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Advanced Copyright Issues on the Internet - Fenwick & West LLP

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when it transmits to Cablevisi<strong>on</strong>, and Cablevisi<strong>on</strong> transmits its own performanceof <strong>the</strong> same work when it retransmits <strong>the</strong> feed from HBO. 247Accordingly, <strong>the</strong> Sec<strong>on</strong>d Circuit c<strong>on</strong>cluded that a court must look downstream, ra<strong>the</strong>rthan upstream or laterally, to determine whe<strong>the</strong>r any link in a chain of transmissi<strong>on</strong>s made by aparty c<strong>on</strong>stitutes a public performance, and should not examine <strong>the</strong> potential recipients of <strong>the</strong>c<strong>on</strong>tent provider’s initial transmissi<strong>on</strong> to determine who was capable of receiving <strong>the</strong> RS-DVRplayback transmissi<strong>on</strong>. Because <strong>the</strong> RS-DVR system, as designed, made transmissi<strong>on</strong>s <strong>on</strong>ly to<strong>on</strong>e subscriber using a copy made by that particular subscriber, <strong>the</strong> court c<strong>on</strong>cluded that <strong>the</strong>universe of people capable of receiving an RS-DVR transmissi<strong>on</strong> was <strong>the</strong> single subscriberwhose self-made copy was used to <strong>the</strong> create <strong>the</strong> transmissi<strong>on</strong>, and <strong>the</strong> transmissi<strong>on</strong>s through <strong>the</strong>RS-DVR system were <strong>the</strong>refore not public performances. 248 The court cauti<strong>on</strong>ed, however, thatits holding “does not generally permit c<strong>on</strong>tent delivery networks to avoid all copyright liabilityby making copies of each item of c<strong>on</strong>tent and associating <strong>on</strong>e unique copy with each subscriberto <strong>the</strong> network, or by giving <strong>the</strong>ir subscribers <strong>the</strong> capacity to make <strong>the</strong>ir own individual copies.We do not address whe<strong>the</strong>r such a network operator would be able to escape any o<strong>the</strong>r form ofcopyright liability, such as liability for unauthorized reproducti<strong>on</strong>s or liability for c<strong>on</strong>tributoryinfringement.” 2496. Ringt<strong>on</strong>es – In re Applicati<strong>on</strong> of Cellco PartnershipIn In re Applicati<strong>on</strong> of Celleco Partnership d/b/a Veriz<strong>on</strong> Wireless, 250 <strong>the</strong> courtruled that <strong>the</strong> sale of ringt<strong>on</strong>es by Veriz<strong>on</strong> to its cell ph<strong>on</strong>e customers did not require payment toASCAP for a public performance license for <strong>the</strong> musical works embodied in <strong>the</strong> ringt<strong>on</strong>es.ASCAP argued that Veriz<strong>on</strong> engaged in public performances of <strong>the</strong> musical works when itdownloaded ringt<strong>on</strong>es to its customers. It also argued that Veriz<strong>on</strong> was both directly andsec<strong>on</strong>darily liable for public performances of musical works when its customers played ringt<strong>on</strong>es<strong>on</strong> <strong>the</strong>ir teleph<strong>on</strong>es up<strong>on</strong> incoming calls. 251The court rejected both <strong>the</strong>se arguments. As to <strong>the</strong> first, citing <strong>the</strong> Cablevisi<strong>on</strong> casediscussed in <strong>the</strong> previous subsecti<strong>on</strong>, <strong>the</strong> court ruled that, because <strong>on</strong>ly <strong>on</strong>e subscriber wascapable of receiving a particular transmissi<strong>on</strong> of a ringt<strong>on</strong>e during download, such transmissi<strong>on</strong>was not itself made to <strong>the</strong> “public,” regardless of whe<strong>the</strong>r a download could be c<strong>on</strong>sidered atransmissi<strong>on</strong> of a “performance” of <strong>the</strong> musical works in <strong>the</strong> ringt<strong>on</strong>e. 252 The court did note that,247248249250251252Id. at 136.Id. at 137, 139. “If <strong>the</strong> owner of a copyright believes he is injured by a particular transmissi<strong>on</strong> of aperformance of his work, he may be able to seek redress not <strong>on</strong>ly for <strong>the</strong> infringing transmissi<strong>on</strong>, but also for<strong>the</strong> underlying copying that facilitated <strong>the</strong> transmissi<strong>on</strong>. Given this interplay between <strong>the</strong> various rights in thisc<strong>on</strong>text, it seems quite c<strong>on</strong>sistent with <strong>the</strong> Act to treat a transmissi<strong>on</strong> made using Copy A as distinct from <strong>on</strong>emade using Copy B, just as we would treat a transmissi<strong>on</strong> made by Cablevisi<strong>on</strong> as distinct from an o<strong>the</strong>rwiseidentical transmissi<strong>on</strong> made by Comcast.” Id. at 138.Id. at 139.663 F. Supp. 2d 363 (S.D.N.Y. 2009).Id. at 368.Id. at 371.- 70 -

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