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Fox News Network, LLC v. TVEyes, Inc.

883 F.3d 169 (2018)

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Fox News Network, LLC v. TVEyes, Inc.

United States Court of Appeals for the Second Circuit
883 F.3d 169 (2018)

  • Written by Liz Nakamura, JD

Facts

TVEyes, Inc. (defendant) was a for-profit media company that recorded live broadcast television from over 1,400 distinct television channels, copied the recordings to their own servers, created text-searchable transcripts for each recorded program, and allowed paid subscribers to search and view the recorded content. Subscribers were able to search by keyword, date, time, or channel. Playback clips were limited to 10 minutes, and clips could be downloaded to the subscriber’s device. Subscriptions were limited to professional clients, intended for internal use only, and cost $500 per month. One of the channels TVEyes recorded was Fox News Network, LLC (Fox) (plaintiff). Fox sued TVEyes, arguing that (1) TVEyes infringed on Fox’s exclusive right to broadcast its copyrighted programming; and (2) TVEyes negatively impacted Fox’s market value by providing Fox’s programming to TVEyes subscribers without paying licensing fees to Fox. TVEyes countered, arguing that their service was fair-use. The district court held (a) TVEyes’ keyword search function and watch function were fair-use because they were transformative; but (b) permanently enjoined TVEyes’ other functions. Fox appealed, arguing that TVEyes’ watch function was not fair-use.

Rule of Law

Issue

Holding and Reasoning (Jacobs, J.)

Concurrence (Kaplan, J.)

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