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Chapterhouse Studios Wins over GW. HA!

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Chapterhouse Studios Wins over GW. HA!

Postby hunter101 » Tue Jun 25, 2013 8:03 pm

A press release from Chapterhouse Studios' Law Firm tells the tale pretty well. Games Workshop got spanked for its overreach. Chapterhouse has done the after market parts business a huge favor.


Winston & Strawn Defeats Hundreds of Trademark and Copyright Infringement Claims on Behalf of Pro Bono Client

Cutting-Edge Decision Protects Industries from Litigation Blocking Add-On Products

CHICAGO, IL – In a classic David-versus-Goliath battle, Winston & Strawn LLP represented Chapterhouse Studios LLC on a pro bono basis in a cutting-edge federal trademark and copyright dispute in the Northern District of Illinois (Games Workshop Limited v. Chapterhouse Studios LLC 1:10-cv-8103). The verdict of this jury trial, held in June 2013 before Judge Matthew Kennelly, confirms that copyright and trademark law should not be used to block add-on products. Winston & Strawn has litigated the case since 2010, and co-counsel law firm Marshall Gerstein joined the matter in 2012.

“This was a classic case of trademark and copyright bullying by a much bigger Plaintiff,” said Jennifer Golinveaux, partner in Winston & Strawn’s San Francisco office. “I am proud of the investment made by the firm, and the many attorneys who devoted themselves to making sure the intellectual property laws were not misused to squash a much smaller player.”

Games Workshop manufactures Warhammer 40,000, a tabletop battle game that works with armies of miniature figures and vehicles, while Chapterhouse sells customized add-on parts for the figures and vehicles used in the game. The United Kingdom-based Games Workshop, a company with $200 million per year in revenues, alleged more than 200 claims of copyright and trademark infringement against Chapterhouse, a small business run out of an individual’s garage in Texas. Games Workshop argued that it was seeking a complete shutdown of Chapterhouse’s entire business and although Games Workshop initially sought over $400,000 in damages, by the end of the two-week jury trial, the plaintiff dropped its damages demand to only $25,000.

The jury deliberated for more than two days and found that Chapterhouse could continue to make and sell over a hundred products without fear of copyright infringement. The jury also confirmed that Chapterhouse could continue to use most of Games Workshop’s asserted trademarks when selling compatible parts, including all nine of Games Workshop’s registered trademarks. Together with the summary judgment wins, the jury’s verdict confirmed Chapterhouse can continue to make and sell 111 products that Games Workshop hoped to block using copyright laws, and can continue to use 104 words and phrases that Games Workshop said were trademarked.

Imron Aly, lead trial attorney and partner in Winston & Strawn’s Chicago office added, “It was a pleasure to represent a small entrepreneur like Nicholas Villacci of Chapterhouse, who has a passion for his work and wanted to see his business survive.”

I for one am so happy that Chapterhouse did well in this case. Games Workshop is a bully and deserved to get slapped.

Not that I expect them to change their behavior. At least now it is pretty clear that the bitz business is legal and some guidelines are there to help.
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Re: Chapterhouse Studios Wins over GW. HA!

Postby mattjgilbert » Tue Jun 25, 2013 8:30 pm

I don't think they won everything and were still ordered to pay $25000.

I'm not entirely sure what the ramifications of this will be, if anything.
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Re: Chapterhouse Studios Wins over GW. HA!

Postby hunter101 » Tue Jun 25, 2013 8:51 pm

they have opened up a Kick starter thingy. For some nice looking Goodies.
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Re: Chapterhouse Studios Wins over GW. HA!

Postby BANE » Tue Jun 25, 2013 9:05 pm

Seems like GW is 2012-2013s Vanilla Ice!!!!
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Re: Chapterhouse Studios Wins over GW. HA!

