MEMORANDUM AND ORDER
The plaintiff, Tina M. Randolph, seeks reconsideration of this court’s order en
Based on a careful review of the motions, responses and reply; the record; and the applicable law, this court denies Randolph’s niotion for reconsideration and grants the defendants’ motion for attorneys’ fees in part, awarding $3,816.73 in fees and $1,288.27 in costs.
The reasons for these rulings are set out in detail below.
I. The Motion for Reconsideration
Randolph sued under the Copyright Act of 1976, as amended, 17 U.S.C. § 101 et seq., alleging that the defendants’ 2005 movie, The Adventures of Shark Boy and Lava Girl in 3-D (2005), infringed the 2002 copyright on her book, Mystic Deja: Maze of Existence. Randolph attached to her complaint cover artwork from the book and from the allegedly infringing movie, as well as a press release for the series and part of the book. The defendants moved to dismiss on the ground that the movie and book were so dissimilar that the claim for copyright infringement failed as a matter of law. The defendants attached to their motion a copy of the entire book and movie. After reviewing the complaint, the motion and the response, and the attached movie and book, the court granted the defendants’ motion to dismiss without leave to amend. (Docket Entry No. 30). Randolph contends that this court clearly erred in concluding that there was no substantial similarity between the two works and in denying leave to amend. Randolph seeks leave to supplement her pleadings with additional exhibits that she contends will aid the court in identifying points of substantial similarity between the two works. (Docket Entry No. 34 at 9). The defendants respond that dismissal under Rule 12(b)(6) without leave to amend was proper, and that neither the record nor Randolph’s proposed additional materials provide a basis for reconsideration. (Docket Entry No. 42 at 1).
A. The Legal Standard for a Motion for Reconsideration
The Federal Rules of Civil Procedure do not specifically provide for motions for reconsideration.
Shepherd v. Int’l Paper Co.,
A Rule 59(e) motion “calls into question the correctness of a judgment.”
Templet v. HydroChem Inc.,
B. Analysis
1. Substantial Similarity May Properly Be Decided on a 12(b)(6) Motion to Dismiss
Randolph contends that dismissal under Rule 12(b)(6) on the basis of lack of substantial similarity was improper because in copyright cases, “ ‘a determination of substantial similarity should typically be left to the fact-finder.’ ” (Docket Entry No. 34 at 4 (quoting
King v. Ames,
Rule 12(b)(6) allows dismissal if a plaintiff fails “to state a claim upon which relief can be granted.” In
Bell Atlantic Corp. v. Twombly,
Complaints alleging copyright infringement are no exception to this rule and can be decided as a matter of law. “To determine whether an instance of copying is legally actionable, a side by side comparison must be made between the original and the copy to determine whether a layman would view the two works as ‘substantially similar.’ ”
Creations Unlimited, Inc. v. McCain,
When the original work and the allegedly infringing copy are submitted with the pleadings and available to the court for side-by-side comparison, substantial similarity can be decided on a Rule 12(b)(6) motion to dismiss.
See Christianson v. West Pub. Co.,
In this case, Randolph attached excerpts from her book and the defendants’ movie to her complaint, along with copies of art work. The defendants attached complete copies of both the book and the movie to their motion to dismiss. Randolph does not dispute that these were properly considered as part of the pleadings.
See Venture Assocs. Corp. v. Zenith Data Sys. Corp.,
The works themselves, which this court fully considered, were not substantially similar. No pleading amendment by Randolph could change the works. When a claim of substantial similarity is dismissed a matter of law, dismissal with prejudice is the logical result.
See, e.g., Rosenfeld,
2. The Record Shows No Substantial Similarity
Randolph contends that this court did not pay sufficient attention to the similarities between the works but “instead focuse[d] on the differences in some elements in the two works.” Randolph argues that a proper comparison “must focus on the similarities, not the differences, between the two works.” (Docket Entry No. 34 at 5).
Randolph’s argument is flawed both legally and factually. Differences play an important role in determining whether two works are substantially similar. “As a matter of logic as well as law, the more numerous the differences be
Randolph argues that in both the book and the movie, most of the action occurs in imaginary realms created and controlled by the thoughts and dreams of a person in the real world. In the book, the real-world person is Deja, the 18 year-old female protagonist of Mystic Deja who uses a journal written by her father to navigate through the imaginary “maze of existence.” In the movie, the real-world person is Max, the 10-year-old male protagonist of Shark Boy, who uses a personal journal of his dreams as a guide to his imaginary realm. As this court noted, “the general concept of an imaginary world or realm ... cannot be copyrighted.” (Docket Entry No. 30 at 9); see also 17 U.S.C. § 102(b) (“In no case does copyright protection for an original work of authorship extend to any idea ... concept, principle, or discovery, regardless of the form in which it is described, explained, illustrated or embodied in such work.”).
