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- NOTICE: This opinion is subject to formal revision before publication in the
- preliminary print of the United States Reports. Readers are requested to
- notify the Reporter of Decisions, Supreme Court of the United States, Wash-
- ington, D.C. 20543, of any typographical or other formal errors, in order that
- corrections may be made before the preliminary print goes to press.
- SUPREME COURT OF THE UNITED STATES
- --------
- No. 92-1750
- --------
- JOHN C. FOGERTY, PETITIONER v.
- FANTASY, INC.
- on writ of certiorari to the united states court
- of appeals for the ninth circuit
- [March 1, 1994]
-
- Chief Justice Rehnquist delivered the opinion of the
- Court.
- The Copyright Act of 1976, 17 U. S. C. 505, provides
- in relevant part that in any copyright infringement
- action -the court may . . . award a reasonable attorney's
- fee to the prevailing party as part of the costs.- The
- question presented in this case is what standards should
- inform a court's decision to award attorney's fees to a
- prevailing defendant in a copyright infringement ac-
- tion-a question that has produced conflicting views in
- the Courts of Appeals.
- Petitioner John Fogerty is a successful musician, who,
- in the late 1960's, was the lead singer and songwriter of
- a popular music group known as -Creedence Clearwater
- Revival.- In 1970, he wrote a song entitled -Run
- Through the Jungle- and sold the exclusive publishing
- rights to predecessors-in-interest of respondent Fantasy,
- Inc., who later obtained the copyright by assignment.
- The music group disbanded in 1972 and Fogerty subse-
- quently published under another recording label. In
- 1985, he published and registered a copyright to a song
- entitled -The Old Man Down the Road,- which was
- released on an album distributed by Warner Brothers
- Records, Inc. Respondent Fantasy, Inc., sued Fogerty,
- Warner Brothers, and affiliated companies, in District
- Court, alleging that -The Old Man Down the Road- was
- merely -Run Through the Jungle- with new words.
- The copyright infringement claim went to trial and a
- jury returned a verdict in favor of Fogerty.
- After his successful defense of the action, Fogerty
- moved for reasonable attorney's fees pursuant to 17
- U. S. C. 505. The District Court denied the motion,
- finding that Fantasy's infringement suit was not brought
- frivolously or in bad faith as required by circuit prece-
- dent for an award of attorney's fees to a successful
- defendant. The Court of Appeals affirmed, 984 F. 2d
- 1524 (CA9 1993), and declined to abandon the existing
- Ninth Circuit standard for awarding attorney's fees
- which treats successful plaintiffs and successful defend-
- ants differently. Under that standard, commonly termed
- the -dual- standard, prevailing plaintiffs are generally
- awarded attorney's fees as a matter of course, while
- prevailing defendants must show that the original suit
- was frivolous or brought in bad faith. In contrast,
- some courts of appeals follow the so-called -evenhanded-
- approach in which no distinction is made between
- prevailing plaintiffs and prevailing defendants. The
- Court of Appeals for the Third Circuit, for example, has
- ruled that -we do not require bad faith, nor do we
- mandate an allowance of fees as a concomitant of
- prevailing in every case, but we do favor an evenhanded
- approach.- Lieb v. Topstone Industries, Inc., 788 F. 2d
- 151, 156 (CA3 1986).
- We granted certiorari, 509 U. S. ___ (1993), to address
- an important area of federal law and to resolve the
- conflict between the Ninth Circuit's -dual- standard for
- awarding attorney's fees under 505, and the so-called
- -evenhanded- approach exemplified by the Third Cir-
- cuit. We reverse.
- Respondent advances three arguments in support of
- the dual standard followed by the Court of Appeals for
- the Ninth Circuit in this case. First, it contends that
- the language of 505, when read in the light of our
- decisions construing similar fee-shifting language,
- supports the rule. Second, it asserts that treating
- prevailing plaintiffs and defendants differently comports
- with the -objectives- and -equitable considerations-
- underlying the Copyright Act as a whole. Finally,
- respondent contends that the legislative history of 505
- indicates that Congress ratified the dual standard which
- it claims was -uniformly- followed by the lower courts
- under identical language in the 1909 Copyright Act. We
- address each of these arguments in turn.
