The CoStar Group has settled copyright infringement against rival Xceligent with the commercial real estate data conglomerate being paid $10.75 million by its competitor’s insurers, although according to court filings that’s a fraction of the $450 million CoStar initially sought. CoStar and Xceligent's court-appointed bankruptcy trustee filed a proposed judgment in Delaware Bankruptcy Court, finding Xceligent liable for $500M in damages for stealing tens of thousands of images from CoStar's databases. Xceligent, which filed for Chapter 7 bankruptcy liquidation in December 2017, doesn't have the assets to fulfill the entire $500M ruling. BisNow says that the parties reached a settlement through which Xceligent's insurers will pay CoStar $10.75M. The bankruptcy settlement and judgment in the copyright infringement case are both subject to court approval.
The settlement of a case between photographer Robert Barbera and CBS over the 'use' of Barbera's photo of Justin Beiber has left open the question of whether the unauthorised embedding of a social media posts that contain copyright-protected photos amounts to copyright infringement - leaving some of the issues in the Goldman v. Breitbart lawsuit unanswered: That case concerned embedded tweets that featured a photo of football star Tom Brady - but the case was voluntarily dismissed in May. In a highly-contested decision in early 2018, Judge Katherine Forrest of the U.S. District Court for the Southern District of New York determined that a handful of media companies, including Vox, Time, Yahoo, and Breitbart, among others, had infringed a copyright-protected image that Eric Goldman took of Tom Brady by embedding third-party tweets that contained the image into articles on their websites. Finding for Goldman, Judge Forrest’s February decision was a stark contrast to the general agreement among U.S. courts that when a party embeds a photo into an article, and thus, does not actually create a copy of the image or store it on its server, there is no new “display” of the photo for copyright purposes, and as a result, no copyright infringement - although case such as Perfect 10, Inc. v. Amazon.com, Inc in 2007 are themselves not without critics who disagreed with the appellate court ruling that embedding does not require that an image be copied or stored, and thus, does not run afoul of copyright law. More on The Fashion Law website here. Robert Barbera's Image from complaint.
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Those Turtles and the issue of pre-1972 copyrights in sound recordings in the USA keep going on and on - with the Ninth Circuit appeals court now asking the lower court in California to consider what the Music Modernization Act (MMA) means for any ongoing disputes involving unpaid digital royalties on pre-1972 recordings. CMU Daily reports that the MMA reformed US copyright law in a number of ways and "Perhaps the biggest reforms related to the way the mechanical rights in songs are licensed Stateside. In theory those reforms were meant to bring to an end the long line of lawsuits being pursued against the on-demand streaming services over unpaid mechanical royalties .... Another part of the MMA related to the use of recordings - rather than songs - by online and satellite radio services, including personalised radio platforms like Pandora. Under US-wide federal copyright law AM/FM radio stations aren't obliged to pay any royalties to artists and labels for the recordings they play, but satellite and online stations are. However, recordings released before 1972 are protected by state-level rather than federal copyright law, so digital services argued that that royalty obligation didn't apply to pre-1972 tracks." Probably one of the best known cases on the matter was litigation pursued in the Californian courts against both Sirius and Pandora by Flo & Eddie, former members of 1960s band The Turtles and whilst a settlement was reached in California, and new law removes any debate over the ongoing royalty obligations of services like Pandora moving forward, the question remained over what royalties should have been paid in the past. Now the Ninth Circuit has said that the question of assessing whether Pandora still faces liabilities for past non-payment of royalties in the context of the MMA is matter for the district court that first considered the original lawsuit. The appeals court said in a ruling last week: "Whether the MMA applies to and pre-empts Flo & Eddie's claims, as Flo & Eddie note, cannot be answered on the record before us. The resolution of this issue depends on various unanswered factual questions".
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Taylor Swift by George Chin |