Arista Records, LLC v. LAUNCH Media, Inc., 578 F.3d 148 (2d Cir. N.Y. 2009), is a legal case brought by Arista Records, LLC, Bad Boy Records, BMG Music, and Zomba Recording LLC (collectively, "BMG") alleging that the webcasting service provided by LAUNCH Media, Inc. ("Launch") willfully infringed BMG's sound recording copyrights.[1] The lawsuit concerns the scope of the statutory term “interactive service” codified in 17 U.S.C. § 114, as amended by the Digital Millennium Copyright Act of 1998 ("DMCA").[2] If the webcasting service is an interactive service, Launch would be required to pay individual licensing fees to BMG's sound recording copyright holders; otherwise, Launch only need to pay “a statutory licensing fee set by the Copyright Royalty Board.”
ARISTA RECORDS, LLC, formerly known as Arista Records, Inc., Bad Boy Records, BMG Music, doing business as the RCA Record Label and Zomba Recording LLC, formerly known as Zomba Recording Corporation, Plaintiffs-Appellants,
Capitol Records, Inc., Virgin Records America, Inc., Sony Music Entertainment, Inc., UMG Recordings Inc., Interscope Records and Motown Records Company L.P., Plaintiffs v.
LAUNCH MEDIA, INC., Defendant-Appellee.
Argued
March 17, 2009
Decided
August 21 2009
Citation(s)
578 F.3d 148
Holding
Affirmed. In favor of Defendant-Appellee Launch Media, Inc.
The United States Court of Appeals for the Second Circuit affirmed the trial court's judgment and ruled in favor of Launch, finding that the webcasting service provided by Launch does not fall within the scope of the definition of an interactive service as a matter of law.
Launch operates an internet radio website by providing a webcasting service (LAUNCHcast), “which enables a user to create ‘stations’ that play songs that are within a particular genre or similar to a particular artist or song the user selects.” The parties did not materially dispute how LAUNCHcast worked. LAUNCHcast is now known as Yahoo! Music Radio. BMG holds the copyrights in the sound recordings of some of the songs played on the service for users, and has the exclusive right "to perform the copyrighted [sound recording] publicly by means of a digital audio transmission."
Trial court proceedings
On May 24, 2001, BMG brought suit, in the United States District Court for the Southern District of New York, against Launch alleging that Launch violated provisions of the DMCA, codified in relevant part in 17 U.S.C. § 114, by providing an interactive service and therefore willfully infringing sound recording copyrights of BMG from November 1999 to May 2001. The district court charged the jury with determining whether LAUNCHcast was an interactive service within the meaning of 17 U.S.C. § 114(j)(7). The jury returned a verdict in favor of Launch.[3]
Issue
Whether a webcasting service that provides users with individualized internet radio stations in this case is an interactive service within the meaning of 17 U.S.C. § 114.
