Sewing Pattern Memory Cards Not Registered as Computer Programs Cannot Support Infringement Claim Under Computer Software Rental Amendments Act

Case: Action Tapes, Inc. v. Mattson (08/30/06 - No. 05-3309, 05-3520)


The One Sentence Summary: Rental of memory cards that drive computerized sewing machines to stitch designs did not violate Computer Software Rental Amendments Act of 1990 when the plaintiff had not registered the contents of the cards as a computer program with the Copyright Office.


Eighth Circuit Holdings:

• The purchaser of a computer program is usually allowed to sell the computer program later without permission of the copyright holder due to the first sale doctrine. The Computer Software Rental Amendments Act of 1990 provided an exception to the first sale doctrine by requiring that rental of a computer program be done only with permission of the copyright owner.
• Plaintiff had failed to show that its memory cards contained a “computer program” because it had failed to register the memory cards as computer programs. The registration requirements include deposit of source code, and plaintiff had not done so.
• Plaintiff’s visual arts registrations for the designs did not allow application of the Computer Software Rental Amendments Act of 1990.
• The district court did not err in denying attorneys’ fees to plaintiff because the case raised important and novel questions.