## Facts

- Several record companies alleged they owned or exclusively licensed copyrights in certain sound recordings.
- The complaint alleged Bertha Lacey, without authorization, used an online media distribution system to download copyrighted recordings, distribute them, and/or make them available for distribution to others.
- Plaintiffs identified eight specific copyrighted sound recordings as infringed.
- Lacey was served by leaving the summons and complaint at her dwelling and delivering them to her son at that address.
- Lacey did not answer or appear; the Clerk entered default after her failure to plead or otherwise defend.
- Plaintiffs moved for default judgment seeking statutory damages, a permanent injunction (including destruction of unauthorized copies), and costs.

## Issues

1. Whether default judgment was appropriate when the defendant was properly served but failed to appear or defend, despite the preference for merits determinations.
2. Whether the well-pleaded, admitted allegations established copyright infringement liability.
3. What relief was legally supported on default, including statutory damages, permanent injunctive relief, and costs.

## Decision

- The court granted plaintiffs’ motion for default judgment.
- The court held service was proper and the defendant’s nonappearance warranted default judgment.
- The court concluded the admitted allegations were sufficient to establish copyright infringement as to eight recordings.
- The court awarded statutory damages totaling $6,000 ($750 per infringed work).
- The court entered a permanent injunction barring further infringement and requiring destruction of unauthorized copies.
- The court awarded $420 in costs.

## Legal Principles

- Upon default, a defendant is deemed to admit well-pleaded factual allegations, but the court must still determine whether those facts state a claim and support the requested relief.
- Default judgment may be entered when a properly served defendant fails to plead or otherwise defend, notwithstanding a general preference for resolving cases on the merits.
- Statutory damages for copyright infringement may be awarded per infringed work under 17 U.S.C. § 504(c); the court may award the statutory minimum on default.
- Courts may grant permanent injunctive relief and order destruction of unauthorized copies in copyright cases under 17 U.S.C. §§ 502–503 when the record supports a likelihood of continued infringement.

## Conclusion

The court entered default judgment against an individual accused of unauthorized online sharing of eight copyrighted sound recordings, awarding minimum statutory damages, issuing a permanent injunction with a destruction requirement, and taxing costs after the defendant failed to respond despite proper service.


Virgin Recs. Am., Inc. v. Lacey, 510 F. Supp. 2d 588 (S.D. Ala. 2007)