In this case, the defendants obtained legal copies of the plaintiffs' copyrighted movies but showed them in private booths on their premises, which constituted copyright infringement. The plaintiffs claimed that the defendants violated their exclusive rights under section 106 of the Copyright Act, which grants exclusive rights to reproduce, distribute, publicly perform, and display copyrighted works. The court found that showcasing videos in-store constituted copyright infringement and was not protected by the first sale doctrine. The co-defendants were held liable as co-infringers, and the district court's dismissal of the appellants' antitrust counterclaims was affirmed.
Columbia Pictures Industries, Inc. v. Redd Horne, Inc. (1984)
United States Court of Appeals for the Third Circuit
749 F.2d 154
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