Litigation

Eighth Circuit Requires Actual Dissemination of Sound Recordings for Copyright Infringement

By H. William Allen et al.

An interesting issue about music distribution over P2P networks is working its way to the Eighth Circuit. See Capitol Records, Inc. v. Thomas, 2008 U.S. Dist. LEXIS 106225 (D. Minn. Dec. 23, 2008).

This case appeared to be a routine copyright infringement case. Plaintiffs sued defendant for downloading and distributing 24 songs over Kazaa.  The jury awarded statutory damages of $9,250 per song. A year later, the court vacated the verdict because the jury instruction said actual dissemination is not required. Although some courts support this view, the Eighth Circuit requires actual dissemination for violation of the distribution right, 17 U.S.C. § 106(3).

Plaintiffs requested certification for an interlocutory appeal, but the court denied the request. The court ordered a new trial and also hinted it considers the damage award in the first trial to be unconstitutional. The case involves 5 amicus parties, and the United States has intervened. Expect this one to go to the Eighth Circuit later this year.

Full post as published by Arkansas Business Litigation Blog on January 16, 2009 (boomark / email).