MARVIN J. GARBIS, District Judge.
The Court has before it motions for summary judgment
In each case, the Defendants contended, and the Court agreed, that very limited discovery was necessary prior to the presentation of motions for summary judgment on the basis of a fair use defense. Accordingly, following limited discovery, the instant motions were filed.
The Court has considered the materials submitted by the parties relating to the motions as well as the arguments of counsel presented at a hearing. The Court issues this decision determining the validity vel non of the fair use defense in regard to each of the three pending motions.
As detailed in no less than seven (so far) published decisions of this Court and the United States Court of Appeals for the Fourth Circuit,
The National Football League ("NFL") and the Baltimore Ravens
The Ravens used the Flying B Logo as the teams' primary logo during the first three (1996, 1997, and 1998) seasons.
Bouchat sued the NFL and Ravens and established infringement of his copyright in the Shield Drawing by their use of the Flying B Logo. Bouchat, however, recovered no damages due to a jury finding that no part of the profits of the infringers, relating to the infringements then at issue, was attributable to the copyright infringement. Judgment awarding no damages was affirmed by the United States Court of Appeals for the Fourth Circuit.
In 2008, Bouchat sued the Ravens and the NFL, seeking injunctive relief to halt the then ongoing use of the Flying B Logo in three manners:
This Court, deciding the case on an agreed submitted record, held that there was no infringement because each of these uses was a non-infringing fair use under 17 U.S.C. § 107. Bouchat v. Baltimore Ravens Ltd. P'ship, 587 F.Supp.2d 686 (D.Md. 2008). On appeal, the United States Court of Appeals for the Fourth Circuit reversed in part, agreeing that the aforesaid display was a fair use, but holding that the sale of highlight films and display of film clips at football games was not. Bouchat v. Baltimore Ravens Ltd. P'ship ("Bouchat 2010"), 619 F.3d 301 (4th Cir.2010). Thus, in Bouchat 2010, the case was remanded with directions to this Court to proceed to determine whether to grant injunctive relief.
Use At Issue Defendant(s) Case Documentary videos NFL 12-1495 ("the Documentary Video Case") Pictures on stadium walls Ravens 12-1905 ("the Stadium Wall Pictures Case") Madden NFL game NFL & EA7 11-2878 ("the Madden NFL Game Case")
The fair use determination in each case is based upon the same legal principles and the benefit of the decision of the United States Court of Appeals for the Fourth Circuit in Bouchat 2010.
A motion for summary judgment shall be granted if the pleadings and supporting documents "show that there is no genuine issue as to any material fact and that the movant is entitled to judgment as a matter of law." Fed.R.Civ.P. 56(c)(2).
The well-established principles pertinent to summary judgment motions can be distilled to a simple statement: The Court may look at the evidence presented in regard to a motion for summary judgment through the non-movant's rose-colored glasses, but must view it realistically. After so doing, the essential question is whether a reasonable fact finder could return a verdict for the non-movant or whether the movant would, at trial, be entitled to judgment as a matter of law. See, e.g., Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 248, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986); Celotex Corp. v. Catrett, 477 U.S. 317, 323, 106 S.Ct. 2548, 91 L.Ed.2d 265 (1986); Shealy v. Winston, 929 F.2d 1009, 1012 (4th Cir.1991).
The Court does not find that genuine issues of material fact
A copyright owner's ability to obtain relief for an unauthorized use of a copyrighted work is subject to a statutory exception for "fair use" provided in 17 U.S.C. § 107. Bouchat 2010, 619 F.3d at 307.
Courts have traditionally regarded fair use of a copyrighted work as "a privilege in others than the owner of the copyright to use the copyrighted material in a reasonable manner without his consent." Harper & Row, Publishers, Inc. v. Nation Enters., 471 U.S. 539, 549, 105 S.Ct. 2218, 85 L.Ed.2d 588 (1985) (quoting H. Ball, Law of Copyright and Literary Property 260 (1944)).
A person who makes fair use of a copyrighted work is not an infringer even if such use is otherwise inconsistent with the exclusive rights of the copyright owner. See 17 U.S.C. § 107 (providing that "the fair use of a copyrighted work ... is not an infringement of copyright").
