Case 6:13-cv-01833-TC

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J. Peter Staples, OSB No. 794042 pete@chernofflaw.com William O. Geny, OSB No. 830409 bill@chernofflaw.com CHERNOFF VILHAUER LLP 601 SW Second Avenue, Suite 1600 Portland, OR 97204-3157 Telephone: (503) 227-5631 Facsimile: (503) 228-4373 Attorneys for Plaintiff

UNITED STATES DISTRICT COURT DISTRICT OF OREGON EUGENE DIVISION

RANDOM LENGTHS PUBLICATIONS, INC., an Oregon corporation, Plaintiff, v. SPRENGER MIDWEST, INC., a South Dakota corporation,

Case No. COMPLAINT FOR COPYRIGHT INFRINGEMENT AND BREACH OF CONTRACT

DEMAND FOR JURY TRIAL Defendant.

For its complaint against defendant, plaintiff alleges the following: 1. Plaintiff Random Lengths Publications, Inc. (Random Lengths) is an Oregon

corporation with its principal place of business in Eugene, Oregon. Random Lengths publishes and distributes periodicals and newsletters containing timely information of interest to the forest products industry.

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2.

Upon information and belief, defendant Sprenger Midwest, Inc. (Sprenger) is a

South Dakota corporation with a principal place of business at 700 S. Fourth Avenue, Sioux Falls, South Dakota 57104. Upon information and belief, Sprenger is a wholesale distributor of lumber, plywood and other forest products. 3. This case arises under the Copyright Act, 17 U.S.C. 101-1332. This Court has

jurisdiction of the subject matter herein pursuant to 28 U.S.C. 1331 and 1338(a), and the principles of supplemental jurisdiction set out in 28 U.S.C. 1367. Additionally, this Court has subject matter jurisdiction pursuant to 28 U.S.C. 1332(a)(1) since the parties are citizens of different states and the amount in controversy exceeds the sum or value of $75,000, exclusive of interest and costs. This Court has personal jurisdiction over Sprenger because, upon information and belief, Sprenger has established contacts within this state sufficient to permit the exercise of personal jurisdiction including entering into contracts in this state, and regularly purchasing wood products in this state. 4. Venue is proper in this District pursuant to 28 U.S.C. 1391(b) and (c). PLAINTIFFS FACTUAL ALLEGATIONS 5. Random Lengths publishes a variety of periodical newsletters containing timely

information of interest to the forest products industries. Random Lengths publications include: Random Lengths, The Weekly Report on North American Forest Products Markets (Weekly Report); Random Lengths Market Report Midweek (Midweek Report); Random Lengths Panel Market Report (Panel Report); Random Lengths Lumber Market Report (Lumber Report). Random Lengths also publishes the Panel Report and Lumber Report in spreadsheet and database format. (The reports are collectively referred hereafter as the Reports or the

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RLP Reports). The Lumber Report and the Panel Report are published separately prior to the Weekly Report and are then incorporated into The Weekly Report when it is published. 6. The publications are sold pursuant to a Subscription Agreement. Exhibit A. The

Subscription Agreement informs subscribers that the Reports contain copyright-protected material and the subscriber agrees not to retransmit the Reports to any third party or a separate physical location of the Subscriber. 7. Random Lengths owns copyright rights in each edition of the Reports listed

above. All editions of RLP Reports contain copyright notices, e.g., Copyright 2012 Random Lengths Publications Inc, and inform the reader that retransmission of the Report creates an additional copy and is prohibited. Exhibit B. 8. Random Lengths owns copyright registrations for all its Reports. The Reports are

registered as periodicals, with a single registration covering multiple Reports. 9. Random Lengths distributes its Reports by mail and electronically via facsimile,

e-mail PDF transmissions, and email electronic file transmissions for the Reports in database or spreadsheet format. 10. An email transmittal letter accompanies each email PDF, spreadsheet and

database report. The transmittal letters include a copyright notice and a warning that the Report may not be retransmitted without written permission of the publisher. Exhibit C. 11. Each electronic transmission of a PDF Report includes a full page

IMPORTANT COPYRIGHT REMINDER, informing readers that the Report is protected by U.S. copyright laws. Exhibit D. The Reminder also reiterates that retransmission of the Report without written permission is unlawful. The spreadsheet and database Reports also

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include a full-page notice reiterating that retransmission of the Report without written permission is unlawful. 12. Periodically, Random Lengths publishes a warning article article explaining

that RLP owns copyright rights in the Reports and that retransmission of the Reports is a violation of those rights. Exhibit E. 13. Random Lengths sends each Subscriber of the e-mail PDF Reports a Subscriber

