Intellectual Property Law Commons^™

Implied Limits On The Legislative Power: The Intellectual Property Clause As An Absolute Constraint On Congress, Paul J. Heald, Suzanna Sherry

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Professors Heald and Sherry argue that the language of Article I, Section 8, Clause 8, the Intellectual Property Clause, absolutely constrains Congress's legislative power under certain circumstances. Their analysis begins by looking at other limits on the legislative power that the Court has found in the Bankruptcy Clause, the Eleventh Amendment, the Tenth Amendment, and Article III. Then by examining the history and structure of the Intellectual Property Clause and relevant precedent, they distill four principles of constitutional weight--the Suspect Grant Principle, the Quid Pro Quo Principle, the Authorship Principle, and the Public Domain Principle. These principles inform the Court's …

Remedies For The Misappropriation Of Intellectual Property By State And Municipal Governments Before And After Seminole Tribe: The Eleventh Amendment And Immunity Doctrines, Paul J. Heald, Michael L. Wells

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Part I of this Article addresses relief available to intellectual property owners under the Takings Clause of the Fifth Amendment. Before Congress's express abrogation of state sovereign immunity in 1992, federal, state, and local governments were nonetheless potentially liable for misappropriations of intellectual property that constituted takings without just compensation. This examination of the Supreme Court's Fifth Amendment jurisprudence is also key to answering the critical question of whether federal patent, copyright, and trademark laws establish rights in “property” for the purposes of the Fourteenth Amendment, for only under section 5 of the Fourteenth Amendment may Congress abrogate a state's …

Sunbeam Products, Inc. V. The West Bend Co.: Exposing The Malign Application Of The Federal Dilution Statute To Product Configurations, Paul J. Heald

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Some judicial opinions lack persuasive authority because they are poorly written. Others establish dangerous precedent or enshrine pernicious attitudes into law. Still others twist the language of prior opinions or misuse legislative history. Although a focus on rhetorical structure, effect on society, or quality of legal reasoning is helpful in identifying what constitutes a very bad judicial opinion, this essay will instead expose the blander evils of indifference and inattentitveness. My “worst” opinion -- Sunbeam Products, Inc. v. The West Bend Co. -- will not have a catastrophic effect on American life and culture, but rather provides an important illustration …

Folsom V. Marsh And Its Legacy, L. Ray Patterson

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The fair use doctrine has become so important in American copyright law that it is somewhat surprising to learn that the case credited with creating it, Folsom v. Marsh, was so poorly reasoned that it may be entitled to first place in the category of bad copyright decisions. The case was a bill in equity for copyright piracy, the style of which comes from plaintiff, Folsom, Wells and Thurston, printers and publishers, and defendants, Marsh, Capen and Lyon, booksellers.

If one of the characteristics of a bad legal decision is that it gives rise to a myth as to what …

Regents Guide To Understanding Copyright And Educational Fair Use, L. Ray Patterson

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The Regents Guide to Copyright and Educational Fair Use, adopted by the Regents of the University System of Georgia, is the most comprehensive statement on copyright and educational fair use ever adopted by a major university system. The purpose of this comment is to provide a brief background for readers and users of the document.

The Regents Copyright Committee, appointed by Dr. James Muyskens, Senior Vice Chancellor for Academic Affairs, University System of Georgia, continues in existence and has eight members, who represent a cross-section of the university community, and include administrators (two of whom are lawyers), faculty (two of …

A Response To Mr. Y'Barro's Reply, L. Ray Patterson

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Copyrightists would do themselves -- and the law -- a great favor by joining in the search for the proper solution without focussing on how to use copyright law to enhance guaranteed profits, even though the effort entails the abuse of constitutional rights and corruption of the learning process. They should accept the fact that first amendment protections are not embedded in copyright law; that the public interest is an important component of copyright law; and that the consumer/competitor distinction is important for the proper administration of copyright law.

Muddy Waters: Infringement Analysis After "Markman" And "Warner-Jenkinson", Clyde F. Willian, Joseph S. Miller

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No abstract provided.