The doctrine of fair use is an equitable one, and the "fair use inquiry is `not to be simplified with bright-line rules, for the statute, like the doctrine it recognizes, calls for case-by-case analysis.'" Bouchat 2010, 619 F.3d at 308 (quoting Campbell v. Acuff-Rose Music, Inc., 510 U.S. 569, 577, 114 S.Ct. 1164, 127 L.Ed.2d 500 (1994)). Congress has enumerated four nonexclusive
17 U.S.C. § 107.
The use of the Flying B Logo in each of the three cases at issue is measured in light of these factors, keeping in mind, as directed by the Fourth Circuit, that "the factors are not to be treated in isolation, but rather the results are to be weighed together, in light of the purposes of copyright." Bouchat 2010, 619 F.3d at 308 (quoting Campbell, 510 U.S. at 578, 114 S.Ct. 1164 (internal quotation marks omitted)).
The first factor calls upon courts to consider "the purpose and character of the use, including whether such use is of a commercial nature or is for nonprofit educational purposes." 17 U.S.C. § 107. Here, courts generally consider a set of subfactors, including the commercial or noncommercial character of the use, the degree to which the use is transformative, the defendant's good or bad faith, and whether the purpose of the use falls within one of the categories of purposes mentioned in the preamble of section 107.
In assessing the character of the use, courts consider the specific examples set forth in section 107's preamble — criticism, comment, news reporting, teaching, scholarship, and research. 17 U.S.C. § 107. Certainly, this is not intended to be an exhaustive list, nor even presumptively fair, but it does guide the court as being representative of uses that are protected. Bouchat 2010, 619 F.3d at 308, 309.
Although the commerciality of the defendant's use is merely one factor among others that a court may consider as part of its analysis of the purpose and character of the use, a commercial purpose "tends to weigh against a finding that the challenged use is a fair use." Id. at 310-11; Campbell, 510 U.S. at 583-84, 114 S.Ct. 1164. "The crux of the profit/nonprofit distinction is not whether the sole motive of the use is monetary gain but whether the user stands to profit from exploitation of the [protected] material without paying the customary price." Bouchat 2010, 619 F.3d at 311 (quoting Harper & Row, 471 U.S. at 562, 105 S.Ct. 2218).
In Campbell, the Supreme Court suggested that an important factor to consider in whether a use was fair was whether the second use was "transformative" — whether it "adds something new, with a further purpose or different character, altering the first with new expression, meaning, or message." 510 U.S. 569, 579, 114 S.Ct. 1164.
"A transformative use is one that employs the copyrighted work in a different manner or for a different purpose from the original, thus transforming it." Bouchat 2010, 619 F.3d at 309-10 (quoting Vanderhye v. iParadigms, LLC, 562 F.3d 630, 638 (4th Cir.2009) (internal quotation marks omitted)). A use may be transformative in function or purpose even if the
"[T]he propriety of the defendants' conduct is relevant to the character of the use." Id. at 311 (quoting Harper & Row, 471 U.S. at 562, 105 S.Ct. 2218 (internal quotation marks omitted)). In a sense, this subfactor asks if the use is "fair," because "[f]air use presupposes good faith and fair dealing." See Harper & Row, 471 U.S. at 562, 105 S.Ct. 2218.
This factor "calls for recognition that some works are closer to the core of intended copyright protection than others, with the consequence that fair use is more difficult to establish when the former works are copied." Campbell, 510 U.S. 569, 586, 114 S.Ct. 1164. The Fourth Circuit has agreed with this Court's finding that "the creative nature of Bouchat's work would tend to indicate that making a copy would not be fair use." Bouchat 2010, 619 F.3d at 311 (internal quotation omitted).
To analyze this factor, courts consider "the amount and substantiality of the portion" copied by the defendant "in relation to the copyrighted work as a whole." Id. at 311 (citing 17 U.S.C. § 107). To state it simply, the more the defendant takes of the plaintiff's work, the less likely it is that the taking will qualify as fair use.
If an entire work is copied, as is the situation in each of the three cases at issue, this weighs against finding a fair use. Id. at 311 (citing Sundeman v. Seajay Soc., Inc., 142 F.3d 194, 205 (4th Cir. 1998)). Copying the entire work does not, however, preclude a finding of fair use and must be considered in light of the other factors. Sundeman, 142 F.3d at 205-206.
The fourth factor requires courts to consider the effect of the use "upon the potential market for or value of the copyrighted work." 17 U.S.C. § 107. The Harper & Row Court considered this factor to be the most important one in the context of that case, in which the defendant preempted the plaintiff's market by publishing the infringing work before the plaintiff had the opportunity to publish and establish its market. See 471 U.S. at 566, 105 S.Ct. 2218. The Campbell Court later stated, however, that all factors are to be explored, and that the market effect factor, "no less than the other three, may be addressed only through a sensitive balancing of interests." 510 U.S. at 590 n. 21, 114 S.Ct. 1164. "Market harm is a matter of degree, and the importance of this factor will vary, not only with the amount of harm, but also with the relative strength of the showing on the other factors." Id.
