Consequences Of Breaking Copyright Law: What You Need To Know

Breaking copyright law can result in serious consequences, including civil and criminal penalties. In the civil context, infringers may be ordered to pay damages, legal fees, and court costs, as well as face injunctions to stop the infringing acts and have their illegal works impounded. Criminal penalties for copyright infringement can include imprisonment of up to ten years and/or substantial fines. It is important to note that ignorance of the law is not a valid excuse, and even accidental infringement can lead to significant repercussions. To avoid violating copyright law, individuals and businesses should ensure they have the necessary permissions before using any copyrighted material.

Fines of up to $150,000 per infringed work

Copyright infringement can result in civil and criminal penalties. The U.S. Copyright Office takes violations of copyright law very seriously, and penalties can range from civil suits to criminal charges.

Civil penalties for copyright infringement can include fines of up to $150,000 per infringed work if the infringement was committed willfully. This is a significant increase from the usual statutory damages of $750 to $30,000 per work infringed. The court determines the exact amount of statutory damages based on factors such as the amount of evidence and level of violation.

To prove willful infringement, the copyright owner must demonstrate that the infringer knowingly provided false contact information or otherwise acted with fraudulent intent. Additionally, the copyright owner must prove that they suffered actual damages as a result of the infringement. These can include lost profits or the value of the infringing copies.

In some cases, statutory damages may be reduced if the infringer was unaware and had no reason to believe their actions constituted an infringement. This defence is more likely to be successful if the infringer is an employee or agent of a non-profit educational institution or a public broadcasting entity.

It is important to note that copyright infringement can also result in criminal penalties, including imprisonment of up to five years and fines of up to $250,000 per offence, if the infringement was committed for commercial advantage or private financial gain.

Imprisonment of up to 10 years

Copyright law is a form of intellectual property law that protects original works of authorship, including literary, dramatic, musical, and artistic works. Violating copyright law can result in various civil and criminal consequences. While civil lawsuits may result in damages and financial penalties, criminal charges can lead to imprisonment and substantial fines.

In the context of criminal penalties for copyright infringement, imprisonment terms can vary depending on several factors, including the number of infringing copies, the value of the copyrighted work, and the defendant's prior convictions.

Defendants convicted of criminal copyright infringement for the first time may face up to five years in prison and a fine of up to $250,000, or both. This typically applies when the defendant has reproduced or distributed, during any 180-day period, at least 10 copies or phonorecords, or one or more copyrighted works, with a retail value exceeding $2,500.

For defendants with prior convictions for criminal copyright infringement, the penalties can be more severe. In these cases, the maximum imprisonment term can increase to 10 years, along with a potential fine of up to $250,000, or both. This enhanced penalty is reserved for repeat offenders, emphasizing the importance of compliance with copyright laws.

It is important to note that criminal charges for copyright infringement are relatively rare. To establish criminal charges, the court must prove the existence of a valid copyright, the defendant's lack of permission to use the work, their knowledge of the copyright, and their intention to benefit from the infringement.

While imprisonment of up to 10 years is a potential consequence for repeat offenders, the specific sentence will depend on the unique circumstances of each case. The court will consider the extent of the infringement, the value of the copyrighted work, and any mitigating or aggravating factors.

Paying attorney fees and court costs

Copyright infringement can have serious financial consequences, including paying attorney fees and court costs. The Copyright Act allows either side's "prevailing party" to seek recovery of their attorney's fees from the loser of the lawsuit. This differs from the American Rule, where each party typically pays their own attorney fees, regardless of the outcome.

The court has the discretion to determine whether to award attorney's fees and costs, and there are several factors that influence this decision. Two of these factors are a party's "objective unreasonableness" and the "need in particular circumstances to advance considerations of compensation and deterrence." For example, in the case of Richard Bell, an attorney-photographer who filed and settled many infringement lawsuits, he was ordered to pay the defendant's attorney's fees because the court found that he acted unreasonably in settlement negotiations. Bell sought damages of $150,000, even though he typically licensed the photograph for $200 and later testified that his actual damages were probably $200.

The court may also award statutory damages, which do not need to be proven and can range from $750 to $30,000 per work. In some cases, the infringer will have to pay the amount they received from using the copyrighted work, known as actual damages. These costs can add up quickly, especially if multiple works have been infringed upon.

