08/16/07

Knowledge Networks pays $300,000 settlement with software trade group in piracy case

By DIBYA SARKAR
AP Business Writer

WASHINGTON (AP) -- A market research firm agreed to pay $300,000 to settle claims that it illegally used and distributed copyright news articles, a trade group that brought the claim said Thursday.

The Software & Information Industry Association said San Francisco-based Knowledge Networks Inc. distributed within the company "press packets" that sometimes included -- without authorization or license -- copyright articles owned by The Associated Press, United Press International and trade publisher Reed Elsevier PLC.

The trade group learned of the copyright infringement through a confidential tip.
"Knowledge Networks is a reputable company that made a very costly mistake," Scott Bain, the group's attorney, said in a statement.

Bain said he hoped the case would alert other users of copyright material -- including newspapers and magazines, newsletters, newswire services and financial reports -- that they should get the proper licenses, "even for internal copying and distribution."

A Knowledge Networks attorney said in a statement that the company distributed copies of the copyright articles in the "good faith belief that it was lawful to do so."

"We regret that those violations may have occurred and we are pleased that this matter has now been resolved," said the company's attorney, who was not identified in the trade group's news release.