View Full Version : US Copyright Group sued in class action lawsuit for extortion, conspiracy & fraud

11-29-2010, 04:41 PM
"Well, the whole mass automated "pay up or we'll sue" legal business may be getting a bit more interesting as Evan Brown notes that one of the folks sued by US Copyright Group has struck back with a class action lawsuit alleging that the law firm behind USCG, Dunlap, Grubb & Weaver, is engaged in extortion, fraud and conspiracy. The lawsuit looks to include in the class the nearly 5,000 people sued by USCG for sharing the Uwe Boll film Far Cry.

The lawsuit highlights -- as we pointed out earlier this year -- many of the alleged infringements happened prior to registration, meaning that there would be no statutory damages available. However, USCG didn't bother to mention that and still used the statutory damages threat in its letters:

This knowing misstatement of material information was made to maximize the damage awards that Defendants could pursue, the claims for Ineligible Remedies they could threaten in demand letters, and the volume and amount of extorted "settlements" that would result.

The lawsuit then uses DGW's own professed "copyright expertise" against it, noting that it clearly was aware of the rules concerning registration and statutory damages, even though it knew that it had no right to statutory damages, and thus, committed fraud and extortion.

... I'm guessing that the likelihood of this lawsuit getting very far is slim. ..."

More @ http://www.techdirt.com/articles/20101129/03500012040/us-copyright-group-sued-extortion-conspiracy-fraud.shtml