Meddaugh v. WGBH Educational Foundation

31 Mass. L. Rptr. 264
CourtMassachusetts Superior Court
DecidedJune 19, 2013
DocketNo. MICV201300269F
StatusPublished
Cited by1 cases

This text of 31 Mass. L. Rptr. 264 (Meddaugh v. WGBH Educational Foundation) is published on Counsel Stack Legal Research, covering Massachusetts Superior Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Meddaugh v. WGBH Educational Foundation, 31 Mass. L. Rptr. 264 (Mass. Ct. App. 2013).

Opinion

Curran, Dennis J., J.

Susan Meddaugh brings this action against WGBH Educational Foundation for breaching their agreement, misrepresentation, and engaging in deceptive trade practices. Further, Ms. Meddaugh brings actions against both WGBH and DHX Media, Ltd. for unjust enrichment and conversion. 1 The agreement grants WGBH certain rights with respect to Ms. Meddaugh’s book series, Martha Speaks. The defendant WGBH now seeks to dismiss all seven counts of the complaint.

After reviewing the parties’ submissions, WGBH’s motion for dismissal is ALLOWED on Count IV, but DENIED on Counts I, II, III, V, VI and VII.

[265]*265BACKGROUND

Based upon the record before the Court, the Court makes the following preliminary findings for the purpose of deciding this motion only.

Susan Meddaugh created Martha Speaks, a children’s book series about a dog who eats alphabet soup and gains the ability to speak. Ms. Meddaugh entered into an agreement with WGBH Educational Foundation regarding Martha Speaks on May 11, 2005. The agreement sets forth WGBH’s rights with respect to the Martha Speaks intellectual property. The agreement grants WGBH the right to “develop, produce, or cause to be produced, exhibit, distribute and otherwise exploit throughout the universe in perpetuity.” First Amended Complaint ¶13. From this agreement, WGBH created the TV series, Martha Speaks. Further, the agreement grants WGBH the license to sell, distribute, manufacture, and promote merchandise related to Martha Speaks. In her complaint, Ms. Meddaugh contends that under the agreement, WGBH is “required to pay Ms. Meddaugh a portion of the revenues it receives for exploitation of the [productions as provided for in the Contract.” Id. at ¶16.

WGBH’s alleged exploitation of Martha Speaks includes, but is not limited to: creation of software applications, assigning rights to third-parly companies, and the show’s promotion on PBS Kids, a partner of WGBH. However, Ms. Meddaugh contends that the agreement only permits WGBH to assign licensing rights, not properly rights, to third parties (which Ms. Meddaugh alleges WGBH has assigned to DHX). She further alleges that WGBH has failed to provide the proper accountings, has unfairly allocated overhead, and has misrepresented the actual profits of Martha Speaks.

DISCUSSION

I. Introduction

WGBH moves to dismiss Ms. Meddaugh’s complaint on several grounds. First, it contends that under Mass.RCiv.P. 8, Ms. Meddaugh’s complaint is not a “short plain statement.”2 Second, WGBH contends that the “unjust enrichment (Count IV), conversion (CountV) and Chapter 93A (Count VII) claims, and at least part of [Ms. Meddaugh’s] breach of contract (Count II) and breach of the implied covenant of good faith and fair dealing (Count III) claims” are preempted by the Federal Copyright Act 17 U.S.C. §301 etseq. (2012), and therefore, should be dismissed under Mass.RCiv.P. 12(b)(1) and 12(b)(6). WGBH Motion to Dismiss p. 10-11. Third, WGBH argues that if not preempted, all counts fail to state a claim under Mass.RCiv.P 12(b)(6). Finally, WGBH contends that Ms. Meddaugh’s claims are barred by the statute of limitations.

II. Federal Preemption

A. Standard of Review

If a complaint falls within the scope of the Copyright Act it is under the sole jurisdiction of federal courts. A claim that is within the type of works protected by the Copyright Act and asserts a legal or equitable right equivalent to an exclusive right under §106 of the Act will be preempted. Curtis v. Herb Chambers 1-95, Inc., 458 Mass. 674, 677 (2011). Moreover, a court should consider the claim equivalent to an exclusive right where: “(1) an act that abridges the right would, by itself, infringe an exclusivé right provided by [flederal copyright law, e.g., an act of reproduction, performance, distribution, or display; and (2) the [s]tate law claim includes no ‘extra element’ that changes the ‘nature of the action so that it is qualitatively different from a copyright infringement claim.’ ” Id. at 678. In summary, “if the plaintiff can prevail even though the plaintiff holds no copyright or right equivalent to copyright,” the claim is qualitatively different. Id.

B. Defendant’s Contentions

WGBH contends that the Copyright Act preempts the unjust enrichment, conversion, and Chapter 93A claims, and part of the breach of contract and breach of implied covenant of good faith and fair dealing.

As to the unjust enrichment claim (Count IV), the Court finds merit in the defendant’s argument that this is merely an allegation of copyright infringement. It is clear that the property is a tangible medium of expression within the types of work protected by the Copyright Act. 17 U.S.C. §102(a). Further, the claim is an equitable claim, which Ms. Meddaugh would have no right to if she did not hold a copyright to the Martha Speaks material. See id. Ms. Meddaugh argues that WGBH “has been exploiting Martha Speaks in its joint venture with DHX which they have no right to do and in WGBH’s business transactions with software application distributors and Chick-fil-A even though WBGH does not have the rights to do so.” First Amended Complaint ¶56. For the unjust enrichment claim to stand, it would need to contain an additional element to make it qualitatively different from a copyright claim. See Curtis, 458 Mass, at 678. However, if Ms. Meddaugh did not have a copyright to this material, WGBH would not have been unjustly enriched as she claims because WGBH would have had the right to use the materials; therefore, the Copyright Act preempts Count IV.

Next, WGBH contends that the alleged conversion (Count V) is also preempted. Here, the Court finds an additional element, making the claim qualitatively different from a copyright claim. The conversion here is not solely the “unauthorized reproduction of the copyright work,” as WGBH contends. WGBH Motion to Dismiss p. 11. Ms. Meddaugh alleges that the conversion was the wrongful exploitation in violation of the agreement with WGBH, coupled with misrepresentations to Ms. Meddaugh about the exploitation of the property. Because the rights sought to protect are the rights granted under the contract, the Court finds these added elements sufficient to make this claim qualitatively different from a copyright claim. See [266]*266Henry v. Nat’l Geographic Soc’y, 147 F.Sup. 16, 21 (D.Mass. 2001).

Also, WGBH believes the Copyright Act preempts Ms. Meddaugh’s Chapter 93A claim (Count VII). WGBH argues that because the claim is based solely on “an alleged infringer’s act of displaying, selling or promoting the infringing work as his own” it is preempted. WGBH Motion to Dismiss p. 12. However, the Court agrees with Ms. Meddaugh that this claim contains the extra elements necessary to remove it from the Copyright Act’s grasp. Her complaint alleges WGBH engaged in unfair trade practices and misrepresentation to circumvent the obligations of the contract.

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31 Mass. L. Rptr. 264, Counsel Stack Legal Research, https://law.counselstack.com/opinion/meddaugh-v-wgbh-educational-foundation-masssuperct-2013.