- The statutory language--the court may also award a
- reasonable attorney's fee to the prevailing party as part
- of the costs--gives no hint that successful plaintiffs are
- to be treated differently than successful defendants. But
- respondent contends that our decision in Christiansburg
- Garment Co. v. EEOC, 434 U. S. 412 (1978), in which
- we construed virtually identical language, supports a
- differentiation in treatment between plaintiffs and
- defendants.
- Christiansburg construed the language of Title VII of
- the Civil Rights Act of 1964, which in relevant part
- provided that the court -in its discretion, may allow the
- prevailing party . . . a reasonable attorney's fee as part
- of the costs . . . .- 42 U. S. C. 2000e-5(k). We had
- earlier held, interpreting the cognate provision of Title
- II of that Act, 42 U. S. C. 2000a-3(b), that a prevailing
- plaintiff -should ordinarily recover an attorney's fee
- unless some special circumstances would render such an
- award unjust.- Newman v. Piggie Park Enterprises, Inc.,
- 390 U. S. 400, 402 (1968). This decision was based on
- what we found to be the important policy objectives of
- the Civil Rights statutes, and the intent of Congress to
- achieve such objectives through the use of plaintiffs as
- -`private attorney[s] general.'- Ibid. In Christiansburg,
- supra, we determined that the same policy consider-
- ations were not at work in the case of a prevailing civil
- rights defendant. We noted that a Title VII plaintiff,
- like a Title II plaintiff in Piggie Park, is -the chosen
- instrument of Congress to vindicate `a policy that
- Congress considered of the highest priority.'- 434 U. S.,
- at 418. We also relied on the admittedly sparse legisla-
- tive history to indicate that different standards were to
- be applied to successful plaintiffs than to successful
- defendants.
- Respondent points to our language in Flight Attend-
- ants v. Zipes, 491 U. S. 754, 758, n. 2 (1989), that -fee-
- shifting statutes' similar language is a `strong indication'
- that they are to be interpreted alike.- But here we
- think this normal indication is overborne by the factors
- relied upon in our Christiansburg opinion which are
- absent in the case of the Copyright Act. The legisla-
- tive history of 505 provides no support for treating
- prevailing plaintiffs and defendants differently with
- respect to the recovery of attorney's fees. The attorney's
- fees provision 505 of the 1976 Act was carried forward
- verbatim from the 1909 Act with very little discus-
- sion. The relevant House Report provides simply:
-
- -Under section 505 the awarding of costs and
- attorney's fees are left to the court's discretion, and
- the section also makes clear that neither costs nor
- attorney's fees can be awarded to or against `the
- United States or an officer thereof.'- H. R. Rep. No.
- 94-1476, p. 163 (1976).
-
- See also, S. Rep. No. 94-473, p. 145 (1975) (same).
- Other courts and commentators have noted the paucity
- of legislative history of 505. See, e. g., Cohen v.
- Virginia Electric & Power Co., 617 F. Supp. 619, 621
- (ED Va. 1985), aff'd on other grounds, 788 F. 2d 247
- (CA4 1986). See also Jaszi, 505 And All That-The
- Defendant's Dilemma, 55 Law & Contemp. Prob. 107,
- 107-108, and nn. 1, 2 (1992).
- The goals and objectives of the two Acts are likewise
- not completely similar. Oftentimes, in the civil rights
- context, impecunious -private attorney general- plaintiffs
- can ill afford to litigate their claims against defendants
- with more resources. Congress sought to redress this
- balance in part, and to provide incentives for the
- bringing of meritorious lawsuits, by treating successful
- plaintiffs more favorably than successful defendants in
- terms of the award of attorney's fees. The primary
- objective of the Copyright Act is to encourage the
- production of original literary, artistic, and musical
- expression for the good of the public. See, infra, at
- 9-10. In the copyright context, it has been noted that
- -[e]ntities which sue for copyright infringement as
- plaintiffs can run the gamut from corporate behemoths
- to starving artists; the same is true of prospective
- copyright infringement defendants.- Cohen, supra, at
- 622-623.
