hawaii regulate contractual licensing of ebooks and audiobooks to libraries; state library witnesses said publishers' licensing models are unaffordable, while publisher groups warned the bill would be preempted by federal copyright law. The committee deferred the bill.
HB2577 prompted sharply divided testimony on how digital books should be licensed to public libraries.
Library system representatives told the committee that publishers increasingly offer only time-limited or highly restrictive licenses for ebooks and audiobooks, at prices that far exceed consumer costs. A state library witness said, "Digital access is now essential to education ... Without intervention, libraries will continue to spend public resources on expensive expiring licenses that are inflated and nonnegotiable," and described examples where an ebook that retails for $16.99 costs a library $67.99 for a single, limited-use license.
The American Association of Publishers' counsel, speaking for the publishing industry, urged rejection of the bill. Counsel said the proposal is likely preempted by federal copyright law and would invite litigation; she cited prior litigation in Maryland and warned that the measure could make it harder for Hawaii authors and libraries to secure access in the marketplace.
Committee members asked the library about usage models, turnover rates, and the DOE-style trigger language in the bill (which delays enforcement until similar laws in other states are enacted). Library witnesses described multiple licensing models (usage counts, fixed-term licenses) and said they would provide additional data to the committee.
After hearing both sides and noting legal concerns raised by the publishers' representatives and others, the committee deferred HB2577 for further study and to allow staff to consider potential technical fixes and legal analyses.