A "purpose of copyright is to create incentives for creative effort," and "a
Certainly, any use that interferes with a copyright owner's market would weigh heavily against fair use, but the absence of harm to the market does not necessarily justify the secondary use. See Pierre N. Leval, Toward a Fair Use Standard, 103 Harv. L. Rev. 1105, 1136 (1990).
The Ravens have displays at their home stadium, M & T Stadium ("the Stadium"), relating to Baltimore's sports history. Three of these displays ("the Stadium Picture Displays") include pictures on which the Flying B Logo is visible.
The Timeline Displays: On the second level concourse, there are several large displays that highlight significant times in Baltimore's football history from the Nineteenth Century, through the Colt era, the Canadian Football League years, and the time of the Ravens. The 1996 display, prominently framing the entrance to a Women's restroom, includes pictures of the first home-game ticket and program on which the Flying B Logo can be seen.
The Highlight Reel: The "Highlight Reel" is a display of still photographs located in the Club Level area near locations at which food and drink is sold.
The photographs in the Highlight Reel are accompanied by text that provides factual information about significant events in the Ravens' history. The Highlight Reel includes photographs on which the Flying B Logo is visible, i.e.,
Important Plays: The Important Plays display, on the Club Level, is a group of photographs accompanied by dates and text, commemorating important plays in the Ravens' history, including two on which the Flying B Logo is wholly or partly visible.
With one exception, the facts relating to the fair use analysis of the Stadium Picture Displays are essentially the same as those presented by the headquarters lobby
The Court finds the purpose and character of use factor to favor a finding of fair use. There is no doubt that the purpose of the Stadium displays is, like the headquarters lobby displays, "consistent with the fair use of copyrighted material in a museum."
It is true that a member of the public must buy a ticket to get into the area in which the Stadium Picture Displays are located.
On balance, there is some, albeit indirect, commercial use that would factor against a fair use finding absent a substantial transformative use.
As stated in Bouchat 2010, "[t]he season tickets and the player photos adorned with the Flying B logo are displayed to represent the inaugural season and the team's first draft picks. In this way, the logo is used `not for its expressive content, but rather for its ... factual content.'" 619 F.3d at 314 (quoting Bond v. Blum, 317 F.3d 385, 396 (4th Cir.2003)). "This use is comparable to the use of the concert posters in Bill Graham Archives, where the posters documented the fact of past concerts, a transformatively different purpose from their original use as advertisements for future concerts." Id. (citing Bill Graham Archives v. Dorling Kindersley Ltd., 448 F.3d 605, 609 (2d Cir.2006) (internal citations omitted)).
It is true that the Ravens are an originator of the putative infringement at issue. However, there is nothing to put into doubt the Ravens' good faith in believing that the uses at issue were non-infringing fair uses.
There is no doubt that the nature of the copyrighted work tends to weigh against a finding of fair use. However, as stated in Bouchat 2010, "the [nature of the work] factor may be of limited usefulness where the creative work of art is being used for a transformative purpose." Id. at 315 (quoting from Bill Graham Archives, 448 F.3d at 612). In view of the substantial transformative use, this factor does not weigh against a fair use finding.
The entirety of the copyrighted work was used. As stated in Bouchat 2010:
Id. at 315.
As did the court in Bouchat 2010, this Court finds that the use of the entire copyrighted work is neutralized by the transformative nature of the use.
The use of the Flying B Logo in the Stadium Picture Displays is transformative and only minimally, if at all, commercial. The Court does not find, as urged by the defense, that the absence of a market in which Bouchat himself could exploit the copyrighted work is a major factor in the context of the instant case. However, the transformative nature of the use, and the minimal commercial aspect of the use, largely offset the negative aspects of this factor.
The first (purpose and character of the use) factor weighs heavily in favor of a finding of fair use, the second (nature of the copyrighted work) and fourth (effect on the market) factors weigh only slightly against a finding of fair use, and the third (amount and substantiality) is neutral.
Considering the § 107 factors together, the Court finds that the use of the Flying B logo in the Stadium Picture Displays is a non-infringing fair use.