- We thus conclude that respondent's argument based on
- our fee-shifting decisions under the Civil Rights Act
- must fail.
- Respondent next argues that the policies and objec-
- tives of 505 and of the Copyright Act in general are
- best served by the -dual approach- to the award of
- attorney's fees. The most common reason advanced
- in support of the dual approach is that, by awarding
- attorney's fees to prevailing plaintiffs as a matter of
- course, it encourages litigation of meritorious claims of
- copyright infringement. See, e. g., McCulloch v. Albert
- E. Price, Inc., 823 F. 2d 316, 323 (CA9 1987) (-[b]ecause
- section 505 is intended in part to encourage the asser-
- tion of colorable copyright claims, to deter infringement,
- and to make the plaintiff whole, fees are generally
- awarded to a prevailing plaintiff-) (citations omitted);
- Diamond v. Am-Law Publishing Corp., 745 F. 2d 142,
- 148 (CA2 1984) (same). Indeed, respondent relies
- heavily on this argument. We think the argument is
- flawed because it expresses a one-sided view of the
- purposes of the Copyright Act. While it is true that one
- of the goals of the Copyright Act is to discourage
- infringement, it is by no means the only goal of that
- Act. In the first place, it is by no means always the
- case that the plaintiff in an infringement action is the
- only holder of a copyright; often times, defendants hold
- copyrights too, as exemplified in the case at hand. See,
- Lieb v. Topstone Industries, Inc., 788 F. 2d, at 155
- (noting that -in many cases the defendants are the
- [copyright] holders-).
- More importantly, the policies served by the Copyright
- Act are more complex, more measured, than simply
- maximizing the number of meritorious suits for copyright
- infringement. The Constitution grants to Congress the
- power -To promote the Progress of Science and useful
- Arts, by securing for limited Times to Authors and
- Inventors the exclusive Right to their respective Writ-
- ings and Discoveries.- U. S. Const., Art. I, 8, cl. 8.
- We have often recognized the monopoly privileges that
- Congress has authorized, while -intended to motivate the
- creative activity of authors and inventors by the provi-
- sion of a special reward,- are limited in nature and
- must ultimately serve the public good. Sony Corp. of
- America v. Universal City Studios, Inc., 464 U. S. 417,
- 429 (1984). For example, in Twentieth Century Music
- Corp. v. Aiken, 422 U. S. 151, 156 (1975), we discussed
- the policies underlying the 1909 Copyright Act as
- follows:
- -The limited scope of the copyright holder's
- statutory monopoly . . . reflects a balance of compet-
- ing claims upon the public interest: Creative work is
- to be encouraged and rewarded, but private motiva-
- tion must ultimately serve the cause of promoting
- broad public availability of literature, music, and the
- other arts. The immediate effect of our copyright
- law is to secure a fair return for an `author's'
- creative labor. But the ultimate aim is, by this
- incentive, to stimulate artistic creativity for the
- general public good.- (Footnotes omitted.)
-
- We reiterated this theme in Feist Publications, Inc. v.
- Rural Telephone Service Co., 499 U. S. 340, 349-350
- (1991), where we said:
- -The primary objective of copyright is not to reward
- the labor of authors, but `[t]o promote the Progress
- of Science and useful Arts.' To this end, copyright
- assures authors the right to their original expres-
- sion, but encourages others to build freely upon the
- ideas and information conveyed by a work.- (Cita-
- tions omitted.)
- Because copyright law ultimately serves the purpose
- of enriching the general public through access to creative
- works, it is peculiarly important that the boundaries of
- copyright law be demarcated as clearly as possible. To
- that end, defendants who seek to advance a variety of
- meritorious copyright defenses should be encouraged to
- litigate them to the same extent that plaintiffs are
- encouraged to litigate meritorious claims of infringement.
- In the case before us, the successful defense of -The Old
- Man Down the Road- increased public exposure to a
- musical work that could, as a result, lead to further
- creative pieces. Thus a successful defense of a copyright
- infringement action may further the policies of the
- Copyright Act every bit as much as a successful prosecu-
- tion of an infringement claim by the holder of a copy-
- right.
