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Alleged Oral Copyright License No Bar to Infringement Suit

The U.S. District Court for the Southern District of New York refused to dismiss a copyright infringement suit over an instrumental score composed for the direct-to-DVD movie Don Dinero ' Su Vida Y la Calle. Ortiz v. Guitian Music Brothers Inc. (GMB), 07 Civ. 3897. Plaintiff Juan Ortiz claimed he had been promised transportation costs, a production fee, and 10% of both the stock in GMB and of the publishing rights in the music he composed for the film. The defendants argued that: “Ortiz entered an oral agreement whereby he agreed to create the Works with the express purpose that Defendants would incorporate them in [the] Motion Picture and with the express understanding that Defendants would sell and distribute the Motion Picture nationally and internationally.” U.S. District Judge Robert W. Sweet noted, however: “Even if the [c]ourt were to find that such an oral nonexclusive license was apparent on the face of the Amended Complaint, such a finding would not preclude Ortiz from bringing the instant copyright claim because it is further alleged that Defendants did not perform their part of the understanding between the parties. ' Assuming an oral license did exist and that Plaintiff's allegations of non-payment are true, such license was revocable, and by instituting this action, Plaintiff revoked any license that may have existed between him and Defendants.”

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