Ruling of the court of appeal
On March 17, 2009, BMG appealed to the United States Court of Appeals for the Second Circuit, arguing that LAUNCHcast is an interactive service as a matter of law. On August 21, 2009, the Court of Appeal confirmed the lower court decision, ruling that the webcasting service was not an interactive service as a matter of law.[1]
“Based on a review of how LAUNCHcast functions, it is clear that LAUNCHcast does not provide a specially created program within the meaning of § 114(j)(7) because the webcasting service does not provide sufficient control to users such that playlists are so predictable that users will choose to listen to the webcast in lieu of purchasing music, thereby - in the aggregate - diminishing record sales.”[1]
Discussions of interactive service
According to the statute, an interactive service "is one that enables a member of the public to receive a transmission of a program specially created for the recipient, or on request, a transmission of a particular sound recording, whether or not as part of a program, which is selected by or on behalf of the recipient." Therefore, the webcasting service LAUNCHcast is interactive under the statute “if a user can either (1) request - and have played - a particular sound recording, or (2) receive a transmission of a program "specially created" for the user.”[2] Since the LAUNCHcast users cannot request a particular song on demand, the first definition of interactive does not cover LAUNCHcast service.[1] The court "emphasized that the line between an interactive and noninteractive service must reflect Congress's concern that an interactive service would allow a user to pick the songs she wanted to hear and thus vitiate any need to purchase those songs."[4]
The primary argument at stake is whether LAUNCHcast enables the user to receive a transmission of a program "specially created" for the user.[5][6] “In short, to the degree that LAUNCHcast's playlists are uniquely created for each user, that feature does not ensure predictability. Indeed, the unique nature of the playlist helps Launch ensure that it does not provide a service so specially created for the user that the user ceases to purchase music.” Therefore, “[the court] cannot say LAUNCHcast falls within the scope of the DMCA's definition of an interactive service created for individual users.”[1]
^Glynn S. Lunney, Jr., "Copyright, Derivative Works, and the Economics of Complements", 12 Vand. J. Ent. & Tech. L. 779 (2010)
^Laurence P. Colton, Kerri Hochgesang, Todd Williams and Dana T. Hustins, "Intellectual Property", 61 Mercer L. Rev. 1153 (2010)
^Camalla Kimbrough, LAUNCH Away: "Second Circuit Rules that Degree of User Influence Determines Whether a Webcasting Service Must Obtain Individual Licenses for Performing Sound Recordings", 12 Tul. J. Tech. & Intell. Prop. 293 (2009)
^. senlawoffice.com. Archived from the original on 14 October 2010. Retrieved 15 January 2022.
February 07, 2023
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Arista Records LLC v LAUNCH Media Inc 578 F 3d 148 2d Cir N Y 2009 is a legal case brought by Arista Records LLC Bad Boy Records BMG Music and Zomba Recording LLC collectively BMG alleging that the webcasting service provided by LAUNCH Media Inc Launch willfully infringed BMG s sound recording copyrights 1 The lawsuit concerns the scope of the statutory term interactive service codified in 17 U S C 114 as amended by the Digital Millennium Copyright Act of 1998 DMCA 2 If the webcasting service is an interactive service Launch would be required to pay individual licensing fees to BMG s sound recording copyright holders otherwise Launch only need to pay a statutory licensing fee set by the Copyright Royalty Board Arista Records LLC v Launch Media Inc CourtUnited States Court of Appeals for the Second CircuitFull case nameARISTA RECORDS LLC formerly known as Arista Records Inc Bad Boy Records BMG Music doing business as the RCA Record Label and Zomba Recording LLC formerly known as Zomba Recording Corporation Plaintiffs Appellants Capitol Records Inc Virgin Records America Inc Sony Music Entertainment Inc UMG Recordings Inc Interscope Records and Motown Records Company L P Plaintiffs v LAUNCH MEDIA INC Defendant Appellee ArguedMarch 17 2009DecidedAugust 21 2009Citation s 578 F 3d 148HoldingAffirmed In favor of Defendant Appellee Launch Media Inc Court membershipJudge s sittingGuido Calabresi Richard C Wesley Christopher F Droney District Judge The United States Court of Appeals for the Second Circuit affirmed the trial court s judgment and ruled in favor of Launch finding that the webcasting service provided by Launch does not fall within the scope of the definition of an interactive service as a matter of law Contents 1 Background 2 Trial court proceedings 3 Issue 4 Ruling of the court of appeal 5 Discussions of interactive service 6 Subsequent developments 7 Related cases 8 See also 9 External