A federal district court in Los Angeles issued an opinion finding that CREXi deliberately copied and cropped thousands of CoStar Group photos through an elaborate offshore scheme involving Indian-based agents. The court ruled against CREXi's claims and found that CoStar had stated a prima facie case for copyright infringement.
The court concluded that CREXi and its offshore teams deliberately copied listing information and images from CoStar’s LoopNet site, taking screenshots and cropping out CoStar’s watermarks based on a company policy. Evidence included thousands of CREXi emails, internal messages, and employee testimony.
Further, the court barred CREXi from invoking safe harbor protection under the Digital Millennium Copyright Act for the infringed images and ruled against its 'unclean hands' defense. The case will now proceed to trial to determine the value of CoStar Group’s images and the damages CREXi must pay, with CoStar's General Counsel stating that CREXi engaged in mass infringement and must pay the price.
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