Vault Corp. V. Quaid Software Ltd.

Vault Corp. V. Quaid Software Ltd.

Vault Corp. v Quaid Software Ltd. 847 F.2d 255 (5th Cir. 1988) is a case heard by the United States Court of Appeals for the Fifth Circuit that tested the extent of software copyright. The court held that making RAM copies as an essential step in utilizing software was permissible under ยง117 of the Copyright Act even if they are used for a purpose that the copyright holder did not intend. It also applied the "substantial noninfringing uses" test from Sony Corp. of America v. Universal City Studios, Inc. to hold that Quaid's software, which defeated Vault's copy protection mechanism, did not make Quaid liable for contributory infringement. It held that Quaid's software was not a derivative work of Vault's software, despite having approximately 30 characters of source code in common. Finally, it held that the Louisiana Software License Enforcement Act clause permitting a copyright holder to prohibit software decompilation or disassembly was preempted by the Copyright Act, and was therefore unenforceable.

Read more about Vault Corp. V. Quaid Software Ltd.:  Background Information, Actions and Claims, Procedural History, Direct Infringement Claim, Contributory Infringement Claim, Derivative Work Claim, Louisiana Software License Enforcement Act Claim, See Also

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