Amicus Curiae Brief — RADesign, Inc., et al., Petitioners v. Michael Grecco Productions, Inc.
Supreme Court briefMar 26, 2025
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No. 24-768
IN THE
Supreme Court of the United States
RADESIGN, INC., ET AL.,
Petitioners,
v.
MICHAEL GRECCO PRODUCTIONS, INC.
Respondent.
On Petition for a Writ of Certiorari to the United
States Court of Appeals for the Second Circuit
BRIEF OF KLEMA LAW, PL AS AMICUS
CURIAE IN SUPPORT OF PETITIONERS
GRIFFIN C. KLEMA
Counsel of Record
KLEMA LAW, P.L.
420 W. Kennedy Boulevard
Second Floor
Tampa, FL 33606
(202) 713-5292
Griffin@KlemaLaw.com
Counsel for amicus curiae
i
QUESTION PRESENTED
Whether a claim “accrue[s]” under the Copyright
Act’s statute of limitations for civil actions, 17 U.S.C.
507(b), when the infringement occurs (the “injury rule”)
or when a plaintiff discovers or reasonably should have
discovered the infringement (the “discovery rule”).
* Pursuant to Rule 37.2, counsel for the parties received notice of the
intention to file this amicus brief at least ten days prior to the deadline
for this brief’s filing. Further, no counsel for a party authored this
brief in whole or in part, and no person other than amici curiae or
their counsel made a monetary contribution to the brief’s preparation
or submission.
ii
TABLE OF CONTENTS
Page
QUESTION PRESENTED .......................................... i
INTEREST OF AMICUS CURIAE ............................ 1
INTRODUCTION & SUMMARY OF ARGUMENT.. 1
ARGUMENT ............................................................... 3
I.
II.
The Seventh Circuit Follows the
Injury Rule for Copyright
Infringement Claims ................................. 3
A.
Taylor v. Meirick applied an
accrual-then-toll approach to
ordinary infringement claims ............... 4
B.
The Seventh Circuit applies a
“discovery rule” to accrual of
copyright ownership claims .................. 6
C.
The rationale of Chicago Building
Design and Consumer Health
shows that the Seventh Circuit
applies the injury rule to ordinary
infringement claims .............................. 8
Motorola Solutions injected intracircuit tension in the Seventh
Circuit .......................................................... 9
III. An implicit circuit split exists
between the Seventh and Second
circuits on ordinary copyright
infringement claim accrual ................... 12
iii
IV. Copyright ownership disputes are
declaratory-type claims with
different elements than a claim of
infringement ............................................. 13
CONCLUSION.......................................................... 15
iv
TABLE OF CITATIONS
Page(s)
Cases
Bagett v. Bullitt,
377 U.S. 360 (1964) ..................................................... 6
Bay Area Laundry and Dry Cleaning Pension
Trust Fund v. Ferbar Corp. of Cal.,
522 U.S. 192 (1997) .................................................... 2
Cal. Pub. Employees’ Ret. Sys. v. ANZ Sec., Inc.,
137 S.Ct. 2042 (2017) .................................................. 6
Clapper v. Amnesty Int’l USA,
568 U.S. 398 (2013) .................................................. 14
Consumer Health Info. Corp. v. Amylin
Pharms., Inc.,
819 F.3d 992 (7th Cir. 2016) .............. 3, 7, 8, 9, 10, 14
CTS Corp. v. Waldburger,
573 U.S. 1 (2014) ......................................................... 6
Emory v. Peeler,
756 F.2d 1547 (11th Cir. 1985) ............................... 14
Feist Publ’ns, Inc. v. Rural Tel. Serv., Co.,
499 U.S. 340 (1991) .................................................... 1
Gabelli v. SEC,
568 U.S. 442 (2013) .................................................. 13
Gaiman v. McFarlane,
360 F.3d 644 (7th Cir. 2004) ............................ 6, 7, 12
Holland v. Florida,
560 U.S. 631 (2010) ..................................................... 6
Maryland Cas. Co. v. Pacific Coal & Oil Co.,
312 U.S. 270 (1941) .................................................. 14
Michael Grecco Prods., Inc. v. RADesign, Inc.,
112 F.4th 144 (2d Cir. 2024) ................................... 13
v
Motorola Soln’s, Inc. v. Hytera Commc’ns Corp.,
108 F.4th 458 (7th Cir. 2024) .....................3, 9, 10, 11
Norfolk S. Ry. v. Guthrie,
233 F.3d 532 7th Cir. 2000) ..................................... 14
Petrella v. Metro-Goldwyn-Mayer, Inc.,
