Shopify Inc has settled allegations by a group of major educational publishers that the Canadian e-commerce company enables piracy on its platform, according to a Tuesday filing in Virginia federal court.
The joint filing said Shopify had resolved the dispute with Macmillan Learning, Cengage Learning, Elsevier, McGraw Hill, and Pearson Education and asked the court to dismiss the case with prejudice, which means it cannot be refiled.
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The publishers sued Shopify last year, accusing it of ignoring repeat notices that its users sell pirated digital versions of their textbooks and other materials. The lawsuit said Shopify’s “blind eye” to piracy allows for copyright and trademark infringement on a “massive scale.”
The publishers asked the court for statutory damages of up to $150,000 per infringed copyright and $2 million for each counterfeited trademark, and listed more than 3,400 copyrights that were allegedly violated.
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Shopify responded in January that it addresses infringement notices “promptly and appropriately” and accused the publishers of trying to expand the “universe of actors subject to copyright damages.”
The company said the publishers sued because they failed to convince Congress to change the Digital Millennium Copyright Act, which protects internet hosts like Shopify from court claims if they take reasonable measures to address user infringement.
Link to the rest at Reuters