Postby killmaimburn » Wed Jun 26, 2013 11:21 am

hunter101 wrote:Winston & Strawn Defeats Hundreds of Trademark and Copyright Infringement Claims on Behalf of Pro Bono Client
.
I lol at the BS PR involved in that statement.. the court numbers as actually posted a few weeks back.
40k-news-rumours/geedubs-vs-chapterhouse-t6806.html
Title above is "we undersold our profession and exaggerate".. meh, as in other threads.. woo a form of bitz trade is legit well done chapter house for being the guy who stood up and got shot so others might find out what they can and can't do.
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Re: Chapterhouse Studios Wins over GW. HA!

Postby Baragash » Wed Jun 26, 2013 12:25 pm

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Re: Chapterhouse Studios Wins over GW. HA!

Postby BANE » Wed Jun 26, 2013 5:15 pm

Read this http://ia700405.us.archive.org/18/items ... .163.1.pdf if only for a laugh not to comment on who is right and who is wrong, I am already PMSL by line 21!
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Re: Chapterhouse Studios Wins over GW. HA!

Postby killmaimburn » Wed Jun 26, 2013 5:28 pm

nice links, i stand mildly corrected.. although great knights of columbus all people involved in banes link should be disbarred for offences to general usage of english language.. chapter houses lawyer logic failure and the clerk almost writes "[judge laughs in face of lawyer]" 3 times in first 10 pages.
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Re: Chapterhouse Studios Wins over GW. HA!

Postby BANE » Wed Jun 26, 2013 6:13 pm

This is a quote from CHS defence as to the source of their defence:

Regarding the works Chapterhouse creates, Chapterhouse draws inspiration in varying
degrees from many different disciplines and sources, including, but not limited to mythology,
military history, fiction, film, videogames, physics, biology, gaming, and many other disciplines
and areas of study and cultural expression. Chapterhouse notes that the Internet provides a
wealth of informational and inspirational material for all creative endeavors, and that
Chapterhouse performs Internet and other research when creating its products.
Specifically, Chapterhouse responds that the Dungeons and Dragons hammer weapons
provided inspiration for Chapterhouse’s war hammers. The designs for the Celestial Lions were
inspired by photographs submitted by a customer, one of a public sculpture with the head of a
lion and the body of a fish, and the other of a lion in silhouette. Chapterhouse’s products that
look like circular-saw blades were based on actual circular saw blades. The snake on some of the
Chapterhouse products was based on an image of classical Greek art. The Star Fox logo on some
of Chapterhouse’s products is based on a fan-created design. The lashwhips, boneswords, and the
mycetic spore took inspiration from the art of HR Giger, in particular the art direction for the
Alien movies. Chapterhouse consulted the tyranid codex for the Tervigon Conversion Kit; the
sculptor on the project also consulted Games Workshop’s Carnifex model while developing the
Tervigon Conversion Kit, to ensure proper fit and alignment of the kit with the Carnifex model.
The dragon/salamander images Chapterhouse used came from Google Images searches on words
like “dragon.” Chapterhouse asked a concept artist to draw sketches of its wolf’s head icon, and
to adorn the icon with Nordic-style runes. The designs for the scarab and starburst shoulder pads
were inspired by Egyptian art. Chapterhouse’s mantis products began as a commission from a
customer – the customer provided a photograph of a particular species of mantis, along with line
drawings based on tracings from the photograph.
To the extent Chapterhouse is unaware of third-party works its independent contractors
may have relied upon in creating the products at issue, it is unable to identify such third-party
works or determine whether such third-party works are in its possession, custody, or control.

Make your own mind up who you think is in the wrong!
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Re: Chapterhouse Studios Wins over GW. HA!

Postby hunter101 » Wed Jun 26, 2013 7:30 pm

:deadhorse :new_blowingup
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Re: Chapterhouse Studios Wins over GW. HA!

Postby BANE » Wed Jun 26, 2013 8:13 pm

'Beating a dead horse' ????? Does the producer of 'Flogging a dead horse' have a claim here?!?
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Re: Chapterhouse Studios Wins over GW. HA!

Postby Baragash » Wed Jun 26, 2013 8:23 pm

BANE wrote:Make your own mind up who you think is in the wrong!


I'm unclear on what basis from that you're trying to suggest CHS is in the wrong?

