[amayausers] Re: Dakota Collectables Lic (Personal use ONLY)

  • From: webmaster@xxxxxxxxxxxxxx
  • To: amayausers@xxxxxxxxxxxxx
  • Date: Thu, 19 Oct 2006 02:08:57 UT

This message was posted by Impressions Embroidered Apparel on AmayaUsers.com. 
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Hi,

We recently purchased Dakota Collectables latest designs "Happy Bunny" from 
their "Licensed Design Series" for $69.95 for 20 Licensed Designs.

After reading how popular Happy Bunny is in department stores from the Dakota 
Site:

 http://www.dakotacollectibles.com/comm/AboutHappyBunny.asp 

We decided to invest in a Happy Bunny web site, Google and Yahoo marketing, Tee 
Shirt and Hat stock, only to just get the site just up and running and then get 
a legal notice from Dakota Collectables that the designs they sold us are for 
"Personal Use Only".  

If it would have been clearly stated "Personal Use Only" we would not have 
purchased them.  Why would embroidery companies buy designs from a digitizing 
company that you can not sew on items for sale.

Now we are worried about the $2,000+ dollars we spent with Melco to get some 
Dakota Designs when we bought our embroidery machines.  Are these "personal use 
only"?  
 
Letter from Dakota Collectables:


October 18, 2006

 

Steve and Lisa:

Please be advised that Jim Benton, acting through the J.K. Benton Design 
Studio, Inc. (The Studio) is the owner of the copyrights (and other 
intellectual property rights) in and to "It?s Happy Bunny?" and "It?s Happy 
Bunny Baby?". I am advised the copyrights to these designs have been registered 
with the United States Copyright Office. Dakota Collectibles has obtained a 
license from The Studio, to create and distribute embroidery software, for the 
It?s Happy Bunny? and It?s Happy Bunny Baby? designs, "for personal use only". 
We recently began to distribute this licensed product.

Dakota Collectibles made it very clear, in a notice to our Distributors and 
Retailers, and in the Embroidery Software License the end user receives, that 
these licensed designs "cannot be sewn on items for resale". (See attached 
Notice and License.) This means these designs can only be sewn, by the 
purchaser, on their personal items for their personal use. Commercial 
reproduction and resale of these designs is prohibited.

I am the General Counsel for Dakota Collectibles. I was recently directed to 
your website at www.gethappybunny.com (http://www.gethappybunny.com) where you 
are selling these copyrighted embroidery designs. I have been advised by The 
Studio that you do not have a license to reproduce and sell these designs. I 
have received authorization and directions from The Studio to take action and 
stop this unlicensed use.

The unauthorized copying and/or use of copyrighted materials constitute acts of 
infringement under the Copyright Act, Title 17 U.S.C., and, in particular, 17 
U.S.C. §501 et. seq. Only the copyright owner, and its assigns or licensees, is 
permitted to make copies of its works. Each and every time you sew out a It?s 
Happy Bunny? or a It?s Happy Bunny Baby? design, you are making an illegal 
copy, and this constitutes an infringement.

The civil remedies provided to a copyright owner for infringement include 
statutory or actual damages. Actual damages are the owner?s lost profits, or 
the infringer?s profits from the illegal use of infringing copy, 17 U.S.C. 
§504(b). If the owner elects to recover statutory damages, the court awards 
damages, with respect to any one work, in a sum of not less than $750.00 or 
more than $30,000.00, as the court considers just. 17 U.S.C. §504(c)(1). In 
addition, the copyright owner can obtain an injunction against further 
infringement, 17 U.S.C. §502, and attorney?s fees and costs, 17 U.S.C. §505.

The Studio demands that you immediately CEASE and DESIST the sale of the It?s 
Happy Bunny? and It?s Happy Bunny Baby? embroidery designs. You have now 
received actual notice of this infringement claim. The Studio will consider any 
further sales as "willful infringement". In cases of willful infringement, the 
court, in its discretion, may increase the award of statutory damages to a sum 
of not more than $150,000.00. 17 U.S.C. §504(c)(2).

Please notify me, no later than the close of business on Friday, October 27, 
2006, of the steps you have taken to comply with this demand. In addition, we 
require a complete list of all of the It?s Happy Bunny? designs sold, and the 
revenue derived from these sales. I await your prompt reply.

Sincerely,


Timothy J. Austin

General Counsel

Dakota Collectibles

2000 Schafer Street

Bismarck, ND 58501

(701) 255-2409, x3141

carlas@xxxxxxxxxxxxxxxxxxxxxx
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