572 U.S. 663 (2014) .............................................. 8, 12
Sohm v. Scholastic Inc.,
959 F.3d 39 (2d Cir. 2020) ....................................... 10
Taylor v. Meirick,
712 F.2d 1112 (7th Cir. 1983) ................ 3, 4, 5, 13, 14
Warner Chappell Music v. Nealy,
601 U.S. 366 (2024) .............................................. 9, 10
Webster v. Guitars,
955 F.3d 1270 (11th Cir. 2020) ............................... 14
William A. Graham Co. v. Haughey,
568 F.3d 425 (3d Cir. 2009) ..................................... 12
Statutes
17 U.S.C. § 501(a) ........................................................... 2
17 U.S.C. § 507(b) .................................................1, 3, 15
28 U.S.C. § 2201 ....................................................... 1, 13
Other Authorities
BRYAN A. GARNER ET AL., THE LAW OF JUDICIAL
PRECEDENT (2016) .................................................. 12
1
INTEREST OF AMICUS CURIAE
Klema Law, PL is an intellectual property law firm
that represents both plaintiffs and defendants in disputed
matters over patents, trademarks, copyrights, and trade
secrets, together with name, image, and likeness. The
firm regularly litigates copyright matters in federal district and circuit courts. A significant number of the firm’s
clients are accused of copyright infringement for singlephotograph disputes, most of which are old website or social media posts where information about the accused conduct has been lost to the passage of time. The firm has
developed significant expertise respecting the issue presented for review and the differences among the circuit
courts on their decisions construing and applying the Copyright Act’s statute of limitations, 17 U.S.C. § 507(b).
INTRODUCTION & SUMMARY OF ARGUMENT
The Seventh Circuit’s jurisprudence respecting the
Copyright Act’s statute of limitations, 17 U.S.C. § 507(b),
has been widely misunderstood. It does not embrace the
so-called “discovery rule” of claim accrual for ordinary infringement claims, though it does apply such an accrual
rule with respect to copyright ownership claims.
The Copyright Act does not expressly provide for an
action over ownership. Instead, such disputes are
properly understood as claims arising under the Declaratory Judgments Act, 28 U.S.C. § 2201, which simply refer
to the Copyright Act for their substance. A declaration of
copyright ownership entails a single element, ibid (“a case
of actual controversy”), which differs markedly from the
elements of an infringement claim, e.g., Feist Publ’ns, Inc.
v. Rural Tel. Serv., Co., 499 U.S. 340, 361 (1991) (“(1) ownership of a valid copyright, and (2) copying of constituent
2
elements of the work that are original”). This Court has
consistently held that a claim accrues “when the plaintiff
has ‘a complete and present cause of action.’” Bay Area
Laundry and Dry Cleaning Pension Trust Fund v.
Ferbar Corp. of Cal., 522 U.S. 192, 201 (1997). Due to their
differing elements of proof, ownership and infringement
claims accrue differently. An “actual controversy” necessarily requires knowledge of the dispute between two
competing parties, while an infringement claim does not.
A claim of copyright infringement accrues upon the occurrence of a violation of one of the exclusive rights under
Section 106. 17 U.S.C. § 501(a).
A careful reading of decisions from the Seventh Circuit reveals that it understands that distinction, and follows the injury-occurrence rule for claim accrual and not
the discovery rule for garden variety infringement
claims—though it recently cast doubt on its prior decisions. Other circuits, however, do not draw such a distinction, and hold that copyright claims accrue upon the plaintiff’s discovery of their cause of action, irrespective of
claim type. Consequently, an implicit circuit split exists
respecting the proper construction of “accrue” as concerns copyright infringement claims, contrary to petitioners’ argument. See Pet. at 21 (“without a circuit split”).
Additionally, intra-circuit tension exists within the Seventh Circuit.
This Court’s authoritative voice is badly needed to reinstill the proper framework for claim accrual based on
the type of claim, as well as construe what “accrue” means
in the Copyright Act for infringement claims in particular.
3
ARGUMENT
I.
