Embed Size (px)
Citation preview
Presented by:
Lawrence G. Walters, Esq. Walters
WWW.FIRSTAMENDMENT.COM GROUPTM
WWW.WEBLAWNETWORK.COM
PRACTICAL LEGAL WORKSHOP FOR WEBCAM NETWORK OPERATORS AND LIVE CAM PERFORMERS
Current Legal Issues Facing Cam Models
• Ensure timely compliance with all immigration requirements• Carefully describe nature of
business activities• Keep paperwork up-to-date
--Current Legal Issues Facing Cam Models:1) Visa/Immigration/Workplace Issues
• Compliance with U.S. law essential for payment processors• Mainstream payment
processors may not be familiar with service• Acceptance of alternative
currency, cash out, etc.
--Current Legal Issues Facing Cam Models:2) Payment/Banking Issues
• Content control / standards• Legal agreement, policies• Negotiation?• Audits• Appeals/Contests• Liability• Penalties• Liquidated Damages• Suspension/Termination• Compensation• Frequency, method, currency, disputes
--Current Legal Issues Facing Cam Models:3) Studio/Network Relationship
• Carefully read waivers/releases/licenses• Intellectual property
ownership & allocation issues• Revenue sharing• Payment frequency, methods,
etc.
--Current Legal Issues Facing Cam Models:4) Cam Model Performance Agreements
• Age verification records generation• Other age-related records, urls,
copies of recordings, etc.• Records maintenance• Compliance with Section 2257
in U.S. vs. laws in other jurisdictions
--Current Legal Issues Facing Cam Models:5) Age Verification/Documentation/2257
Current Legal Issues Facing Cam Network &
Studio Operators
• Corporate entity options• Corps, LLC’s, DBA’s, LLP’s• Domestic or foreign formation• Tax/IRS issues• Asset Protection • Trusts, receiverships, etc.• Holding companies
--Current Legal Issues Facing Operators:1) Corporate Structuring/Asset
Protection/Tax
• Disclosures, Disclaimers, Promotions & Releases• Trade practices of third party
affiliates or advertisers• Adequate, obvious, and
conspicuous disclosures• Placement, appearance and
location of disclosures • Consumer protection goals
--Current Legal Issues Facing Operators:2) Trade Practices/FTC/Unfair Business
Regulation
• Records generation and maintenance• Implementation of Anti-Human
Trafficking Standards• Reporting requirements• Publication of notices and
resources
--Current Legal Issues Facing Operators:3) Age Verification/Documentation/2257
• Underage content• Friends, other models• Simulated v. actual underage material• Reporting obligations under Section 2258A
• Extreme behavior• Bestiality• Cutting• Breath play
• Level of control may impact §2257• Unauthorized third parties on cam• No acquisition of rights, 2257 info, releases
or ID’s
--Current Legal Issues Facing Operators:4) Content/Performance Controls on
Models
• Compliance with U.S. law for U.S. based payment processors
• Acceptance of alternative currencies
• Refund/charge back policies• Risk mitigation
--Current Legal Issues Facing Operators:5) Payment Processing/Alternative
Currencies
• Compliance with age verification and privacy policies in other jurisdictions
• International and local tax issues
• Impact of U.S. law on foreign operators and performers
--Current Legal Issues Facing Operators:6) Cross-border Legal Compliance
• Section 230 Immunity• Deals with defamation, publicity rights, and typical state
level civil disputes, excluding intellectual property and federal criminal prosecution
• DMCA Safe Harbor• Deals exclusively with copyright liability • Protects only the network operator
• User Agreements, Policies & Disclosures
• Section 2257 Labeling Obligations & Exemptions
• Copyright/Trademark/Domain Name Issues
--Current Legal Issues Facing Operators:7) Website Operation
Structuring the Legal Relationship Between
Models, Studios & Operators
• Who owns what?• Model owns: publicity rights, privacy rights,
commercial exploitation rights• Copyrights owned by either model or photographer,
can be assigned or retained and licensed• Network operator owns source code, domain name,
trademarks, copyrights to certain elements• Rebill rights, customer database• Model presumably owns trademarks, but can be
assigned or licensed• Danger area for models• Ensure discussion of right to use model’s real
name & character, persona or stage name ownership
Balancing Acquisition & Retention of Rights
• Must address all applicable:• Copyrights• Trademarks• Publicity Rights• Privacy Rights• Persona/Character Rights
Model Performance Agreement
• Scope
• Duration
• Media Limitation
• Geographic Restrictions
IP License: Important Considerations
• Non-compete
• Nondisclosure
• Non-solicitation
• Non-disparagement
Important Clauses Not To Be Forgotten
The Future of Camming: Legal Outlook
1. Register a unique character name with the USPTO
2. Maintain an electronic 2257 Age Verification database
3. Incorporate, Incorporate, Incorporate
4. Don’t escort5. Encourage acceptance of digital
currency
Top 5 Recommendations for Cam Models:
1. Carefully consider corporate structure
2. Accept digital currency3. Protect your IP4. Revamp web docs regularly5. Implement robust Age Verification
policies
Top 5 Recommendations for Network Operators
Q&A
Walters Law Group
Lawrence G. Walters
800.530.8137
Skype: webatty
Follow Up Questions
