Redbox Seeks Dismissal of Disney's Amended Copyright Complaint

Disney's first amended copyright complaint against Redbox for selling codes that allow streaming Disney movies (see 1804100002) shows Disney doesn't respect the different contractual requirements of operating in the physical and digital worlds, Redbox said in a docket 17-cv-08655-DDP-AGR motion to dismiss (in Pacer) filed Wednesday in U.S. District Court in Los Angeles. Redbox said consumers aren't originating a new transaction online when they redeem on a Disney website a digital code previously bought in a disc Combo Pack. It said 9th U.S. Circuit Court of Appeals precedent is that in a brick-and-mortar transaction, it takes more than just fine print intended to limit resale to create a binding limitation on alienation. And it said the amended Disney complaint is an attempt to back out of completed brick-and-mortal sales by employing website license terms barring redemption of codes by consumers who didn't assent to the terms at purchase. Redbox said Disney's infringement claim against Redbox customers, based on unenforceable contract terms, fails, so its contributory infringement claim against Redbox should be dismissed. Disney outside counsel didn't comment Friday.