Copyright Damages Issue Put to Bed, But Discovery Question Looms

Intellectual Property attorney Thomas Brooke wrote a Bloomberg Law article discussing the implications of the U.S. Supreme Court's recent decision in Warner Chappell Music, Inc. v. Nealy. The ruling resolved a circuit split on the issue of copyright damages, holding that plaintiffs can seek damages for infringements that occurred more than three years before the discovery of the claim. The split arose because of a discovery rule that allows plaintiffs to seek recovery of damages within three years of discovering the infringement, regardless of when it actually took place. However, the court did not address the validity of the discovery rule itself, leaving open the question of whether a claim must be brought within three years of the infringement or within three years of its discovery. The article highlights the significance of this decision for litigants and counsel, noting that if a party can prove infringement and satisfy the discovery rule, there is no time limit on monetary recovery.

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