Bouchat sued the NFL
The Documentaries were produced by the NFL and made available to viewers on certain internet sites
The Top Ten Series: The Top Ten Series is a series of documentaries, each of which presents ten segments related to NFL players, coaches, or events from NFL history, accompanied by archival footage and interviews.
The episode Top Ten: Draft Classes provides segments on the all-time ten best NFL draft classes, including a four-minute segment on the Ravens 1996 draft class. Two fleeting images of the Flying B Logo can be seen during the introductory portion of the segment, and a third fleeting image appears in the last football scene of the segment.
Sound FX: Sound FX is a documentary series airing on NFL Network. Each episode offers viewers an inside look into the sights and sounds of football games and practices through players who are wearing microphones. The Ray Lewis episode provides a compilation of audio and footage of Ray Lewis over the course of his career with the Baltimore Ravens. In one segment, Ray Lewis is shown at training camp with his teammates playing a practice game, and the Flying B Logo can be seen on some of the players' helmets at various times over a period of about eight seconds. There is also a fleeting partial image of the Flying B Logo on the side of Ray Lewis's helmet about a minute later in the film when he is making a tackle.
The pertinent facts relating to the fair use analysis of the Documentaries are materially different from those relevant to the film clips presented at home football games that were considered in Bouchat 2010.
The Court finds the purpose and character of use factor to favor a finding of fair use. The Documentaries use pictures and film clips that show the Flying B Logo selectively as necessary to portray "history" in biographical and comparative presentations, distinct from the video presentation in the Stadium during a home game showing a few plays from a prior game against the same team.
There is no doubt that the Documentaries are produced for a commercial purpose and that the NFL earns income by making them available to viewers. There is no need to quibble about the extent to which the income generated is direct or indirect. As made clear in Campbell, a sufficiently transformative use — in that case a parody — can be a fair use even though it involves the obviously commercial and exploitive unauthorized use of a copyrighted work. See 510 U.S. at 579, 584-85, 114 S.Ct. 1164.
The Documentaries are substantially transformative uses. Each offers commentary, criticism, and documents historical facts. Each use in these films adds something new by representing factual content, documenting and commenting on historical events, or functioning as a biography or career retrospective. The Flying B Logo, to the extent seen in the Documentaries, is being used "not for its expressive content, but rather for its ... factual content." Bouchat 2010, 619 F.3d at 314 (quoting Bond, 317 F.3d at 396).
It is true that the NFL is an originator of the putative infringement at issue. However, there is nothing to put into doubt the NFL's good faith in believing that the uses of the Flying B Logo in Documentaries were non-infringing fair uses.
There is no doubt that the nature of the copyrighted work tends to weigh against a finding of fair use. However, as stated in Bouchat 2010, "the [nature of the work] factor may be of limited usefulness where the creative work of art is being used for a transformative purpose." Id. at 315 (quoting
The entirety of the copyrighted work was used. However, as with the uses in the Stadium Picture Displays, the Court finds that the use of the entire copyrighted work is neutralized by the transformative nature of the use.
The use of the Flying B Logo in the Documentaries is transformative and only minimally commercial. The Court does not find, as urged by the defense, that the absence of a market in which Bouchat himself could exploit the copyrighted work is a major factor in the context of the instant case. However, the substantial transformative nature of the use offsets the negative aspects of this factor.
The first (purpose and character of the use) factor weighs heavily in favor of a finding of fair use. The negative aspects of the second (nature of the copyrighted work) and fourth (effect on the market) factors are effectively outweighed by the substantially transformative nature of the use, and the third (amount and substantiality) factor is neutral.
Considering the § 107 factors together, the Court finds that the use of the Flying B logo in the Documentaries is a non-infringing fair use.
For some 20 years or more, Defendant Electronic Arts Inc. ("EA") has produced a video football game, named Madden NFL, and referred to herein as "the Game." At all times relevant hereto, EA published current editions of the Game annually on various game station platforms.
The Game essentially allows game players to experience the excitement and challenge of NFL football in a virtual environment. Game players can choose to compete against an opponent controlled by the Game itself, against another player present and connected to the same game station, or against a remotely located player connected through the internet.
Game players may select their virtual teams from any of the 32 current NFL teams. Game players can use some 2000 virtual players that simulate (by appearance and performance characteristics) current NFL players and/or can choose to create fictional players and add them to the team rosters. Hence, the Game player can replace a current player on a team with a fictional player having the game player's own name with selected "heroic" characteristics. Game players can have the virtual games played in their choice of virtual setting (stadium, time of day, weather, etc.).