Injunction to stop infringing acts

In the United States, copyright law protects original works of authorship, including literary, dramatic, musical, and artistic works. Copyright infringement occurs when someone violates the exclusive rights of a copyright owner by reproducing, adapting, publishing, performing, or displaying their work without permission.

When it comes to consequences for breaking copyright law, one option for the copyright holder is to seek an injunction. An injunction is a court order that requires a person or entity to stop engaging in certain activities, in this case, infringing on the copyright. The power to grant injunctions is outlined in Title 17 of the US Code, Chapter 5, Section 502, which states:

> Any court having jurisdiction of a civil action arising under this title may, subject to the provisions of section 1498 of title 28, grant temporary and final injunctions on such terms as it may deem reasonable to prevent or restrain infringement of a copyright.

• Jurisdiction: The court must have jurisdiction over the matter. This means that the infringement occurred within the court's geographic area or that the person or entity being sued is located within the court's jurisdiction.
• Reasonableness: The injunction must be reasonable in scope and must be tailored to prevent or restrain the infringement. It should not be overly burdensome on the infringing party or restrict their legitimate activities.
• Temporary and Final Injunctions: The court can issue both temporary and final injunctions. A temporary injunction is often sought at the beginning of a legal proceeding to prevent ongoing harm while the case is being decided. A final injunction is put in place after the court has made its decision and is intended to be a long-term solution to prevent future infringement.
• Enforcement: Injunctions are legally binding and enforceable throughout the United States. If the infringing party violates the injunction, they can be held in contempt of court and may face additional legal consequences.
• Notice: The court granting the injunction will provide a copy of the injunction to the infringing party and ensure that it is served anywhere in the country. This helps to ensure that the infringing party is aware of the injunction and its terms.
• Impounding of Infringing Materials: In addition to an injunction, the court may also order the impounding and destruction of any materials that infringe on the copyright. This can include copies of the copyrighted work, as well as any plates, molds, or other articles used to reproduce the work.
• Costs and Fees: Obtaining an injunction may involve legal costs and attorney's fees, which are typically borne by the infringing party if the copyright holder prevails in court.
• Criminal vs Civil Infringement: Injunctions are typically sought in civil cases, but they can also be used in criminal copyright infringement cases. In criminal cases, the court must prove specific elements, such as knowledge of the copyright and intentional violation.

Loss of copyright ownership

Civil Lawsuits

Copyright owners can file civil suits to protect their property if someone infringes on their copyright. This can result in the infringing party having to pay damages, including actual damages, statutory damages, court costs, and attorney's fees. Actual damages are based on the financial harm suffered by the copyright owner, while statutory damages are determined by the court and can range from $750 to $30,000 per work. The court may also issue an injunction to stop the violator from using the copyrighted work, and further violations can lead to additional compensation.

Criminal Charges

In some cases, copyright infringement can lead to criminal charges, particularly if the infringement is willful and involves reproducing or distributing at least 10 copies of the copyrighted work. Criminal penalties can include large settlements, jail time, fines, or a combination of these. For example, criminal penalties for willful infringement can include imprisonment of up to five years and fines of up to $250,000 per offense.

Reputational Damage

Breaking copyright law can also have significant reputational consequences for the infringing party. When the public and colleagues become aware of the copyright violation, it can lead to a loss of support and a tarnished reputation, which can be detrimental to careers and future endeavours.

Loss of Property and Other Penalties

In addition to monetary fines and legal consequences, copyright infringement can also result in the loss of property. This can include the confiscation or seizure of equipment used to perform the infringing acts, such as computers or servers. Other penalties may include community service, probation, loss of employment, and the risk of lost work or educational privileges.

Cease-and-Desist Notices

Before legal action is taken, a legal letter, known as a cease-and-desist notice, is often sent to the infringing party. This letter demands that the infringing activity be stopped immediately. If the infringement occurs online, additional notices may be sent to the networks or hosting providers distributing the copyrighted materials.

It's important to note that the specific consequences of copyright infringement can vary depending on the jurisdiction and the severity of the violation.

Frequently asked questions