Reviving The Rhetoric Of The Public Interest: Choir Directors, Copy Machines, And New Arrangements Of Public Domain Music, Paul J. Heald

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The decision to photocopy or not to photocopy has significant consequences for the music consumer's pocketbook. Photocopies cost around three cents per page, while an original printed version of a choral work costs about thirty cents per page. The expense of buying rather than copying public domain sheet music is directly absorbed by the taxpayers who fund music education in public schools, the church congregations who must raise money for the church music budget, and the patrons of the fine arts who finance music ensembles with their admission fees or donations.

To recognize the high cost of sheet music is …

Copyright And Free Speech Rights, L. Ray Patterson, Stanley F. Birch, Jr.

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By letter of 1 March 1993, the Copyright Compliance Office of the Association of American Publishers (AAP) informed a copyshop that it had “without prior permission, made multiple copies of excerpts of copyrighted works for distribution to students in course anthologies.” Stating that this copying was an infringement of copyright, the letter requested the copyshop to sign an enclosed agreement stating it would not commit such acts again and to pay a penalty of “$2,500 to help defray the costs of the AAP's copyright enforcement program in this matter and to impress on your business the need to operate in …

Trouble In Transamerica: Deferred Compensation, Contingent Debt, And Overstated Basis, Mary Lafrance

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For many years, owners of motion pictures and television films have optimized the tax benefits of depreciation deductions by employing a broad concept of basis. In addition to their cash investment, these taxpayers have increased their basis to reflect both fixed and contingent liabilities incurred in creating or acquiring these assets. Some of these liabilities represent royalties for the use of intellectual property such as music and literary works incorporated in the film. Others constitute deferred compensation for the services performed by producers, directors, actors, musicians, and others during the production process. The fixed liabilities do not depend on the …

Trade Secrets And Roman Law: The Myth Exploded, Alan Watson

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In 1929 A. Arthur Schiller published a celebrated article, Trade Secrets and the Roman Law; the Actio Servi Corrupti. His main conclusions are that the Roman owner of a mark or firm name was legally protected against unfair usage by a competitor through the actio servi corrupti, “action for making a slave worse,” which the Roman jurists used to grant commercial relief under the guise of private law actions. “If, as the writer believes [writes Schiller], various private causes of action were available in satisfying commercial needs, the state was acting in exactly the same fashion as it …

Days Of Our Lives: The Impact Of Section 197 On The Depreciation Of Copyrights, Patents And Related Property, Mary Lafrance

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For federal income tax purposes, owners of intangible property generally must capitalize the costs of creating or acquiring that property. In the past, the tax rules for recovering these capitalized costs through depreciation deductions varied greatly according to the nature of the intangible. Certain types of acquired intangibles--notably, goodwill and going concern value--were nondepreciable. In contrast, taxpayers purchasing interests in copyrights or patents could depreciate those assets under the straight-line method or, in most cases, could opt for more rapid cost recovery under the income forecast method.

In the Omnibus Budget Reconciliation Act of 1993, Congress greatly enlarged the class …

Brief Amicus Curiae Of Eleven Copyright Law Professors In Princeton University Press V. Michigan Document Services, Inc., L. Ray Patterson

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The issue dealt with in this amici curiae brief is the judicial ability (or inability) to take away rights granted by Congress in 17 U.S.C. S 107, the fair use doctrine.

On June 9, 1994, the United States District Court for the Eastern District of Michigan, Southern Division, issued an opinion in Princeton University Press v. Michigan Document Services, Inc., granting several publishers a permanent injunction prohibiting a commercial copying service from photocopying excerpts from copyrighted works chosen by professors and compiled as course packets to be used by university students in class. The court held that such photocopying was …

Payment Demands For Spurious Copyrights: Four Causes Of Action, Paul J. Heald

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“COPYING IS ILLEGAL” declares the final page of the chorus from the Bach cantata lying to the right of my computer. The slogan is ingeniously printed in gray across the entire page so that it will show up clearly if any photocopies are made. The first page of the text contains the copyright symbol and the name and address of the “sole selling agent” of the putative copyright owner. Apparently, the copyright claimant would prefer to sell additional copies of the music rather than receive royalties for copying done by users. “ALL COPYING IS ILLEGAL” states the edition of Shakespeare's …

