From an article in Library Journal, Academic Newswire of 5 April 2007...
"Mitrano said that Cornell was threatened with litigation by AAP over its e-reserves and that the sheer cost of defending itself and the potential liability for infringement landed the university in a tight spot. AAP first went after the University of California, San Diego, Mitrano reminded attendees, noting that AAP lawyers soon realized that effort would fail, because the school, as a state institution, had immunity from prosecution under federal copyright laws."
Is it true that a state institution is immune from prosecution under federal copyright laws? This makes no sense to me.