On 1st July 2009, the Government published its long-overdue response to the Law On Damages Consultation. This consultation was closed on 27 July 2007, almost two years ago. A specific issue which was raised by the Federation in its response was that it is currently possible to acquire licences for software applications after an infringement has been discovered without any penalty being imposed. The Government recognises that the absence of such a penalty does not provide any incentive to acquire the licence prior to use. However, it does not believe that exemplary damages to counter the absence of any penalty is the answer. It states that the imposition of a fine may be a more appropriate course in these circumstances. No commitment to change this has been given by the Government, and fines are already a possible penalty where a company has been convicted of copyright offences. We are disappointed that after nearly two years, no material change is being proposed and the Government says that further consideration is needed.
