L. A. Westermann Co. v. Dispatch Printing Co.

233 F. 609, 147 C.C.A. 417, 1916 U.S. App. LEXIS 2497
CourtCourt of Appeals for the Sixth Circuit
DecidedJune 22, 1916
DocketNo. 2663
StatusPublished
Cited by22 cases

This text of 233 F. 609 (L. A. Westermann Co. v. Dispatch Printing Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
L. A. Westermann Co. v. Dispatch Printing Co., 233 F. 609, 147 C.C.A. 417, 1916 U.S. App. LEXIS 2497 (6th Cir. 1916).

Opinion

DENISON, Circuit Judge.

The appellant was the plaintiff below. Although a corporation, it seems to be the enterprise of Mr. Westermann, and it will be convenient to speak of him as the plaintiff. The defendant was a newspaper publishing corporation. Plaintiff was engaged at New York in the. business of selling illustrations of styles for women’s dress. Pursuing his long-established method of business, when the fall season o-f 1911 approached he employed Mrs. Westermann, as artist and designer, to observe and reproduce and to design sketches of hats and gowns, among other things, illustrative of fall styles. These sketches showed women as they would appear wearing such, articles, and were artistic and attractive. The sketches were then grouped, eight or ten together, and printed upon large display sheets. Each sketch was separately deposited with the Register [611]*611of Copyrights and copyright claimed thereon; and each sketch when published in the group carried independently the copyright notice. Westermann sent these display sheets, as issued from time to time, to his mailing list of 1,200 retail dealers in women’s dress throughout the United States, accompanied by an offer to sell to each dealer electroplates of any desired sketch, with the exclusive right to use it in the dealer’s town. This record shows that Westermann published and distributed at least six such display sheets, two on August 15th, three on September 1st, and one on September 19th. He made a contract covering the season with Morehouse, a retail dealer at Columbus, Ohio, somewhat varying the general method. of business, and whereby it was agreed that Westermann should furnish Morehouse these style sheets, and that Morehouse, in consideration of a fixed sum, should have the exclusive right in Columbus to reproduce any of these sketches which he desired to use in his Columbus newspaper advertising.

At intervals from September 19th to October 15th the defendant newspaper published six advertisements for five Columbus retailers other than Morehouse, in each one of which six advertisements there was reproduced one of the copyrighted sketches, no one being used twice. November 10th defendant reproduced in its newspaper for still another advertiser the same sketch which it had once published on October 15th. No two of these six sketches were included by plaintiff in any one of his display sheet groups.

In the court below Westermann filed his bill of complaint setting out these facts, alleging that it was impossible to show by proof the actual damages suffered, and that he elected to take and demand the alternative “just” damages given by section 25 of the Copyright Law (Act March 4, 1909, c. 320, 35 Stat. L. 1075 [Comp. St. 1913, § 9546]), asking a judgment for the maximum of $5,000 for each of the seven alleged infringing publications, and asking also an injunction.

Defendant answered; plaintiff replied; proofs were taken in open court; all of the issues were found in favor of plaintiff; and his damages were fixed at $10 for each infringement. The defendant was content; the plaintiff brought the case here on appeal and on writ of error.

[1-3] 1. The case must be treated as an equity case here on appeal. Section 27 provides that all proceedings contemplated by the act, including those for injunction, damages, profits, and for the seizure of infringing copies, etc., may be united in one action. It is easy to see that composite actions might be brought which it would be difficult to classify as between equity and law; but there is no' such difficulty here. The prayer for damages, in connection with the injunction, does not at all disparage the dominant equitable character of the proceeding. The awarding of such damages is within the customary powers of a court of equity. Plaintiff adopted, and defendant accepted, all the forms of a proceeding in equity; and the suit must be so considered. It follows that we must decide the questions of fact as well as those of law involved, save that, under familiar rules, the conclusion of the trial court on questions of fact will not be lightly dis[612]*612turbed. Although the testimony is here upon a so-called bill of exceptions, we think the intention is clear enough that it should be treated also as a statement of evidence, under equity rule 75 (198 Fed. xl, 115 C. C. A, xl); and it will be so regarded.

[4] 2. Issues as to the necessity of making Morehouse a party, as to the copyrightable character of the sketches, as to the effectiveness of the registration proceedings, and as to the sufficiency of the notice and defendant’s knowledge — all were decided against defendant, and defendant has not appealed. While it would be open to us to consider such issues, because involved in any judgment for plaintiff, yet in this case we see no reason for considering them on our own motion, and in the absence of any complaint. We therefore assume that the court below was correct in these particulars, and that the only question for consideration is the one which alone the parties have presented, viz., the proper measure of damages under section 25, as applied to the facts of this case.

[5] 3. Section 25, so far as pertinent, is quoted in the margin.1 By the clause “in lieu of” it contemplates an election or discretionary choice between actual damages and profits on the one side, and, on the other side, an assumed or somewhat arbitrary award of such damages as may be just. Plaintiff claims that the copyright proprietor is entitled to make this election, and to plant his action arbitrarily and absolutely upon one theory or the other; defendant insists that the election or the discretionary choice is to be made by the court upon the trial. The plaintiff hej;e made the election, if he had the power [613]*613to do so; and on the evidence thee can be no doubt that this was not a case for actual damages, as distinguished from those damages which might be fair and just, and that the court, if called upon to act, must make the same election as plaint iff did. Defendant made no profits, so far as the proofs indicated; the. plaintiffs damages rested in 1 lie injury to ills Storehouse contract arid in the discouragement of and the tendency to destroy- his system of business. To make any accurate proof of actual damages was obviously impossible. This case must therefore be treated, from any point of view, as one calling for the application of the “in lieu” portion of the statute.

4. The statute says that “such, damages shall” be governed by a maximum and minimum. Whether this phrase, “such damages,” and i:he máximum and minimum limitations, apply to the actual damages which ma]r be proved and established under the first part of this section, or only to the “just” damages given “in lieu of actual damages,” cannot be determined from mere arrangement of the language, hut must depend upon more indirect interpretation. This question likewise does not directly require decision in this case. The limitations unquestionably apply to the “in lieu” damages, which are the only ones here involved; their application to actual, damages may be passed over.

5. The arrangement of section 25 is awkward. In effect, the provisions for maximum and minimum immediately follow the classification, so that the statute must be treated as if it read:

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Bluebook (online)
233 F. 609, 147 C.C.A. 417, 1916 U.S. App. LEXIS 2497, Counsel Stack Legal Research, https://law.counselstack.com/opinion/l-a-westermann-co-v-dispatch-printing-co-ca6-1916.