Author: John V. Petersen
Posted: 2003-05-02 at 07:50:00
Mr. Mitchell..
In your article entitled "Microsoft Risks Copyright Impotence",
http://interactionlaw.com/interactionlaw/id12.html you cited a case. I
would like to share some commentary with you.
Lasercomb America, Inc. v. Reynolds, (911 F.2d 970) (1990)
According to your article, this case stands for the proposition that
copyright owner cannot enforce its copyright while at the same time,
engaging in misuse. I agree that this is the holding of the case.
However, it begs the question of what is defined as "copyright misuse".
Based on the Lasercomb's facts, there was a software vendor (plaintiff)
and a steel die manufacturer (defendant) who copied the software
vendor's software. The plaintiff sued for damages and the defendant
proffered an affirmative defense - that a copyright owner cannot enforce
its copyright when it is engaged in misuse of that copyright. The
offending language of the EULA stated that no licensee could create
their own CAD/CAM die-making software. The court agreed that this was
overly broad. The Lasercomb cites another case: Compton v. Metal
Products, Inc., 453 F.2d 38 (4th Cir.1971) in which the court held that
a license to use a patent required the licensee to not engage in certain
businesses.
Clearly, the facts of this case are distinguishable since MS is not
restricting the rights of people to develop their own software that
could in effect, compete with MS. Specifically, there is nothing in the
VFP EULA that states that a licensee is prohibited from developing
software that would compete with VFP. Further, MS is not saying that you
cannot run VFP on a non-MS OS.
Also, it is important to note that while the 4th Circuit is a step below
the Supreme Court, the case is only binding on the 4th. Circuit. Many of
your readers I am sure are non-lawyers and may not realize that fact.
Further, it bears emphasizing that the 11th. Circuit has failed to adopt
the rule in Lasercomb Bellsouth Advertising & Pub. Corp. v. Donnelley
Information Pub., Inc., 933 F.2d 952. Further, it also bears noting that
MS has already been involved in a case that applied Lasercomb. Microsoft
Corp. v. BEC Computer Co., Inc., 818 F.Supp. 1313. In this central
district of CA case, the court distinguished MS's license terms from
those in Lasercomb.
In my opinion, the properly framed question is this: Does requiring
difference licenses for different operating systems constitute misuse of
copyright?
Further, because your argument contains a threshold issue, specifically
the legal standards for what constitutes mis-use of copyright, you were
compelled to discuss that issue to determine if mis-use occurred in this
case. If the answer is no, the Lasercomb Case becomes inapplicable. On
the substantive issue, MS prevailed in that case. Specifically, MS's
licensing agreements were found to not offend public policy or
anti-trust law.
Mr. Mitchell, software vendors are entitled to earn a return on their
investment. Just because a software vendor decides to draw a line
between where you can distribute royalty free and where you have to pay
a license fee, that does not create a prima facie case of copyright
mis-use.
John V. Petersen
Rutgers University School of Law-Camden Campus - 3L
Visual Foxpro Developer