PDN WEB  


Recent Issues

Photo © Alex Prager

Photo © Ryan Heffernan

PHOTO © Nadav Kander

Photographers Sue Getty Images Over Subscription Pricing

Oct 31, 2008

By Daryl Lang


A group of stock photographers has filed a class-action lawsuit against Getty Images over a subscription pricing plan.

The suit claims that by including rights-managed stock images in the Getty Images Premium Access subscription product, Getty violated copyright and broke its contract with rights-managed contributors. The suit says Getty’s product makes rights-managed images available under royalty-free license terms for unreasonably low prices.

The lawsuit is a new wrinkle in the unsteady stock photography industry, as agencies like Getty Images try out new pricing schemes to stay competitive, while photographers try to hang on to their royalty payments. Corbis, Getty’s biggest competitor, recently announced a cut in royalties to rights-managed stock photographers.

The lawsuit was filed October 27 in the U.S. District Court for the Eastern District of New York. Getty has not responded to the suit yet, but a company spokesperson says Getty Images stands behind the Premium Access product.

The plaintiffs in the suit are photographers Roger Ressmeyer and Richard Minden, who run the photo agencies Science Faction and Minden Pictures, respectively, along with 84 other photographers who contribute to those agencies. (Ressmeyer is a former president of the Picture Archive Council of America, the trade group that represents stock agencies.) Science Faction supplies rights-managed images to Getty Images, and Minden Pictures did previously, according to the suit.

The suit also calls for a class action on behalf of everyone who had a rights-managed royalty agreement with Getty in the five years leading up to when the suit was filed.

Premium Access is an unadvertised service Getty Images makes available to its high-volume clients. Prices are negotiated on a client basis. The closest comparable service advertised by a competitor is Jupiterimages Unlimited, which costs $2,499 a year for print-resolution downloads. (Getty Images recently reached a deal to acquire Jupiterimages.)

According to the suit, Getty pays photographers a pro-rata share of Premium Access fees when their images are downloaded through the program. Payments have been as low as $2.08, according to the lawsuit – substantially lower than a photographer’s share of a traditional rights-managed stock sale. “In Premium Access, Getty essentially allows its customers to set the amount of photographers’ royalties themselves,” the suit says. “Not surprisingly, this results in royalties equal to a tiny fraction of the commercial value of the photographers’ photographs.”

The lawsuit argues that Premium Access violated Getty's agreements with rights-managed photographers, which requires the agency to track image usage and to set prices “in good faith and in a commercially reasonable manner,” in the words of the lawsuit.

The suit seeks a judgment of $100 million. The case is being handled by the law firm Kreindler & Kreindler.

“Getty’s prices have severely undercut the market for comparable photographs, damaged the future market for these photographs, and violated both the Rights Managed Image Distribution agreements Getty signed and the Uniform Commercial Code,” attorney Dan Nelson said in a statement.

In its statement, Getty Images said the Premium Access product was created in response to feedback from clients who wanted simplified licensing. “We’ve refined the product with input from both customers and contributors. It’s proven to be very successful for Getty Images’ customers and contributors, and we stand behind it,” the statement says.


Photographers Sue Getty Images Over Subscription Pricing

Oct 31, 2008

By Daryl Lang


A group of stock photographers has filed a class-action lawsuit against Getty Images over a subscription pricing plan.

The suit claims that by including rights-managed stock images in the Getty Images Premium Access subscription product, Getty violated copyright and broke its contract with rights-managed contributors. The suit says Getty’s product makes rights-managed images available under royalty-free license terms for unreasonably low prices.

The lawsuit is a new wrinkle in the unsteady stock photography industry, as agencies like Getty Images try out new pricing schemes to stay competitive, while photographers try to hang on to their royalty payments. Corbis, Getty’s biggest competitor, recently announced a cut in royalties to rights-managed stock photographers.

The lawsuit was filed October 27 in the U.S. District Court for the Eastern District of New York. Getty has not responded to the suit yet, but a company spokesperson says Getty Images stands behind the Premium Access product.