The Seventh Circuit Follows the Injury Rule
for Copyright Infringement Claims
The Seventh Circuit has never, in a reported decision,
engaged in a textual analysis of the Copyright Act’s statute of limitations, let alone decided whether a discovery
rule applies to ordinary infringement actions. Five of its
decisions have confronted 17 U.S.C. § 507(b), but none
have ever squarely addressed whether the statute embodies a discovery rule for copyright infringement claim accrual. The oldest of is cases, Taylor v. Meirick, 712 F.2d
1112 (7th Cir. 1983), implicitly holds that an ordinary infringement claim (rights enforcement) accrues upon the
injury, while Consumer Health Info. Corp. v. Amylin
Pharms., Inc., 819 F.3d 992 (7th Cir. 2016), suggests that
a copyright ownership claim accrues upon knowledge of
competing claims (rights existence principium) together
with a recognition that each kind of claim differs for purposes of accrual. But a different panel in Motorola Soln’s,
Inc. v. Hytera Commc’ns Corp., 108 F.4th 458 (7th Cir.
2024), has suggested otherwise.
A careful reading of the Seventh Circuit’s decisions applying the Copyright Act’s statute of limitations reveals
an implicit circuit split with the Second, and its most recent decision reveals intra-circuit tension within its own
decisions.
This Court ought to grant certiorari and reiterate the
claim-specific mode of analysis for accrual, separate the
doctrine of tolling from accrual, and resolve the tension
within the Seventh Circuit and among the circuits on accrual of ordinary infringement claims expressly authorized by the Copyright Act.
4
A. Taylor v. Meirick applied an accrual-then-toll
approach to ordinary infringement claims
In Taylor v. Meirick, 712 F.2d 1112 (7th Cir. 1983), the
Seventh Circuit implicitly held that an infringement claim
accrues upon the occurrence of the infringing act. While
Taylor did not engage with the statutory text itself, the
decision’s rationale shows that the Seventh Circuit understood §507(b) as embodying an injury-occurrence rule,
which, like other claims, is subject to post-accrual tolling.
It did not create a discovery rule to delay the claim’s accrual in the first instance. Consistent with the accrualthen-toll approach, the court found the plaintiff’s claims
timely, concluding that “either of the tolling principles discussed earlier” allowed the plaintiff’s claims to proceed as
timely. 712 F.2d at 1119.
In its first “tolling principle[],” Taylor extended the
doctrine to encompass circumstances when the plaintiff
might be unaware of his claim: “the statute of limitations
is tolled until the plaintiff learned or by reasonable diligence could have learned that he had a cause of action.”
Id. at 1117 (emphasis supplied). Taylor not delay accrual
of the claim in the first instance, as illustrated by its use
of the past tense to describe the preexistence of the claim:
the statute “is tolled until the plaintiff learn[s]” “that he
had a cause of action.” Ibid. (emphasis supplied). The
court’s use of the past tense—“had”—indicates that the
cause of action existed before the “plaintiff learned” of its
existence at a later time, with that discovery “toll[ing]”
“the statute of limitations.” Ibid. The discovery did not delay the accrual of the claim itself—rather, post-accrual
tolling saved the otherwise untimely claim.
Unfortunately, most have misread this part of Taylor
to conclude that the Seventh Circuit created a discovery
rule respecting accrual. Such a misreading wholly excises
the repeated use of a key legal term and doctrine of
5
tolling. Reinforcing Taylor’s tolling rationale is its analogy to accrual of defective products claims, where it correctly applied the longstanding meaning of accrue: “the
tort is complete when the victim is injured.” Ibid. Despite
accrual of such a claim, the Seventh Circuit then invoked
“the tendency in modern law [] to toll the statute of limitations.” Ibid. (emphasis supplied). Notably, Taylor references the word “accrue” only once (quoting § 507(b)),
while repeating the term “toll” seven times throughout
the opinion.
In addition to its first tolling “principle,” its second and
alternative tolling rationale centered on the more commonplace scenario in which courts would equitably toll a
statute of limitations: fraudulent concealment. Id. at 1118.
The court found that the defendant’s conduct was “calculated to obstruct any inquiry” by the plaintiff, and therefore held that such conduct “toll[ed] the statute of limitations.” Ibid.
