Ccc Information Services, Inc v. Maclean Hunter Market Reports, Inc.

44 F.3d 61 (2nd Cir.1994)

Facts

Since 1911, D, or its predecessors, have published the Automobile Red Book. The Red Book is published eight times a year, in different versions for each of three regions of the United States. It sets forth the editors' projections of the values for the next six weeks of 'average' versions of most of the used cars (up to seven years old) sold in that region. The values are set forth separately for each automobile make, model number, body style, and engine type. Red Book also provides predicted value adjustments for various options and mileage in 5,000-mile increments. The values represent D’s predictions, based on a wide variety of informational sources and their professional judgment, of expected values for 'average' vehicles for the upcoming six weeks in a broad region. P provides its customers with information as to the valuation of used vehicles through a computer database. Since at least 1988, P has been systematically loading major portions of the Red Book onto its computer network and republishing Red Book information in various forms to its customers. P sells the Red Book valuations in several different forms. P provides subscribers with the average of a vehicle's Red Book valuation and its valuation in the NADA Official Used Car Guide (Bluebook), the other leading valuation book. P primarily provides its subscribers with P's independent valuation of used cars also provides customers with the Red Book/Bluebook average and the Red Book values standing alone. Since 1988 numerous Red Book customers have canceled their subscriptions, opting instead to purchase P's services. P brought this action seeking a declaratory judgment that it incurred no liability to D under the copyright laws by taking and republishing material from the Red Book. D counterclaimed alleging infringement. Both sides moved for summary judgment. Magistrate Judge Arthur H. Latimer found (1) that the Red Book employed no originality or creativity in the selection, coordination, or arrangement of data, and therefore did not constitute a protected 'original work of authorship,' 17 U.S.C.A. § 101 (West 1977); (2) that the Red Book valuations were facts, or interpretations of facts, and were, therefore, not protected by copyright; (3) that, even if the entries were not facts, copyright protection was nonetheless precluded by the doctrine of 'merger of idea and expression,' because each entry in the Red Book is an idea -- the idea of the value of the particular vehicle -- and that idea is necessarily communicated by a dollar figure; and (4) that the Red Book had been placed in the public domain by being 'incorporated into governmental regulations.' District Judge Nevas then 'approved, adopted and ratified' the Magistrate Judge's recommended ruling, and judgment. D appealed.