- Respondent finally urges that the legislative history
- supports the dual standard, relying on the principle of
- ratification. See, Lorillard v. Pons, 434 U. S. 575, 580
- (1978) (-Congress is presumed to be aware of an admin-
- istrative or judicial interpretation of a statute and to
- adopt that interpretation when it re-enacts a statute
- without change . . .-). Respondent surveys the great
- number of lower court cases interpreting the identical
-
- provision in the 1909 Act, 17 U. S. C. 116 (1976 ed.),
- and asserts that -it was firmly established- that prevail-
- ing defendants should be awarded attorney's fees only
- where the plaintiff's claim was frivolous or brought with
- a vexatious purpose. Brief for Respondent 40-45.
- Furthermore, respondent claims that Congress was
- aware of this construction of former 116 because of two
- Copyright Studies submitted to Congress when studying
- revisions to the Act. W. Strauss, Damage Provisions of
- the Copyright Law, Study No. 22 (hereinafter Strauss
- Study), and R. Brown, Operation of the Damage Provi-
- sions of the Copyright Law: An Exploratory Study, Study
- No. 23 (hereinafter Brown Study), Studies Prepared for
- Subcommittee on Patents, Trademarks, and Copyrights,
- 86th Cong., 2d Sess. (H. Judiciary Comm. Print 1960).
- Before turning to the import of the two studies and
- the cases decided under the 1909 Act, we summarize
- briefly the factual background of Lorillard, whence
- comes the statement upon which respondents rely.
- There the question was whether there was a right to
- jury trial in an action for lost wages under the Age
- Discrimination in Employment Act (ADEA) of 1967. In
- enacting that statute, Congress provided, inter alia, that
- the provisions of the ADEA were to be -enforced in
- accordance with the `powers, remedies and procedures'-
- of specified sections of the Fair Labor Standards Act
- (FLSA), 81 Stat. 604, 29 U. S. C. 626(b). Lorillard,
- 434 U. S., at 580. In the three decided cases which had
- treated the right to jury trial under the FLSA, each
- court had decided that there was such a right. In
- enacting the ADEA, -Congress exhibited both a detailed
- knowledge of the FLSA provisions and their judicial
- interpretation and a willingness to depart from those
- provisions regarded as undesirable or inappropriate for
- incorporation.- Id., at 581.
- Here, by contrast, the Strauss and Brown Copyright
- Studies deal only briefly with the provision for the
- award of attorney's fees. In the Strauss Study, the
- limited discussion begins with a quote to A. Weil,
- American Copyright Law 530-531 (1917) for an explana-
- tion of the -discretionary awarding of attorney's fees-:
- -`The amount of money frequently involved in copy-
- right letigation [sic], especially on the part of the
- defendant is trifling. The expense of any letigation
- [sic] is considerable. Unless, therefore, some provi-
- sion is made for financial protection to a litigant, if
- successful, it may not pay a party to defend rights,
- even if valid, a situation opposed to justice . . . . It
- is increasingly recognized that the person who forces
- another to engage counsel to vindicate, or defend, a
- right should bear the expense of such engagement
- and not his successful opponent . . . .'- Strauss
- Study 31.
- The study then notes that the pending bills contemplate
- no change in the attorney's fees provision and concludes
- with the simple statement -[t]he cases indicate that
- this discretion has been judiciously exercised by the
- courts.- Ibid. This limited discussion of attorney's
- fees surely does not constitute an endorsement of a dual
- standard.
- The Brown Study was intended as a supplement to
- the Strauss Study and, inter alia, provides information
- from a survey distributed to practitioners about the
- practical workings of the 1909 Copyright Act. It also
- does not endorse a standard of treating prevailing
- plaintiffs and defendants differently. At one point, the
- study notes that -courts do not usually make an allow-
- ance at all if an unsuccessful plaintiff's claim was not
- `synthetic, capricious or otherwise unreasonable,' or if
- the losing defendant raised real issues of fact or law.-
- Brown Study 85.
