Capitol Records, LLC v. Bluebeat, Inc.
2010 U.S. Dist. LEXIS 142642
| C.D. Cal. | 2010Background
- Record Companies own copyrights to the Copyrighted and pre-1972 Recordings and related artwork.
- BlueBeat operates bluebeat.com and offers downloads and streaming of the BlueBeat Music Library, including simulations of the registered recordings.
- BlueBeat allowed user-created playlists and direct play, with representations that royalties were paid.
- Plaintiffs filed suit in November 2009 alleging copyright infringement, misappropriation, unfair competition, conversion, false designation of origin, and trademark infringement.
- Court grants Plaintiffs' motion for partial summary judgment on four claims and denies BlueBeat's corresponding motion.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Copyright infringement—reproduction, distribution, and public performance | Record Companies own the copyrights and BlueBeat copied and streamed works without authorization | Simulations are independent original works and not infringing | BlueBeat liable for infringement |
| Misappropriation, unfair competition, and conversion of pre-1972 recordings | BlueBeat copied and distributed protected pre-1972 works | Publication/public domain defense; simulations independent | BlueBeat liable for misappropriation, unfair competition, and conversion |
| Independence of BlueBeat simulations from original recordings | Simulations replicate protected sounds; not independent | Proposed psychoacoustic simulations are original | Simulations not established as independent; infringing evidence sufficient |
| License defense under 17 U.S.C. § 114/§112 for a noninteractive transmission | No valid §114 license; assertions insufficient | Argues §112/§114 license coverage | No valid license demonstrated; interactive Be the DJ and Direct Play features fall outside §114 protection |
Key Cases Cited
- Three Boys Music Corp. v. Bolton, 212 F.3d 477 (9th Cir. 2000) (ownership and infringement proof required for copyright claim)
- A&M Records, Inc. v. Heilman, 75 Cal.App.3d 554 (Cal. Ct. App. 1977) (misappropriation, unfair competition, conversion when unauthorized duplication and sale occur)
- Napster, Inc. v. A&M Records, Inc., 239 F.3d 1004 (9th Cir. 2001) (distribution rights violated by file sharing and indexing)
- Goldstein v. California, 412 U.S. 546 (1973) (publication does not destroy protectable ownership rights)
- Lone Ranger Television, Inc. v. Program Radio Corp., 740 F.2d 718 (9th Cir. 1984) (public performance rights and ownership considerations)
- Korea Supply Co. v. Lockheed Martin Corp., 29 Cal.4th 1134 (Cal. 2003) (unfair competition includes unlawful or deceptive practices)