What you need to know about Software Piracy and Copyrights

The Copyright Act of 1976 gives the United States some of the strongest anti-piracy legislation in the world. It sets forth both criminal and civil penalties for the sale or use of pirated and counterfeit designs. Copyright owners have the right to sue civilly in federal court against the copyright violators and to cooperate with the government agencies who file criminal actions against such violators. For more information on infringement liability Visit: 17 USC 501 or the U.S. Copyright office website at www.copyright.gov/title17/92chap5.html
Under the criminal guidelines of the Copyright Act, a first offense of copyright infringement is a felony. In addition, the federal No Electronic Theft Act (NET Act) provides for criminal prosecution of individuals who engage in copyright infringement, even where the individual derives no monetary profit or commercial benefit from the infringement. Such behavior can result in up to three years in prison and/or up to $250,000 in fines. The NET Act also amended the definition of "commercial advantage or private financial gain" to include receiving or expecting to receive anything of value, including the receipt of the copyrighted works. For more information on criminal prosecution, visit:
www.usdoj.gov/criminal/cybercrime/netsum.htm

Copying embroidery software and designs is a copyright violation. Copying software without authorization from the manufacturer or artist is almost always illegal. This includes duplicating software to sell, to share with friends or to distribute free over the internet.

Generally, when you purchase a disk, CD or other medium, you are buying a license to load the software onto a single computer or embroidery machine. It is important to understand that all you own is the physical disk itself, not the software. You may also make one copy for archival purposes. Some licenses allow you to load the software onto another machine if it is a machine only you will use.

Other licenses require you to purchase a multi-user license. Check your license agreement or the software manufacturer before you use multiple machines. "Harmless" duplication ultimately harms you. Because software is so easy to copy, many people don't realize the severity and illegality of their actions. Ignorance of the law is no defense. Copying software without permission is the same as stealing a product off a store shelf.

Why is this important to you? There are several reasons:

To compensate for losses caused by piracy, manufacturers and artists must ultimately increase prices.

The risk of system crashes and viruses increases with the use of illegally duplicated and distributed software.

The value of a product is diminished and new innovations are slowed for fear of illegal duplication.
By purchasing a product legally, you benefit by receiving documentation, customer support and information about product updates. You also help keep your computer virus free, keep prices down and contribute to the development of new software products. Support your embroidery industry by only buying products legally.

Legal uses of embroidery designs:

When you purchase embroidery design software, you are authorized to embroider any garment that includes the sewn out design. Some generic designs may include restrictions on selling the garment. If the design is licensed (Sesame Street®, Disney®, Precious Moments®, etc.), you may not sell the garment with the sewn out design at any time. Although many software design packages enable you to modify the size and color of designs, you are not authorized to distribute the modified designs as computer files to others.

The consequences of copyright violations

The penalties for violating the Copyright Act can be severe:

You may have to pay the copyright owner for any losses it suffers, plus any profits you may have realized from the copying. Or, the copyright owner can choose statutory damages of up to $150,000 for each work infringed.

Unauthorized duplication of software is considered a Federal crime and penalties may include fines up to $250,000 and/or jail terms up to six years. The copyright law applies equally for all software products whether it's a $25 design, or a $1,000 project management program. Violators are also subject to expensive court costs and seizure or any property responsible for the piracy. In the long run, that simple "nobody will notice" excuse does not pay.
Have copyright information or questions? You are encouraged to check the licensing agreement that comes with the software, call the software manufacturer, or visit the manufacturer's website to gain specific information on the copyright rules that pertain to your software.



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