Fogerty v. Fantasy, Inc., 510 U.S. 517, 2 (1994)

Page:   Index   Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  Next

518

FOGERTY v. FANTASY, INC.

Syllabus

public through access to creative works, it is peculiarly important that the law's boundaries be demarcated as clearly as possible. Thus, a defendant seeking to advance meritorious copyright defenses should be encouraged to litigate them to the same extent that plaintiffs are encouraged to litigate meritorious infringement claims. Fantasy also errs in urging that the legislative history supports the dual standard based on the principle of ratification. Neither the two studies submitted to Congress while it considered revisions to the Act, nor the cases referred to in those studies, support the view that there was a settled construction in favor of the dual standard under the virtually identical provision in the 1909 Copyright Act. Pp. 522-533. (b) Also rejected is Fogerty's argument that § 505 enacted the "British Rule," which allows for automatic recovery of attorney's fees by prevailing plaintiffs and defendants, absent exceptional circumstances. The word "may" in § 505 clearly connotes discretion in awarding such fees, and an automatic award would pretermit the exercise of that discretion. In addition, since Congress legislates against the strong background of the American Rule—which requires parties to bear their own attorney's fees unless Congress provides otherwise—it would have surely drawn more explicit statutory language and legislative comment had it intended to adopt the British Rule in § 505. While there is no precise rule or formula for making fee determinations under § 505, equitable discretion should be exercised "in light of the considerations [this Court] has identified." Hensley v. Eckerhart, 461 U. S. 424, 436-437. Pp. 533-535. 984 F. 2d 1524, reversed and remanded.

Rehnquist, C. J., delivered the opinion of the Court, in which Black-mun, Stevens, O'Connor, Scalia, Kennedy, Souter, and Ginsburg, JJ., joined. Thomas, J., filed an opinion concurring in the judgment, post, p. 535.

Kenneth I. Sidle argued the cause for petitioner. With him on the briefs were Vincent H. Chieffo and Julia L. Ross.

Lawrence S. Robbins argued the cause for respondent. With him on the brief were Carlos T. Angulo, Malcolm Burnstein, and Norman G. Rudman.*

*Jonathan A. Marshall, William G. Pecau, Jon R. Stark, Stephen P. Fox, and Roland I. Griffin filed a brief for Hewlett-Packard Co. as amicus curiae urging reversal.

Jack E. Brown, Chris R. Ottenweller, and Charles A. Blanchard filed a brief for Apple Computer, Inc., as amicus curiae urging affirmance.

Page:   Index   Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  Next

Last modified: October 4, 2007