links 10 ReferencesBackground EditLaunch operates an internet radio website by providing a webcasting service LAUNCHcast which enables a user to create stations that play songs that are within a particular genre or similar to a particular artist or song the user selects The parties did not materially dispute how LAUNCHcast worked LAUNCHcast is now known as Yahoo Music Radio BMG holds the copyrights in the sound recordings of some of the songs played on the service for users and has the exclusive right to perform the copyrighted sound recording publicly by means of a digital audio transmission Trial court proceedings EditOn May 24 2001 BMG brought suit in the United States District Court for the Southern District of New York against Launch alleging that Launch violated provisions of the DMCA codified in relevant part in 17 U S C 114 by providing an interactive service and therefore willfully infringing sound recording copyrights of BMG from November 1999 to May 2001 The district court charged the jury with determining whether LAUNCHcast was an interactive service within the meaning of 17 U S C 114 j 7 The jury returned a verdict in favor of Launch 3 Issue EditWhether a webcasting service that provides users with individualized internet radio stations in this case is an interactive service within the meaning of 17 U S C 114 Ruling of the court of appeal EditOn March 17 2009 BMG appealed to the United States Court of Appeals for the Second Circuit arguing that LAUNCHcast is an interactive service as a matter of law On August 21 2009 the Court of Appeal confirmed the lower court decision ruling that the webcasting service was not an interactive service as a matter of law 1 Based on a review of how LAUNCHcast functions it is clear that LAUNCHcast does not provide a specially created program within the meaning of 114 j 7 because the webcasting service does not provide sufficient control to users such that playlists are so predictable that users will choose to listen to the webcast in lieu of purchasing music thereby in the aggregate diminishing record sales 1 Discussions of interactive service EditAccording to the statute an interactive service is one that enables a member of the public to receive a transmission of a program specially created for the recipient or on request a transmission of a particular sound recording whether or not as part of a program which is selected by or on behalf of the recipient Therefore the webcasting service LAUNCHcast is interactive under the statute if a user can either 1 request and have played a particular sound recording or 2 receive a transmission of a program specially created for the user 2 Since the LAUNCHcast users cannot request a particular song on demand the first definition of interactive does not cover LAUNCHcast service 1 The court emphasized that the line between an interactive and noninteractive service must reflect Congress s concern that an interactive service would allow a user to pick the songs she wanted to hear and thus vitiate any need to purchase those songs 4 The primary argument at stake is whether LAUNCHcast enables the user to receive a transmission of a program specially created for the user 5 6 In short to the degree that LAUNCHcast s playlists are uniquely created for each user that feature does not ensure predictability Indeed the unique nature of the playlist helps Launch ensure that it does not provide a service so specially created for the user that the user ceases to purchase music Therefore the court cannot say LAUNCHcast falls within the scope of the DMCA s definition of an interactive service created for individual users 1 Subsequent developments EditCertiorari was denied by the Supreme Court of the United States on January 25 2010 7 Related cases EditUnited States v Am Soc y of Composers In re Cellco P ship 663 F Supp 2d 363 S D N Y 2009 Sony BMG Music Entertainment v Tenenbaum No 10 1947 1st Cir See also EditArista Records Arista Records LLC v Lime Group LLCExternal links EditText of Arista Records LLC v Launch Media Inc is available from CourtListener Findlaw Justia References Edit a b c d e Opinion of the Second Circuit Court of Appeals a b 17 U S C 114 District Court Opinion Glynn S Lunney Jr Copyright Derivative Works and the Economics of Complements 12 Vand J Ent amp Tech L 779 2010 Laurence P Colton Kerri Hochgesang Todd Williams and Dana T Hustins Intellectual Property 61 Mercer L Rev 1153 2010 Camalla Kimbrough LAUNCH Away Second Circuit Rules that Degree of User Influence Determines Whether a Webcasting Service Must Obtain Individual Licenses for Performing Sound Recordings 12 Tul J Tech amp Intell Prop 293 2009 Copyright Law Blog Exclusive Rights senlawoffice com Archived from the original on 14 October 2010 Retrieved 15 January 2022 Retrieved from https en wikipedia org w index php title Arista Records LLC v Launch Media Inc amp oldid 1137702283, wikipedia, wiki, book, books, library,
