First Sale Doctrine Upheld in Ninth Circuit Court -- A Win for eBay Buyers and Sellers

January 5, 2011

In a victory for eBay buyers and sellers, the U.S. Court of Appeals for the Ninth Circuit affirmed the First Sale Doctrine this week in the case of Augusto versus Universal Music Group.  After a series of previous setbacks for the First Sale Doctrine, Augusto defeated Universal Music Group by holding that the distribution of promotional CDs constituted a sale or “transfer or title”(regardless of the language printed on the CD stating “not for resale”). Click here to read the Ninth Circuit Court\'s order.