Randolph contends that the specific element of a journal as the vehicle through which both characters navigate their dream worlds makes this plot concept protectable creative expression. (Docket Entry No. 34 at 5-6). But controlling or accessing a dream world through a journal or literary work is a classic plot feature in works of fantasy and science fiction.
See, e.g., Niebla (“Fog”
or
“Mist”)
(1914) (widely-read Spanish novel by Miguel de Unamuno about a man who learns his life is being written by the author of the book);
The NeverEnding Story
(1984) (film based on the 1979 German fantasy novel featuring a parallel world that the main character accesses through a novel describing it);
Myst
(1993) (graphic adventure video game in which the player explores a mystical island created and accessed through special books);
Inkheart
(2008) (fantasy film in which the protagonist’s father has the power to control an imaginary realm and bring characters to life from a book);
Stranger than Fiction
(2006) (film about a man who discovers his life is being written by a novelist in her newest book). Like other
scenes a faire,
this plot feature is freely available for authors and creators to use in their creative works.
See Williams v. Crichton,
Randolph also claims that the story lines about the protagonists in the book and movie are similar. Both Deja and Shark Boy begin their tales by searching
Randolph also asserts that the book and movie have substantially similar climactic fight scenes because both involve the protagonists learning to control their dream powers and using weapons that they have created with their imaginations. (Docket Entry No. 34 at 6-7). This is not a qualitatively important similarity; the fight scene is far from the heart of either work. And the element of a fight scene featuring powers and weapons derived from the characters’ imaginations is not protectable. It flows naturally from the general concept of an imaginary world controlled by a character’s mind or thoughts.
See Williams v. Crichton,
Finally, as the defendants point out, the fight scenes in the two works play out quite differently in all other respects. While the battle scene in the movie is highly physical and involves the protagonist, Max, and his companions fighting an army of the villains’ minions, in the book Deja and her enemy engage in a one-on-one confrontation entirely in their minds. (Docket Entry No. 42 at 9). There is no substantial similarity between these elements.
Randolph also argues that this court erred in finding that the bikes in both works are not substantially similar. As pointed out in the prior opinion, the bike in
Mystic Deja
“flies and allows Deja to escape from one terrain in the imaginary realm and enter another!,]” while the bike in the movie is “made of lava and does not fly or allow the characters to escape.” (Docket Entry No. 30 at 9). Randolph asserts that the bikes are similar in that both characters conjure them using their journals in order to serve their transportation needs and both are potentially flying bikes. (Docket Entry No. 34 at 7). Randolph’s motion for reconsideration attaches an image of the “Shark Bike” or “Shark Mobile” from Max’s journal in the movie. The image shows that the Shark Bike “Floats Like A Hover Craft.” (Docket Entry 34, Ex. 3 at 7). In the movie, the “Shark Bike” does not fly; in the book Deja’s bike does take off. And as the defendants point out, “flying bikes have been common since the iconic scene from
E.T. the Extra-Terrestrial,
in which E.T.
Finally, Randolph asserts that the court erred in finding that the works differed in “total concept and feel.” (Docket Entry No. 34 at 7). After appraising the two works as a whole, this court concluded that the aesthetics and tone of the two works are very different. The mood and appearance of the book is dark and gothic. The movie is bright and busy. It features “3-D special effects” that can be seen with the special glasses that come with the DVD. (Docket Entry No. 30 at 10). In the prior opinion, this court cited
Williams v. Crichton,
3. The Additional Exhibits Do Not Provide a Basis for Reconsideration
Randolph also seeks leave to replead to assert additional specific similarities between the two works. She has submitted a document supplementing the allegations made in her complaint and in her response to the defendants’ motion to dismiss, which she claims preclude dismissal. (Docket Entry No. 34, Ex. B). Randolph has also submitted a PowerPoint presentation that performs a side-by-side comparison of the two works. (Docket Entry No. 34, Ex. A). These additional materials do not provide a basis for reconsideration.
Moreover, demonstrative aids of the type that Randolph has submitted are not useful in determining substantial similarity. In analyzing whether a work is substantially similar to another and therefore infringing, a court must determine whether the lay observer would “detect piracy
without any aid or suggestions or critical analysis by others.
