Kertesz v. Net Transactions, Ltd.

635 F. Supp. 2d 1339, 2009 U.S. Dist. LEXIS 54448, 2009 WL 1810757
CourtDistrict Court, S.D. Florida
DecidedJune 24, 2009
DocketCase 08-80730-CIV
StatusPublished
Cited by38 cases

This text of 635 F. Supp. 2d 1339 (Kertesz v. Net Transactions, Ltd.) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kertesz v. Net Transactions, Ltd., 635 F. Supp. 2d 1339, 2009 U.S. Dist. LEXIS 54448, 2009 WL 1810757 (S.D. Fla. 2009).

Opinion

OPINION AND ORDER

KENNETH A. MARRA, District Judge.

This cause is before the Court upon Defendants Net Transactions, Ltd., Ventura Content, AVV, TB Advertising AW, Edward James Enterprises, Inc. and James Witucki’s Motion to Dismiss Count IV of the Third Amended Complaint and Ventura Content, AW and TB Advertising AW’s Motion to Dismiss pursuant to Rule 12(b)(2) (DE 101). The Court has carefully considered the motions and is otherwise fully advised in the premises.

I. Background

The Third Amended Complaint (“TAC”) makes the following allegations: Plaintiff Heather Kertesz (“Plaintiff’ “Kertesz”) was, at all relevant times, a college student at Lynn University in Boca Raton, Florida. (TAC ¶ 2.) Defendant Ventura Content, AW (“Ventura”) is an Aruban corporation that produces, contracts for, commissions and owns the pornographic content displayed on www.collegewildparties.com. (TAC ¶ 4.) The college parties website is owned, operated and controlled by Defendant Net Transactions, Ltd. (“Net”). (TAC ¶ 3.) Defendant Westlake (“West-lake”) is an Aruban corporation which holds the bank accounts for Net. (TAC ¶ 6.) Defendant TB Advertising AW (“TB”) is an Aruban corporation that owns and operates a marketing and promotion affiliate program on the world wide web through which it “regularly and systematically enters into contractual agreements with Florida residents.” (TAC ¶ 5.) Edward James Enterprises, Inc. (“EJE”) is a Florida corporation that is in the business of filming pornography. (TAC ¶ 7.) James Witueki (“Witueki”) is the officer of EJE and a photographer/videographer who films pornography in Florida. (TAC ¶ 8.)

Net owns and operates hundreds of websites, including the college wild parties website. (TAC ¶ ¶ 17, 19.) Net obtains photographs and videos from Ventura, which purchases and licenses adult content. (TAC ¶ 21.) TB serves as a “conduit for internet traffic for all the Net [ ] websites” and pays its “webmasters” to steer consumers to its affiliated websites, including the college parties website. (TAC ¶ 22.) Since early 2005, EJE and Witueki, have hosted parties attended by college students where pornography was filmed. (TAC ¶ 24.)

On March 23, 2007, Plaintiff attended a house party in Boca Raton, Florida thrown by EJE and Witueki, for the benefit of Ventura. (TAC ¶ 26.) Unbeknownst to Plaintiff, EJE and Witueki were taking video and still photography for a pornographic website. (TAC ¶ 27.) After having her photograph taken without her permission, Plaintiff was asked to sign a waiver and release. Plaintiff refused and was asked to leave. (TAC ¶ 29.) Without Plaintiffs consent, Defendants have used her image and likeness on the college wild parties website and on EJE’s home web page. (TAC ¶ ¶ 32-36.) Specifically, Plaintiffs image and likeness was published and displayed in the photomontage of the advertising banner that appears on every page of the college wild parties website. It is the first image that users see upon gaining access to the website. (TAC ¶ 33.) The image is of Plaintiffs smiling face while viewing a male and female engaged in sodomy. Plaintiffs head and face were, however, cropped or “photoshopped” from a separate image and placed on the banner to appear as if Plaintiff is watching the couple as the sexual act took place. (TAC ¶ 34.)

