Michael Hyatt v. Cheezy Flicks Entertainment LLC, et al

Filing 70

JUDGMENT AND PERMANENT INJUNCTION by Judge Terry J. Hatter: It is Ordered that Plaintiffs motion for summary judgment, 59 , as to damages be, and hereby is, Granted. It is Further Ordered, Adjudged and Decreed that Defendant Cheezy Flicks shall pay to Plaintiff actual damages in the amount of $45,494.00. It is Further Ordered, Adjudged and Decreed that Defendant Cheezy Flicks, its officers, directors, agents, servants, licensees, partners, affiliates, successors and assigns, and each of th eir respective officers, directors, agents, servants, employees, partners, representatives, and all others acting directly or indirectly in concert or participation with Defendant or with any of the foregoing be, and hereby are, Permanently Enjoined from: Infringing any of Plaintiffs exclusive rights to reproduce or distribute copies of the Film in any format and through any distribution channel, including, but not limited to, Defendants website, through other distributors, and retail stores; a nd Advertising, marketing, selling, offering for sale, licensing, or distributingthe Film in any media or format. It is Further Ordered, Adjudged and Decreed that all copies of the Film, including, but not limited to, DVDs, masters, copies, negatives and tapes, as well as all artwork, packaging, advertising and marketing materials related to the Film in Defendants possession shall be delivered, within thirty (30) days of the date of this order, to Plaintiffs counsel. (See order for further details). (MD JS-6, Case Terminated). (shb)

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United States District Court
Central District of California
Western Division

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MICHAEL HYATT,

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CV 15-03541 TJH (AJWx)

Plaintiff,

Order
Judgment and
Permanent Injunction

v.
CHEEZY FLICKS
ENTERTAINMENT, LLC,
Defendants.

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JS-6

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The Court has considered Plaintiff Michael Hyatt’s motion for summary judgment
as to damages and other remedies, together with the moving and opposing papers.

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On May 2, 2016, the Court granted summary judgment in favor of Hyatt, and

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against Cheezy Flicks Entertainment, LLC [“Cheezy Flicks”], as to liability for Cheezy

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Flicks’ copyright infringement of the film, “The Day of the Triffids” [“the Film”].

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Hyatt, now, seeks a determination of actual damages, under 17 U.S.C. § 504, in the

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amount of $45,494.00.

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Under § 504(b), Hyatt may recover, inter alia, the actual damages suffered by

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him as a result of the infringement. Hyatt must present proof of Cheezy Flicks’ gross
Order, Judgment and Permanent Injunction – Page 1 of 4

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revenue, after which Cheezy Flicks must prove its deductible expenses and the elements

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of profit attributable to factors other than the copyrighted work. See 17 U.S.C. §

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504(b). Here, Hyatt has presented Cheezy Flicks’ admission that it sold 13,275 copies

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of the Film with gross sales totaling $45,494.00. In its opposition, Cheezy Flicks

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points to its verified interrogatory response which estimated that it incurred $13,698.00

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in expenses, with no further detail. This estimation of expenses lacks a foundation and

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is, therefore, inadmissible. See S.E.C. v. Phan, 500 F.3d 895, 913 (9th Cir. 2007).

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Accordingly, Hyatt is entitled to recover the gross sales amount of $45,494.00.

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Hyatt, also, seeks equitable relief enjoining Cheezy Flicks from continuing to

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infringe the Film’s copyright and impounding Cheezy Films’ copies of the Film. Under

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17 U.S.C. § 502, the Court has the authority to permanently enjoin copyright

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infringement. The facts of this case support the issuance of a permanent injunction.

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Similarly, there exists a sufficient factual basis under 17 U.S.C. 503(b) to impound all

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infringing copies of the Film that are in the possession of Cheezy Flicks and its agents.

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Hyatt, further, requests attorney’s fees and costs. In considering whether to

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award fees under the Copyright Act, the Court considered, inter alia, the degree of

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Hyatt’s success; his motivation; the objective reasonableness of the factual and legal

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arguments; and the need for compensation and deterrence. See Maljack Prods., Inc.

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v. GoodTimes Home Video Corp., 81 F.3d 881, 889 (9th Cir. 1996). The Court

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considered all the circumstances of this case in light of the Copyright Act’s essential

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goals. See Kirtsaeng v. John Wiley & Sons, Inc., 136 S. Ct. 1979, 1983 (2016).

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“[C]opyright law ultimately serves the purpose of enriching the general public

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through access to creative works, [and] it is peculiarly important that the boundaries of

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copyright law be demarcated as clearly as possible.” Fogerty v. Fantasy, Inc., 510

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U.S. 517, 527 (1994). Here, Hyatt will receive actual damages and injunctive relief

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tailored to the infringement of the Film. Hyatt has not suggested how an award of

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attorney’s fees would “serve[] the purpose of enriching the general public through

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access to creative works,” or otherwise serve the purposes of the Copyright Act.
Order, Judgment and Permanent Injunction – Page 2 of 4

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Fogerty, 510 U.S. at 527. While other cases may present facts that support the award

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of attorney’s fees, this case does not. Here, the facts weigh against an award of

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attorney’s fees.

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Accordingly,

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It is Ordered that Plaintiff’s motion for summary judgment as to damages be,
and hereby is, Granted.

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It is Further Ordered, Adjudged and Decreed that Defendant Cheezy Flicks
shall pay to Plaintiff actual damages in the amount of $45,494.00.

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It is Further Ordered, Adjudged and Decreed that Defendant Cheezy

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Flicks, its officers, directors, agents, servants, licensees, partners, affiliates, successors

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and assigns, and each of their respective officers, directors, agents, servants,

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employees, partners, representatives, and all others acting directly or indirectly in

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concert or participation with Defendant or with any of the foregoing be, and hereby are,

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Permanently Enjoined from:

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1.

Infringing any of Plaintiff’s exclusive rights to reproduce or distribute

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copies of the Film in any format and through any distribution channel, including, but

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not limited to, Defendant’s website, through other distributors, and retail stores; and

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2.

Advertising, marketing, selling, offering for sale, licensing, or distributing

the Film in any media or format.

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It is Further Ordered, Adjudged and Decreed that all copies of the Film,

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including, but not limited to, DVDs, masters, copies, negatives and tapes, as well as

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all artwork, packaging, advertising and marketing materials related to the Film in

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Defendant’s possession shall be delivered, within thirty (30) days of the date of this
Order, Judgment and Permanent Injunction – Page 3 of 4

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order, to Plaintiff’s counsel at the following address:

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Michael R. Blaha

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2530 Wilshire Boulevard, Third Floor

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Santa Monica, California 90403

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Date: November 18, 2016

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___________________________________

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Terry J. Hatter, Jr.
Senior United States District Judge

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