The reaction of the public to the matter should be immediate.”
Peel & Co.,
Even taking the new demonstrative exhibits into account, however, there is no basis for reconsideration. The exhibits point out some similarities between the two works, most of which this court has already addressed. These similarities are insignificant as a matter of law or do not involve protectable elements. They do not show that there is a “substantial similarity” that would plausibly make the defendants’ work infringing.
Randolph’s motion for reconsideration is denied.
II. The Motion for Attorneys’ Fees and Costs
The defendants seek $35,276.43 in legal fees plus $1,288.72 in costs and expenses. The defendants argue that attorneys’ fee awards in copyright infringement cases are “routinely awarded” and are only denied in “exceptional circumstances,” and contend that Randolph presents “no reason to deviate from the general rule of awarding attorney’s fees” in this case. (Docket Entry No. 45 at 1). Randolph counters that the Copyright Act “does not entitle a prevailing party to attorney’s fees as a matter of course,” and that this court “must exercise its equitable discretion to determine whether a fee is justified.” (Docket Entry No. 41 at 2). Randolph contends that the circumstances do not justify an award of attorneys’ fees and that the defendants have not shown that their requested fees are reasonable. (Id. at 5).
A. The Legal Standard
The Copyright Act gives courts discretion to award attorneys’ fees to the prevailing party:
In any civil action under this title, the court in its discretion may allow the recovery of full costs by or against any party other than the United States or an officer thereof. Except as otherwise provided by this title, the court may also award a reasonable attorney’s fee to the prevailing party as part of the costs.
17 U.S.C. § 505. In the Fifth Circuit, attorneys’ fees awards are “ ‘the rule rather then the exception and should be awarded routinely’ ” and “evenhandedly to both prevailing plaintiffs and defendants.”
Virgin Records Am., Inc. v. Thompson,
If the court determines that the prevailing party is to receive fees, the court must calculate a “lodestar,” the reasonable number of hours expended on successful claims multiplied by a reasonable hourly rate.
Hensley v. Eckerhart,
B. Analysis
1. The Defendants are Entitled to an Award of Attorneys’ Fees
The parties dispute whether an attorneys’ fee award is appropriate in this case. The defendants contend that all four Fogerty factors are present. They argue that the suit “was completely without merit and frivolous” and was objectively unreasonable, both legally and factually. The defendants note that Randolph’s suit was dismissed under Rule 12(b)(6) for failure to state a claim. The defendants speculate that Randolph’s motive in filing suit “could have been an attempt to coerce” the defendants, which include “major entertainment companies,” into “offering her a settlement rather than enduring the nuisance of litigation.” They argue that awarding fees to the defendants would deter similarly baseless lawsuits in the future. (Docket Entry No. 32 at 4-5). Randolph counters that her claims were neither frivolous nor objectively unreasonable and that “there is not a shred of evidence” in the record to support an inference of improper motive. She argues that the defendants are “financially successful entities” with no need for an award to pay their legal fees. (Docket Entry No. 41 at 5). Each of these arguments is considered below.
The fact that a copyright claim is dismissed after a court conducts a side-by-side comparison of the works does not necessarily mean that the claim was frivolous or objectively unreasonable. There is a difference between a suit that is “without merit” and one that is “patently frivolous.”
See Positive Black Talk,
A claim is more likely to be found frivolous or objectively unreasonable, however, when the lack of similarity between the unsuccessful plaintiffs work and the allegedly infringing work are obvious. In
Mallery v. NBC Universal, Inc.,
No. 08-0655,
As in
Mallery,
there is an obvious and “profound dissimilarity” between
Mystic Deja
and
The Adventures of Shark Boy and Lava Girl.
b. Motivation
The defendants speculate that Randolph may have sued because the defendants are “financially successful entities,” while Randolph is an “individual author” whose novel was sold through “a self-publishing company of the sort typically used for low-volume book sales.” (Docket Entry No. 32 at 3). The defendants do not offer evidence to support this speculation, relying instead on inference. “[T]he utter lack of any substantial similarity between Plaintiffs novel and Defendants’ movie makes it very difficult to imagine any proper motivation.”
(Id.).
The defendants’ argument does not show bad faith. The cases that find a bad-faith basis for filing a copyright infringement suit involve some direct evidence of improper motive that is lacking here. In
Baker v. Urban Outfitters, Inc.,
The defendants have cited no case, and this court has located none, that infers an improper motive or bad faith simply because a plaintiff makes an objectively unreasonable infringement claim against deep-pocket defendants. Some evidence of bad faith must be shown.
