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DRM The Courts

Unpaid Taxes Could Destroy Porn Studio Accused of Copyright Trolling (arstechnica.com) 22

Slashdot has covered the legal hijinx of Malibu Media over the years. Now Ars Technica reports that the studio could be destroyed by unpaid taxes: Over the past decade, Malibu Media has emerged as a prominent so-called "copyright troll," suing thousands of "John Does" for allegedly torrenting adult content hosted on the porn studio's website, "X-Art." Whether defendants were guilty or not didn't seem to matter to Malibu, critics claimed, as much as winning as many settlements as possible. As courts became more familiar with Malibu, however, some judges grew suspicious of the studio's litigiousness. As early as 2012, a California judge described these lawsuits as "essentially an extortion scheme," and by 2013, a Wisconsin judge ordered sanctions, agreeing with critics who said that Malibu's tactics were designed to "harass and intimidate" defendants into paying Malibu thousands in settlements.

By 2016, Malibu started losing footing in this arena — and even began fighting with its own lawyer. At that point, file-sharing lawsuits became less commonplace, with critics noting a significant reduction in Malibu's lawsuits over the next few years. Now, TorrentFreak reports that Malibu's litigation machine appears to finally be running out of steam — with its corporate status suspended in California sometime between mid-2020 and early 2021 after failing to pay taxes. Last month, a Texas court said that Malibu has until January 20 to pay what's owed in back taxes and get its corporate status reinstated. If that doesn't happen over the next few weeks, one of Malibu's last lawsuits on the books will be dismissed, potentially marking the end of Malibu's long run of alleged copyright trolling.

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Unpaid Taxes Could Destroy Porn Studio Accused of Copyright Trolling

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  • He owes 50 millions to the tax-man as well.
    Perhaps they could give him Wesley Snipes' old cell.

    • No one is being thrown in prison here, they are having things they did as a corporation dismissed.
      If anything force Kanje to call himself Kanje again instead of that stupid name he chose. He owes taxes and therefore shouldn't benefit from government services like the ability to change his name. :-)

    • He owes 50 millions to the tax-man as well. Perhaps they could give him Wesley Snipes' old cell.

      I would not want to buy any of this property at the Sheriff's auction.

      You don't know where any of this property has been in it's lifetime.

  • by Burdell ( 228580 ) on Saturday January 07, 2023 @12:54PM (#63187496)

    Ultimate version of the old saying "what comes around, goes around".

  • We enforce laws very weakly and primarily target enforcement against the lower classes. So when it comes time when we actually need to do something about a genuine menace to society we often have to turn to tax law which has a separate enforcement structure from my usual police state. Just like the only way we could get Al Capone more times than not the only way we can get rid of someone causing genuine harm to our entire society at Large is to do an end run around the laws they're actually breaking.

    Don
    • Just like the only way we could get Al Capone more times than not the only way we can get rid of someone causing genuine harm to our entire society at Large is to do an end run around the laws they're actually breaking.

      Tax cheats are "actually breaking" the tax laws they are punished for, it's not an "end run" around any other laws they may be breaking.

      I'm curious about the actual taxes you pay to fund the public roads and military you accuse imaginary tax cheats of benefiting from, since nearly one-half of all tax-filers either pay no net taxes or collect refunds in excess of any taxes withheld from their paychecks.

  • People still use or go to that site? I remember when it first came out, and how artificial it seemed even then. Garbage.

  • I hate X-Art and everything that's washed-out pretentiously professing to be artsy when the problem is they obviously don't know how to use RAW format HD video cameras.
    • LOL. You know what makes your comment hilarious? The only way they would achieve that washed out look is if they did know how to use their cameras properly. It's an art style. Don't like it, don't use it. But the reality is true ineptitude wouldn't generate that style.

      Though this is a first. I've never seen a Slashdotter get angry at a porn studio's style to the point of being derogatory to them.

      • LOL You know what makes your comment hilarious? You have no idea what you're talking about, and you're completely wrong. Yes, there was an art style. Prior to 2010, there certainly were films with a washed out look or sepia feel, such as Oh, Brother Where Art Thou?, 2001. But when the new digital RAW format 4K professional video camera was released in 2007, followed by the 6K and 8K versions, no one could figure out why the footage was washed out. That's just the nature of RAW, and post-production didn't un

  • Two words y'all: ban porn. You can thank me later.
    • by PPH ( 736903 )

      Ban what kinds of porn? This could have a devastating effect on the IRS. As many people achieve sexual arousal from Findom [urbandictionary.com]. There is nothing that would make them more erect than being forced to write the government a check once (or more) a year.

  • by marcle ( 1575627 ) on Saturday January 07, 2023 @03:34PM (#63187806)

    Their shtick was to upload their own porn films to torrent sites, figure out who downloaded them, and then sue that person (or, more accurately, demand a settlement). They traded on the fact that their victims usually did not want their porn habits to become public. A really scummy scam, and they thoroughly deserve everything that's happening to them.

  • The principles involved need to suffer physical pain for the abuse they've dished out to innocent victims.

    Punishment needs to act as a deterrent and nothing less than corporal punishment will suffice. Without it, these pieces of shit will repeat their crimes.

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