58.1 apendix - exhibits 1-3

8/12/2019 58.1 Apendix - Exhibits 1-3

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APPENDIXExhibit 1: Declaration of Steve PigeonExhibit 2:Declaration of Daniel B PollackExhibit 3: Declaration of Wesley D Felix

Case 2:09-cv-00966-DB Document 58-1 Filed 04/02/13 Page 1 of 61


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ExhibitCase 2:09-cv-00966-DB Document 58-1 Filed 04/02/13 Page 2 of 61


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Wesley D. Felix (6539)Amber M. Mettler (11460)SNELL WILMER r.rp.l5 West South Temple, Suite 1200Gateway Tower WestSalt Lake city, urah 84101Telephone: 801.257.1900Facsimile: 801.257.1800Email : [email protected]

[email protected] t t o rney s fo r P I ai nt iff Ma s t e rJ I e C o rp o r at i o n

IN THE UNITED STATES DISTRICT COURTF'OR THE DISTRICT OF UTAH, CENTRAL DIVISION

MASTERFILE CORPORATION,Plaintiff,

vs.MARTIN GALE, d/b/A THE GALE TEAM;LAURIE GALE, IbIATHE GALE TEAM;and GALE SERVICES,P.C., dlblaTHBGALE TEAM,

Defendants.

DECLARATION OF STEVE PIGEONCase No. 2:09-cv-966Honorable Dee Benson



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I, Steve Pigeon, declare as follows:1 . I am over the age of I 8 years, a resident of Toronto, Ontario, Canada, and am

fully competent in all respects to testif, regarding the maffers set forth herein.2. I am the President of Masterfrle Corporation ( Masterfile ). I make this

Declaration in support of Masterfile's Motion for Partial Summary Judgment on Damages. Ihave personal knowledge of the facts stated herein, and I would testif, to those facts if called asa witness.

3. Masterfrle is a stock photography agency that acquires, organizes, distributes, andlicenses rights-managed and royalty-free images for commercial use in media ranging from printadvertising to websites. Masterfile's images are acquired under exclusive contract fromphotographers and illustrators who are paid a royalty every time an image is licensed. Masterfileacquired legal title to the twenty-seven (27) rights-managed images (the Images ) that theDefendants used without authorization on their website located at www.galeteam.com (theWebsite ).

4. An important component of Masterfile's business is the concept of rights-managed images. Through developed business practices and technical infrastructure, Masterfileis able to track its rights-managed images and how they are being used around the world, Thisallows Masterfile to offer exclusive rights to clients without delay and without risking conflictbetween competing users.

5. Rights-managed images are often licensed to clients who require high qualityimages for publications, reports, advertising, Internet websites, and the like. When consideringlicensing a rights-managed image, clients often ask Masterfile to provide a history of prior usesof the subject rights-managed image, and for similar images from the same production shoot.

6. The ability to be told where, when and how a rights-managed image haspreviously been used is a primary reason that clients choose to use rights-managed images.

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Rights-managed images are necessarily more expensive to license than other images offered byMasterfile, and the control of their use is of critical importance to Masterfile s business,

7. When Masterfile s rights-managed images are used without authorization it harmsMasterfile in several important ways, including the following examples: (a) the unauthorizedusage can cause Masterfrle embarrassment and damage its reputation if such usage collides withan authorized use, because Masterfile may be expected to provide complete usage histories toany client at any time; (b) it may prevent Masterfile from licensing an exclusive use of thatimage after the infringing usage comes to light (infringing uses are recorded in our usage historysystem as soon as we learn of them and they remain in our system even if we do not collectpayment for the infringing use). Exclusive uses are licensed at a considerable premium overnon-exclusive uses; and (c) if an image has previously been licensed exclusively to anotherparty, the infringing use could cause a claim for damages against Masterfile by the exclusivelicensee.

8. Therefore, the potential damage to Masterfile due to an unauthorized use of itsrights-managed images extends beyond the loss of frnancial compensation it would otherwisehave gained through the licensing of the images; it includes damage to Masterfile s reputation asa reliable visual content provider.

9. On March 26,2009, Masterfile sent the Defendants a notice of copyrightinfringement after discovering that the Defendants were using the Images without authorizationon the Website, A true and correct copy of Masterftle s March 26,2009letter to the Defendants(with attachments) is attached hereto as Exhibit A

10. Pursuant to Masterfile s Terms and Conditions governing the unauthorized use ofMasterf,rle s images, Masterfile included a request for retroactive license fees that was three (3)times the regular license fees for the Defendants use of the Images on the Website that

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Masterfile was aware of at that time, which was that the Defendants had used twenty-three (23)of the Images for one year and four (4) of the Images for four years.

