Copyright Law | Expert Legal Commentary

June 30, 2009

Dream Games: Illegal Use of Copyrighted Work Does Not Preclude Damages for Infringement

Dream Games of Arizona, Inc. v. PC Onsite

By Olivier A. Taillieu and Jeffrey J. Zuber of Zuber & Taillieu LLP

In a case of first impression, the 9th Circuit held that illegal use or operation of a copyrighted work by the copyright owner does not preclude an award of statutory or actual damages for infringement. In Dream Games of Arizona, Inc. v. PC Onsite, 561 F.3d 983 (9th Cir. 2009), the federal appellate court rejected the infringer’s unclean hands defense based on a claim that the plaintiff used its copyright illegally in two states. The Court held that a work that contains legal content but which may be used for illegal purposes is still copyrightable.

About the Authors

Olivier A. Taillieu is a Partner of Zuber & Taillieu LLP, focusing on intellectual property litigation and arbitration.

Jeffrey J. Zuber is a Partner of Zuber & Taillieu LLP, focusing on intellectual property litigation and arbitration.

Image Credit: ©iStockphoto.com/DNY59

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Olivier A. Taillieu
Jeffrey J. Zuber

Companies Mentioned

Affordable Video Systems, Ltd.

American Software Development Company, Inc.

Dream Games of Arizona, Inc.

Frank Diana City Entertainment

PC Onsite

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Companies Mentioned

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The following companies are mentioned in Copyright Law Updates:

American Society of Composers, Authors, and Publishers

Mattel, Inc.

MGA Entertainment Inc.

MGA Entertainment (HK) Ltd.

RealNetworks, Inc.

AOL LLC f.k.a. America Online, Inc.

Northern Lights Products, Inc. d.b.a. GlowProducts.com

Litecubes, LLC

Poof Apparel Corp.

Derek Andrew, Inc.

Metro-Goldwyn-Mayer Pictures, Inc.

Geoffrey Productions, Inc.

Universal City Studios LLLP

Twentieth Century Fox Film Corp.

Turner Network Television LP, LLLP

Turner Network Sales, Inc.

Turner Classic Movies, LP, LLLP

Turner Broadcasting System, Inc.

The Cartoon Network LP, LLP

Paramount Pictures Corp.

NBC Studios, Inc.

Disney Enterprises, Inc.

CSC Holdings, Inc.

CBS Broadcasting Inc.

Simon & Schuster, Inc.

Cablevision Systems Corp.

Cable News Network LP, LLLP

American Broadcasting Companies, Inc.

Westbound Records, Inc.

Kamind Associates, Inc. a.k.a. KAM Industries

UMG Recordings, Inc.

Janice Combs Publishing, Inc. d.b.a. Justin Combs Publishing

All Headline News Corp.

Bad Boy Records LLC

American Software Development Company, Inc.

Bad Boy Entertainment, Inc. d.b.a. Bad Boy Records

Affordable Video Systems, Ltd.

Yahoo! Inc.

Dream Games of Arizona, Inc.

Television Music License Committee

Frank Diana City Entertainment

SESAC, Inc.

PC Onsite

Robert E. Treuhaft and Jessica L. Treuhaft Trust

The Associated Press

Power.com

The Steinbeck Heritage Foundation

IAC/InterActiveCorp

AHN Media Corp.

Power Ventures, Inc.