- Our review of the prior case law itself leads us to
- conclude that there was no settled -dual standard-
- interpretation of former 116 about which Congress
- could have been aware. We note initially that at least
- one reported case stated no reason in awarding
- attorney's fees to successful defendants. See, e. g.,
- Marks v. Leo Feist, Inc., 8 F. 2d 460, 461 (CA2 1925)
- (noting that the Copyright Act gave courts -absolute
- discretion,- the court awarded attorney's fees to prevail-
- ing defendant after plaintiff voluntarily dismissed suit).
- More importantly, while it appears that the majority of
- lower courts exercised their discretion in awarding
- attorney's fees to prevailing defendants based on a
- finding of frivolousness or bad faith, not all courts
- expressly described the test in those terms. In fact,
- only one pre-1976 case expressly endorsed a dual
- standard. Breffort v. I Had a Ball Co., 271 F. Supp.
- 623 (SDNY 1967). This is hardly the sort of uniform
- construction which Congress might have endorsed.
- In summary, neither of the two studies presented to
- Congress, nor the cases referred to by the studies,
- support respondent's view that there was a settled
- construction in favor of the -dual standard- under 116
- of the 1909 Copyright Act.
- We thus reject each of respondent's three arguments
- in support of the dual standard. We now turn to
- petitioner's argument that 505 was intended to adopt
- the -British Rule.- Petitioner argues that, consistent
- with the neutral language of 505, both prevailing
- plaintiffs and defendants should be awarded attorney's
- fees as a matter of course, absent exceptional circum-
- stances. For two reasons we reject this argument for
- the British Rule.
- First, just as the plain language of 505 supports
- petitioner's claim for disapproving the dual standard, it
- cuts against him in arguing for the British Rule. The
- statute says that -the court may also award a reason-
- able attorney's fee to the prevailing party as part of the
- costs.- The word -may- clearly connotes discretion. The
- automatic awarding of attorney's fees to the prevailing
- party would pretermit the exercise of that discretion.
- Second, we are mindful that Congress legislates
- against the strong background of the American Rule.
- Unlike Britain where counsel fees are regularly awarded
- to the prevailing party, it is the general rule in this
- country that unless Congress provides otherwise, parties
- are to bear their own attorney's fees. Alyeska Pipeline
- Co. v. Wilderness Society, 421 U. S. 240, 247-262 (1975)
- (tracing the origins and development of the American
- Rule); Flight Attendants v. Zipes, 491 U. S., at 758.
- While 505 is one situation in which Congress has
- modified the American Rule to allow an award of
- attorney's fees in the court's discretion, we find it
- impossible to believe that Congress, without more,
- intended to adopt the British Rule. Such a bold depar-
- ture from traditional practice would have surely drawn
- more explicit statutory language and legislative com-
- ment. Cf., Isbrandtsen Co. v. Johnson, 343 U. S. 779,
- 783 (1952) (-Statutes which invade the common law . . .
- are to be read with a presumption favoring the retention
- of long-established and familiar principles, except when
- a statutory purpose to the contrary is evident-). Not
- surprisingly, no court has held that 505 (or its prede-
- cessor statute) adopted the British Rule.
- Thus we reject both the -dual standard- adopted by
- several of the Courts of Appeals, and petitioner's claim
- that 505 enacted the British Rule for automatic
- recovery of attorney's fees by the prevailing party.
- Prevailing plaintiffs and prevailing defendants are to be
- treated alike, but attorney's fees are to be awarded to
- prevailing parties only as a matter of the court's
- discretion. -There is no precise rule or formula for
- making these determinations,- but instead equitable
- discretion should be exercised -in light of the consider-
- ations we have identified.- Hensley v. Eckerhart, 461
- U. S. 424, 436-437 (1983). Because the Court of
- Appeals erroneously held petitioner, the prevailing
- defendant, to a more stringent standard than that
- applicable to a prevailing plaintiff, its judgment is
- reversed and the case is remanded for further proceed-
- ings consistent with this opinion.
- It is so ordered.
-