By repeatedly framing the discussion in terms of tolling, Taylor necessarily concluded that an infringement
claim had already accrued, and simply applied a tolling
doctrine to find the plaintiff’s claim timely, either by late
discovery, id. at 1117-18, or due to “fraudulent concealment” by the defendant. Id. at 1118. Confirming that reading of Taylor is its ultimate holding that “either of the tolling principles discussed earlier” saved the plaintiff’s claim
from being untimely. Id. at 1119. Thus, Taylor did not
hold that a discovery rule applies to delay accrual of an
ordinary copyright infringement claim, because that was
neither its rationale nor its holding. BRYAN A. GARNER ET
AL., THE LAW OF JUDICIAL PRECEDENT § 4, at 44 (2016)
(holdings are “parts of a decision that focus on the legal
questions actually presented to and decided by the
court”).
Taylor, unfortunately, has been misread as an accrual
6
case rather than a tolling case. Properly understood, however, Taylor shows that an infringement claim accrues
upon the occurrence of the injury (or the moment when a
plaintiff can bring suit on its claim), and tolling may be
applied thereafter at the request of a plaintiff. Taylor
simply expanded the tolling doctrine beyond the exceptional circumstances traditionally required to equitably
relieve a plaintiff from an otherwise time-barred claim,1
but it did not establish a discovery “rule” of claim “accrual” in the Seventh Circuit.
B. The Seventh Circuit applies a “discovery rule”
to accrual of copyright ownership claims
The Seventh Circuit has also approached claim accrual
by looking to the type of claim, as illustrated by its decisions involving claims of copyright ownership disputes.
In Gaiman v. McFarlane, 360 F.3d 644 (7th Cir. 2004),
the Seventh Circuit first confronted a copyright ownership dispute. The plaintiff had sought “a declaration that
he (Gaiman) owns copyrights.” Id. at 648. It made explicit
that the case was “not a suit for infringement.” Id. at 652.
And similar to Warner Chappell Music, the parties in
Gaiman “agree[d] that the copyright statute of limitations starts to run when the plaintiff learns, or as a reasonable person have learned, that the defendant was
The equitable tolling doctrine “is the judicial power to promote
equity, rather than to interpret and enforce statutory provisions,”
Cal. Pub. Employees’ Ret. Sys. v. ANZ Sec., Inc., 137 S.Ct. 2042, 2051
(2017), and is applicable where there are “extraordinary circumstance[s that ] prevent[ a plaintiff] from bringing a timely action,”
CTS Corp. v. Waldburger, 573 U.S. 1, 9-10 (2014); Holland v. Florida,
560 U.S. 631, 652 (2010) (“the circumstances of a case must be ‘extraordinary’ before equitable tolling can be applied”); see also Bagett
v. Bullitt, 377 U.S. 360, 375 (1964) (characterizing the exercise of equity powers where “special circumstances” exist).
1
7
violating his rights.” Id. at 653. Based on that agreement,
Gaiman affirmed the jury’s verdict of the date when the
plaintiff was placed on notice of copyright ownership dispute, and thus when the statute of limitations began to run
for the ownership claim. Id. at 657.
Because infringement was not at issue in Gaiman, it
did not hold that § 507(b) embodies a discovery rule for
such claims. Gaiman is correctly understood as a copyright ownership dispute wherein the parties agreed the
limitations began to run upon notice, and because of the
way the parties framed the issue, it too did not create a
discovery rule for claim accrual.
The scope of Gaiman is confirmed by the fact that the
Seventh Circuit did not cite that decision twelve years
later when it again confronted copyright ownership in
Consumer Health Info. Corp. v. Amylin Pharms., Inc.,
819 F.3d 992 (7th Cir. 2016). There, it stated that it “now
hold[s] that when the gravamen of a copyright suit is a
question of copyright ownership, the claim accrues when
the ownership dispute becomes explicit.” Id. at 996-97
(emphasis supplied). Had the Seventh Circuit believed
Gaiman already stood for that proposition as binding
precedent, it presumably would have cited and followed it,
and further would not have temporally qualified its holding in the present tense.
Consumer Health reinforces the accrual-then-toll
reading of Taylor when it characterized the decision as “a
garden-variety infringement action [where] copyright
ownership was not in dispute.” Ibid. So too with respect to
its earlier decision in Chicago Building Design, P.C. v.
