Catalyst Complaint Cover Page

403847

Complaint
Number 403847 Date 2/28/2012 Status Assignee Actual Savings Amount Disputed Estimated Savings Closed Holbrook, Ruth E $0.00 $2,895.00 $0.00

Location Bellingham - Consumer Protection Division NAICS 541920-Photographic Services

Complainant
Name Yvette Hobzek 918 200th Ave SE Sammamish, WA 98075 Phone Day (425) 898-8338 Phone Evening Email yhobzek@townerealty.com

Respondent(s)
Name Getty Images 605 5th Ave S Ste 400 Seattle, WA 98104 Contact Phone (206) 925-6753 Toll Free Email copyright.complian ce@gettyimages.co m

Referral(s)
Name Contact Phone Contact Phone Email

Practice(s)
Code 019 300 Practice Inadequate Disclosure Excessive Price or Charge

Activities
Date Added 3/3/2012 3/3/2012 3/27/2012 Activity Type Email to Respondent Email to Complainant Email from Respondent Activity R First Letter to Respondent To: copyright.compliance@gettyimages.com C First Letter to Consumer To: yhobzek@townerealty.com

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Catalyst Report
Complaint Description
Description On June 23, 2011 I received a letter from Getty Images demanding that I send them $2,895.00 for images on my company website stating copyright infringement. I immediately contacted the I pay monthly that I used one of their templates and inquired about the letter and the images on my site and asked if they were licensed to use them. They said they had licenses and that this was just a scam and to ignore it. I did as they said and ignored the letter. On February 8, 2012 I received by Federal Express a letter from a law firm called McCormack Intellectual Property Law this letter demanding $3,824.00. I again sent the letter to Realty Soft who again said that this was a scam and referred me to a website called extortionletterinfo.com. On February 27, 2012 I receved a phone call from Mccormack Intellectual Property Law demanding a phone call back regarding this matter. Realty Soft assures me that they pay for all of the images that are used on my site. I would like for the harrassment to stop. I have included copies of the letters and emails between Realty Soft and myself and as well as the letters from Getty images and the Law firm. Expected resolution details: Stop Harrassing me

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AdaS

3/27/2012

From: Copyright Compliance [mailto:Copyright.Compliance@gettyimages.com] Sent: Tuesday, March 27, 2012 11:52 AM To: ATG MI Bellingham CRC Subject: RE: 403847 : A notice from the Washington State Attorney General'sOffice

605 Fifth Avenue South, Suite 400, Seattle, Washington 98104 Tel 206 925 5000 Fax 206 925 5001 www.gettyimages.com

March 27, 2012 Via e-mail to BelCRC@atg.wa.gov and Fax to (360) 738-6190 Ruth E. Holbrook Program Specialist 3 Attorney General of Washington Consumer Protection Division 103 East Holly Street, Suite 308 Bellingham, WA 98225-4310 Tel: (360) 738-6188