The Madden NFL '10, '11, and '12 versions of the Game for Xbox 360 and PlayStation 3 and Madden NFL '12 for the Wii included a "throwback uniform" feature. Using this feature, the Game player can choose to dress the players on a virtual team in uniforms that had been used by that team in the past. Thus, the throwback uniform feature enables a game player choosing the Baltimore Ravens to have the Ravens wear the team's original (1996-98) uniforms that included the Flying B Logo.
The Court finds the use of the Flying B Logo in the Game to present a situation materially different from that presented in
The Court finds the purpose and character of use factor to favor, quite strongly, a finding that there was no fair use.
The Game does not, as do the Stadium Picture Displays and the Documentaries, use the Flying B Logo as necessary to present accurate depictions of historically significant artifacts (such as the first ticket and program) or events. Rather, the Game uses the Flying B Logo optionally to augment sales of its product by seeking to profit from the "nostalgia value" gained from use of the infringing work in the very same manner as was the original use.
The Game is a commercial product, and the Flying B Logo is used for a commercial purpose. EA can be presumed to have made a commercial decision that it could increase its sales by including the throwback uniform feature in the versions at issue. A part of this feature was the inclusion of the Ravens' 1996-98 uniforms with the Flying B Logo.
There certainly can be a debate, and no doubt will be, as to the amount of commercial value of the throwback uniform feature and the portion of such value attributable to the use of the Flying B Logo. Nevertheless, it is fair to conclude that the throwback uniform feature would not have been added to the Game without a determination by EA that there was commercial value (even if a small one) to the addition of a feature that included the use of the Flying B Logo.
If there is a spectrum of transformative uses, the use in the Game is at the low end, if in the spectrum at all. The least transformative use would appear to be a use in which the Ravens decided — as have other NFL teams this very season — to suit up for a league game wearing throwback uniforms. Put succinctly, the Game is making virtually the same use.
There is a question whether the unauthorized use of the Flying B Logo in the Game will be found to have been done in good faith.
If there was no license, there may be no claim against the NFL, but there would be a serious question as to EA's good faith.
The bottom line is that, from the point of view of the defense, the propriety of conduct factor is of no help to them.
There is no doubt that the nature of the copyrighted work tends to weigh against a finding of fair use.
The entirety of the copyrighted work was used. Unlike the uses in the Stadium Picture Displays, and the Documentaries, the use of the entire copyrighted work in the Game is not neutralized by the transformative nature of the use.
The use of the Flying B Logo in the Game is substantially commercial and barely, if at all, transformative.
The Court does not find, as urged by the defense, that the absence of a market in which Bouchat himself could exploit the copyrighted work is a major factor in the context of the instant case.
The NFL recognizes that there is a market to exploit the nostalgia value of throwback uniforms, choosing to have modern teams — as recently as the very day before this writing — play official games in throwback uniforms such as the Pittsburg Steelers' "Bumble Bee" regalia shown here:
Moreover, at least some NFL teams currently offer for sale replicas of throwback uniforms, and the NFL sells on its website a number of consumer products that are decorated with historic logos from various NFL teams. Since there is a market for memorabilia, it only stands to reason that there is a potential market for the Flying B Logo.
It must be borne in mind that Bouchat's copyrighted work is the Shield Drawing, not the Flying B Logo, a work derived from Bouchat's. It is notable that throughout the course of the Bouchat litigation, all concerned — including all judges — appear to recognize that the absence of any market for a license of Bouchat's copyrighted work, the Shield Drawing, does not make the Flying B Logo a fair use.
The instant litigation arises in a context in which a user of the Flying B Logo needs consent of both Bouchat and the NFL. There is, no doubt, a market for the Flying B Logo. Hence, it would be unsound to find that there is no market for Bouchat's copyrighted work since that work is, itself, an integral element of the Flying B Logo. Indeed, Bouchat is analogous to the holder of a patent on an item that is of commercial value only if it incorporates
The Court finds that Bouchat's inability, on his own, to license his copyrighted work, the Shield Drawing, is not a factor in favor of permitting fair use.
The first (purpose and character of the use), second (nature of the copyrighted work), and third (amount and substantiality) factors weigh heavily against a finding of fair use. The fourth (effect on the market) factor is, if not neutral, only slightly favoring a finding of fair use.
Considering the § 107 factors together, the Court finds that the use of the Flying B Logo in the Game is not a fair use.
For the foregoing reasons the Court finds that: