Exhaustion of distribution right: first sale or authorised transfer exhausts distribution and can include software downloads deemed sales. The Doctrine of First Sale/Principle of Exhaustion limits the copyright holder's distribution right by exhausting that right upon the first sale or authorised transfer of a particular copy or object incorporating the work. Exhaustion applies to tangible objects placed on the market with the rightholder's consent, but not where the object is later altered into a new reproduction. For computer programs and intangible copies, exhaustion occurs when the arrangement effectively transfers ownership-such as permanent-use downloads or paid licences conferring ownership-or when copies are supplied on material media or updated under maintenance, preventing contractual labels from defeating exhaustion.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Exhaustion of distribution right: first sale or authorised transfer exhausts distribution and can include software downloads deemed sales.
The Doctrine of First Sale/Principle of Exhaustion limits the copyright holder's distribution right by exhausting that right upon the first sale or authorised transfer of a particular copy or object incorporating the work. Exhaustion applies to tangible objects placed on the market with the rightholder's consent, but not where the object is later altered into a new reproduction. For computer programs and intangible copies, exhaustion occurs when the arrangement effectively transfers ownership-such as permanent-use downloads or paid licences conferring ownership-or when copies are supplied on material media or updated under maintenance, preventing contractual labels from defeating exhaustion.
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