Righthaven reeling: secret doc could doom a copyright troll
arstechnica.com
arstechnica.com
To be able to sue legitimately for copyright infringement, Righthaven must have had some substantial right under copyright assigned to it - that is, something beyond the bare right to sue (Silvers v. Sony Pictures).
Here, the agreement truly provides for a sham form of assignment: (1) Righthaven is expressly said to have no rights to exploit any of the copyrights purportedly assigned and all such rights are reserved to Stephens; (2) Stephens can block Righthaven from suing any particular party; (3) Stephens can demand the copyright back at any time; (4) Stephens gets a 50% cut of any recovery in any lawsuit filed; and (5) a Stephens-controlled representative is required to be part of Righthaven's key team. Given these terms and conditions, Righthaven is basically a puppet and Stephens is what the law calls the "real party in interest" in these lawsuits. Since no true assignment took place, the current lawsuits filed pursuant to this agreement are in deep trouble. And, just in case the Righthaven lawyers missed it, the judge who is responsible for handling these cases is hopping mad at them.
The bad news: if such assignments are done as true assignments, the Righthaven model still works, or at least is not undone be a congenital defect that can't be overcome in future cases.
Kudos to EFF for splendid work in pounding through the fake exterior of these cases and sending them to perdition, for that is surely where they will land after this revelation.
I'm not sure if any media creator would ever sign away their rights to that level, though.
If I understand this right(IANAL), for Righthaven to actually have a case, they would need some level of ownership of the work at hand. So they would need a right to distribute, perform, etc. the works that they're suing over.
I can't imagine any of the copyright holders would be willing to sign over those rights, considering that the entire reason that they would enter into an agreement with Righthaven would be to sue other people for "violating" them...
Plenty of them do. A particularly historically-significant example was when Seattle Computer Products sold the rights to MS-DOS to Microsoft, but it's something that happens every day.
Why not? The copyright holder doesn't have to sign over exclusive rights, they just have to give the organization the rights to license the work and collect royalties. This is precisely how copyright collectives like the RIAA and SoundExchange work.
Amazingly, the prosecution submitted to a plea agreement anyway. It took me a while to figure out why, but I think now it was purely because they were already overloaded with other cases and didn't feel like fighting it out.
Personally, I think that divesting them of the copyrights in question could be an effective deterrent to future trolls, but I'm not sure that's even possible.