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Silver Matrix Answer to Righthaven Copyright Infringement Lawsuit

Silver Matrix Answer to Righthaven Copyright Infringement Lawsuit

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Defendants Answer filed in Righthaven LLC v. Justin Beech and Silver Matrix LLC, Case No. 10-cv-01281 (D. Nev).
Defendants Answer filed in Righthaven LLC v. Justin Beech and Silver Matrix LLC, Case No. 10-cv-01281 (D. Nev).

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Published by: www.righthavenlawsuits.com on Sep 11, 2010
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09/13/2010

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12345678910111213141516171819202122232425 HECTOR J. CARBAJAL IINevada Bar No. 6247CARBAJAL & MCNUTT, LLP625 South Eighth StreetLas Vegas, Nevada 89101Telephone: (702) 384-1170Facsimile: (702) 384-5529hjc@cmlawnv.com Attorneys for Defendant
Silver Matrix, LLC 
UNITED STATES DISTRICT COURTDISTRICT OF NEVADA
RIGHTHAVEN, LLC, a Nevada limited-liability company,Plaintiff,vs.SILVER MATRIX, LLC, a Delaware limitedliability company; and JUSTIN BEECH, anindividualDefendant.)))))))))))))CASE NO.: 2:10-cv-01281
ANSWER
Defendant Silver Matrix LLC (“Silver Matrix”) (“Defendant”) hereby responds tothe Complaint brought by Plaintiff Righthaven LLC (“Plaintiff”)
1
as follows:
NATURE OF ACTION 
1.
 
Defendant admits that Plaintiff has alleged claims arising under theCopyright Act.
PARTIES
2.
 
Defendant is without knowledge sufficient to form a belief as to the truth of the allegations of paragraph 2 of the Complaint and, therefore, denies the same.
1
 
Defendant Justin Beech was never served Plaintiff’s Summons and Complaint.
 
Case 2:10-cv-01281-GMN-PAL Document 9 Filed 09/09/10 Page 1 of 12
 
12345678910111213141516171819202122232425 23.
 
Defendant is without knowledge sufficient to form a belief as to the truth of the allegations of paragraph 3 of the Complaint and, therefore, denies the same.4.
 
Defendant admits that Silver Matrix LLC is, and has been at all timesrelevant to this lawsuit, a limited liability company of the State of Delaware.5.
 
Defendant admits that Silver Matrix LLC owns the domain namewww.dslreports.comand otherwise denies the allegations of paragraph 5 in the Complaint inits entirety.6.
 
Defendant denies the allegations contained in paragraph 6 of the Complaintbut admits that Beech is an owner and Founder of Silver Matrix LLC.7.
 
Defendant denies the allegations in paragraph 7 of the Complaint, specificallythat it owns the copyright in all material posted by third parties. Silver Matrix is thepublisher of dslreports.com, a consumer news website and forum for consumer commentand opinion focusing on broadband services, among other things. Copyright notices do not“proclaim” or otherwise indicate that the publisher is the “owner” of all materials thatappear on the website.
JURISDICTION
8.
 
Defendant admits that this Court has subject matter jurisdiction to hearcopyright claims, but believes that this Court should decline to exercise it in the abusivecircumstances of this case and other cases similarly situated. Plaintiff’s business modelappears to consist of filing high volumes of small claims copyright actions against numerousout-of-state defendants who must retain counsel to defend them at costs that far exceed thevalue of the claims at issue. Plaintiff does not appear to seek or even ask for the take-downof their works but sue without advance notice in order to impose high transaction costs onanyone who would seek to defend themselves. Whether or not there is jurisdiction andwhether or not there is merit to the claim or likely defenses, Plaintiff seems to rely on the
Case 2:10-cv-01281-GMN-PAL Document 9 Filed 09/09/10 Page 2 of 12
 
12345678910111213141516171819202122232425 3cost of defense to extract settlements that exceed the fair or reasonable value of the claim.The practice is abusive and the Nevada District Court should not take jurisdiction of suchmassive and parasitical abuse of its judicial resources.9.
 
Defendant is without knowledge sufficient to form a belief as to the truth of the allegations of paragraph 9 of the Complaint.10.
 
Defendant is without knowledge sufficient to form a belief as to the truth of the allegations of paragraph 10 of the Complaint.11.
 
Defendant denies the allegations in paragraph 11 of the Complaint includingthe allegations that it “willfully copied on an unauthorized basis the Work.” And Defendantdenies knowledge sufficient to form a belief as to the truth of the balance of the allegationstherein.12.
 
Defendant denies the allegations in paragraph 12 of the Complaint.Defendant never posted or displayed the Work; a third party posted the Work at some pointwithout Defendant’s knowledge and Defendant removed the copy of the Work as soon as itlearned of Plaintiff’s claim, which is consistent with the website’s longstanding policy.13.
 
Defendant denies knowledge and information sufficient to form a belief concerning the truth of the allegations contained in paragraph 13 of the Complaint.14.
 
Defendant denies the allegations in paragraph 14 of the Complaint.15.
 
Defendant denies the allegations in paragraph 15 of the Complaint.16.
 
Defendant denies the allegations in paragraph 16 of the Complaint.17.
 
Defendant denies the allegations in paragraph 17 of the Complaint. TheWebsite is not the “habitual subject of postings by others of copyright-infringing content”and Plaintiff has no colorable or good faith factual basis for pleading that statement. Plaintiff has no knowledge of the content of Silver Matrix website or of Silver Matrix practices. Theallegation is based solely on Plaintiff’s generalization about all websites that allow third
Case 2:10-cv-01281-GMN-PAL Document 9 Filed 09/09/10 Page 3 of 12

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