Interestingly on page 37 of kmb's link, GW's equivalent response to the question was "we don't have to show you nothing, we made it all up ourselves and we own it. Sorry, proof what?". :wink:
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Re: Chapterhouse Studios Wins over GW. HA!

Postby BANE » Wed Jun 26, 2013 8:26 pm

I didn't suggest CHS was in the wrong, I just provided some factual evidence and let people make there own minds up.

Also I presume you mean page 37 of my link as KMB is one 1 page I think. To deal with that, I believe that when you read the full case the Initial point from GWs legal team (in a previous discovery meeting) is that CHS displays (After the initial C&D but removed at the advice of there legal reps after the motion to sue was issued) a statement at the bottom of there website that GW owns all rights to Trademarks and Copyrights used by CHS, no challenge intended. This is ground for the GW legal to prove that the Request or GW to provide
"all documents concerning
instructions, manuals, procedures, how-to guides, FAQs, style
sheets, specifications or other guidelines or advice given to
any artist, designer, writer, model, painter, sculptor, or
other author or creator for use in creating works related to
Warhammer 40,000."
Is frivolous, overbroad and a burden to GW which is unnessecery based on the fact that CHS already acknowledges that GW owns them rights.

2ndLY when the judge discusses this with the GW team and rules that it will only apply to the CHS accused items, GWs team is then happy to provide.

Ask yourself this, if you claim that 97 products from a 3rd party breach your copyright and ask for them to produce evidence that they have been created without copying your 97 products do you think its reasonable for that 3rd party to ask for evidence of creative design of EVERY product you have ever produced over 30 years? The 97 in question yes, fair enough (I copied these from you?! prove it) but everything? (show me everything you have ever made so I can see what else I can copy that you have no defence for).
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Re: Chapterhouse Studios Wins over GW. HA!

Postby Baragash » Thu Jun 27, 2013 11:18 am

Maddermax wrote:Found this bit interesting:

Although Chapterhouse agrees that costs may be awarded under Rule 54(d) to the prevailing party, Chapterhouse disputes that Games Workshop is the “prevailing party” in this case or that
Games Workshop obtained more “substantial relief” than Chapterhouse. Games Workshop brought 160 copyright claims against Chapterhouse and alleged trademark infringement of 125 alleged
trademarks. After extensive litigation, Chapterhouse had prevailed on many of Games Workshop’s claims even before trial began. Under Rule 54(d), “[w]here there is a dismissal of an action, even
where such dismissal is voluntary and without prejudice, the defendant is the prevailing party.” First Commodity Traders, Inc. v. Heinold Comoddities, Inc., 766 F.2d 1007, 1015 (7th Cir. 1985)
quoting 6 J. Moore, W. Taggart & J. Wicker, Moore's Federal Practice ¶ 54.70[4] (2d ed. 1985). At trial, Chapterhouse won on the majority of claims. And although the jury awarded $25,000 to
Games Workshop, that was a tiny fraction of the hundreds of thousands of dollars Games Workshop had initially sought. Far from showing it prevailed, the fact that Games Workshop was forced to
make a demand for that small amount after years of litigation confirms it did not prevail. If it were otherwise, any plaintiff could simply change its damages request to an arbitrary small amount at
trial just to call themselves a prevailing party.



So, basically CHS is saying that because it won on most of the claims, it is the prevailling party, while GW is arguing that because it won on some claims it is the prevailing party.
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Re: Chapterhouse Studios Wins over GW. HA!

Postby BANE » Thu Jun 27, 2013 11:57 am

It makes no difference anyway, the Judge/Jury made judgement that both sides would be responsible for there own costs. This is bad for GW as they where paying their legal costs while CHS was getting theirs free. GW probably dropped the value of the claim in the end game to try and prove they were the prevailing party as the cost involved will be far greater than $25000.

Lets be honest here the only winners in this case were the 2 law firms, CHSs firm has fought a David Vs. Goliath battle free of charge and reaped loads of +ive PR while GWs firm have been paid vast sums of money for what appears to be a very badly run litigation battle.
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