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MyMovingReviews.com Unable to Obtain Dismissal Under CDA

According to Massachusetts U.S. District Court Judge O’Toole the defendants in Moving and Storage, Inc. v. Payanatov are in the moving business and operate a web site at MyMovingReviews.com which, they claim, reflects neutral consumer reviews of moving companies.

Not true, assert some of their competitors and the plaintiffs in this case. The plaintiffs allege that MyMovingReviews manipulates the reviews, deleting positive reviews of the plaintiffs and deleting negative reviews of their own company.

Web sites that allow consumer reviews are protected from copyright infringement under the DMCA, and from tort (e.g. defamation) claims under the Communications Decency Act (CDA) assuming, in each instance, that they meet the often strict requirements of the statutes. The defendants claimed the protection of the CDA, and moved to dismiss under that law. Not so, held Judge O’Toole –

The plaintiffs’ claims do not arise from the content of the reviews, whether they be disparaging, laudatory, or neither, but instead, the defendants’ alleged ill-intentioned deletion of positive reviews of the plaintiffs’ moving companies and deletion of negative reviews of their own company, coupled with various representations – that the website offers “accurate” data, that it is “serious about reviews quality,” and that readers “see the most accurate and up to date rating information to base your decision on.” The manner in which the information is presented, or withheld, is the conduct at issue, as well as the allegedly misleading ratings which result from such alleged manipulations. Such conduct provides substantial basis to find that the defendants were developers of the alleged misinformation.

The defendants argued that they were allowed to delete reviews under Section 230(c)(2) of the CDA, which provides that no operator of a website shall be liable for restricting access to material it deems (among other things) objectionable. However, the CDA requires that the website owner show good faith, and the plaintiffs had alleged bad faith.

The court also refused to dismiss a claim of copyright infringement based on the allegation that MyMovingReviews had copied text from a website belonging to one of the plaintiffs.

The court did, however, dismiss claims based on false advertising, unfair competition, tortious interference and trademark infringement. As to the last of these claims, the court rejected an argument in support of trademark infringement based on the controversial (and largely discredited) “initial interest confusion” doctrine, finding that plaintiffs had failed to adequately allege “confusion.”

Mass Law Blog Update – Week Ending March 14, 2014

  • First Circuit holds that failure to register copyrights in underlying musical compositions dooms copyright infringement claims. Alecia v. Machete Music (link)
  • N. Dist. Cal. court holds that websites copy of photo of politician is protected by copyright fair use doctrine. Dhillon v. Does 1-10 (link)
  • The 9th Circuit has declared open season on the petition for rehearing or hear en banc in its decision in Garcia v. Google – anyone can file an amicus brief (link). This case has been the subject of massive criticism by the copyright community, and it seems likely that it is headed for en banc review.
  • Techdirt: Google Points Out That Even the Copyright Office Thinks Judge Kozinski’s ‘Innocence of Muslims’ Rule is Wrong. Techdirt sums up recent developments in Garcia v. Google, including the fact that the plaintiff has been unable to obtain a copyright registration (see first bullet above). (link)
  • Hearings of House Subcommittee on Courts, Intellectual Property and the Internet on March 13, 2014.  Topic this week was the DMCA (link)
  • Atlantic article, Our Best Weapon Against Revenge Porn: Copyright Law? (link)
  • Columbia Law Professor Jane Ginsburg (daughter of Supreme Court Justice Ginsburg), Aereo in International Perspective: Individualized Access and U.S. Treaty Obligations (link)

  • David Nimmer (Nimmer on Copyright) says Second Circuit got it wrong in Aereo case. Responds Aereo: “ouch” (link)
  • The courts are unable to agree on when an idea is “abstract,” and therefore ineligible for patent protection under the non-statutory “abstract idea” test. The Supreme Court will take up this issue again in Alice Corporation Pty. Ltd. v. CLS Bank Internationalwhich is scheduled for oral argument on March 31st.  But, briefing is complete and Dennis Crouch summarizes the arguments on Patently-O. (link)
  • D. Mass. judge denied motion to dismiss claim against company hosting third-party web site reviews (mymovingreviews.com) under Communications Decency Act (CDA), on grounds that there is substantial basis to conclude that the defendants (not third parties) were the developers of the information at issue.  Moving and Storage, Inc. v. Panayotov (link)
  • E.D. Mich. judge struggles with copyright and trademark claims against a variety of high profile defendants (Sports Illustrated, Walmart, Getty Images) arising out of 1991 still photo of a moment in a football game between the U. of Michigan Wolverines and the Ohio State Buckeyes.  (link)
  • Week 7 CopyrightX – The Rights to Reproduce and Modify (link to Lecture 7.1)

 

Boston Bar Association Interview/Profile

The Boston Bar Association has done a nice interview and profile of me on its blog, “Tipping the Scales.”

Lee Gesmer is a founder and partner of Gesmer Updegrove LLP, a Boston-based firm formed in 1986 that focuses on the representation of technology companies and emerging businesses. Lee’s practice focuses on litigation in the areas of business and intellectual property law. He is a former Council member and former Co-Chair of the BBA Intellectual Property Section, as well as the Computer and Internet Law and Business Litigation Committees.

