Refiny

DEALING WITH COPYRIGHT TROLL: TIPS FOR E-COMMERCE SELLER

Copyright trolls are a persistent problem for E-Commerce sellers who are just starting to establish their online presence. These individuals or companies make money by aggressively pursuing individuals who have unknowingly infringed on their copyrighted material. They do this by threatening legal action and demanding exorbitant settlements for damages. For small business owners, these settlements can be crippling and can even result in the closure of the business.

In this article, we will discuss how E-Commerce sellers can protect themselves from copyright trolls.

1. Verify the Alleged Infringement

The first step in dealing with a copyright troll is to verify the alleged infringement. It is common for copyright trolls to send out mass emails or letters alleging copyright infringement without verifying whether the recipient of the email or letter is the actual infringer. If you receive a letter or email alleging copyright infringement, do not panic. Instead, take the time to review the allegations and determine whether you are, in fact, the infringer.

According to our experience it is essential to determine whether the work alleged to have been infringed is actually owned by the troll. If the copyright troll does not own the work, they have no right to demand payment for alleged infringement. Furthermore, if the copyrighted work is not registered, the troll cannot sue for infringement.

2. Do Not Settle Quickly

Copyright trolls are known to pressure their victims into settling quickly to avoid costly litigation. However, it is important not to settle too quickly without first considering the facts of the case. The demand letter from the copyright troll may seem intimidating, but it is important to keep in mind that they are trying to get the most out of you for the least expense. The troll may threaten you with high damages, but the actual damages may be much lower than what they are claiming.

The troll's initial demand is usually unreasonable. The goal is to settle for a reasonable amount. We recommend taking the time to review the case and determine how much the copyright owner would be entitled to in damages. It may be possible to negotiate a lower settlement with the copyright owner without having to go to court.

3. Consider the Copyright Owner's Damages

If you are found to be infringing on a copyrighted work, you may be liable for damages. However, it is important to consider the actual damages the copyright owner is entitled to. Copyright infringement is a strict liability offense, which means that you may be liable even if the infringement was accidental or unintentional. However, the actual damages for the infringement may be much lower than what the copyright troll is demanding.

The copyright troll has two options for damages: seeking actual damages or statutory damages. The troll will likely demand statutory damages because the actual damages are probably so low as to not be worth going to court or even negotiating a settlement without court. A court could award anywhere from $750 to $30,000 in statutory damages, or even up to $150,000 if the court considers it willful. However, the court is not required to award the high damages that the troll might allege. Furthermore, under certain conditions, the infringer may be what is called an “innocent infringer”, allowing the court to minimize statutory damage awards to as little as $200.

4. Do Not Be Scared by Attorneys' Fees

Please consult a lawyer about Copyright troll complaints.Copyright law permits a court to grant the prevailing party their attorneys' fees. If you are found to be infringing and the court awards any amount of damages, the court may also award attorneys' fees to the prevailing party.