Resolving Priority Disputes In Intellectual Property Collateral, Paul J. Heald

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Although a goodly amount of recent commentary provides guidance to practitioners on the pitfalls of perfecting a security interest in intellectual property collateral, and another body of work has undertaken the laudable task of proposing reform in the area, no comprehensive attempt has yet been made to help judges resolve the complex priority disputes that arise under existing law. In light of the increased use of intellectual property as collateral and the concomitant rise in litigation, guidance on the resolution of priority disputes in intellectual property collateral is sorely needed. For example, recent cases find Article 9 of the Uniform …

Copyright And "The Exclusive Right" Of Authors, L. Ray Patterson

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The purpose of this essay is to define and explore the meaning of "the exclusive Right" in the Intellectual Property Clause of the United States Constitution as related to the promotion of learning, the public domain, and authors. Without a clear understanding of this key term, one is likely to be unaware that lower federal courts are continually making rulings contrary to both the Copyright Clause and the Copyright Act. The classic example is the judicially created sweat-of-the-brow copyright, which in 1991 -- after seventy-five years of precedent -- the Supreme Court decreed to be unconstitutional. Other bad precedents, such …

Refusing To Rock The Boat: The Sears/Compco Preemptioni Doctrine Applied To Bonito Boats V. Thunder Craft, David E. Shipley

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This article discusses the Bonito Boats and Interpart cases in conjunction with the lower courts' interpretations of the challenged state "plug molding" statutes. It analyzes the Supreme Court's resolution of the conflict between the Bonito Boats and Interpart decisions and then explores the ramifications of Bonito Boats. The article concentrates on the ways in which this decision may expand the scope of federal preemption of state law protection for certain kinds of intellectual property.

Book Review, Mary Lafrance

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Learning the business side of the film industry can be a daunting task. On-the-job training is treacherous, basic texts quickly become outdated, and treatises can overwhelm with detail. Moreover, it is one thing to know the general outlines of the business and legal aspects of film production, and quite another to feel prepared to negotiate a contract. This is particularly true in the area of film financing, where new techniques emerge with every deal. Producing, Financing and Distributing Film fills a unique niche by providing a concise one-volume introduction to the business side of film that is detailed and transaction-oriented. …

Federal Intellectual Property Law And The Economics Of Preemption, Paul J. Heald

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In the Sears/Compco decisions, the United States Supreme Court established that federal patent law preempts state prohibitions on the mere copying of unpatented product configurations. After years of harsh criticism by commentators, apparent rejection by the lower courts, and allegedly inconsistent treatment by the Court itself, most had proclaimed this principle far beyond resuscitation. The Court, however, miraculously resurrected the principle in Bonito Boats, Inc. v. Thunder Craft Boats, Inc., which unanimously reaffirmed that intentional copying often should be privileged under federal law. In so doing, the Court provided an expressly economic rationale to be used in future determinations …

The Vices Of Originality, Paul J. Heald

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Lately, the Constitution has become an unwelcome guest at the parties of those claiming rights lying on the periphery of intellectual property. Two terms ago, in Bonito Boats, Inc. v. Thunder Craft Boats Inc., the Court held that federal patent law preempted a Florida statute forbidding the reproduction of boat hulls by use of any direct molding process. The Court's decision effectively provided a limited constitutional right to copy unpatented product shapes and designs. Most recently, in Feist Publications, Inc. v. Rural Telephone Service, Inc. the Intellectual Property Clause was held to create positive restraints on Congress's ability to …

Three Strikes And They're Out At The Old Ball Game: Preemption Of Performers' Rights Of Publicity Under The Copyright Act Of 1976, David E. Shipley

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Presently, broadcasters and cable television companies deal directly with the two baseball leagues and the individual clubs, which in turn purport to sell all of the rights regarding the televising of the games. The players wanted to be a part of those contracts to get a bigger share of the television revenues. In the Baltimore Orioles case both sides sought a judicial resolution of their rights in the telecasts. The baseball players' demand was based on their rights of publicity in their performances. This common law right allegedly precluded the clubs and the leagues from contracting with the broadcasters for …

Copyright Law And Your Neighborhood Bar And Grill: Recent Developments In Performance Rights And The Section 110(5) Exemption, David E. Shipley