Mongolian House, Inc., 770 F.3d 610 (7th Cir. 2014),
which it noted “did not address the distinction between ordinary infringement cases and disputes about copyright
ownership.” Consumer Health, 819 F.3d at 997. The Seventh Circuit made clear that it viewed the statute of
8
limitations differently depending on the type of claim: as
between copyright ownership disputes and infringement
claims each accrues differently. Ibid. (the “distinction
makes sense for purposes of claim-accrual analysis”).
C. The rationale of Chicago Building Design and
Consumer Health shows that the Seventh Circuit applies the injury rule to ordinary infringement claims
Following this Court’s decision in Petrella v. MetroGoldwyn-Mayer, Inc., 572 U.S. 663 (2014), the Seventh
Circuit concluded that “the right question to ask in copyright cases is whether the complaint contains allegations
of infringing acts that occurred within the three-year
look-back period from the date on which the suit was
filed.” Chicago Building Design, 770 F.3d at 616. While it
suggested that it had “recognized” a discovery rule applies to ownership claims, cf. id. at 614 (citing Gaiman
first and Taylor second), it nevertheless questioned the
“common law gloss” that produced the discovery rule. Id.
at 616.
Citing Petrella extensively, it held that the complaint
should not have been dismissed because the acts of infringement alleged by the plaintiff “f[e]ll within the threeyear limitations period from the date of suit.” Ibid. The
court explicitly did not reach the question of whether the
plaintiff could recover “for earlier infringing acts,” which
it considered an “issue [that] may have to be revisited on
remand in light of Petrella,” id. at 612, because “much remains for further development, both legally and factually,” id. at 618.
Its later decision in Consumer Health reinforced its
position on the difference between ownership and infringement claims, stating that “disputes about copyright
ownership are different” from infringement claims; in the
9
latter “the focus is on the infringing acts” and that “distinction makes sense for purposes of claim-accrual analysis.” Consumer Health, 819 F.3d at 996-97. While Consumer Health also did not pass on accrual of infringement
claims, its characterization of Taylor as a “garden variety
infringement claim” and omission of Gaiman shows that
it viewed such claims as occurrence-based. Id. at 997. In
“ordinary” infringement actions “each infringing act is a
discrete wrong triggering a new limitations period.” Ibid.
However, after this Court’s decision in Warner Chappell Music v. Nealy, 601 U.S. 366 (2024), a different Seventh Circuit panel broke from those earlier decisions, cast
doubt on its limitations jurisprudence, and created intracircuit tension.
II.
Motorola Solutions injected intra-circuit
tension in the Seventh Circuit
Despite the holdings and rationale of Taylor and Consumer Health indicating the Seventh Circuit views accrual of infringement claims different from ownership
claims, and further views tolling as a separate doctrine, it
recently cast doubt on its prior decisions, resulting in tension and doubt about its jurisprudence respecting copyright claim accrual and tolling.
In Motorola Soln’s, Inc. v. Hytera Comc’ns Corp., 108
F.4th 458 (7th Cir. 2024) it characterized both Chicago
Building Design and Taylor differently from their holdings while never citing Consumer Health.
In an expansive opinion primarily addressing trade secretes, the court addressed whether the jury’s copyright
infringement damages award should stand, noting that
the defendant’s “liability is not at issue” in the appeal. Id.
at 468. The defendant had argued for a limitation on damages, consistent with the Second Circuit’s decision in
Sohm v. Scholastic Inc., 959 F.3d 39 (2d Cir. 2020). See
10
Corrected Br. at 67-71 Motorola Soln’s, Inc. v. Hytera
Comc’ns Corp., no. 22-2370 (7th Cir. Nov. 15, 2022). After
this Court decided Warner Chappell Music, Inc. v. Nealy,
and overruled Sohm, the Seventh Circuit rejected Hytera’s argument. Motorola Soln’s, 108 F.4th at 479.
But in reaching that holding it characterized its prior
decisions differently from their rationale and holdings. It
previously characterized Chicago Building Design as a
case that “straightforwardly applied the separate-accrual
rule in an infringement-focused case.” Consumer Health,
819 F.3d at 997. But in Motorola Solutions, it now characterized the case as the circuit’s “settled adoption of the
discovery rule in copyright cases.” Motorola Soln’s, 108
F.4th at 479. It did not distinguish between ownership and
infringement claims, nor between claim accrual and equitable tolling. It is therefore difficult to reconcile the two
panels’ competing understanding of Chicago Building
Design, which held only that the complaint should not
have been dismissed because it alleged “the defendants
committed infringing acts within the three-year lookback
period.” Chi. Bldg. Design, 770 F.3d at 618.
