Vimeo wins appeal in long-running copyright dispute with record labels


Vimeo has emerged victorious in a protracted legal confrontation with divisions of Universal Music Group, as reported by Reuters. The U.S. Second Circuit Court of Appeals ruled in favor of Vimeo on January 13, dismissing copyright infringement allegations lodged by significant record labels, including Universal's Capitol Records and various EMI subsidiaries. The dispute, which traces back to a 2009 lawsuit, revolved around Vimeo's “Lip Dub Stars” channel, where users uploaded videos containing copyrighted music. The plaintiffs contended that Vimeo neglected clear indications of copyright violations, particularly when recognizable tracks were noticed by employees on the platform. The court upheld a lower court's ruling affirming Vimeo's protection under the Digital Millennium Copyright Act’s (DMCA) “safe harbor” provisions, which typically insulate internet providers from liability concerning user-generated content if they respond appropriately to takedown requests. Judge Pierre N. Leval noted that the district court dismissed claims suggesting that Vimeo had actual knowledge or "red flag" knowledge of the infringements, which would have disqualified it from safe harbor protection. The court concluded that while Vimeo employees did interact with potentially infringing videos, it was not evident that the employees could have recognized the unauthorized status of the music used. Additionally, arguments positing that Vimeo maintained significant control over user content were disregarded, emphasizing that the platform’s content moderation impacted only a tiny fraction of uploads. The ruling underscored that such moderation actions did not impede users' freedoms to post content. Furthermore, it emphasized that denying Vimeo DMCA protections could lead to insurmountable financial burdens. Following the decision, Vimeo expressed satisfaction, highlighting its commitment to fostering innovation while honoring intellectual property rights. The ruling further clarified that DMCA protections extend to recordings from all eras, reinforcing earlier precedent concerning copyright law.



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