Funny Videos websites

[xec]

How are "funny videos and picture sites" allowed to host all those videos and pictures that are copyrighted. Almost 100% of the time, these websites do not give credit to the copyright owner. Most of the time I doubt they even know where the video came from.

How does this work. Let's say I wanted to start my own "funny video and funny pictures" site. Could I just go crazy downloading a bunch of videos, uploading them, slapping a site together and start spreading the word about it?

What type of things do these website's webmaster do to not get sued? Is a 'disclaimer' enough? Or are they allowed to host the videos as long as they do not claim they own copyrights to them?

As you can see I am very confused and un-informed about the way this type of websites operate. I would appreciate any enlightenment. Thanks to all.

I've brought this topic up in other forums, but unfortunately not much discussion was started there. I hope more people will get involved in this discussion here.

I would appreciate it if no websites are specifically mentioned. Please keep this discussion mature. Thank you all.

P.S. How much is the risk lowered by running the site(s) under an LLC?

[xec]

hmmm, I guess nobody wants to talk about this topic. Oh well ::runs to ask a lawyer:::

[johntabita]

Basic U.S. Copyright Law works like so: the creator of the work is the copyright owner. As such, he/she has the right to decide how, when and where that work will be displayed. Putting up a disclaimer, refraining from claiming the work as your own, or even giving the copyright owner credit doesn't change the fact that you are infringing on the copyright. Even if you didn't gain monetarily from its use, you can still be sued for monetary damages.

Being an LLC will protect your personal assests in the event of a lawsuit. But be careful. If a judge/jury determines that the only reason you created the LLC was to protect yourself from being personally sued over something you knew was illegal, they will pierce though that corporate veil of protection and hold you personally accountable for your actions.

Many of these sites probably get away with it becasue the copyright holders either don't know or don't care that their work is being exploited. All it takes, however, to shut down your entire site is for one of them to file a infringement notification with your host. Under the terms of the DMCA, they are liable to remove any infriging material when notified, or face up to $500,000 in legal damages.

Hope that helps.

[xec]

Thank you for your response john. It was informative. I guess I will resort to advice from a lawyer.

[Trevelyan]

Some of these sites actually pay their visitors $100 to $200 for their funny video clips. This gives the site ownership of the clip, and allows them to tag it before anybody else can.

[johntabita]

It depends. Assuming it's in the U.S., ownership can only be transfered to another party in writing. Chances are the site is licensing its use for a certain period of time. That means the owner is free to license the video to as many other sites as he/she pleases. Just something to consider as you set up yours.