Copyright Compliance Form reminding the Subscriber that Random Lengths Reports are covered by copyright rights. The Compliance Form provides a place for the Subscriber to sign and confirm that the Subscriber is in compliance. Exhibit F. 14. Sprenger has locations in Sioux Falls, SD and Lincoln, NE. Sprenger subscribes

to RLP Reports only at its Sioux Falls location, thus Sioux Falls is Sprengers only Licensed Site. Under the terms of the Subscription Agreement and License, Reports may not be distributed beyond the Licensed Site. 15. 16. Since at least as early as 1987, Sprenger has subscribed to several RLP Reports. Upon information and belief, for a number of years preceding May 2013,

Sprenger routinely made unauthorized copies of one or more RLP Reports by retransmitting (forwarding via electronic means) one or more of the Reports to third parties and/or unlicensed locations. Upon information and belief, in many cases the third-party recipients and/or persons at the unlicensed locations made additional unauthorized copies by retransmitting the Reports to further third parties and/or further unlicensed locations. 17. Upon information and belief Sprenger has forwarded copyrighted RLP Reports to

third parties and/or unlicensed locations, including but not limited to Dallas, TX, Denver, CO,

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Lincoln, NE, Omaha, NE, Wall, SD, Chicago, IL, Cincinnati, OH, Newark, NJ, New York, NY, West Point, GA, and Palm Desert, CA. 18. Upon information and belief, despite repeated and prominent warnings that

retransmission of RLP Reports is copyright infringement, many RLP Reports were copied by Sprenger by unauthorized retransmission. Upon information and belief, many Reports were copied multiple times by unauthorized retransmissions. 19. Sprenger had actual notice of Random Lengths copyright rights in the Reports

and actual notice that retransmission of the copyrighted Reports is copyright infringement. 20. Upon information and belief, Sprengers actions described herein have been

willful, wanton, and in blatant disregard of Random Lengths rights. FIRST CLAIM FOR RELIEF (Copyright Infringement) 21. This claim arises under Section 501 of the Copyright Act, 17 U.S.C. 501. The

allegations of paragraph 1-20 are incorporated herein by reference. 22. By electronically retransmitting RLP Reports to third parties and/or unlicensed

locations without the permission of Random Lengths, Sprenger has repeatedly, systematically, and deliberately infringed Random Lengths copyright rights in those Reports, and Random Lengths has been and will continue to be damaged by Sprengers actions unless Sprenger is enjoined by this Court. SECOND CLAIM FOR RELIEF (Breach of Contract) 23. This claim arises under the common law. The allegations of paragraphs 1-22 are

incorporated herein by reference.

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24.

By retransmitting RLP Reports to third parties and/or unlicensed locations,

Sprenger has repeatedly, systematically, and deliberately breached the Subscription Agreement, and Random Lengths has been and will continue to be damaged unless Sprenger is enjoined by this Court. WHEREFORE, Random Lengths prays for judgment in its favor and against Sprenger on all claims for relief and for an Order: A. that Sprenger has infringed Random Lengths copyright rights and that Random

Lengths has been damaged thereby; B. awarding Random Lengths its actual damages caused by Sprengers infringement

and any of Sprengers profits attributable to said infringement, pursuant to 17 U.S.C. 504; C. as an alternative to Random Lengths actual damages and Sprengers profits,

awarding Random Lengths statutory damages pursuant to 17 U.S.C. 504(c); D. enhancing such statutory damages due to the willful nature of Sprengers conduct

pursuant to 17 U.S.C. 504(c); E. that Sprenger has breached the Subscription Agreement, and awarding Random

Lengths damages caused by Sprengers breach; F. enjoining Sprenger, its officers, employees and assigns, and all those in privity

with them, from infringement of Random Lengths copyright rights in the RLP Reports and from any further breaches of the Subscription Agreement; G. awarding Random Lengths its costs and attorneys fees, pursuant to 17 U.S.C.

505 and the terms of the Subscription Agreement; and

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H.

awarding such other relief as the Court deems just and equitable.

DATED: October 15, 2013

Respectfully submitted, CHERNOFF VILHAUER LLP

/s/ J. Peter Staples J. Peter Staples, OSB No. 794042 William O. Geny, OSB No. 830409 Telephone: (503) 227-5631 Attorneys for Plaintiff

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Plaintiff hereby demands a jury trial for all issues so triable. CHERNOFF VILHAUER LLP

/s/ J. Peter Staples J. Peter Staples, OSB No. 794042 William O. Geny, OSB No. 830409 Telephone: (503) 227-5631 Attorneys for Plaintiff

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