908 F.3d 843
2d Cir.2018Background
- Plaintiffs sued over ownership of renewal-term copyrights in musical compositions and sound recordings; district court dismissed under Fed. R. Civ. P. 12(b)(6) as time-barred; this Court vacated and remanded.
- Defendants petitioned for rehearing, arguing that an adverse registration in the Copyright Office starts the accrual period under 17 U.S.C. § 205(c), so the suit was untimely.
- § 205(c) provides that recordation gives constructive notice of facts in the recorded document if the document identifies the work and registration exists for the work.
- Defendants’ proposed rule would require authors to monitor the Copyright Office continually or risk losing claims if a spurious registration occurred more than three years before suit.
- The panel considered persuasive precedent from several circuits rejecting that mere registration alone triggers accrual and statute-of-limitations running.
- The court emphasized that the discovery rule for accrual is a common-law doctrine and § 205(c) is best read in the context of transfers and priorities rather than as an automatic accrual trigger.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether an adverse Copyright Office registration alone starts accrual for an ownership claim (triggering the 3-year limitations period) | Registration alone does not start accrual; owners are not required to monitor the registry and accrual follows common-law discovery principles | An adverse registration gives constructive notice under § 205(c), so accrual (and the limitations period) begins at registration | Registration, without more, does not trigger accrual; the court rejects defendants’ reading of § 205(c) and adopts the view that discovery-rule principles govern accrual |
Key Cases Cited
- Gaiman v. McFarlane, 360 F.3d 644 (7th Cir. 2004) (registration does not purposefully start statutes of limitations; authors are not expected to monitor the Copyright Office)
- Brownstein v. Lindsay, 742 F.3d 55 (3d Cir. 2014) (registration alone does not repudiate co-authorship; rejecting adverse-registration-accrual rule)
- Roger Miller Music, Inc. v. Sony/ATV Publ’g, LLC, 477 F.3d 383 (6th Cir. 2007) (rejected registration-as-accrual theory)
- Saenger Org. v. Nationwide Licensing Assoc., 119 F.3d 55 (1st Cir. 1997) (held defendant time-barred where defendant had actual notice and relied on constructive notice, but decision may rest on actual notice)
- In re World Auxiliary Power Co., 303 F.3d 1120 (9th Cir. 2002) (treats § 205(c) constructive notice in context of priority for security interests)
- Broadcast Music, Inc. v. Hirsch, 104 F.3d 1163 (9th Cir. 1997) (discusses § 205(c) constructive notice for transfers/priority)
