Begin forwarded message:
From: Paul Levy <plevy@citizen.org>
Date: May 21, 2008 5:42:15 PM EDT
To: David Farber <dave@farber.net>
Subject: Federal Judge Rejects Software Maker's Attack on the First Sale Doctrine
I want to call your attention to an important decision won by my
colleague Greg Beck on behalf of an eBay vendor who buys software at
yard sales and then resells it on eBay. AutoDesk claimed that because
it sticks a shrinkwrap license into the boxes when it sells its AutoCad
software, nobody is really buying the software, just taking it under
license, and hence first-sale doctrine does not protect him against a
copyright infringement claim. The judge squarely rejected this
argument.
I rather expect that Autodesk will be anxious to take this case up to
the Ninth Circuit.
Paul Alan Levy
Public Citizen Litigation Group
1600 - 20th Street, N.W.
Washington, D.C. 20009
(202) 588-1000
http://www.citizen.org/litigationFor Immediate ReleaseMaureen Backman 5/21/2008 5:33 PM >>>
May 21, 2008
Contact:
Joe Newman (202) 588-7703
Maureen Backman (202) 588-7742
Federal Judge Upholds Right of Vendor to Sue Against Anti-Consumer
Copyright Claim
eBay Vendor Claims Right to Resell Used Copies of
Products from Software Company
WASHINGTON, D.C. - A California software company’s “license
agreement” it includes with copies of its products does not prohibit
buyers from reselling the software on sites such as eBay or anywhere
else, a federal judge ruled today.
Judge Richard A. Jones denied Autodesk’s motion to dismiss a lawsuit
filed by eBay seller Timothy Vernor, who is represented by Public
Citizen and Seattle attorney Michael Withey. Vernor sued Autodesk in
November after the company prevented him from reselling copies of
“AutoCAD Release 14.” Autodesk filed several Digital Millennium
Copyright Act (DCMA) notices with eBay claiming the sale would infringe
its copyright.
Vernor acquired a used copy of AutoCAD at a garage sale in 2005 and put
it up for auction on eBay. Autodesk sells this product in a
shrink-wrapped box that includes a license agreement.
Public Citizen contended that Autodesk’s actions suppressed
competition and led to higher prices for consumers. Public Citizen
argues in the complaint that the owner of a copyrighted product can
resell that product without permission, and that the court should
protect Vernor’s rights to resell AutoCAD software.
Jones’ ruling, filed in the U.S. District Court Western District of
Washington at Seattle, stated that Vernor is entitled to protection
under the First Sale Doctrine, which allows a person who owns a
lawfully-made copy of a copyrighted work to sell or dispose of the
copy.
“This sends a clear message to copyright owners that once they sell a
copy of their products, they have no right to control subsequent
sales,” said Public Citizen attorney Greg Beck. “Consumers
deserve protection against these types of abusive tactics that can force
consumers to pay higher prices.”
Vernor’s suit against Autodesk will proceed.
To read the case documents, go to:
http://www.citizen.org/litigation/forms/cases/CaseDetails.cfm?cID=437
###
Public Citizen is a national nonprofit advocacy organization based in
Washington, D.C. For more information, please visit www.citizen.org.
Maureen Backman
Communications Assistant
Public Citizen
1600 20th St. NW
Washington, DC 20009
(202) 588-7741
mbackman@citizen.org
(202) 588-7742