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Advanced Copyright Issues on the Internet - Fenwick & West LLP

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July 11 order as “modifying” <strong>the</strong> Mar. 5 order. 1307 Napster also argued that, in any event, <strong>the</strong>July 11 order’s “zero tolerance” standard was fundamentally at odds with <strong>the</strong> Ninth Circuitruling in Napster I. 1308 The plaintiffs, in turn, challenged <strong>the</strong> requirements of <strong>the</strong> preliminaryinjuncti<strong>on</strong>s that <strong>the</strong>y provide to Napster file names found <strong>on</strong> <strong>the</strong> Napster index that corresp<strong>on</strong>dedto <strong>the</strong>ir copyrighted works before Napster had a duty to act <strong>on</strong> those files.On appeal, <strong>the</strong> Ninth Circuit rejected most of <strong>the</strong> arguments of both Napster and <strong>the</strong>plaintiffs in a very sparse opini<strong>on</strong> that will be referred to as “Napster II.” 1309 With respect to <strong>the</strong>plaintiffs’ argument that it should not have to supply file names to Napster and that Napstershould instead be required to search for and block all files c<strong>on</strong>taining any protected copyrightedworks, not just works with which plaintiffs had been able to provide a corresp<strong>on</strong>ding file name,<strong>the</strong> Ninth Circuit ruled that <strong>the</strong> notice requirements of <strong>the</strong> preliminary injuncti<strong>on</strong>s complied withits holding in Napster I that <strong>the</strong> plaintiffs bore <strong>the</strong> burden to provide notice to Napster ofcopyrighted works and files c<strong>on</strong>taining such works before Napster had a duty to disable access to<strong>the</strong> offending c<strong>on</strong>tent. 1310 The court fur<strong>the</strong>r held that “Napster’s duty to search under <strong>the</strong>modified preliminary injuncti<strong>on</strong> is c<strong>on</strong>sistent with our holding that Napster must ‘affirmativelyuse its ability to patrol its system and preclude access to potentially infringing files listed <strong>on</strong> itssearch index.’ The modified preliminary injuncti<strong>on</strong> correctly reflects <strong>the</strong> legal principles ofc<strong>on</strong>tributory and vicarious copyright infringement that we previously articulated.” 1311 Thus, <strong>the</strong>Ninth Circuit’s Napster II opini<strong>on</strong> appears to establish a legal rule under which <strong>the</strong>re is a noticerequirement both for <strong>the</strong> impositi<strong>on</strong> of comm<strong>on</strong> law c<strong>on</strong>tributory liability and vicarious liability<strong>on</strong> an OSP, c<strong>on</strong>trary to <strong>the</strong> district court’s c<strong>on</strong>clusi<strong>on</strong> o<strong>the</strong>rwise in its opini<strong>on</strong> <strong>on</strong> Napster’smoti<strong>on</strong> to dismiss, discussed in subsecti<strong>on</strong> 17 above. 1312The Ninth Circuit rejected Napster’s challenge to <strong>the</strong> preliminary injuncti<strong>on</strong> asimpermissibly vague. The court’s very terse resp<strong>on</strong>se was as follows: “Napster has a duty topolice its system in order to avoid vicarious infringement. Napster can police <strong>the</strong> system bysearching its index for files c<strong>on</strong>taining a noticed copyrighted work. The modified preliminaryinjuncti<strong>on</strong> directs Napster, in no vague terms, to do exactly that.” 1313 The court also rejectedNapster’s argument that <strong>the</strong> district court had improperly delegated its judicial authority to Dr.Nichols: “At no time did <strong>the</strong> technical advisor displace <strong>the</strong> district court’s judicial role. Thetechnical advisor never unilaterally issued findings of fact or c<strong>on</strong>clusi<strong>on</strong>s of law regardingNapster’s compliance.” 13141307 Id. at 6.1308 Id.1309 A&M Records, Inc. v. Napster, Inc., 284 F.3d 1091 (9 th Cir. 2002).1310 Id. at 1096.1311 Id. at 1096-97 (quoting Napster I, 239 F.3d at 1027).1312 This rule would not, however, appear to survive <strong>the</strong> Supreme Court’s decisi<strong>on</strong> in Metro-Goldwyn-MayerStudios Inc. v. Grokster, Ltd., 125 S. Ct. 2764, 2770 (2005), discussed in Secti<strong>on</strong> III.C.4(a) below.1313 Napster II, 284 F.3d at 1097.1314 Id.- 296 -

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