June 29, 2007

NESTLE WINS APPEAL IN TASTER'S CHOICE CASE

Nestle USA won its appeal of a $15.6 million jury verdict against it in favor of a former model who posed for the label of its Taster's Choice coffee. The model asserted statutory and common law appropriation claims for the wrongful use of his image and violations of his right of publicity. A jury found Nestle liable for $333,000 in damages and over $15.3 million of Nestle's profits which the jury attributed to the use of the model's immage. The California Court of Appeal reversed.

The Court of Appeal's decision recites a few important principles. First, the opinion held that the single publication rule applied to these misappropriation claims. The impact of that holding is that the allegedly wrongful publication of an image gives rise only to one cause of action. Second, the court's opinion held that, for statute of limitations purposes, the discovery rule did not apply to those who had "a meaningful ability to discover the violation." The court directed the trial court to determine whether the model had such an ability to discover the alleged violations of his rights and to limit any claims to two years from the date the violations should be discovered.

Click here to view the court's opinion

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June 13, 2007

UNIVERSAL BATTLES DISCRIMINATION CLAIM

The United States Equal Employment Opportunity Commission (EEOC) and Universal Pictures began a federal court trial on Tuesday in Los Angeles. The case is unique in part because the assistant director (Frank Davis) was fired from the movie "2 Fast 2 Furios" over the objections of the movie's director, John Singleton. The EEOC alleges that Davis' firing was because he is black. Universal denies the allegation. Singleton, who is also black, has told others that he suspected that race played a role in Davis' dismissal. Published reports indicate that Singleton's speculation about the motivation for Davis' firing will not be admissible. LA Times, June 12, 2007

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June 7, 2007

YOUTUBE SUED BY NASHVILLE MUSIC PUBLISHER

YouTube has once again become a target of copyright infringement litigation. A Nashville-based music publisher filed a class action suit on June 6, 2007 against YouTube and its parent, Google, in Tennessee district court. The publisher claims that YouTube will not make its highly touted content identification program available unless a copyright holder signs an agreement with YouTube and become one of its "strategic partners." YouTube denies the allegations. View the complaint in Cal IV Entertainment v. YouTube here.

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