Re: Yvette Hobzek Your File Number: 403847 Our Case Number: 1086513 Dear Ms. Holbrook: We are in receipt of the complaint filed by Yvette Hobzek that you forwarded to us on March 3, 2012. We appreciate the opportunity to respond to Ms. Hobzeks concerns. By way of introduction, Getty Images is the leading creator and distributor of still and moving images. More than 4,000 images per day are licensed on our website, www.gettyimages.com, which features wholly-owned content (i.e., images to which we own the copyright), as well as
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exclusively licensed content (i.e., third-party contributor images which are licensed exclusively through us). Customers such as graphic designers, advertising agencies, and publishers license our imagery for a variety of purposes, including but not limited to print advertising, billboards, newspaper and magazine articles, brochures and websites. Our license information is clearly available from each page of our website, and we do not permit the use of our imagery without a license. Notwithstanding the license requirement, like other digital media companies, Getty Images does fall victim to individuals pirating its intellectual property. To combat this, Getty Images uses both employees and digital image recognition software to locate entities that have used Getty Images imagery without paying a license fee. One such entity recently identified as having used unlicensed imagery from our collections is Towne Realty. On June 23, 2011 and again on August 26, we sent Towne Realty a letter with notification that we had found unauthorized use of three of our images on its website, www.townerealty.com. The images are part of Getty Images Rights-Managed collections, #10172520, #200327022001 and #200420197-001 (the Images), and can be found on our web site at http://www.gettyimages.com/detail/10172520 , http://www.gettyimages.com/detail/200327022001 and http://www.gettyimages.com /detail/200420197-001 . We informed Towne Realty that use of the Images without a license constitutes copyright infringement, and that it must either (i) provide evidence that a license was issued, or (ii) pay a fee for use of the Images. In this instance, the total of the fees was $2,895.00, and we provided an invoice in that amount, which featured a thumbnail of the Images and their image numbers, along with screenshots of the Images on the Towne Realty website. The amount invoiced is in line with what typically would be charged for licenses of the Images under these circumstances. We do not doubt Ms. Hobzeks statement that Towne Realty acquired the Images as part of a RealtySoft software package. However, Getty Images has not issued any licenses to any third party which would allow for commercial web redistribution of the Images. As the end user of Getty Images imagery, Towne Realty is ultimately responsible for ensuring that it has obtained appropriate rights to use the imagery. As a result, Towne Realtys use of the Images without a license constitutes copyright infringement, for which we are entitled to seek damages. Since RealtySoft is unwilling to settle the matter on her behalf, we will continue to seek payment from Ms. Hobzek. We will address RealtySoft's inaccurate and defamatory statements with them directly. Ms. Hobzek further states that the Images have been removed from the Towne Realty website. While we appreciate the removal, the Images are protected by copyright, and were previously displayed on that website. Copyright law holds responsible anyone who publicly displays an image without authorization of the copyright holder. At this time, Ms. Hobzek has not raised any valid defenses. We would prefer to resolve this matter amicably, but in the event that Towne Realty remains unwilling to pay for the Images unlawfully used on its website, we reserve the right to continue to pursue this matter as copyright infringement. Getty Images has acted appropriately and in good faith in pursuing the unauthorized use of our intellectual property. Should you require any additional information about this matter, please do not hesitate to contact us.
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ExtortionLetterInfo.com (ELI) is dedicated to reporting information and providing commentary on Getty Images Settlement Demand Letters and other related stock photo demand letter programs. Clearly, ELI is not endorsed or authorized by Getty Images or any sanctioning body or formal organization. However, every effort is being made to provide factual information and professional opinions regarding Getty Images (and the respective companies) practice of issuing Settlement Letters that we consider legalized extortion. As Lead Contributors of this website, we believe what they are doing is technically legal but ethically and morally questionable. The Letter bullies and preys upon the legal ignorance of the letter recipients. This website attempts to discover, report, and comment on the facts in a civil and orderly way. This website also provides assistance in defending unaware and unintended victims of this Letter. There are two sides to every story and disagreement. Recipients of the Letter know Getty Images side. This website will assemble the stories and legal arguments of the other side. We trust this website will be both helpful and beneficial to you. Sincerely, Matthew Chan & Oscar Michelen

Why is This Being Called Legalized Extortion and an Extortion Letter Scheme?
This is a descriptive and colloquial term for Getty Images deliberate, malicious, bullying, and presumptuous letter campaign that engages in what is tantamount to legalized extortion. The letter in its entirety is both well-worded and well-constructed. It has been clearly been well thought out. Because of the deliberate construction and planning that goes into this letter campaign, it qualifies as a Scheme. The Letter automatically presumes guilt of the recipient. The letter recipient is expected to provide proof of their innocence. In effect, the letter recipient is presumed guilty unless they prove their innocence. Although the letter does provide for the possibility that the letter recipient was unaware and unintended of the alleged infringement, the Letter takes a heavy-handed and unforgiving approach of stating that they are responsible for all alleged damages and liability. The Letter automatically presumes Getty Images has been damaged whether or not that is actually true or proven. Because this scheme relies heavily on the letter recipients ignorance of due legal process and peoples inherent fear of legal conflict as a result of that ignorance, it is considered by many as legalized extortion. http://www.extortionletterinfo.com/

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