Brackett v. HILTON HOTELS CORPORATION

619 F. Supp. 2d 810, 88 U.S.P.Q. 2d (BNA) 1012, 2008 U.S. Dist. LEXIS 88143, 2008 WL 2632675
CourtDistrict Court, N.D. California
DecidedJune 30, 2008
DocketC 08-02100 WHA
StatusPublished
Cited by15 cases

This text of 619 F. Supp. 2d 810 (Brackett v. HILTON HOTELS CORPORATION) is published on Counsel Stack Legal Research, covering District Court, N.D. California primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brackett v. HILTON HOTELS CORPORATION, 619 F. Supp. 2d 810, 88 U.S.P.Q. 2d (BNA) 1012, 2008 U.S. Dist. LEXIS 88143, 2008 WL 2632675 (N.D. Cal. 2008).

Opinion

ORDER DENYING DEFENDANTS’ MOTION TO DISMISS OR TRANSFER FOR IMPROPER VENUE AND TO DISMISS COUNTS III AND IV

WILLIAM ALSUP, District Judge.

INTRODUCTION

In this copyright infringement action, defendants move to dismiss for improper venue or to transfer the action to the Central District of California. Defendants also move to dismiss Counts III and IV of plaintiffs complaint, arguing that those state law claims are preempted by federal copyright law. For the reasons stated below, defendants’ motion is Denied in its entirety.

STATEMENT

Plaintiff is an artist who lives and works in Sonoma County. Defendant Hilton Hotels Corporation is an international company incorporated in Delaware that has its worldwide headquarters in Beverly Hills. Defendant Hilton Supply Management, Inc., is a Hilton subsidiary also incorporated in Delaware and headquartered in Beverly Hills. Defendant Kevin A. Barry is a Los Angeles-based art dealer. Defendant Kevin Barry Fine Art Associates is a California corporation with its business address in Los Angeles.

In 2002 and 2003, plaintiff painted three original pastels entitled Great Expectations, Winter’s Velvet, and Falling Into Place. She registered all three of these paintings with the U.S. Copyright Office, under registration numbers VA 1-627-549 (Great Expectations), VA 1-627-551 (Winter’s Velvet), and VA 1-627-553 (Falling Into Place).

In addition to her paintings, plaintiff sells limited-edition digital prints of her artwork, known as “giclées.” Plaintiff sells these prints in runs of no more than 150 copies, hand signs each one, and makes a notation on the print of its order within the run.

According to plaintiff, two or more years ago, defendant Kevin Barry purchased one giclée each of Great Expectations, Winter’s Velvet, and Falling Into Place from ArtBrokers, Inc., the Marin County-based art dealer that has exclusive rights to sell plaintiffs giclées. Plaintiff claims that Mr. Barry was acting on behalf of his company, Kevin Barry Fine Art Associates. The giclées were allegedly ordered, shipped, invoiced, and paid for in Marin County (Opp.3). These purchases were three of over eighty alleged transactions that occurred between ArtBrokers and the Barry defendants beginning in May 2003 (ibid.).

When defendant Barry purchased plaintiffs giclées, he allegedly asked ArtBrokers whether plaintiff might be interested in making bulk sales of her artwork to his company at a price of $5.00 per print (id. at 4). Plaintiff says ArtBrokers turned down the offer, and defendant Barry “was denied permission to make any purchases, sales, or displays of her art” (Comply 16).

Nonetheless, according to plaintiff, defendant Barry “with the knowledge and *815 approval of Hilton and the other defendants ... made (or had made) large numbers of reproductions of Ms. Brackett’s works” (id. at ¶ 17). Plaintiff claims that defendant Barry sold at least 934 unauthorized copies of her paintings to Hilton Supply Management, and those prints were then resold to Hilton’s franchisees.

Plaintiff says she learned of this alleged copyright infringement when she saw her artwork on the website of Homewood Suites, a Hilton division that caters to extended-stay guests. Copies of Great Expectations, Winter’s Velvet, and Falling Into Place appeared in model rooms advertised on web pages directed at potential Homewood Suites franchisees. Additionally, plaintiff claims that at least two of the paintings appeared on the web pages of individual Homewood Suites hotels as part of a “virtual tour” feature. Plaintiff speculates that “hundreds or even thousands of unauthorized copies of [her] works are hanging in Homewood Suites hotel rooms across the United States” (id. at ¶ 19).

Plaintiff claims that defendants removed her name and the limited-edition print number from each of the prints before displaying them. She also claims that defendants made subtle alterations to one or more of the works — for example, by transposing elements in the background of the painting (id. at ¶ 20).

On April 22, 2008, plaintiff filed this action in the Northern District, alleging claims under federal copyright law and California state law. On May 13, 2008, defendants moved to dismiss the action for improper venue or, alternatively, to transfer the action to the Central District. Defendants also moved to dismiss Counts III and IV of plaintiffs complaint, which allege state law tortious interference claims.

ANALYSIS

1. Motion to Dismiss or Transfer for Improper Venue.

Defendants argue that this action must be dismissed for improper venue or transferred to the Central District of California because the federal copyright venue statute, 28 U.S.C. 1400(a), requires that copyright infringement claims be brought in the district where defendants reside. In the alternative, defendants request a discretionary transfer pursuant to 28 U.S.C. 1404(a).

A. Motion to Dismiss.

Venue for copyright claims is governed by 28 U.S.C. 1400(a), which provides that a suit “may be instituted in the district in which the defendant or his agent resides or may be found.” At oral argument, defendants’ counsel suggested that venue is proper only in the Central District because that is where plaintiffs paintings were allegedly copied and displayed. The test for venue in a copyright infringement suit, however, is not whether the works were copied and displayed in the forum. Rather, the Ninth Circuit has interpreted Section 1400(a) to mean that venue “is proper in any judicial district in which the defendant would be amenable to personal jurisdiction if the district were a separate state.” 1 Columbia Pictures *816 Television v. Krypton Broad, of Birmingham, Inc., 106 F.3d 284, 289 (9th Cir.1997) (overruled on other grounds). An analysis of defendants’ motion to dismiss for improper venue thus requires an analysis of personal jurisdiction. Though personal jurisdiction is normally a statewide concept, this order, following Columbia Pictures, will treat the Northern District as if it were its own state for the purpose of establishing personal jurisdiction over defendants. Ibid.

This portion of the order can consider facts outside the pleadings but must take plaintiffs version of the facts as true where that version is not directly controverted. Doe v. Unocal Corp., 248 F.3d 915, 922 (9th Cir.2001). Because defendants’ motion is based on written materials, plaintiff need only make a prima facie showing of personal jurisdiction. Schwarzenegger v. Fred Martin Motor Co., 374 F.3d 797, 800 (9th Cir.2004).

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619 F. Supp. 2d 810, 88 U.S.P.Q. 2d (BNA) 1012, 2008 U.S. Dist. LEXIS 88143, 2008 WL 2632675, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brackett-v-hilton-hotels-corporation-cand-2008.