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In a release this summer, the Federal Trade Commission (FTC) announced it had brought and settled its first case involving crowd-funding. The defendant, Erik Chevalier, raised more than $122,000 through Kickstarter to produce The Doom That Came to Atlantic City, a Monopoly-like board game geared towards H.P. Lovecraft fans. According to the FTC’s complaint, Chevalier instead used the Kickstarter proceeds to pay for personal expenses, including his move to Oregon. The FTC/Chevalier settlement order should serve as a reminder that strong legal remedies at both the state and federal level are available to defrauded contributors. Content creators considering a donation crowd-funding campaign need to understand the level of communication that backers expect and should be prepared to refund any remaining contributions if it turns out the intended benefits cannot be delivered.
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By Stan Soocher
A thorny concern for lawyers is whether — and if so, when — an attorney/client relationship has been formed with a party with whom the lawyer has entered into a business arrangement. Current litigation over an agreement involving theatrical production rights to the Tony Award-winning musical Man of La Mancha offers some perspective on the issue.
By Matthew Windman
While the theaters of Broadway remain dark, the New York theater community has been left to grapple with challenging legal issues relating to governmental directives, contracts, insurance coverage, refunds, presenting live and prerecorded content on the Internet, and what health and safety measures will be needed once the theaters can reopen.
By Shaleen J. Patel and Sushmitha Rajeevan
In the process of creating new content, AI, which has moved into the entertainment industry, may create copies of copyrighted works in memory storage as a byproduct of its overall output sequence. This article explores authorship and ownership of such AI-generated content, and to what extent, if any, can copyrights be infringed upon when AI reproduces copyrighted works for machine learning.
By Ellen Bardash
In a decision that narrowed what actions can be brought by Delaware companies’ stockholders in the context of a merger, the Delaware Court of Chancery dismissed claims brought against former 21st Century Fox executives, including three members of the Murdoch family.