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This Article attempts to clarify the chaotic state of the law concerning performance rights. First, it briefly summarizes the history of this right and discusses some of the problems Congress sought to resolve when it passed the 1976 Act. Second, it outlines several of the Act's key provisions on the performance right. Finally, it discusses the recent decisions which have interpreted these provisions and analyzes their impact on the activities of commercial establishments. These decisions show that the pertinent sections of the 1976 Act provide reasonably clear guidelines outlining the ways in which copyrighted works can be publicly performed or …

Copyright Protection For Architectural Works, David E. Shipley

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Architecture is the most commonly experienced and pervasive of all the arts. The creative efforts of architects culminate in structures used for shelter, pleasure, business, entertainment, and transportation.1 Architects express their design concepts in sketches, elevations, floor plans, working drawings, specifications, renditions, and three-dimensional models. Their labors in shaping the ideas for a building from rough conceptions into plans and then into completed structures are similar to the efforts of other creators. An architect is as much an author as is a sculptor or a dramatist. His plans, renditions, and the resulting structure will ordinarily show originality and will reflect …

Conflicts Between Copyright And The First Amendment After Harper & Row, Publishers V. Nation Enterprises, David E. Shipley

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The relationship between copyright and the first amendment has been discussed repeatedly in the past fifteen years. A free speech privilege has been asserted as a defense in many copyright infringement actions, and the topic has been the subject of lively academic debate. Although no court has held an infringement claim to be defeated by a first amendment defense, considerable attention has been paid to the potential conflict between copyright and free speech interests. Commentators have speculated that in some situations copyright protection could impermissibly abridge the first amendment. The United States Supreme Court's decision in Harper & Row, Publishers …

Note, Developments Under The Freedom Of Information Act—1984, Mary Lafrance

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The eighteenth year of the Freedom of Information Act (FOIA) witnessed a continuation of the trend toward restricting public access to government information. This article discusses the developments under the FOIA in 1984, including legislative developments, administrative developments, and judicial developments.

Protecting Research: Copyright, Common-Law Alternatives, And Federal Preemption, David E. Shipley, Jeffrey S. Hays

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Under federal copyright law, an author's expression is protected but his ideas and discoveries are not. Professor Shipley explores the possibility of expanding copyright to protect the research of nonfiction authors, but concludes that such an expansion would undermine federal copyright policy. State-law remedies exist that will provide such protection if they are not preempted by federal law. Professor Shipley concludes that most contract claims and some misappropriation claims will survive preemption and therefore are a means by which nonfiction authors can protect their research.

Publicity Never Dies; It Just Fades Away: The Right Of Publicity And Federal Preemption, David E. Shipley

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This Article explores the nature and developing boundaries of the state law doctrine of the right of publicity. It investigates the doctrine's conflict with the 1976 Copyright Act and federal policy concerning intellectual property, and concludes that the 1976 Act precludes publicity actions aimed at protecting certain types of publicity interests. In other situations, the overriding objectives of federal copyright policy preempt the right to the extent that the right defined as perpetual; moreover, such protection in perpetuity violates the supremacy clause of the Federal Constitution. Many types of publicity actions, however, should escape preemption either because the asserted rights …

The Transfer Of Technology To Latin America, Gabriel M. Wilner

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The transfer of technology to Latin America has taken place through both the licensing process and direct investments by foreign enterprises that are often transnational corporations. National law has concerned itself first with the creation of rights in technological knowledge and the protection of these rights by law. The regulation of these rights as set out in contractual relationships and the regulation of direct investment, particularly the technological component thereof, were dealt with thereafter. Other matters such as the repatriation of profits (exchange control), customs controls, and various taxes have also become a part of the national regulatory scene today. …

Generic Trademarks, The Ftc And The Lanham Act: Covering The Market With Formica, David E. Shipley

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This article focuses on the FTC's authority under section 14 of the Lanham Act to petition for the cancellation of a trademark on the ground that the mark has become "the common descriptive name of an article or substance" and, thus, generic. The FTC's recent decision to challenge Formica Corporation's FORMICA trademark manifests a shift in agency policy which is highly inappropriate and which could have damaging effects on consumers and industry. Competition and the public interest would be better served if the FTC did not exercise this discretionary power, leaving the issue of whether a trademark should be cancelled …