Cf. Armour,
c. Compensation and Deterrence
The defendants argue that a fee award is appropriate because it would deter further baseless actions by Randolph, who moved for reconsideration after this court dismissed her claims with prejudice. (Docket Entry No. 45 at 6). The defendants also contend that a fee award would “send a clear message to other would-be plaintiffs that it is not acceptable to file meritless lawsuits against large companies,” which would cause “[o]ther potential plaintiffs [to] think twice before filing such lawsuits if they knew that they could eventually be responsible for paying the defendants’ attorneys’ fees.” (Docket Entry No. 32 at 6). The defendants argue that their ability to pay their legal fees without an award is irrelevant. “Financially successful companies should not be penalized by being exempted from the general rule” of awarding attorneys’ fees. (Docket Entry No. 45 at 5). Randolph counters that the defendants’ lack of need for a fee award,
A prevailing party in a copyright case does not forfeit the ability to obtain a fee award because it is wealthy. A losing party who files an objectively unreasonable infringement case is not exempt from having to pay a fee award based on limited means.
See, e.g., Microsoft Corp. v. Software Wholesale Club, Inc.,
The need for deterrence, however, weighs in favor of a fee award to the defendants. The cases show that when a copyright infringement claim is objectively unreasonable, deterrence is an important factor. As one court explained:
[T]he need for deterrence against objectively unreasonable copyright claims is significant. Just as attorney fee awards may chill litigation of close cases, preventing the clear demarcation of the boundaries of copyright law, the denial of such awards in objectively unreasonable cases also disserves the purposes of copyright law, by failing to protect the owners of valid copyrights from the cost of frivolous litigation. Furthermore, the denial of fees and costs to a prevailing defendant in an objectively unreasonable copyright case may spur additional frivolous lawsuits, of exactly the sort that an award of fees and costs is designed to “chill.”
Chivalry Film Prods.,
Randolph’s copyright infringement claims were objectively unreasonable. The need for deterrence supports an award of attorneys’ fees to the defendants. The need for compensation does not.
d. Balancing the Factors
The conclusion that Randolph’s claim was objectively unreasonable is entitled to “substantial weight in determinations whether to award attorneys’ fees.”
Matthew Bender & Co. v. West Publ’g Co.,
2. The Lodestar Calculation
a. The Hourly Rate
The first step in computing the lodestar is determining a reasonable hourly rate.
See Hensley,
The defendants were represented by the firm Locke Lord Bissell & Liddell LLP. One partner, two associate attorneys, and one paralegal staffed the case. The partner, Roy Hardin, has submitted an affidavit stating that the focus of his practice is intellectual property litigation, he is familiar with the usual and customary fees charged in this type of action, and “[t]he attorney’s fees and costs incurred in this case are reflective of the types of activity normally engaged in by counsel charged with developing a defens[e] and preparing a motion to dismiss the frivolous claims brought by Randolph.” (Docket Entry No. 32, Ex. A at 3). Har
b. The Number of Hours Reasonably Expended
A fee application should include “contemporaneously created time records that specify, for each attorney, the date, the hours expended, and the nature of the work done.”
Kirsch v. Fleet St., Ltd.,
Hardin’s affidavit attaches two invoices for legal services that Locke Lord billed to the defendants for work in this case. The defendants are seeking compensation for all entries in these invoices. The first entry is for November 10, 2008, the date the complaint was filed. The last entry is for January 31, 2009, the date the defendants filed the reply to the motion to dismiss. The defendants are not seeking attorneys’ fees for the services that Locke Lord provided after January 31, 2009, which included responding to the motion for reconsideration and filing the fee application. The invoices show that the defendants’ attorneys spent 131 hours on this case between November 10, 2008 and January 31, 2009. The large majority of this work was done by one of the associates, who billed 126.25 hours at $300 per hour.
A summary of the time billed by the defendants is set out below:
[[Image here]]
Locke Lord’s bills provided a 10.5% discount on the total fees, reducing the total to $35,276.43. The defendants seek this reduced amount.
Randolph argues that the $35,276.43 sought is unreasonable in several respects. First, Randolph argues that the defendants have not segregated time spent defending against the copyright claim, for which they seek fees, from time spent defending against the Lanham Act and Texas Deceptive Trade Practices Act (DTPA) claims, for which they do not. (Docket Entry No. 41 at 5-6). The Lanham Act, unlike the Copyright Act, only permits fee awards in “exceptional cases,” such as those involving bad faith.
