Filed under: Case Updates, Copyright | 24 February, 2011 | by Chris G

Decided: 12/13/2010

Issue: Does the “first-sale doctrine” apply to imported works manufactured abroad?

Summary: The U.S. Supreme Court was asked to apply the first sale doctrine of copyright law in the context of international sales. Costco had purchased legitimate Omega watches abroad and then imported them into the U.S.  The watches included a small copyrighted design on the back surface and Omega argued that the importation and further distribution of the watches constituted copyright infringement.  The 9^th  Circuit Court of Appeals had sided with Omega, holding that the first sale doctrine did not apply to foreign manufactured copies that were purchased abroad.  Without opinion, and in a 4–4 split, the Supreme Court affirmed the 9^th  Circuit decision.  However, because of the 4–4 split, the case will not be seen as precedent-setting.

See Slip Opinion