Friday, February 26, 2021

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Florida Judge Keeps Questioning Copyright Troll's IP-address Evidence
Ernesto Van der Sar, 26 Feb 10:14 PM

ip addressOver the past three years, adult entertainment company Strike 3 Holdings has filed thousands of cases in US federal courts.

These lawsuits target people whose Internet connections were allegedly used to download and share copyright-infringing content via BitTorrent.

While many of these cases resulted in private settlements, Strike 3 has also experienced some setbacks in court. For example, not all judges are convinced that an IP-address is sufficient evidence for a viable case.

The Court as an ATM

Others are even more outspoken. A few years ago, US District Court Judge Royce Lamberth accused Strike 3 of being a known "copyright troll" that was using his court "as an ATM." The company flooded the court with lawsuits "smacking of extortion", he added.

Strike 3 Holdings sees things differently. And while a few judges are clearly upset with these targets, there are many who still play along. This allowed the company to collect millions of dollars in settlements over the years.

Even judges in the same District Court can handle these cases differently, which brings us to the topic at hand today.

The Southern District of Florida is one of the courts where Strike 3 is active. Over the last year, it filed roughly a dozen cases, and most judges signed off on a subpoena request. This is crucial, as it allows the company to ask ISPs for the personal information of subscribers.

Geolocation and IP-address Doubts

Not all judges are easy to convince though. District Court Judge Ursula Ungaro is particularly critical. Simply put, she doesn't believe that the geolocation tools, which link IP-addresses to her district, are 100% accurate.

"Plaintiff's assertions as to Defendant's residency therefore seem to be in large part based upon the assumption that the geographic data results of IP address geolocation are valid and accurate," she writes in a recent order.

"This strikes the Court as possibly problematic after reviewing technical literature which suggests otherwise," Judge Ungaro adds.

The Internet doesn't have an inherent mechanism to link IP-addresses to specific locations, the order adds, linking to research and various articles on the topic.

An IP-address Isn't Enough

If Strike 3 wants to continues its case, it will have to come up with more conclusive evidence to show that the IP-address is linked to the Florida district. Not just that, but Strike 3 also has to provide evidence that shows that this IP-address is linked to a specific person

"Additionally, this Court recognizes that IP addresses are assigned to nodes connected to the Internet, but are not necessarily representative of individual end-node/end-system devices, and especially are not representative of individual people," Judge Ungaro notes.

"This Court therefore requires that Plaintiff show that due diligence, as well as due care, have been employed in ascertaining that the IP address associated with the alleged tortfeasor is or was assigned to a system or node that can be used to reasonably calculate the identity of the alleged infringing party."

Rinse and Repeat

Regular readers may recall that the "IP-address is not a person" argument has been brought up in the past. In fact, Judge Ungaro highlighted this last year in a similar order, also directed at Strike 3 Holdings.

While this may seem like a major stumbling block for the adult content producer, the reality is a bit different. When Judge Ursula issued her motion last year, Strike 3 simply dropped the case and moved on to the next. It wouldn't be a surprise if we see that happening here as well.

Pragmatically speaking, it's easier for the company to drop the case and file a new one, hoping for a 'friendlier' judge. That paid off after Judge Ungaro's order last year, and it will likely work again. Rinse and repeat.

Or other words, if the ATM is not working, just try the one next door.

The motion to show cause, issued by Judge Ursula Ungaro, is available here (pdf)

From: TF, for the latest news on copyright battles, piracy and more.

"Grumpy Cat" is Long Gone But Her Copyright Lives On in Court
Ernesto Van der Sar, 26 Feb 12:23 PM

grumpy catGrumpy Cat is without doubt one of the most famous felines in Internet history.

The online celebrity was born in Morristown, Arizona in 2012 and passed away seven years later, following complications from a urinary tract infection.

The passing of Tardar Sauce, as she's officially named, made headlines all over the world. While cats are rumored to have nine lives, there's little chance of a comeback. What does live on, however, are the Grumpy Cat copyrights.

Grumpy Copycats

Grumpy Cat's 'owners' have made a lot of money through successful merchandise lines. And they are not alone, as there are many copycats who try to profit from her stardom.

