Opinion ID: 3037323
Heading Depth: 4
Heading Rank: 2

Heading: Second Fair Use Factor: Nature of the

Text: Copyrighted Work [7] In analyzing the second fair use factor, we look at the nature of the copyrighted work, creative works being “ ‘closer to the core of intended copyright protection’ than informational and functional works.” Dr. Seuss, 109 F.3d at 1402 (quoting Campbell, 510 U.S. at 586). Our sister circuits have also considered, under this factor, whether the copyrighted work represents “substantial investment of time and labor . . . 6 To be clear, we do not hold that a fair use defense is not available simply because the infringer uses technology to make efficient use of its licenses. The problematic aspect of the Sheriff’s Department’s use is that it took in excess of what it bargained for, not that it was technologically efficient. Thus, for example, if the Sheriff’s Department had saved time and money by hard drive imaging RUMBA software onto the number of computers for which it had licenses, its “efficiency” would not create a problem. WALL DATA v. LOS ANGELES COUNTY 5377 in anticipation of a financial return.” MCA, Inc. v. Wilson, 677 F.2d 180, 182 (2d Cir. 1981). Although the RUMBA software products are not purely creative works, copyright law nonetheless protects computer software. See Sega, 977 F.2d at 1519 (“[T]he 1980 amendments to the Copyright Act unambiguously extended copyright protection to computer programs.”). In addition, Wall Data presented undisputed evidence that RUMBA software products were developed over several years, and required a multi-million dollar investment on Wall Data’s part. We therefore conclude that the nature of the copyrighted work weighs against a finding of fair use.