Bit Parts

The U.S. District Court for the Eastern District of Texas ruled that a music publisher that assigned 50% of its copyrights in compositions to a third party, along with “all claims for infringement of the copyrights whether now or hereafter existing,” lacked standing to pursue an infringement action over two of those songs. Isbell v. DM Records Inc., 4:07-cv-146. In 2002, Alvertis Isbell's Alvert Music sued DM Records alleging infringement of the songs “Dazzey Duks” and “Whoomp! (There It Is).” In 2004, Alvert Music assigned copyrights and infringement-claims rights to Bridgeport Music. Dismissing Isbell's suit against DM Records, the district court noted: “In this Circuit, ownership of a copyright, and the attendant privileges, and ownership of an existing claim for copyright infringement may be separated by contract.” The court went on to explain: “Isbell could have easily assigned 'fifty percent (50%) [or any percentage for that matter] of claims for infringement of the copyrights whether now or hereafter existing ” But this was not the language used in the contract. Isbell assigned the entirety of that asset rather than a mere portion of it. Isbell also argues that the assignment is contingent upon the outcome of this litigation. However, no such conditional language is present in, or fairly inferable from, the contract. The works sold by Isbell presumably were sold at a discount to reflect the possibility that DM Records could be adjudged in this action to be the rightful owner thereof.”