1. What inspired you to take the leap and start your own firm?

My father owned his own business, and I worked for him summers in my teens. He taught me how important it is to work for yourself. He really believed America was the land of opportunity for people willing to take the risk of starting their own businesses. He embedded that idea in me at an impressionable age. When I graduated from law school, my plan was to work for a couple of good firms and get enough experience that I could start my own firm.

Continue reading . . ..

Mass Law Blog Update, Two Weeks Ending February 28, 2014

The week ending February 21, 2014 was a light week, so this week’s Update covers the two weeks ending February 28, 2014

  • 9th Circuit holds actress owns copyright in her individual performance, reverses lower court’s denial of preliminary injunction. Garcia v. Google (link). See blog post on this case here.
  • Utah federal district court issues preliminary injunction order against Aereo, limited to Tenth Circuit. Aereo’s first loss in court, although courts in California and the District of Columbia had enjoined FilmOn X, which provides retransmission of over-the-air broadcasting using the same technology. Communityy Television of Utah v. Aereo.
  • Southern District of Florida grants motion to dismiss in case alleging copyright infringement of architectural worksSieger Suarez v Arquitectonica
  • The USPTO has published more material relating to the Green Paper on Copyright Policy, Creativity and Innovation in the Digital Economy (link). A transcript of the December 12, 2013 public hearing is available here.  Post-hearing public comments are available here.
  • The Copyright Office’s announcement requesting comments and announcing a roundtable on the “making available” right for copyright holders has been published in Federal Register (link)
  • The U.S. District Court for the District of Minnesota has issued an injunction, under the authority of the Computer Fraud and Abuse Act (CFAA), against a defendant that allegedly broke into a company’s computer system and took confidential information. Reliable Property Services v. Capital Growth Partners.
  • The broadcasters have filed their initial Supreme Court brief in American Broadcasting v. Aereo (link)
  • Motion to dismiss action based on a DMCA takedown notice targeting a trademark (as opposed to a copyright, which is the only appropriate subject of a DMCA takedown notice), denied by N.D. Cal. court.  Crossfit v. Alvies (link)
  • Ninth Circuit finds no trademark infringement based on “trademark fair use.” Webceleb v. Proctor & Gamble (link).
  • Billboard reports on “Songwriter Equity Act,” which would update the factors considered by the Copyright Royalty Board when determining compulsory licenses for songwriters, composers and publishers (link)
Film Actress Uses Copyright in Her Performance to Force Youtube to Take Down a Movie

Film Actress Uses Copyright in Her Performance to Force Youtube to Take Down a Movie

An old legal saw warns that “hard cases make bad law.” The Ninth Circuit Court of Appeals decision in Garcia v. Google may be a good example of this maxim.

The issue facing the Ninth Circuit was whether an actress can claim a copyright interest in her performance in a film and, if so, under the unusual circumstances in this case, whether the actress could use that copyright to compel Google to remove the film from Youtube.

The facts in this case were very hard. The plaintiff, Cindy Garcia (pictured on left) was paid $500 to act in an independent film for a few days. She was told she was acting in an adventure film set in ancient Arabia. However, the film turned out to be an anti-Islamic movie, and her voice was overdubbed so that she appeared to be asking, “is your Mohammed a child molester?” The movie, titled “Innocence of Muslims,” let to a fatwa, and Garcia received death threats.

Screen Shot 2014-02-26 at 9.11.15 PMAfter Youtube (owned by Google) refused Garcia’s request to takedown the film (rejecting multiple DMCA notices from Ms. Garia), she brought suit for copyright infringement, make a novel legal argument. Rather than arguing that the film was a joint work under copyright law (which might have entitled her to a share of profits, but wouldn’t have achieved her goal of forcing Youtube to remove the film), she  argued that she retained a copyright interest in her contribution. Calling this “a rarely litigated question,” Chief Judge Alex Kosinski, writing for a divided 3-judge panel, avoided the question whether Garcia qualified as a joint author of the film (it seems clear that, under Ninth Circuit precedent such as the Aalmuhammed case, she would not). Instead, he wrote that “nothing in the Copyright Act suggests that a copyright interest in a creative contribution to a work simply disappears because the contributor doesn’t qualify as a joint author of the entire work.”

The opinion concludes that Ms. Garcia may claim a copyright interest in “the portion of the film that represents her individual creativity.”

The court rejected Google’s argument that Ms. Garcia’s performance was a work made for hire (she was not an employee), or that she had granted the filmmaker an implied license (her participation had been induced by fraud, precluding that argument). And, Ms. Garcia had never assigned her rights to the filmmaker in a written document.

Lastly, the court found that Ms. Garcia had suffered irreparable harm (“death is an irremediable harm, and bodily injury is not far behind”), and that she had satisfied the causation requirement. The court “rejected Google’s preposterous argument that any harm to Garcia is traceable to her filing of this lawsuit.”

The district court had denied an injunction, which the Ninth Circuit reversed, ordering Youtube to take down all copies of “Innocence of Muslims.”

It’s difficult to predict whether this case will be a significant legal precedent. The idiosyncratic facts were sympathetic to Ms. Garcia, who appears to have been the victim of a fraudulent filmmaker, and who suffered unusual harm as a consequence. However, independent of these facts, the Ninth Circuit has held that an actor or actress owns an independent copyright interest in a film performance, reminding every non-fraudulent film producer to obtain a written copyright assignment from every performer.

Garcia v. Google, Inc. (9th Cir., February 26, 2014)