Case law: businesses may be liable for unauthorised use of images by their web agency - 09/12/2009
Removals firm, A J Coles (Coles), used copyright images contracted by the artist to Getty Images (Getty) on their website without a licence. Getty use an image tracking service to detect unlawful use of their images on other websites and found the photograph on Cole's website in late 2007.
Getty notified Coles of the unlawful use if the image of "Mother with daughter" and Coles removed the photograph from its website. Getty then issued proceedings, claiming £2000 in royalty payments from Coles for the use of the image up to the date of removal as well as additional sums for "insidious damages", arguing that the misuse hampered it from exploiting and obtaining remuneration for the use of the images.
The case has now been settled and Coles has admitted that it infringed copyright by using the image and has agreed to pay damages of £1953.51 plus Getty's legal costs. This is more than 3 times the cost of buying a 5 year licence to use the photograph.
Recommendation
Businesses should make sure that contracts with web agencies and others who might use images to carry out work for the business prohibit unauthorised use of images, and give an indemnity for costs and losses if they do.
For more information, help or advice please contact Gill Hunter on 0191 211 7944 or email advice@muckle-llp.com.