See
15 U.S.C. § 1117;
Motown Prods., Inc. v. Cacomm, Inc.,
Segregation of hours spent on different claims is not required when the claims are “so intertwined that it is impossible to differentiate” between them.
See Grade v. Grade,
Randolph also argues that the defendants are improperly seeking fees for the 6.5 hours spent seeking coverage from their insurer, Fireman’s Fund, for legal expenses. This time included corresponding with the insurer and drafting and finalizing an “Initial Strategy, Plan, and Budget” for the insurer. Randolph contends that this time was “not reasonably incurred in connection with the defense of
An award is inappropriate for the 23.25 hours that the defendants spent researching, drafting, and preparing to file an answer to Randolph’s complaint. This answer was never filed. Instead, the defendants filed a motion to dismiss under Rule 12(b)(6). The defendants do not contend that any of the work done on the answer was later applied to the motion to dismiss. The work done on the answer was not reasonably incurred in connection with the defendants’ successful defense of the copyright claim. A reduction of 20.50 hours of time at $300 per hour and of 2.75 hours at $220 per hour is appropriate.
Finally, the time shown in heavily redacted portions of the billing records is deducted from the lodestar. Redaction of billing records is acceptable so long as the court has sufficient information to form an opinion on the reasonableness of the fees.
See Vantage Trailers, Inc. v. Beall Corp.,
No. 06-3008,
Totaling all of the above reductions, Hardin’s hours for purposes of calculating the lodestar are reduced by 0.5, from 1.75 to 1.25 at $510 per hour. The associate’s hours billed at $300 per hour are reduced by 33.75 hours, from 126.25 to 92.5. The associate’s hours billed at $220 per hour are reduced by 2.75 hours, yielding a total of zero. The legal assistant’s hours are unchanged. Hardin’s 1.25 hours multiplied by his $510 hourly rate yields $637.50. The 92.5 hours multiplied by the $300 hourly rate yields $27,750; the 0.25 hours multiplied by the $170 hourly rate yields $42.50. These numbers total $28,430. Applying the 10.5% reduction contained in the invoices, the lodestar is $25,444.85.
3. Adjustments to the Lodestar
A court may adjust the lodestar to reflect what is “reasonable under the circumstances” of the specific case.
Lieb,
The first two of these factors — complexity and the relative financial strength of the parties — support downward adjustment. Randolph’s copyright claim was neither novel nor complex.
See, e.g., Williams v. Crichton,
In
Bridgman v. Array Systems Corrp.,
A reduction to the lodestar would promote the purpose of the Copyright Act and the disproportionate financial positions of the parties, while recognizing that the plaintiffs’ claims were objectively unreasonable and the work by defendants’ counsel was both professional and appropriate.
See, e.g., Lieb,
C. Costs
Finally, the defendants seek $1,288.72 in costs under Federal Rule of Civil Procedure 54(d). Rule 54(d)(1) pro
Randolph does not challenge the amount of costs claimed and there does not appear to be a basis for doing so. These costs were reasonably incurred and are compensable under the Rules of Federal Procedure and the Copyright Act. Randolph is ordered to pay $1,288.27 in costs to the defendants.
III. Conclusion
Randolph’s motion for reconsideration is denied. The defendants are awarded $3,816.73 in attorneys’ fees and $1,288.27 in costs.
Notes
. For a more comprehensive, though by no means complete, list of fantasy and science fiction works featuring a variety of psychic powers, see http://tvtropes.org/pmwiki/ pmwiki.php/Main/PsychicPowers (last visited June 25, 2009).
. The defendants also claim that Randolph presented specific similarities between the novel and the movie that were “factually wrong” (for example, that there was a character named "Dark Reign” in the movie when there was not). (Docket Entry No. 32 at 5). Randolph, a responds convincingly that none of these constituted intentional misrepresentations of fact but were either attorney error or were disputed factual issues. (Docket Entry No. 41 at 3-4). Randolph’s claims were not factually unreasonable.
. See Texas Slate Bar, Dep’t of Research & Analysis, Hourly Rates in 2005 Report at 14 (Sept. 21, 2006), available at http://www. texasbar.com/Template.cfm?Section= Research_and_Analysis&Template=/Content Management/ContentDisplay.cfm&Content ID = 15888 (last visited June 26, 2009).
