Rosebud Entertainment, LLC v. Professional Laminating LLC

958 F. Supp. 2d 600, 2013 WL 3873276, 2013 U.S. Dist. LEXIS 103687
CourtDistrict Court, D. Maryland
DecidedJuly 24, 2013
DocketCivil No. WDQ-12-0425
StatusPublished
Cited by1 cases

This text of 958 F. Supp. 2d 600 (Rosebud Entertainment, LLC v. Professional Laminating LLC) is published on Counsel Stack Legal Research, covering District Court, D. Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rosebud Entertainment, LLC v. Professional Laminating LLC, 958 F. Supp. 2d 600, 2013 WL 3873276, 2013 U.S. Dist. LEXIS 103687 (D. Md. 2013).

Opinion

MEMORANDUM OPINION

WILLIAM D. QUARLES, JR., District Judge.

Rosebud Entertainment, LLC (“Rosebud”) sued Professional Laminating LLC (“Professional Laminating”),1 William Oertel, and Barbara Oertel (collectively, the “Defendants”) for copyright infringement, trademark infringement, and other claims. For the following reasons, Rosebud’s motion for partial summary judgment will be denied.

I. Background2

A. The Parties

Rosebud3 publishes, markets, sells, and distributes Baltimore magazine, a sub[602]*602scription-based monthly periodical that has “celebrated]” Baltimore since 1907. Iglehart 4 Aff. ¶¶ 3-4. Rosebud is the sole owner of all copyrights in the magazine’s published issues, “which issues, including the covers, Rosebud has filed for registration.” Iglehart Aff. ¶¶ 5-6. Rosebud also manufactures plaques containing articles and images from Baltimore magazine; Rosebud’s profit on each plague sold is $90.00. Rosebud’s Answer to Interrog. Nos. 2, 6.

Professional Laminating5 advertises, designs, manufactures, and sells customized plaques containing pages from newspaper and magazine articles, at the request of individuals and entities featured in the articles. Defs.’ Answer to Am. Compl. ¶¶ 2, 16. The Oertels are North Carolina citizens and the sole members6 of Professional Laminating. See id. ¶ 3; Prof 1 Laminating Answer to Interrog. No. 1.

B. Factual Background

This case arises out of Professional Laminating’s use — in advertisements (the “Advertisements”) and products' — of the covers to Baltimore magazine’s November 2010 and 2011 issues (the “Works”). ECF No. 25 ¶ 1; see Defs.’ Answer to Am. Compl. ¶¶ 22, 31. The Works’ covers, featuring “Top Doctors,” depicted University of Maryland Hospital for Children Pediatric Oncologist Teresa York and Northwest Hospital’s Chief of Minimally Invasive Surgery W. Peter Geis, respectively. ECF No. 25, Exs. E, F. Images of the covers are prominently featured in the Advertisements, next to other images designed by Professional Laminating. See ECF No. 25, Exs. B, C.7

The Advertisements were mailed to each of the doctors listed in the relevant issue one month after the issue was published. See Prof 1 Laminating Answer to Interrog. No. 5. About 20 plaques and three crystal display pieces were manufactured and sold “using”8 the Works’ covers. Id. No. 7.9 According to the Defendants, “[m]ost of the orders received for the Baltimore Magazine Top Doctor Issue were for [their] own designs.” William Oertel Aff. ¶ 2. The Defendants charged $129 per item, from which they realized a profit of $38.70. Profl Laminating Answer to Interrog. No. 13. The Defendants were aware that the Works were copyrighted. Id. Nos. 10, 11.

[603]*603C. Procedural History

On February 10, 2012, Rosebud filed suit against the Defendants for copyright infringement and other claims. ECF No. I. On March 29, 2012, the Defendants answered the complaint. ECF No. 9. On March 30, 2012, the Court entered a scheduling order. ECF No. 11. On July 31, 2012, the ease was referred to U.S. Magistrate Judge Stephanie A. Gallagher for discovery. ECF No. 14. On September 26, 2012, the case was referred to U.S. Magistrate Judge Susan K. Gauvey for a settlement conference. ECF No. 19.10 Also on September 26, Rosebud filed a consent motion for leave to amend the complaint. ECF No. 20. The motion for leave to amend was granted — and the amended complaint was filed — on September 27, 2012. ECF Nos. 21, 22.11 The Defendants answered the amended complaint on October 5, 2012. ECF No. 23.

On October 24, 2012, Rosebud moved for summary judgment as to liability on its copyright infringement claims (in Counts One and Four), with damages to be determined at trial. ECF No. 25 ¶¶ 3-4.12 On November 29, 2012, the Defendants timely opposed the motion. ECF No. 29; see ECF No. 28. On January 11, 2013, Rosebud timely replied. ECF No. 34; see ECF No. 33.

II. Analysis

A. Legal Standard

Under Rule 56(a), summary judgment “shall [be] grant[ed] ... if the movant shows that there is no genuine dispute as to any material fact and the movant is entitled to judgment as a matter of law.” Fed.R.Civ.P. 56(a).13 In considering the motion, “the judge’s function is not ... to weigh the evidence and determine the truth of the matter but to determine whether there is a genuine issue for trial.” Anderson v. Liberty Lobby, Inc., 477 U.S. 242, 249, 106 S.Ct. 2505, 91 L.Ed.2d 202 (1986). A dispute about a material fact is genuine “if the evidence is such that a reasonable jury could return a verdict for the nonmoving party.” Id. at 248, 106 S.Ct. 2505.

The Court must “view the evidence in the light most favorable to ... the nonmovant, and draw all reasonable inferences in [his] favor,” Dennis v. Columbia Colleton Med. Ctr., Inc., 290 F.3d 639, 645 (4th Cir.2002), but the Court must abide by the “affirmative obligation of the trial judge to prevent factually unsupported claims and [604]*604defenses from proceeding to trial,” Bouchat v. Balt Ravens Football Club, Inc., 346 F.3d 514, 526 (4th Cir.2003) (citation and internal quotation marks omitted). A party opposing summary judgment “may not rest upon the mere allegations or denials of [his] pleadings, but rather must set forth specific facts showing that there is a genuine issue for trial.” Id. at 525.

B. Rosebud’s Motion for Partial Summary Judgment

Rosebud argues that it is entitled to summary judgment as to liability for copyright infringement, because it owned a valid copyright upon which the Defendants directly (Professional Laminating) and vicariously (the Oertels) infringed. ECF No. 25-1 at 5. The Defendants concede that “there might have been some small minor technical violation of copyright law,” but argue that, “to the extent that there may be a technical copyright infringement,” it is “a minor part of what Defendant sells.” ECF No. 29 at 3-4. The Defendants note that they “never intended to violate or infringe on Plaintiffs copyright.” Id. at 4.

The Copyright Act of 1976, 17 U.S.C. § 101, et seq., protects “original works of authorship fixed in any tangible medium of expression.” 17 U.S.C. § 102. A copyright holder has exclusive rights to use — and authorize the use of — his work in five ways: (1) to reproduce the work; (2) to prepare “derivative”14 works; (3) to distribute copies of the work to the public; (4) to perform the work publicly; and (5) to display the work publicly. Id. § 106; Sony Corp. of Am. v. Universal City Studios, Inc.,

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958 F. Supp. 2d 600, 2013 WL 3873276, 2013 U.S. Dist. LEXIS 103687, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rosebud-entertainment-llc-v-professional-laminating-llc-mdd-2013.