Perfect 10, Inc. v. Yandex N.V.

962 F. Supp. 2d 1146, 107 U.S.P.Q. 2d (BNA) 2123, 2013 U.S. Dist. LEXIS 98608, 2013 WL 3668818
CourtDistrict Court, N.D. California
DecidedJuly 12, 2013
DocketNo. C 12-01521 WHA
StatusPublished
Cited by1 cases

This text of 962 F. Supp. 2d 1146 (Perfect 10, Inc. v. Yandex N.V.) 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
Perfect 10, Inc. v. Yandex N.V., 962 F. Supp. 2d 1146, 107 U.S.P.Q. 2d (BNA) 2123, 2013 U.S. Dist. LEXIS 98608, 2013 WL 3668818 (N.D. Cal. 2013).

Opinion

ORDER GRANTING PARTIAL SUMMARY JUDGMENT

William Alsup, United States District Judge

Introduction

In this copyright infringement action involving thumbnail images of nude models, defendants move for partial summary judgment. For the reasons stated below, the motion is Granted.

[1150]*1150Statement

1. The Parties.

Plaintiff Perfect 10, Inc., a California corporation, creates copyrighted adult entertainment products, including photographs. Perfect 10 owns and operates the subscription-based internet website perfectlO.com. For the purposes of this motion, Perfect 10’s ownership of all copyrights at issue in this action is not contested (Br. 10 n.5).

Defendant Yandex N.V., a Dutch holding company headquartered in the Netherlands, owns a family of companies under the “Yandex” brand. It does not itself own or operate any internet search engines or websites that host user-generated content. It manages its investments, including its subsidiaries, defendants Yandex LLC and Yandex Inc. (id. at 2). Subsidiary Yandex LLC is a Russian technology company which operates yandex.ru, Russia’s most popular search engine. Subsidiary Yandex Inc., a Delaware corporation located in Palo Alto, provides software-development services to Yandex LLC. Yandex Inc. does not own or operate any search engines or websites that host user-generated content. It does, however, own servers in Nevada, which hosted the search index for Yandex LLC’s international version of its search engine (yandex.com) for nine months in 2012-2018 (ibid.).

A. Yandex LLC’s Search Engines.

(1) Yandex.ru.

The yandex.ru search engine is Russia’s most popular search engine and the fourth largest search engine worldwide. It functions as follows. A user can query either a web or image search. When a user types in a query, the search engine references a search index, which is a database of all the words or images known to the search engine and their locations. When a user searches for an image by typing in text, the search engine analyzes the text and then determines whether a given image in its search index fits the user query (id. at 3).

Yandex.ru’s image search index is compiled by “crawlers” that periodically canvas the world-wide internet for images. It does not copy and store full-sized copies of the images it finds but rather distills and stores smaller, lower-resolution thumbnail-sized copies. The storage occurs on its servers. It reproduces its thumbnail copies on search results pages so that the user can determine which, if any, thumbnails are hits. The user can then click through to the third-party website that hosts the full-sized image. Yandex.ru also allows users to place ads and click on ads. (This is also the way crawlers work for popular search engines based in the United States.)

Because yandex.ru is a Cyrillic-language search engine, it typically crawls Russian-language websites, which are normally hosted outside of the United States. The yandex.ru index has always been hosted on Russian servers. Yandex.ru does not save data regarding where a user goes next after leaving the search-results page.

(2) Yandex.com.

Yandex.com is a search engine that provides English and other Latin-alphabet based search results. Like yandex.ru, it offers both an image search and a web search and generates its search results in the same manner. It does not store full-sized copies of its images on its server but rather thumbnail copies. Like yandex.ru, yandex.com does not save data regarding where a user goes after leaving the yandex.com search-results page. But there are differences. Unlike yandex.ru, yandex.com crawls for internet content using Latin-alphabet based terms, has no advertising anywhere on its site, and was physically hosted in the United States for a [1151]*1151period of nine months, between June 2012 and March 2013 (whereas yandex.ru has always been physically hosted on servers in Russia). Outside of that nine-month window, yandex.com was hosted in Russia like yandex.ru. This civil action was commenced in March 2012.

B. Yandex LLC’s User-Generated Content Services.

Yandex LLC hosts several popular Russian-language services that host user-generated content. Narod.ru is a Russian-language site-hosting service where users can build and host their own websites (like Wordpress). Fotiki.ru is a Russian-language photo-hosting service and online community similar to Shutterfly. Ya.ur is a blog-hosting service. Moikrug.ru is a social network for professionals. All of these services are hosted entirely on servers located in Russia. Yandex does not track the IP addresses associated with user uploads or downloads on any of these services and so it does not know where— geographically — uploads are coming from or downloads are going to. Yandex LLC also does not track “right-click” user activity data on any of its user-generated content services, so Yandex LLC does not know if users right-click on images and save them on their computers, and thus does not know if users in the United States download the images it hosts.

2. Perfect 10’s Claims.

Perfect 10 has brought direct, contributory, and vicarious copyright infringement claims against Yandex N.V., Yandex, Inc., and Yandex LLC. Perfect 10’s first amended complaint refers to them collectively as ‘Yandex” because “they are inextricably involved in the operation of yandex.com and yandex.ru” (Dkt. No. 88 at 2).

Perfect 10’s direct .copyright infringement claims are as follows: (1) narod.ru (site-hosting) and fotki.ru (photo-hosting) services hosted full-sized copies of user-uploaded infringing Perfect 10 images; (2) yandex.ru and yandex.com hosted infringing thumbnail-sized copies of Perfect 10 images and linked them to Yandex-created pages that display similar full-sized versions of the images often adjacent to Yandex ads (First Amd. Compl. ¶¶ 23-27; Br. 2-3; Opp. 5-6).

Perfect 10’s- contributory copyright infringement claims are as follows: (1) Yandex.ru linked to third-party sites that hosted full-sized infringing copies of Perfect 10’s images; (2) Yandex.com linked to third-party websites that hosted full-sized infringing copies of Perfect 10’s images; (3) Yandex' LLC’s user-generated content sites allowed users to upload and download infringing copies of Perfect 10’s images.

Perfect 10’s vicarious copyright infringement claims against Yandex N.V. are based on the allegations of direct and contributory infringement purportedly committed by Yandex LLC and Yandex Inc.

According to defendants, in a series of DMCA notices sent to Yandex Perfect 10 identified 63,756 URLs from Yandex search results pages linking to allegedly infringing Perfect 10 images hosted on third-party websites. Perfect 10 furthermore asserted 1,474 acts of direct infringement based on Narod, Fotki, Ya.ru and Moikrug.ru’s hosting of Perfect 10 images uploaded by third-parties (Br. at 6).

During discovery in this action, both Perfect 10 and Yandex have used widely-available geo-location tools. These software tools obtain IP addresses (the numeral labels assigned to computing devices) which can then used to determine, among other things, the country in which device is located.

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962 F. Supp. 2d 1146, 107 U.S.P.Q. 2d (BNA) 2123, 2013 U.S. Dist. LEXIS 98608, 2013 WL 3668818, Counsel Stack Legal Research, https://law.counselstack.com/opinion/perfect-10-inc-v-yandex-nv-cand-2013.