Newspaper vendors find copyright lawsuit unsettling

The Coalition of Hong Kong Newspaper and Magazine Merchants will meet with the Customs and the Hong Kong Bar Association to discuss the handling of suspected pirated printed materials after the court ruled in favor of newspaper vendors who were being sued by a Japanese software publisher over the sales of pirated publications.

The Court of First Instance delivered the judgment on Thursday and CAPCOM Asia Company was ordered to pay for the legal fees pertaining to the battle.

CAPCOM Asia sent letters to newspaper vendors in Tsuen Wan, Mong Kok and Sham Shui Po in March 2006, accusing them of selling two computer game publications that carried the company's logo without authorization.

The company required all the publications to be recalled and asked for a compensation of HK$17,000 from each of the vendors.

Twelve vendors refused to comply and CAPCOM Asia pleaded to the court over its request in early March this year. Four of the vendors later consented to settle the case with a compensation of HK$8,000.

The amount covered the infringement of copyright, infringement of registered trademarks and passing-off.

However, CAPCOM Asia abandoned the causes of action in terms of copyright and trademarks at the beginning of the trial.

The judge dismissed the claim as CAPCOM Asia failed to prove that its reputation is so widely recognized that any goods bearing its trade name, trademarks or copyright work are attributed by the public as its goods.

The coalition is pleased with the judgment, but found the company's action unfair to the newspaper vendors.

"It (CAPCOM Asia) only sued us but not the distributors or printers," said chairman Bacon Liu Sair-ching.

Legislator Albert Chan Wai-yip said CAPCOM Asia should not have asked for any compensation without prior dissuasion.

Liu believed some vendors who had paid the compensation that CAPCOM Asia asked for did not report to the coalition.

"We will distribute leaflets to vendors, hoping to help them get back the money if possible," he added.

However, vendors are still worried because they do not know how to distinguish between legitimate and pirated publications.

Liu said some vendors dare not sell publications which they suspect infringe copyrights, but if they do not sell the publications, they need to compensate their agents who also distribute newspapers or magazines to them.

"Whatever the agents supply us, we need to sell them or we would have to compensate the agents," Liu said.

Although the vendors have won the case, they are suffering psychologically, he added.

Publishers who come across suspected pirated materials should report to the Customs, which will look into it, Chan said.