14 September 2011

Righthaven On Verge Of Bankruptcy

Righthaven has come to the end of the line.

The Las Vegas copyright-trolling firm Righthaven told a Nevada federal judge Friday it might file for bankruptcy protection, or cease operations altogether.

To prevent that, Righthaven is asking U.S. District Judge Philip Pro to stay his decision requiring Righthaven pay $34,000 in legal fees to an online commenter it wrongly sued for infringement.

Judge Pro ruled in June that a Vietnam Veteran’s posting of an entire Las Vegas Review-Journal article was fair use, and ordered opposing legal fees. Righthaven is appealing the order, which it says would leave it insolvent.

Last time I checked, inability to pay wasn't a reason for a court to refrain from imposing a judgment on you. Moreover, a firm with less than $34,000 of assets is going to go under sooner or later.

The demise couldn't happen to a more deserving company.


Anonymous said...

Sounds like Righthaven felt Hill's dismissal motion might be granted, and that would have far more implications for other suits than doing this does (not to mention more potential for economic impact on them.)

Robert Half Legal

Dave Barnes said...

But, where will they find a good bankruptcy lawyer?

Wait, don't tell me. I know.