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The Tabberone™ Archives
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Source:
http://www.crblaw.com/GetFAQAnswer.asp?id=49

Content has not been altered. It has been reformatted for easier reading.

Contributory Infringement

What are contributory infringement and vicarious liability, and how are these claims established?

Contributory infringement and vicarious liability are court-created theories (i.e., not specified in the Copyright Act) designed to hold a party liable for its participation in the unlawful copying done by another. The standard definition for contributory copyright infringement is when the defendant, "with knowledge of the infringing activity, induces, causes or materially contributes to the infringing conduct of another." Gershwin Publishing Corp. v. Columbia Artists Management, Inc., 443 F. 2d 1159, 1162 (2d Cir. 1971).

In other words, the plaintiff must not only show ownership of a valid copyright and unlawful copying (i.e., copyright infringement), but must show that the defendant 1) had knowledge of the infringing activity and 2) materially contributed to the infringing conduct. Again, this is for the purpose of holding someone other than the infringer liable for copyright infringement. Vicarious liability is another means of holding someone liable for copyright infringement even when that person or party is not the one who did the infringing. In order to find a defendant liable under the theory of vicarious liability for the actions of an infringer, it must be shown that the defendant 1) has the right and ability to control the infringer's acts, and 2) receives a direct financial benefit from the infringement. See, e.g., Shapiro, Bernstein & Co. v. H.L. Green Co., 316 F. 2d 304, 306 (2d Cir. 1963).

Unlike contributory infringement, knowledge is not an element of vicarious liability. However, courts have determined that the combination of the right and ability to control the infringer's acts and the receipt of a direct financial benefit from the infringement suffices to hold a defendant vicariously liable for copyright infringement, even if the defendant had no knowledge of the particular infringement.

(c) 2004 CRB LLP