A source inside Viacom said the company would likely have not filed suit, had it not repeatedly found clips that it had already asked to be taken down. One provision of that statute generally says companies are off the hook if they remove copyrighted content promptly when it is brought to their attention. Internet services may only benefit from that so-called "safe harbor" if they also meet a four-pronged test. Those conditions include not being "aware of facts or circumstances from which infringing activity is apparent" and not receiving "financial benefit directly attributable to the infringing activity.
Viacom in its complaint argues Google and YouTube do not qualify for that relief, but Glenn Brown, an in-house product counsel for the merged companies, said he was confident their actions were on solid legal ground. YouTube was also expected late last year to release a technology that would automatically weed out copyright content from the site.
NBC's Zucker and others in Hollywood have accused the company of dragging its feet. Viacom said that only when an agreement is reached will YouTube begin safeguarding an entertainment company's copyright property. Viacom's lawyers argued that YouTube profited from illegal clips. Google's lawyers argued it abided by provisions under the Digital Millennium Copyright Act and removed unauthorized videos, when notified. Related: Get ready for "over-the-top" TV. To learn more or opt-out, read our Cookie Policy.
Viacom, which has been suing Google over alleged copyright violations at its YouTube unit since , has settled out of court, the two companies announced today. YouTube copyright litigation. This settlement reflects the growing collaborative dialogue between our two companies on important opportunities, and we look forward to working more closely together.
But no money traded hands in the settlement, according to people familiar with the transaction. Google had won a significant victory against Viacom in , when U.
Viacom appealed that decision, but a federal appeals court kicked the case back down to Stanton again, who repeated his ruling in Viacom appealed that ruling, and the two companies were scheduled to appear in court again next Monday. YouTube said in a statement last month that it would comply with the request from Viacom and said it cooperates "with all copyright holders to identify and promptly remove infringing content as soon as we are officially notified.
The company also said it was "unfortunate that Viacom will no longer be able to benefit from YouTube's passionate audience which has helped to promote many of Viacom's shows.
Some media companies such as CBS Corp. Universal Music Group, a division of French telecommunications giant Vivendi SA, had threatened to sue YouTube for copyright infringement, saying it was a hub for pirated music videos, but later reached a licensing deal with them last year. Despite Viacom's problems with YouTube, the company's MTV Networks division reached a licensing deal last year with Google that allows the search company's video service to use clips from MTV and its sibling networks under a revenue-sharing agreement.
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