I l. In response to Masterfile s discovery requests in this action, the Defendantsindicated that they started using the 2T Images on the Website in April 2004. Masterfile isunaware of the exact date that the Images were removed from the Website, but it occurred afterMasterfle notified the Defendants of the claim in March 2009 and before Masterfile frled itsComplaint on October 28,2009. Accordingly, the applicable usage period for calculatingMasterfile s license fees for the Images is five (5) years. A true and correct copy of DefendantsResponses to Masterfile s Second Set of Discovery Requests is attached hereto as Exhibit B (seeDefendants response to Interrogatory No. 3).

12. Masterfile determines its pricing for rights-managed images based on thirty yearsof experience in licensing images to commercial clients around the world. Prices are adjustedfrom time-to-time according to market conditions and the competitive landscape for comparableproducts and licensing models.

13. The license fees for using a rights-managed image are not determined by theimage itselt but instead are based on how the image is used and for how long, For example, thesame fee applies for any rights-managed image that is used on the home page of a website forone year worldwide, irrespective of the content or size of the image.

14. It is Masterfile s policy to calculate retroactive license fees based on the regularfees in place at the time of issuing its claim, which in this case would be in March 2009. I havecalculated the regular license fees which Masterfile would have charged for the Defendants useof the Images on the Website at the time that Masterfrle issued its claim to the Defendants inMarch 2009, had that usage been authorized for use on different pages of the Website for aperiod of five (5) years and they are as follows:

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Rateescription \ebsite Usageasterllle Image No. 2,010ouse for Sale Secondary page00-0000823 I 2,010y'oman/Monitors Secondary page700-00018138

Secondary page 2,010usiness Meeting00-00024739 3,510ouple Painting Multiple secondary pages700-00039068

Secondary page 2,010Woman in Kitchen00-00045593Secondary page 2,010ouple/House00-00045601Secondary page 2,01000-0005 1387 Family/HouseSecondary page 2,01000-000525 10 Woman Using LaptopSecondary page 2,01000-000s5377 Dollar SignSecondary page 2,01000-00055948 'Woman on PhoneSecondary page 2,01000-00057029 House/Flower BushesSecondary page 2,01000-00062640 'Wire Globe / CursorSecondary page 2,01000-00063094 Couple UnpackingSecondary page 2,01000-000633 l6 Table and Chairs

2,010arm and Field Secondary page00-00067230 2,010ouse and Garden Secondary page00-00068371 3,510nterior of Home Multiple secondary pages00-00069120 2,010ightbulbs Secondary page00-00069698 2,010rash Can Secondary page00-0007 I 900 2,010room Sweeping Dust Secondary page00-00072298 2,010lowers Secondary page00-00075424

Secondary page 2,010and & Lightbulb00-00076323Secondary page 2,01000-000764 1 5 Dalmatian puppy

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700-00077855 Couple Working Seoondary page 2,010700-0007923t Living Room Secondary page 2,010700-00080396 Gerbera Daisy Secondary page 2,010700-00083909 Basset Hound Puppy Secondary page 2,010Total: 57,270

15. Accordingly, the total regular license fee that Masterfile \ould have charged theDefendants for the same use of the Images would have been 57,270.16. I declae under penalty of perjury that the foregoing statements are true andcorrect to the best of my knowledge, information, and belief.

DATED this lst day of April,2013,

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Exhibit



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Tntrrfle Masterllle CorDoratlon3 concordo Gto, th FloorToronlo, Ontaro, Canada M3C aN7 41 0 929 3000 tel800 387 9010 loll fre419 S2S 2104 lsx ma$tedle,oomMarch 26,2009VIA FEDERAL EXPRESSMarty GaleGALE TEAM1533 Murray Holladay RoadSalt Lake City, UtahusA, 84117Dear Mr. Gale:Re: Notice of Copyright lnfringement - www.teamgale.comMasterfile Corporation ( Masterfi[e ) is in the business of licensing rights-managed images for commercialreproduction by clients around the world,It has come to Masterfile's attention that you have published twenty-seven (27) of Masterfile's images on thoabove noted website. A copy of the images and a printout of the respective pages on your website are attachedto this letter for your reference.The images are represented exclusively by Masterfile and registered in the Copyrght Office of the United StatesLibrary of Congress. You may verify Masteffile's ownership by visiting www.masterfile.com and entering therespective image code in tho soarch engine.Masterfile can find no reference to these images having been licensed for reproduction on your website. Theusage above directly violates Masterfile's and the artist's exclusive rights to reproduce, adapt, dsplay, distribute,and/or create derivative works. Be advised that any entity that violates these exclusive rights of the copyrightowner is an infringer of the copyright and is thus liable, regardless of prior knowledge of the unauthorized usage.Also note, the Copyright Act provides for individual liability for all those assooiated with the infringement as well ascorporate liability.Rather than jnitiate a legal action for copyright infringement, Masterfile is proposing, on a without prejudice basis,the following settlement: Masterfile is wllling to arrange for a retroactive Ifcense in accordance withMasterfile's terms and conditions at www.masterfile.com, provided that you: (a) cease and desist fromany and all uses of the lmages; and (b) pay the retroactive license fee noted in the enclosed claim withinten (10) days. Please note that you must return the enclosed stamped claim along with your payment inorder for Masterflle to conclude this matter. lf you do not comply, Masterfile will initiate a lawsuit forcopyright infringement without furthor notice to you.Subject to your payment of the retroactive licensing fee, you may inquire about contlnued uoe of ourimages for future promotional purposes. Please contact me immedlately to dlscuss arranging a llcensein this capaclty.Masterfile treats copyright infringement as a serious matter. As such, Masterfile makes every etfort to ensure itsintellectual property is protected and it pursues any possible cases of improper use, Masterfile is hopeful that thismatter can be resolved quickly and amicably. Contact received by the due date wilt be regarded as a gesture of



