Tuesday, June 19, 2012

Collective Action Against Copyright Trolls

Not quite mass torts, but interesting from a complex litigation prespective anyway, so I hope our dear readers will forgive me.

This story concerns the use of the litigation system to intimidate small defendants into settling non-meritorious suits.  One of the areas where this has come up is copyright litigation.  Gideon Parchomovsky (Penn) and Alex Stein (Cardozo) recently wrote an article about this called the Relational Contingency of Rights (available on SSRN, forthcoming in the Virginia Law Review).   The basic observation is an important one: legal rights afford no meaningful protection against challengers who can
litigate more cheaply than the rightholder and who can use this advantage to  force the rightholder to give up her entitlement.

It turns out that some able litigants in Israel have taken their ideas and run with them.  Unfortunately, the only link I have describing the litigation is in hebrew (here).   Basically, an individual who refused to surrender to a pressing settlement demand filed a class action for over $10M against an Israeli company associated with a  multinational copyright giant, Getty Images. The claim for the Israeli suit, as far as I can tell, sounds in abuse of process.   Is America next?  A defendant class action bringing lawsuit harassment claims? 



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Here is a link with information in English regarding the class action suit that was filed in Israel.

Posted by: Ian Cohen | Jun 29, 2012 11:20:23 AM

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