This has resulted in dozens of copyright lawsuits and these certainly haven't stopped after Tardar Sauce's death. On the contrary, legal battles over the Grumpy Cat copyrights are more prevalent than ever before.

grumpy cases

Over the past year, Grumpy Cat Limited filed thirteen cases in US federal courts, compared to only a handful in the years prior. These cases all list sellers of unauthorized Grumpy Cat merchandise on sites including Amazon, Aliexpress, eBay, and DHGate.

New Lawsuit

The defendants' details are initially kept away from public view. That's also the case in the latest lawsuit that was filed at an Illinois federal court just days ago. What's clear, however, is that the defendants sell Grumpy Cat products.

"The Defendants create numerous Defendant Internet Stores and design them to appear to be selling genuine Plaintiff's products, while selling inferior imitations of Plaintiff's products," the complaint reads

"As a direct result of the acts of copyright infringement, Defendants have obtained direct and indirect profits they would not otherwise have realized but for their infringement of the copyrighted products."

The names of these sellers are sealed because Grumpy Cat Ltd fears that they may take countermeasures and set up shop elsewhere before a temporary restraining order is issued. This would reduce the effectiveness of the lawsuit.

grumpy case

Looking at earlier lawsuits, these cases typically involve hundreds of defendants. The sellers are relatively anonymous users of sites such as Amazon, with names such as Chengyang, CHUJUO, Bshuiquzhe, Bingbing Store, Berly Home, and Aoxiananc.

Broad Injunction and Millions in Damages

As in earlier cases, Grumpy Cat Limited asks the Illinois court for an order to prevent these sellers from selling Grumpy Cat products without permission. More importantly, they also request an injunction that requires online platforms to cut their ties with these users.

That last request is quite broad, as it is also directed at hosting companies, domain registrars, advertisers, and social media platforms. The request even mentions search engines, which should be required to remove the defendants' websites from their search results.

Finally, Grumpy Cat is asking for statutory damages of up to $2,000,000 for each and every use of its trademark. With hundreds of defendants, that quickly adds up.

Mixed Result in Previous Cases

The demands in the latest Grumpy Cat copyright battle are similar to earlier cases. In previous lawsuits, the response from courts has been mixed. While there is no doubt that Grumpy Cat Limited has a valid case, the demands were too broad for some judges.

United States District Judge Steven Seeger, for example, previously awarded a default judgment, but only for the minimum damages possible.

"Based on the record, there is no reason to believe that the harm is more than de minimis, so the Court awards the lowest amount of statutory damages ($1,000)," Judge Seeger wrote in an order issued last Summer.

'Excessive Restrictions'

None of the defendants responded so Judge Seeger also issued an injunction prohibiting the shops from infringing Grumpy Cat's copyrights. However, many of the restrictions on third-party intermediaries were denied, as these are "excessive".

"Plaintiff's draft order would impose significant, immediate obligations on third parties. Based on the record, the requested relief is excessive.

"Plaintiff also has not made an adequate showing to justify other extraordinary relief, such as transferring domain names, blocking money transfers, and forcing third parties to stop doing business with the Defaulting Defendants," Judge Seeger added.

In a separate case, that is still pending in court, the pendulum swung the other way.

District Court Judge Matthew F. Kennelly granted a temporary restraining order ordering third-party services to stop facilitating access to the rogue sellers. These include iOffer and Amazon, Facebook, YouTube, LinkedIn, Twitter, Google, Bing, Yahoo, web hosts, and domain name registrars.

Money and Assets Seized

Amazon was further instructed to locate any money the defendants have in their account, making sure that it doesn't get paid out while the case is ongoing. But the order basically requires all third-party services to restrain funds and assets.

"Defendants and any persons in active concert or participation with them who have actual notice of this Order shall be temporarily restrained and enjoined from transferring or disposing of any money or other of Defendants' assets until further ordered by this Court," Judge Kennelly wrote.

Thus far these lawsuits have been flying under the radar, but given the broad injunctions that are issued, we'll certainly keep a close eye on them going forward.

From: TF, for the latest news on copyright battles, piracy and more.

 
 
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