ILL Impact: Second Circuit Ruling Limits First Sale Doctrine to Works Made in the US

The United States Court of Appeals for the Second Circuit has ruled in John Wiley & Sons, Inc. v. Supap Kirtsaeng that the first sale doctrine is limited to works manufactured in the US.

Here's an excerpt from the ruling:

Appeal from a judgment of the United States District Court for the Southern District of New York (Donald C. Pogue, Judge of the United States Court of International Trade, sitting by designation), following a jury trial, awarding statutory damages to plaintiff publisher for copyright infringement. Defendant claims on appeal that the District Court denied him a defense under the "first sale doctrine," 17 U.S.C. § 109(a), and erred in evidentiary rulings which, he alleges, led to the award of unduly high damages. In a case of first impression in our Court, we hold (1) that the first sale doctrine, which allows a person who buys a legally produced copyrighted work to sell or otherwise dispose of the work as he sees fit, does not apply to works manufactured outside of the United States, and (2) that the District Court did not err in its evidentiary rulings.

Commenting on this ruling in ARL Policy Notes, Jonathan Band said:

Accordingly, a library in the Second Circuit that wants to lend foreign manufactured copies must rely on fair use or the ambiguous exception in 17 USC 602(a)(2)(C) that allows a library to import 5 copies (except audiovisual works) for lending purposes, but doesn't specifically allow the library to actually lend those copies.

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