Successful defence of HanKook Ilbo Co. Ltd., sued over usage of copyrighted materials

Y.S. Chang & Associates Litigation Group successfully represented HanKook Ilbo Co. Ltd. in a lawsuit brought against the major South Korean daily newspaper seeking damages relating to exclusive publication rights under the Korean Copyright Act. 

The plaintiff in this case was a company that had entered into agency agreements with overseas companies holding copyrights. This contracted agency claimed exclusive rights to certain works within Korea and sought damages from HanKook Ilbo for alleged copyright infringement. However, the court agreed with the arguments presented by Y.S. Chang and ruled in Hankook Ilbo’s favour, confirming that the agreement between the plaintiff and the overseas companies merely granted an exclusive license, and, further, that the agency had failed to obtain the legally required procedural registrations to establish exclusive publication rights within Korea. Furthermore, the court determined that the manner in which HanKook Ilbo utilized the materials in question did not constitute an infringement of the plaintiff's rights by a third party (the defendant Hankook Ilbo), and therefore dismissed all of the plaintiff’s claims. 

The plaintiff had previously won similar lawsuits against other media companies. Nevertheless, Y.S. Chang & Associates meticulously analysed the contracts between the plaintiff and the overseas companies, as well as the manner of the defendant’s use of the works. The successful argument described how the plaintiff did not in fact qualify as an exclusive publication rights holder with the necessary legal standing to independently pursue claims seeking injunctions or damages for alleged copyright infringement. Additionally, we demonstrated that the Hankook Ilbo’s use of the materials neither violated ‘public order or good morals’ nor interfered with the plaintiff's contracts with other parties. The court fully accepted these arguments and dismissed the plaintiff’s claims. The plaintiff’s subsequent appeals to the high court and the supreme court were also dismissed. 

A current growing concern in Korea involves agencies, such as the plaintiff in this case, frequently filing lawsuits or criminal complaints against individuals or entities that use works such as fonts, news articles, photos, and similar materials without obtaining the proper permissions. These actions are often merely aimed at extracting settlement payments. 

Should you receive such a warning letter, or find yourself subject to a lawsuit brought against you or your company on the basis of similar grounds as described in this case, close examination of the agency's contract with the copyright owner, the registration status of the claimed rights, as well as the manner of any materials’ use, is essential before responding.