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Joe Hand Promotions, Inc. v. Carter

United States District Court, D. Colorado

August 1, 2018

JOE HAND PROMOTIONS, INC., Plaintiff,
v.
JEREMY CARTER, individually and as a principal of Cyclone Zone, LLC, CYCLONE ZONE, LLC, Defendants.

          RECOMMENDATION OF UNITED STATES MAGISTRATE JUDGE

          MICHAEL E. HEGARTY, UNITED STATES MAGISTRATE JUDGE.

         Plaintiff requests a default judgment against Defendants Cyclone Zone, LLC and Jeremy Carter. I find that this Court has subject matter jurisdiction to determine this dispute and personal jurisdiction over Defendants. Furthermore, Plaintiff's unchallenged facts assert valid claims against Defendants. As a result of these violations, I conclude that Plaintiff is entitled to statutory damages of $10, 000.00 and enhanced damages of $50, 000.00. Accordingly, pursuant to Federal Rule of Civil Procedure 55(b)(2), I recommend that the Honorable Raymond P. Moore grant Plaintiff's Motion for Default Judgment.

         BACKGROUND

         I. Findings of Fact

         1. Plaintiff is a company that specializes in distributing and licensing premier sporting events to commercial establishments. Compl. ¶ 4, ECF No. 1.

         2. The promoters of the Floyd Mayweather, Jr. v. Conor McGregor boxing match gave Plaintiff the exclusive right to commercially distribute the presentation of the event on August 26, 2017. Id. ¶¶ 5-6.

         3. Plaintiff charged businesses a fee equal to $30.00 per person legally permitted in the establishment. Id. ¶ 10; Aff. of Joe Hand ¶ 7, ECF No. 15-2.

         4. Prior to the event, Defendant Cyclone Zone, LLC d/b/a Pueblo West Family Fun Center (“PWFFC”) advertised on its Facebook page that it would broadcast the match. Additionally, PWFFC posted pictures immediately prior to the event showing its 362” projection screen. ECF No. 15-6.

         5. Defendant Jeremy Carter-an officer and principal of PWFFC-advertised on his personal Facebook page that PWFFC planned to air the match. Id.

         6. Defendants proceeded to show the event at PWFFC without paying Plaintiff a commercial licensing fee. Compl. ¶¶ 14, 19. Because the PWFFC had a capacity of 1, 000 people, its fee would have been $30, 000.00. Aff. of Joe Hand ¶ 8; ECF No. 15-6, at 19.

         7. Defendants were able to obtain the event without paying Plaintiff through “(1) intercepting and redirecting cable or satellite service from a nearby residence, (2) registering their business location as a residence, (3) physically moving a cable or satellite receiver from a residence to their business, and/or (4) obtaining the [boxing match] in violation of the terms of their television service provider agreement.” Compl. ¶ 12.

         8. PWFFC charged entrants $10.00 on the night of the match. ECF No. 15-6, at 7, 16.

         II. Procedural History

         Based on the preceding facts, Plaintiff filed its Complaint on May 9, 2018. Compl., ECF No. 1. Plaintiff asserts claims for (1) satellite and cable piracy in violation of 47 U.S.C. §§ 553, 605 and (2) copyright infringement. Id. ¶¶ 18-25. Plaintiff served Defendants with the Complaint on May 19, 2018, making the answer deadline June 11, 2018. See ECF Nos. 7, 7-1. After Defendants failed to respond, Plaintiff moved for entry of ...


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