Wednesday, September 14, 2011

BREAKING! Deadlines Parent Company Sues The Hollywood Reporters Parent Company For Copyright Infringement

I have a feeling that Hollywood will be buzzing about this all day. For the record, Penske Media Corporation, the parent company and owner of various leading digital media properties including Deadline.com, this morning sued Prometheus Global Media LLC, which owns and operates The Hollywood Reporter, for copyright infringement. Here is the link toPMC’s complaint and its exhibits. The lawsuit, filed in U.S. District Court for the Central District of California and requesting a jury trial, is very juicy and makes for great reading. Here is the summary: As most businesses or individuals who operate within the industry of online publishing and digital media understand, copying, mimicking, and/or altering of others content and design unfortunately occurs intermittently within that industry. However, The Hollywood Reporter (“THR”) has differentiated itself from other companies within the media industry by not only carrying out this unethical practice with alarming regularity, indeed on an almost daily basis, but also by resorting to the outright theft of intellectual property, including but not limited to whole articles, content, software, source code and designs. In an industry where a companys brand is largely defined and dictated by the value of its originally created intellectual property, it is absolutely essential that intellectual property rights and assets be mightily protected from thievery, such as that exhibited by THR. This is evident through the billions of dollars that are spent on an annual basis by movie studios, TV networks, record labels, and media companies, as well as the U.S. government and other countries around the world, for the purpose of protecting and defending ownership of copyrighted original material and content from piracy. This is the same publishing and media industry in which PMC operates. Over many years, PMC has distinguished itself as a leader in entertainment and technology-related digital media by investing in its personnel, by researching and investigating, and by obtaining exclusive original content and time-sensitive breaking news stories about all facets of the entertainment and technology industries. Which is why THRs theft and piracy of PMCs content and intellectual property, as documented in this Complaint, is so significantly damaging to PMC, its brands, and its value and position in the marketplace. Among other reasons, PMC is filing this lawsuit to protect its content creation and development, and to finally put an end to THR and other websites misappropriation of PMCs hard-earned product and intellectual property. Enough is enough. PMC is taking a stand against desperate and copycat news organizations and media outlets such as THR that constantly monitor PMCs websites for the sole purpose of copying and imitating PMC websites news stories and original content within minutes after online publication. These copycat media outlets such as THR, rather than conducting their own independent reporting and investigation, developing their own sources and insiders, and generating their own leads and stories, simply steal PMCs content and pawn it off as their own. In truth, THR, faced with the harsh reality that it had become a second-rate entertainment industry news source unable to attract insiders attention anymore, changed ownership and re-launched its website. At first it hoped to create a competitive online presence by going after a broader consumer-focused audience with celebrity news and gossip. When consumer, retail and other related advertising failed to appear, THR began trying attracting Hollywood trade advertising again. It has become abundantly clear that part of THRs turnaround strategy was to engage in an unprecedented campaign of theft and misappropriation of PMCs intellectual property and content to accomplish that. First, THR attempted to poach PMCs key employees, by urging each employee to breach their existing and exclusive contractual obligations to PMC. When that strategy failed, THRs owners and managers pretended to negotiate with PMC for PMCs www.deadline.com (Deadline) to provide trade news for the relaunched THR website. When that strategy also failed, THR then began its incessant campaign of misappropriating wholesale content from Deadlines website. As if that were not bad enough, THR then egregiously and flagrantly stole integral source code and intellectual property from PMCs www.tvline.com (TVLine) website in a blatant act of copyright infringement. In fact, THR was so incompetent and careless in its theft, that it actually copied the original source code labels exactly as they existed on TVLine, and did not even attempt to rename them. Many of TVLines source code labels, which are created for organizational purposes, contain the initials MMC, the acronym for PMCs former name Mail.com Media Corporation (MMC). THR, in copying and pasting PMCs TVLine source code, are still utilizing the MMC initials within their labels. These initials act as a clear set of digital fingerprints that further demonstrate the glaringness of THRs theft. THR did not even make an effort to correct typographical errors contained in PMCs source code. As of the date of this Complaints filing, any individual can go to THRs website and, with the simple click of a mouse, discover THRs blatant infringement. Accordingly, PMC seeks to recover for the substantial damages it has suffered because of THR’s actions and to enjoin THR from continuing to steal PMCs property. Additionally, this action shall serve as notice to all those with similarly unethical and nefarious intentions that PMC shall not stand by idly and allow such injurious conduct. To the contrary, PMC will vigorously protect its rights and prosecute all those who aim to steal its original ideas, designs, and content. Again, I urge you to read the full complaint and its accompanying exhibits.

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