Margaret Morris v. Kenneth Atchity et al

Filing 214

ORDER by Judge Ronald S.W. Lew, denying Defendant's MOTION for Judgment as a Matter of Law to Plaintiff's seventh cause of action for breach of implied contract 197 . The Court finds all issues raised by Defendant's Motion to be insu fficient to warrant judgment as a matter of law. The standard for overturning a jury verdict is substantial, and Defendant has not shown that "there is no legally sufficient evidentiary basis for a reasonable jury to find for [Plaintiff] on that issue." Specifically, the Court finds that Plaintiff presented evidence to support a finding that her claim for breach of implied contract asserted rights that were qualitatively different from the rights protected by copyright and therefore al leged the needed "extra element" to distinguish it from a copyright claim. In addition, with regard to damages, the Court finds that Plaintiff produced sufficient testimony as to the value of Plaintiff's idea to allow the jury to calculate damages with requisite certainty. (See attached document for details.) (lom)

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1 2 3 4 5 6 7 8 UNITED STATES DISTRICT COURT 9 CENTRAL DISTRICT OF CALIFORNIA 10 11 MARGARET MORRIS, an individual 12 Plaintiff, 13 vs. 14 15 KENNETH ATCHITY, et al., 16 17 Defendants. 18 19 20 ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) CV 08-5321-RSWL (JCx) ORDER Re: Defendant Sonic Age, Ltd.’s Motion for Judgment as a Matter of Law [197] On September 14, 2011, Defendant Sonic Age, Ltd.’s 21 (“Defendant”) Motion for Judgment as a Matter of Law 22 [197] came on for regular calendar before the Court. 23 The Court having reviewed all papers submitted 24 pertaining to this Motion and having considered all 25 arguments presented to the Court, NOW FINDS AND RULES 26 AS FOLLOWS: 27 Defendant’s Motion for Judgment as a Matter of Law 28 is DENIED. 1 1 On April 12, 2011, a six-day trial commenced in 2 this Action. On April 18, 2011, at the close of 3 Defendant’s case, Defendant brought a Motion for 4 Judgment as a Matter of Law. The Court denied this 5 Motion [172]. On April 20, 2011, the jury returned its 6 verdict [181]. The jury found that Defendants did not 7 infringe on Plaintiff Margaret Morris’s copyright; that 8 Defendant Sonic Age had breached an implied contract 9 with Plaintiff, awarding Plaintiff $70,000.00 in 10 damages arising from this breach; that Defendant The 11 Writer’s Lifeline had not breached an implied contract 12 with Plaintiff; and that Plaintiff had defamed 13 Defendant Kenneth Atchity, awarding Defendant Atchity 14 $1.00 in damages arising from this defamation. 15 On July 20, 2011, Defendant renewed its original 16 Motion for Judgment as a Matter of Law pursuant to 17 Federal Rule of Civil Procedure 50(b) by filing this 18 present Motion for Judgment as a Matter of Law [197] as 19 to Plaintiff’s seventh cause of action for breach of 20 implied contract. Defendant argues that it is entitled 21 to a judgment as a matter of law on the cause of action 22 for breach of implied contract because it is preempted 23 by the Copyright Act and because there was no evidence 24 that would have allowed damages to be ascertained with 25 reasonable certainty and probability. 26 First, as a preliminary matter, the Court finds 27 that Defendant’s Motion is procedurally proper with 28 respect to the award of damages, as Defendant raised 2 1 its argument that damages could not be ascertained with 2 certainty based on the evidence presented at the close 3 of its case, thus preserving the objection for a 4 renewed judgment as a matter of law. 5 However, the Court finds all issues raised by 6 Defendant’s Motion to be insufficient to warrant 7 judgment as a matter of law. The standard for 8 overturning a jury verdict is substantial, and 9 Defendant has not shown that “there is no legally 10 sufficient evidentiary basis for a reasonable jury to 11 find for [Plaintiff] on that issue.” Winato v. Toshiba 12 Elecs. Components, Inc., 274 F.3d 1276, 1283 (9th Cir. 13 2001) (quoting Reeves v. Sanderson Plumbing Prods., 14 Inc., 530 U.S. 133, 149 (2000)). Viewing the evidence 15 in the light most favorable to the nonmoving party, the 16 Court finds that the evidence presented at Trial is 17 sufficient to support both the jury’s finding regarding 18 the Copyright Act’s failure to preempt Plaintiff’s 19 claim for breach of implied contract and the jury’s 20 award of compensatory damages for such claim. 21 Specifically, the Court finds that Plaintiff 22 presented evidence to support a finding that her claim 23 for breach of implied contract asserted rights that 24 were qualitatively different from the rights protected 25 by copyright and therefore alleged the needed “extra 26 element” to distinguish it from a copyright claim. 27 Grosso v. Miramax Film Corp., 383 F.3d 965, 968 (9th 28 Cir. 2004), amended 400 F.3d 965 (9th Cir. 2005); see 3 1 also Montz v. Pilgrim Films & Television, Inc., No. 082 56954, 2011 WL 1663119, at *5 (9th Cir. May 4, 2011) 3 (“copyright law does not preempt an implied contractual 4 claim to compensation for use of a submitted idea.”). 5 In addition, with regard to damages, the Court 6 finds that Plaintiff produced sufficient testimony as 7 to the value of Plaintiff’s idea to allow the jury to 8 calculate damages with requisite certainty. 9 Accordingly, the Court DENIES Defendant’s Motion for 10 Judgment as a Matter of Law. 11 12 IT IS SO ORDERED. 13 DATED: September 20, 2011 14 15 16 HONORABLE RONALD S.W. LEW Senior, U.S. District Court Judge 17 18 19 20 21 22 23 24 25 26 27 28 4

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