A federal judge has rejected a deal that would allow Google to cash in on its massive library of digital books. The search giant had reached a settlement with the Authors' Guild over its indexing of books in 2008 but U.S. circuit judge Denny Chin said the deal unfairly gives Google "a significant advantage over competitors."
"While the digitization of books and the creation of a universal digital library would benefit many, the ASA would simply go too far," reads a court document. "It would permit this class action--which was brought against defendant Google Inc. to challenge its scanning of books and display of 'snippets' for on-line searching - - to implement a forward-looking business arrangement that would grant Google significant rights to exploit entire books, without permission of the copyright owners. Indeed, the ASA would give Google a significant advantage over competitors, rewarding it for engaging in wholesale copying of copyrighted works without permission, while releasing claims well beyond those presented in the case."