DAVID M. LAWSON, District Judge.
This case is before the Court on the plaintiff's motion for default judgment. The plaintiff is a California limited liability company that owns the copyrights on several pornographic videos. The plaintiff alleged in a complaint that an anonymous defendant, operating online from a certain internet protocol (IP) address, downloaded a number of the plaintiff's videos and shared them with others using the Bit Torrent protocol, which is peer-to-peer file sharing software. The plaintiff received permission to conduct early discovery and was able to trace the IP address to the defendant Kurt Schelling, identifying him by name in an amended complaint. Schelling was personally served and has not answered the amended complaint. The time for doing so has expired.
The Clerk entered Schelling's default on July 11, 2013, and the plaintiff moved for a default judgment on September 12, 2013. Schelling has not been heard from.
There is no question that the plaintiff is entitled to a default judgment finding Schelling liable for copyright infringement. The entry of default "conclusively establishes every factual predicate of a claim for relief." Thomas v. Miller, 489 F.3d 293, 299 (6th Cir.2007). But the Court is not free to enter judgment in the amount requested by the plaintiff. Rather, "[w]here damages are unliquidated a default admits only [the defaulting party's] liability and the amount of damages must be proved." Antoine v. Atlas Turner, Inc., 66 F.3d 105, 110 (6th Cir.1995) (quoting Fehlhaber v. Fehlhaber, 681 F.2d 1015, 1026 (5th Cir.1982)); see also Kelley v. Carr, 567 F.Supp. 831, 841 (W.D.Mich. 1983) ("A default judgment on well-pleaded allegations establishes only defendant's liability; plaintiff must still establish the extent of damages.").
In this case, the plaintiff seeks statutory damages totaling $18,000 for "willful infringement," an injunction, attorney's fees in the amount of $2,550, and $445 in costs. The Copyright Act permits plaintiffs to chose between actual damages and statutory damages. The plaintiff requests the minimum statutory damages provided by section 504 of the Copyright Act for each of the six infringements alleged in the complaint. Section 504(c)(1) sets the minimum statutory damages at $750 per infringement. 17 U.S.C. § 504(c)(1). Under the statute, the plaintiff is not required to prove actual damages. "[A] plaintiff may recover statutory damages `whether or not there is adequate evidence of the actual damages suffered by
The plaintiff's request for attorney's fees is problematic. Attorney Paul Nicoletti justifies his request with an affidavit averring that he spent 8.5 hours on the file and charges an hourly rate of $300. If this were a one-off lawsuit, the request might be seen as reasonable. But this case is one of hundreds filed in this district and across the country, using nearly identical complaints and motions for default judgment. In this district alone, from June 14, 2012 to June 24, 2014, Mr. Nicoletti filed 158 cases for Malibu Media, LLC. Nearly every case names a John Doe defendant with an assigned IP address and alleges copyright infringement under 17 U.S.C. §§ 101 et seq. (the "Copyright Act"). The plaintiff then files a motion for leave to serve a third-party subpoena prior to the Rule 26(f) conference in order to determine the defendant's true identity. Once the defendant has been identified, the plaintiff files an amended complaint with the named defendant. A large number of the cases are voluntarily dismissed by the plaintiff because "once receiving discovery, [the plaintiff] may learn that some Doe Defendants are on active duty in the military, a coffee shop with open wireless, or have some other circumstance that would prevent [the plaintiff] from pursuing [its] claims." Pl.'s Notice [dkt. #8], Ex. 1, Collette Filed decl. ¶ 24, Malibu Media, LLC v. John Doe, No. 13-10508 (E.D.Mich. Feb. 21, 2013). However, the plaintiff pursues the action against the defendant on the remaining cases, requesting statutory damages for "willful" infringement.
The practice here is the essence of form pleading. For instance, on the day this case was filed — March 29, 2013 — seventeen other cases were filed in this district by Mr. Nicoletti with an identical complaint. Each of the complaints is seven pages long with thirty-three paragraphs of exactly identical allegations, and the amount of statutory damages and the terms of the permanent injunction requested is the same. The only difference between the complaints is the defendant's assigned IP address, which is later used to identify the named defendant.
There is nothing inherently wrong with this practice. If Malibu Media is experiencing a massive invasion of infringers, it is entitled to seek redress through the courts. If the defendants' conduct is the same, then one might expect the allegations to follow suit. But because there is nothing unique about this case against
At least one other judge in this district has found Mr. Nicoletti's standard requested attorney's fees of $2,550 (at a rate of $300 an hour for eight and a half hours) to be unreasonable. See Order Granting Pl.'s Mot. for Default Jud. [dkt. # 14], Malibu Media, LLC v. Lara Dupuis, No. 13-11435 (E.D.Mich. Oct. 17, 2013) (Cleland, J.) (observing that "Malibu has filed hundreds of similar actions across the country and its attorney's assertion that he spent an hour drafting what appears to be a boilerplate complaint, and an hour and twenty minutes drafting a two-page motion for default judgment strains the court's credulity"). Judges in other districts have reached similar conclusions. See Malibu Media, LLC v. Johnson, No. 12-1117, 2013 WL 3895265 (S.D.Ind. July 29, 2013). In this case, the Court is satisfied that a reasonable attorney's fee is $555; that amount is sufficient to cover the form-pleading work done here. When added to the $445 in costs, the statutory damages are enhanced by the amount of $1,000.
Accordingly, it is
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The Court will not exercise continuing jurisdiction over the matter.