The Motorola Solutions panel similarly recharacterized Consumer Health. That earlier panel, addressing accrual of a copyright ownership claim, had distinguished
Taylor as “a garden variety infringement action.” Consumer Health, 819 F.3d at 997. It did so in order to reiterate that copyright ownership claims accrue differently
from ordinary infringement claims. Given its holding, that
panel would not have distinguished Taylor if it viewed
that case as already standing for a broad discovery rule
irrespective of claim type, since it reasoned that “disputes
about copyright ownership are different” from infringement claims, where “each infringing act is a discrete
wrong triggering a new limitations period.” Ibid. And so
for the later panel in Motorola Solutions to view Taylor
as broadly establishing a discovery rule irrespective of
11
claim type is also at odds with Consumer Health distinguishing it on that basis.
Taylor did not adopt a discovery rule, but rather applied tolling, post-accrual. Nor did Chicago Building Design adopt a discovery rule, because even though the case
“came to” the Seventh Circuit based on the “parties’ dispute” about “the proper application of the discovery rule,”
770 F.3d at 614, it departed from their assertion of what
the law is, relied extensively on Petrella, and rejected the
district court’s use of “inquiry notice” while reframing the
analysis as whether “infringing acts” “occurred within the
three-year look-back period,” id. at 614-16. The whole of
the opinions in Chicago Building Design and Taylor belie
any conclusion that either applied or adopted the discovery rule to infringement claim accrual. To the contrary,
Chicago Building Design applied occurrence-type reasoning, rooted in Petrella, to find that the plaintiff’s claims
were not time barred because the alleged “acts f[e]ll
within the three-year limitations period from the date of
suit.” 770 F.3d at 616.
For the most recent Seventh Circuit panel to characterize Chicago Building Design as the Circuit’s “settled
adoption of the discovery rule” is difficult to square with
the extensive rationale in the opinion repeatedly emphasizing infringing “acts” as the trigger for claim accrual.
So too is it difficult to square its parenthetical characterization of Taylor as “adopting [the] discovery rule,”
Motorola Soln’s, 108 F.4th at 479, when that decision is
replete with tolling rationale, not accrual in the first instance. That the panel also entirely ignored Consumer
Health further clouds how the Seventh Circuit actually
views ordinary infringement claim accrual. Nevertheless,
Motorola Solutions explicitly did not overrule either Taylor, Chicago Building Design, or Consumer Health by the
simple expedient of recharacterizing the first two in
12
conflict with their holdings and rationale, and omitting the
latter. GARNER, THE LAW OF JUDICIAL PRECEDENT § 3,
at 37 (later panels of the same circuit are “strictly bound
by the decisions of prior panels under the ‘law-of-the-circuit’ rule”); but see id. § 60, at 493 (discussing the Seventh
Circuit’s fluidity respecting horizontal precedent).
Even if Motorola Solutions’s characterization of Taylor and Chicago Building Design is taken at face value
without reading or understanding those decisions, it reveals intra-circuit tension, warranting this Court’s review
to provide conclusive guidance.
III.
An implicit circuit split exists between the
Seventh and Second circuits on ordinary
copyright infringement claim accrual
Because Motorola Solutions panel did not overrule
Taylor, Chicago Building Design, or Consumer Health,
those decisions reveal an implicit circuit split on ordinary
infringement claim accrual.
In Petrella, this Court noted that most “Courts of Appeals have adopted, as an alternative to the incident of injury rule, a ‘discovery rule.’” 572 U.S. at 670 n.4 (citing
William A. Graham Co. v. Haughey, 568 F.3d 425, 433 (3d
Cir. 2009)). Importantly, however, neither Petrella nor
Graham delineated between what types of actions such a
rule had been applied.
The Third Circuit stated that “eight of our sister
courts of appeals have applied the discovery rule to civil
actions under the Copyright Act,” and cited one case each
from the First, Second, Fourth, Fifth, Sixth, Seventh,
Eighth, and Ninth circuits. Graham, 568 F.3d at 433. For
the Seventh Circuit it cited Gaiman. Ibid. But Gaiman
was “not a suit for infringement.” 360 F.3d at 652. Left
unstated by the Third Circuit, and in turn this Court’s
footnote in Petrella (as well as recently in Motorola
13
Solutions), is the important distinction on the type of
claim being asserted, because “a claim accrues ‘when the
plaintiff has a complete and present cause of action.’” Gabelli v. SEC, 568 U.S. 442, 448 (2013) (emphasis supplied).
