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Dish Network, L.L.C. v. Magembe
4:23-cv-01136
N.D. Tex.
Apr 26, 2024
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Background

  • DISH Network and Sling TV sued John Gwaka Magembe for violating the Federal Communication Act (FCA) and Digital Millennium Copyright Act (DMCA).
  • Defendant was properly served using alternative service, and default was entered after no response.
  • Plaintiffs alleged Magembe trafficked in unauthorized streaming services (Beast TV/Channels4Cheap) via websites, selling access codes to pirated television content.
  • Plaintiffs claimed the service circumvented security (DRM) protections and retransmitted content to users without authorization.
  • Evidence showed over 12,000 sales of codes, with Defendant continuing activity after notice and litigation began.
  • Plaintiffs requested statutory damages and a permanent injunction due to ongoing, willful violations.

Issues

Issue Plaintiff's Argument Defendant's Argument Held (Ruling)
Is default judgment procedurally warranted? Default is proper as Defendant failed to respond despite proper service. No response presented Default judgment is procedurally proper.
Did Defendant violate the DMCA by trafficking circumvention devices/services? Magembe trafficked and sold service/code specifically to circumvent DRM and accessed/distributed Plaintiffs’ protected channels. No response presented Defendant violated DMCA §§ 1201(a)(2), 1201(b)(1).
Did Defendant violate the FCA by selling device codes for unauthorized signal access? Device codes enabled unauthorized access to DISH’s satellite channels, benefitting Defendant and code buyers. No response presented Defendant violated FCA § 605(e)(4).
Are statutory damages and a permanent injunction appropriate? Over 12,000 code sales; continued willful infringement; damages sought are within statutory authority and supported by similar case precedent. No response presented $30,055,000 in statutory damages awarded; permanent injunction granted.

Key Cases Cited

  • Lewis v. Lynn, 236 F.3d 766 (5th Cir. 2001) (default judgment is not automatic and is highly disfavored)
  • Lindsey v. Prive Corp., 161 F.3d 886 (5th Cir. 1998) (lists factors to determine procedural propriety of default judgment)
  • Sun Bank of Ocala v. Pelican Homestead & Sav. Ass’n, 874 F.2d 274 (5th Cir. 1989) (articulates disfavor toward default judgments)
  • Jackson v. FIE Corp., 302 F.3d 515 (5th Cir. 2002) (relief through default judgment must be proper and supported by pleadings)
  • United Artists Corp. v. Freeman, 605 F.2d 854 (5th Cir. 1979) (allegations except damages assumed true on default judgment)
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Case Details

Case Name: Dish Network, L.L.C. v. Magembe
Court Name: District Court, N.D. Texas
Date Published: Apr 26, 2024
Docket Number: 4:23-cv-01136
Court Abbreviation: N.D. Tex.