JAPAN Trends and Developments Contributed by: Kensaku Yamamoto, Laarni Vinas, Junko Asai and Kosuke Masuda, SHUSAKU
jointly filed a lawsuit seeking JPY1.9 billion in compensation for the damages caused by Man- ga-Mura’s illegal distribution of their copyrighted works. The court ruled that the unauthorised publication of popular manga titles such as One Piece and Kingdom had violated the publish- ers’ exclusive rights, including publication and distribution rights. The amount awarded reflects the publishers’ estimated losses based on the viewership and sales of the pirated works. Although Hoshino appealed the ruling, his appeal was dismissed in July 2024, solidifying the dis- trict court’s decision. This case marked the larg- est damages award for a copyright infringement case in Japan, underscoring the gravity of the piracy problem. Currently, other pirate sites are being operated outside Japan, providing illegally translated versions of manga in other languages, causing an estimated loss of JPY500 million per year to major legitimate publishers. Derivative litigation: advertising and copyright infringement An author filed a derivative litigation against the advertising companies on the pirate website. In December 2021, the Tokyo District Court ruled that two advertising agencies, MM Lab and Global, were liable for aiding copyright infringe- ment by placing adverts on the pirate site. The court found that Manga-Mura’s primary revenue came from ad fees, and the companies had a duty to avoid assisting the site’s operations. Thus, they were ordered to pay JPY11 million in damages to the author. This decision was upheld by the Intellectual Property High Court in June 2022. The court reaffirmed that the agencies’ actions helped Manga-Mura operate by providing essential funds, thereby aiding copyright infringement. It concluded that the agencies should have recog-
nised the site’s illegal nature by May 2017, given the widespread recognition of the issue within the advertising industry. This case is significant as it broadens the scope of legal responsibility beyond direct copyright infringers to those who financially support ille- gal activities through advertisements, setting a critical precedent in copyright law enforcement. The ongoing piracy challenge Despite the closure of Manga-Mura, piracy remains a significant threat to the manga and anime industries, especially as many piracy sites operate outside Japan. While domestic piracy has been curtailed, international platforms, especially those based in countries with weaker copyright enforcement, continue to thrive. These platforms provide manga in various languages, making it difficult for Japanese authorities to enforce intellectual property laws abroad. Organisations like the Content Overseas Dis- tribution Association (CODA) have been work- ing with international partners to combat these piracy sites. However, the scope of the prob- lem remains vast. In 2021, it was estimated that illegal manga sites caused over JPY1 trillion in damages, a figure that dwarfs the legitimate manga market, which was valued at JPY675.9 billion that same year. The broader implications of the case The Manga-Mura lawsuit is significant for sev- eral reasons. First, it sets a legal precedent for the enforcement of copyright laws in the digital age, particularly for digital content like manga. Secondly, the hefty damages awarded reflect the increasing recognition of intellectual prop- erty rights in Japan. Thirdly, the case highlights the global nature of the piracy problem. Even
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