The plaintiffs in the suit are photographers Roger Ressmeyer and Richard Minden, who run the photo agencies Science Faction and Minden Pictures, respectively, along with 84 other photographers who contribute to those agencies. (Ressmeyer is a former president of the Picture Archive Council of America, the trade group that represents stock agencies.) Science Faction supplies rights-managed images to Getty Images, and Minden Pictures did previously, according to the suit.

The suit also calls for a class action on behalf of everyone who had a rights-managed royalty agreement with Getty in the five years leading up to when the suit was filed.

Premium Access is an unadvertised service Getty Images makes available to its high-volume clients. Prices are negotiated on a client basis. The closest comparable service advertised by a competitor is Jupiterimages Unlimited, which costs $2,499 a year for print-resolution downloads. (Getty Images recently reached a deal to acquire Jupiterimages.)

According to the suit, Getty pays photographers a pro-rata share of Premium Access fees when their images are downloaded through the program. Payments have been as low as $2.08, according to the lawsuit – substantially lower than a photographer’s share of a traditional rights-managed stock sale. “In Premium Access, Getty essentially allows its customers to set the amount of photographers’ royalties themselves,” the suit says. “Not surprisingly, this results in royalties equal to a tiny fraction of the commercial value of the photographers’ photographs.”

The lawsuit argues that Premium Access violated Getty's agreements with rights-managed photographers, which requires the agency to track image usage and to set prices “in good faith and in a commercially reasonable manner,” in the words of the lawsuit.

The suit seeks a judgment of $100 million. The case is being handled by the law firm Kreindler & Kreindler.

“Getty’s prices have severely undercut the market for comparable photographs, damaged the future market for these photographs, and violated both the Rights Managed Image Distribution agreements Getty signed and the Uniform Commercial Code,” attorney Dan Nelson said in a statement.

In its statement, Getty Images said the Premium Access product was created in response to feedback from clients who wanted simplified licensing. “We’ve refined the product with input from both customers and contributors. It’s proven to be very successful for Getty Images’ customers and contributors, and we stand behind it,” the statement says.
Add a Comment
* Required field
* Name:
* Comment:
 
IPNstock
Photography Techniques


ADVERTISEMENT



Olympus VisionAge: Agents of ChangeOlympus VisionAge: Agents of Change


Olympus Visionary Eli Reed documents an innovative program to supply mobile toilets in Nigeria. More »

Subscribe to the Olympus VisionAge Newsletter!


Subscribe | Read Current Newsletter

More »

Win an Olympus E-620! Cameras Awarded Every 2 Months


Enter the VisionAge Contest and win an Olympus E-620 DSLR Camera!

More »

ADVERTISEMENT


Classified

ADVERTISEMENT




Photo © Yang Yi / Galerie Paris-Beijing

PDN's 30 2010 Gallery

Our Choice of New and Emerging Photographers to Watch.

Photo © Eric M. Townsend

Billboard / PDN Ultimate Music Moment Winners Gallery

Once again PDN has teamed up with Billboard to proudly present The Ultimate Music Moment photography contest.

PHOTO © Jonathan Barkat

PDN PIX Digital Imaging Contest 2009

We proudly present the winners of the 2009 PDN PIX Digital Imaging Contest.

Photo © Joe Buissink

PDN's Focus on Weddings

New! Introducing PDN’s Focus On Weddings. A Special Supplement to PDN for Wedding, Portrait and Event Photographers. Access the FREE digital edition!

Photo © Matthew Jordan Smith

Emerging Photographer

The Resource for Professional Image Makers of Tomorrow.

Contact PDN | About Photo District News | Camera Reviews and Gear Guide | Photography Blog | Photo News | Photo Magazine- Print Subscription |
Photography RSS Resources | Free Photography Newsletter | Photo Magazine Advertising | Video Gallery | Photographer Features & Resources | Stock Photographs
© 2010 Nielsen Business Media All rights reserved. Read our PRIVACY POLICY