*1343 The TAC alleges: (1) unauthorized publication of likeness under Florida Statute § 540.08 against EJE, Ventura, Net and Westlake (count one); (2) defamation by implication against Net, Ventura, West-lake, EJE and Witucki (count two); (3) unjust enrichment against all Defendants (count three) and (4) declaratory and injunctive relief pursuant to Florida Statute § 501.201 et seq. (Florida Deceptive and Unfair Trade Practices Act or “FDUTPA”) against all Defendants (count four). Defendants Ventura and TB move to dismiss the TAC for lack of personal jurisdiction and all Defendants move to dismiss count four of the TAC.

II. Evidence Relating to Personal Jurisdiction

A. Defendants Ventura and TB’s Evidence

Ventura is an entity organized under the laws of the nation of Aruba. Ventura does not maintain any offices or other locations in any part of the United States. (Allison Vivas Deck ¶ 3.) Ventura purchases photography and video from third-party producers and licenses that content to other entities. (Vivas Deck ¶ 5.) Ventura does not publish or display any content that it owns. (Vivas Deck ¶ 7.) Nor does Ventura participate in the creation of any content. Instead, Ventura purchases content from third-party producers. (Vivas Deck ¶ 6.) With respect to the content at issue in this litigation, Ventura purchased the photographs and videos from EJE and subsequently licensed that content to Net. (Vivas Deck ¶ 8.)

TB is an entity organized under the laws of the nation of Aruba. TB does not maintain any office or presence in the United States. (Vivas Deck ¶ 4.) TB promotes the sale of products and services offered by other entities through a mechanism known as a “webmaster sales program.” In essence, TB pays commissions/referral fees to independent contractor participants (“webmasters”) for sales generated by those webmasters on behalf of TB’s advertising clients. When a consumer purchases a product or service from the internet web page of one of TB’s advertising clients, and that sale was generated by a referral from a webmaster, TB pays the webmaster a commission for the sale. (Vivas Deck ¶ 9.) Sales generated by referrals from TB’s webmasters are made directly from the vendors of the products/services. (Vivas Deck ¶ 12.) TB does not produce any photographs or video displayed on websites that are clients of TB’s webmaster program. (Vivas Deck ¶ 11.) TB does not own or operate the websites of clients whose products or services are advertised via the webmaster sales program. TB does not operate the college wild parties website nor has it collected proceeds resulting from the sale of subscriptions or memberships. (Vivas Deck ¶ ¶ 10,12.)

Net is an entity organized under the laws of the nation of Gibraltar. (Vivas Deck ¶ 2.) Net owns the college wild parties website and collects all proceeds generated from sales of subscription memberships to the website. (Vivas Deck ¶ 13.) Net does not participate in the creation of original content that appears on any website it owns or operates. Net did not participate in the creation of the content appearing on the college wild parties website or in the purchase from the producer of the content at issue in this litigation. (Vivas Deck ¶ 14.)

B. Plaintiffs Evidence

In the three years prior to the filing of the complaint in this action, Ventura spent almost $1.3 million to buy the rights to adult videos and photographs from Florida producers. (Rika Daun Deck ¶ 4.) Among the producers from which Ventura bought videos are Defendants EJE and Witucki, *1344 totaling $895,000.00 in payments. (Daun Decl. ¶ 5.) EJE and Witucki were paid $14,000.00 for the video/still photos at issue in this litigation. (Daun Decl. ¶ 6.) Ventura also purchased videos and still photographs from several other producers of adult entertainment including Dave Pound-er Productions, LLC and Thor Productions. (David Mech Decl. ¶ 5; Demitri Hioteles Decl.

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635 F. Supp. 2d 1339, 2009 U.S. Dist. LEXIS 54448, 2009 WL 1810757, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kertesz-v-net-transactions-ltd-flsd-2009.