Notwithstanding how courts, litigants, and commentators have characterized the Seventh Circuit’s cases, the
holdings of Taylor and Consumer Health, are implicitly in
conflict with the holding of the Second Circuit in the decision below, which unequivocally held that ordinary copyright infringement claims accrue only when the plaintiff
learns of them. Compare Michael Grecco Prods., Inc. v.
RADesign, Inc., 112 F.4th 144, 148 (2d Cir. 2024) (“the
discovery rule determines when an infringement claim accrues under the Copyright Act”) (emphasis supplied) with
Taylor, 712 F.2d at 1117 (“the statute of limitations is
tolled until the plaintiff learned … he had a cause of action”) (emphasis supplied). Thus, an implicit split exists
between at least the Seventh and Second circuits on the
proper understanding of “accrue” in § 507(b) as concerns
infringement claims.
IV.
Copyright ownership disputes are declaratory-type claims with different elements
than a claim of infringement
As the Seventh Circuit has recognized, claims of copyright ownership are different from the statutory claim of
infringement.
A copyright ownership dispute is essentially an equitable claim procedurally cognizable under the Declaratory Judgments Act that refers to the Copyright Act for
its substance. Because such claims arise through the Declaratory Judgments Act, 28 U.S.C. § 2201, a claim for a
declaration of ownership in a copyright cannot exist until
there is a bona fide controversy. See ibid (“actual controversy”). Courts addressing whether such a claim exists
14
have engaged in a fact-intensive assessment respecting
knowledge. E.g., Maryland Cas. Co. v. Pacific Coal & Oil
Co., 312 U.S. 270, 273 (1941) (the existence of an actual
controversy “is necessarily one of degree”); Emory v.
Peeler, 756 F.2d 1547, 1552 (11th Cir. 1985) (a controversy
“may not be conjectural, hypothetical, or contingent; it
must be real and immediate, and create a definite, rather
than speculative threat of future injury”). Consequently,
and consistent with Consumer Health, a copyright ownership claim requires knowledge of the dispute. Webster v.
Guitars, 955 F.3d 1270, 1275 (11th Cir. 2020); see also
Norfolk S. Ry. v. Guthrie, 233 F.3d 532, 534-35 (7th Cir.
2000) (the defendant’s actions must be “known to the declaratory plaintiff at the time the action is commenced
[and are] considered in determining whether [] a threat
exists”); Clapper v. Amnesty Int’l USA, 568 U.S. 398, 411
(2013) (finding plaintiff could not assert a declaratory
judgment action because they “ha[d] no actual
knowledge” of the alleged wrongdoing and holding that
speculation of a possible dispute is insufficient). A declaration seeking to establish ownership in a copyright cannot exist absent the plaintiff being put on notice of or discovering a competing ownership claim. That analysis is
embodied in the holding of Consumer Health, where ownership claims accrue when a “claimant has notice that his
claim of ownership is repudiated or contested.” 819 F.3d
at 997.
But in contrast, a claim of copyright infringement accrues upon a violation under § 501 because the cause of
action exists where there is uncontested ownership of the
copyright and copying of the work. See Taylor, 712 F.2d
at 1117-19. Unfortunately, Motorola Solutions entirely ignored the Seventh Circuit’s statements in Consumer
Health delineating why ownership and infringement
claims accrue differently, adding confusion to copyright
claim accrual in the Seventh Circuit—confusion which this
15
Court ought to clarify.
CONCLUSION
Because an implicit conflict exists among the circuit
courts of appeals respecting the meaning of “accrue” under 17 U.S.C. § 507(b) for ordinary infringement claims,
the Court should grant the petition for a writ of certiorari.
At a minimum, the Seventh Circuit’s recent recharacterization of its jurisprudence inconsistent with the reasoning
and holdings of those decisions warrants clarification from
this Court.
Respectfully submitted,
GRIFFIN C. KLEMA
Counsel of Record
KLEMA LAW, P.L.
420 W. Kennedy Boulevard
Second Floor
Tampa, FL 33606
(202) 713-5292
Griffin@KlemaLaw.com
March 26, 2025
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