First Sale Doctrine

[script_law]

What is the name of your state (only U.S. law)? Indiana

Recently sold 2 children's themed customized birthday card services for a total of $28 through ebay. My auction was removed by eBay with a reason of copyright infringement. I was then contacted by a legal company stating that I can be sued for millions of dollars or I can send $300 to this company. Checks payable to the copyright owned company. I am looking to see if I am correct at assuming that copyrighted images (children cartoons) that I have found online can be used if untouched or altered in a personalization service for childrens birthday parties. My fee is a service fee for the personalization and time and I do not sell the images. I thought i was not breaking any laws - i believed that the first sales doctrine was applicable for my service fee?? Also on my auction site I do state that the images are copyrighted and owned by their companies...What is the name of your state (only U.S. law)?

 

[Zigner]

What is the name of your state (only U.S. law)? Indiana

Recently sold 2 children's themed customized birthday card services for a total of $28 through ebay. My auction was removed by eBay with a reason of copyright infringement. I was then contacted by a legal company stating that I can be sued for millions of dollars or I can send $300 to this company. Checks payable to the copyright owned company. I am looking to see if I am correct at assuming that copyrighted images (children cartoons) that I have found online can be used if untouched or altered in a personalization service for childrens birthday parties. My fee is a service fee for the personalization and time and I do not sell the images. I thought i was not breaking any laws - i believed that the first sales doctrine was applicable for my service fee?? Also on my auction site I do state that the images are copyrighted and owned by their companies...What is the name of your state (only U.S. law)?

Let's nutshell it...you stole images to use in your own product and now you want to find out if you really stole them, right?

 

[script_law]

images were downloaded from their free images - I do admit I knew they were copyrighted and I dont question that - I question that the service fees of $28 were legally obtained. I am not looking to hide anything or make myself sound innocent I just want to learn and find out more about what I can and cant do so that I dont do anything illegal.

 

[Mass_Shyster]

images were downloaded from their free images - I do admit I knew they were copyrighted and I dont question that - I question that the service fees of $28 were legally obtained. I am not looking to hide anything or make myself sound innocent I just want to learn and find out more about what I can and cant do so that I dont do anything illegal.

Downloading is another name for copying images from one computer to another. When you printed them, you made another copy. You do not have the right to copy those images. Only the copyright holder has that right.

 

[script_law]

understood but I did not print them? I am not trying to be a smart... I just want to put all the info out there. my service is for kids birthday themed parties. I take the theme of the party and just add the personalization to it - name, age, date, time, location... I send the buyer the digital file that they either print themselves through their personal printer or by paying a printer to do so. I just provide the personalization service.

 

[Zigner]

Let's be clear here. You are violating their rights.

 

[Mass_Shyster]

I send the buyer the digital file

That digital file is still on your computer after you sent it, so you made a copy.

The digital file is still on the original website after you download it, so you made a copy.

The First Sale Doctrine refers to restrictions placed on the original, not a copy. If you buy a legit copy of a book, you can sell that copy. You cannot copy it.

 

[script_law]

okay I do understand now and thank you and that is why i have stopped doing these auctions until I knew right from wrong. One question though, with this email I received - stating that this LLC company that represents this company is can sue me for up to $2million dollars for my $28 profit but for $300 everything is okay - I know that if it comes down to it - I could be taken to court but if I am willing to give up the $28 and I have ceased any further sales - would a court really hear a case based on that amount of money made? I dont even know if this "attorney" is a freelance ambulance chaser or if the actual company is seeking damages. I point blank asked and she said the $300 cost covers her fee. If this was totally legit shouldnt I have received something in the mail or in this digital age is an email a form of legal formality?

 

[FlyingRon]

A court will hear any case that is properly submitted before it. It doesn't care how little or large (subject to the limits on certain courts jurisdiction) or how big the plaintiff is or how small they thieving defendant is.


You can weasel all you want, but the copyright holder is within their rights and their idea of how much legal expense they would like to risk versus what they can collect to sue you for whatever legitimate damage they have.

 

[The Occultist]

I will also add that $300 is a much, MUCH smaller settlement amount than I have seen for similar infractions.

Script, I suggest paying what seems to be a generously small amount of money, but to also ensure that you get a contract signed by them stating that they will not later attempt to sue you for more.

 

[script_law]

Thanks guys - when I posted this I had already requested for them to send me the agreement so that I could make payment.

My main worry though was making sure this acting company (lawyer) was legit. Is there a way to verify her lawyer status - a bar number or something? For all I know she says she is a lawyer but dont want it to be a email scam?

 

[The Occultist]

Taking your notice to an actual attorney so that he can review it might be a good decision. I know you're worried about the cost involved with that (you did, after all, come to the FREE Advice forum), but many attorneys may offer free/cheap consultations, and even if you must pay for that advice, I'd consider it a worthy investment for the piece of mind you require.

 

[quincy]

The state Bar association can verify attorney status.