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Bar Owners – UFC Broadcast Lawsuits


Several people watching TV in a bar.

UFC broadcast lawsuits are becoming more common. These lawsuits come about because venue owners broadcast UFC fights for their customers against licensing and copyright laws. Whether violations are intentional or not, UFC broadcast lawsuits are a serious matter for bar owners. Most cannot afford the lawsuit, settlement, or fines involved.

It is important to have legal guidance and representation if you have been hit with a UFC broadcast lawsuit. The experienced copyright attorneys at Rosenblum Law can mean the difference between financial ruin and coming out relatively unscathed.

Understanding UFC Broadcast Lawsuits

UFC broadcast lawsuits against bar owners are expensive to fight and to settle. The lawsuit will likely include a cease-and-desist order preventing the bar owner from broadcasting any further UFC events. 

The legal basis for these lawsuits lies in copyright infringement and licensing violations. Copyright infringement of this type falls under federal law 17 U.S. Code Section 501, which gives the UFC events copyright protection and the ability to file a lawsuit for violations. Licensing violations fall under 47 U.S. Code Section 553 and can have criminal fines and jail time ordered in addition to the lawsuit.

The typical claimants in a UFC broadcast lawsuit are the UFC and licensing authorities. Licensing authorities are those authorized to license pay-per-view events for residential or commercial use. 

Common Reasons for UFC Broadcast Lawsuits Against Bar Owners

There are several common reasons for UFC broadcast lawsuits against bar owners:

  • Unauthorized public display of UFC events, or displaying UFC events without authorization from the UFC.
  • Illegal streaming or piracy of UFC content, or displaying UFC events using online streaming that has been pirated.
  • Failure to obtain proper licensing for commercial broadcasts, such as using a residential set-top box to display UFC events in a commercial venue like a bar.
  • Misunderstanding or ignorance of licensing requirements, because ignorance is not a legal defense in these cases.

The best way to avoid a UFC lawsuit is to only display events with a proper commercial license. A commercial license costs more than  residential pay-per-view and is based on the size or capacity of the business showing the UFC fight.

Legal Consequences for Bar Owners

There are a variety of legal consequences for bar owners facing UFC broadcast lawsuits. 

Damages From Copyright Infringement

Under Section 504 of the Copyright Act, statutory damages for copyright infringement usually range from $750 to $30,000 per work. These can increase up to $150,000 per work if a court finds that the infringement was willful.

As an alternative, Section 504 also allows the copyright owner to choose instead to recover what are known as “actual” or “compensatory” damages. These are damages the copyright owner actually incurred as a direct result of the infringement. Compensatory damages must consist of demonstrable financial losses such as reduced sales, reduced licensing revenue, etc.

Finally, section 504 states that a copyright owner may recover “any profits of the infringer that are attributable to the infringement and are not taken into account in computing the actual damages.”

Federal Fines

Under federal licensing laws, the fine for broadcasting a UFC event without proper licensing is $50,000. This is a criminal fine and is in addition to damages from copyright infringement lawsuits.

Lawsuits and Settlements

Damages from lawsuits and settlements can cost even more, although an attorney can negotiate for a better out-of-court settlement and, if negotiations fail, represent their client in court.

Reputational Damage

A business’s reputation could also suffer because these lawsuits are a matter of public record.

Criminal Charges

For severe violations, criminal charges could be filed, and the bar owner could face up to two years in prison. 

How an Attorney Can Help a Bar Owner Facing a UFC Broadcast Lawsuit

Legal Assessment

During a free consultation and case assessment, the attorney will review the specifics of the case and assess the validity of the lawsuit. They will also determine what legal defenses might be used to fight the lawsuit.

Negotiation and Settlement

Negotiating a settlement may be the best option in many UFC broadcast lawsuits. These lawsuits are difficult to fight, and a settlement is often the least expensive way to handle them. An attorney can negotiate with UFC or its representatives for a lower settlement, as well as explore options to minimize financial and operational impacts.

Representation in Court

If settlement negotiations are not fruitful, the attorney will represent the bar owner in court. Depending on the circumstances, a potential defense could be the business owner had, or reasonably thought they had, a commercial license to show the UFC event. 

Compliance and Future Prevention

An attorney can also help after the settlement or lawsuit has ended. In particular, they can advise on how to comply with broadcasting laws in the future and avoid further lawsuits. 

Steps to Take If Facing a UFC Broadcast Lawsuit

The first thing to do when served with a UFC lawsuit is contact an experienced copyright infringement attorney. It is important not to ignore the lawsuit, or a default judgment could be entered against the business owner. Consulting an attorney who specializes in intellectual property and broadcasting law is the best way to protect one’s business. 

FAQs

What constitutes unauthorized broadcasting of UFC events?

Unauthorized broadcasting of UFC events means showing UFC events without a commercial license to do so by using a residential set-top box in a public venue, streaming from pirated signals on the internet, etc.

How can I legally show UFC events in my bar?

You can legally show UFC events in your bar by getting a commercial license to do so. If you have a commercial set-top box, you can order the UFC fights. The cost is based on the size of the venue.

What are the typical penalties for unauthorized UFC broadcasts?

In addition to damages or a settlement, there are potential criminal penalties under federal law. This can include a fine of up to $50,000 and a jail term of up to two years.

Can I negotiate a settlement without going to court?

Yes. In fact, this is preferred unless you have a strong defense against the lawsuit. It is best to hire an attorney to help negotiate a settlement.

How long does the legal process typically take?

If a settlement is reached, the legal process doesn’t take long. However, if you decide to fight the lawsuit, the fight could take years.

What defenses are available against a UFC broadcast lawsuit?

There are not many defenses available against a UFC broadcast lawsuit. One may be able to show that you had or thought you had a commercial license to show the UFC events.

How can I ensure compliance with broadcasting regulations in the future?

To ensure compliance with broadcasting regulations in the future, be certain that you have commercial licensing to show UFC events. Commercial pay-per-view accounts must be used to broadcast UFC events.

What should I do if I receive a cease-and-desist letter from UFC?

If you receive a cease and desist letter from UFC, stop broadcasting UFC events until you have spoken with an attorney. The attorney can help you ensure that you are showing the events legally in the future to avoid a lawsuit.

Can I be criminally charged for unauthorized broadcasting?

Yes, you can be criminally charged for unauthorized broadcasting. The penalty is up to two years in jail and/or a fine of up to $50,000.

Contact Rosenblum Law for a free consultation

As you can see, it is extremely important to legally comply in broadcasting UFC events. If you are not sure you are legally broadcasting UFC events, contact an attorney for assistance. 

If you are already facing a UFC broadcast lawsuit, contact Rosenblum Law for guidance and legal representation. Rosenblum attorneys are experienced in intellectual property and broadcasting law and can easily navigate this issue for you. Contact us today for a free consultation and case evaluation.

Several people watching TV in a bar.
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