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ma,6tr2fifgood intent. Please note that nothing in this notice should e construed as a waiver of any of Masterfile s rights,remedies or protections under law,The information on this notice of copyright infringement is accurate and under the panalty of perjury, theundersigned is authorized to act on behalf of Masterfile with respect to this matter,lf you have any questions, kindly contact me without delay,Yours truly,

ffiffiKYLisa DempseyCopyright Compliance Officerlde mosev@masterf ile.comLD/tgEncl.

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MASTERFILE CORPORATIONFREQUENTI.''Y_ AS KEp Q U ESTONS

Who ls Mastertile Corporatlon?Masterfile is a stock lmage agency/library. We acquire, organize, distribute and license lmages for commercialuse ln media ranging from print advertising to websltes. Our images are acquired under sxclusive contract fromprofessional photographors and illustrators who are paid a royalty every time an image is licensed. Our clientsinclude advertising agencies, designers, publishers, multimedia producers and corporations throughout theworld,lf I remove the mage(s), ls the matter resolved?No. When a rights-managed image(s) is used without a license, the immediate removal of the image(s) iscritical. Removing the image mitigates your liability; however this does not completely resolve the matter. Theuse of Masterfile's image(s) requires appropriate licensing covering any and all uses. Payment of an applicabteretroactive license is required to resolve the matter completely,What if I hlred someone to create my webste?We havo no record that the image(s) was icensed for the noted use. Your use of the image(s), without a validlicense from Masterfile, constltutes copyright infringemont, According to the Copyright Act,it does not matterwho designed your website or that there was no intention to commit copyright nfringement. You, as the endllser, are liable for the infringement and have a responsibility to pay the appropriate retroactive flcensing fees foruse of the image(s). Masterfile will not be contacting the Cgsioner in an attempt to resolve this issue unlesshe/she contacts Masterfile directly and agrees to take responsibility for the unauthorized use, Masterfile is notprivy to the agreement that you may have had with the designer so it is your responsibility to work with thedesigner if you believe he/she is responsible.What if I purcased the image(s) from a subscrlption service or onlne as parl of a template?Masterfile is the exclusive representative of the image(s) in questlon. This means that the image(s) cannot belicensed by anyone else, According to the Copyright Act, as the enduser, you are ultimately responsible forensuring that you have obtained the appropriate licensing or rights to use the image(s). Ths means that if youpurchase or acquire images from a subscription service or a website that provides templates, you are still liablefor copyright infringement if that company did not properly license the image(s) for your use.What if I didn't know thatthe mage(s) had to be lcensed?Your use of the image(s), without a valid license from Masterfile, constitutes copyright infringement, According the Aopyright Act, it does not matter that there was no intention to commit copyright infringement or that youdidn't know the image was copyright protected and needed to be licensed. You, as the end user, are liable forthe infringement and have a responsibility to pay the appropriate retroactive licensing fees for use of theimage(s). Unfofiunately, your lack of knowledge does not excuse or dismiss your unauthorized use, nor does itwaive your obligation to pay the amount requested in the claim for copyright infringement.What if I found the image(s) on the internet and there was no copyrlght notlce?Just because an image is displayed on the internet does not mean that it is in the public domain . The publicdomain is the field of works in which copyright has expired or where the copyright owner has made a cleardeclaration that the work is not subject to copyright. The image(s) in question is a rights-managed image(s)represented exclusively by Masterfile, The use of rights-managed images represented by Masterfie requires alicense covering each and every use. The fact that there may not have been a copyright notice, depending uponwhere you found the irnage, does not mean that there is no copyrght protection.



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Maslerllle corporalf on3 Concorde Gt, 4th FloorToronto, Ontarlo, Canada MgC 3N741 6-S29-3000800{87-9010 toll frso416-92B-2'104 faxflnanoe0masterllle.com

mastgrflle.com

COPY CLAIMNo, PMI-405-9432009 Mar 20Mrty GaloGALETEAM1633 Mur6y Holladay RoadEalt Lake Clty, UTusA,84117

Rop: Legal Compllanco

REPRODUOTIONGBANTEDI COMPLIANCE FEE LICENSING TH RETROASTIVE USE OF FIFTEEN

(15)IMAGES ON WEBSITE AT WWW,TEAMGALE,COM, FOR GALE TEAM (HEALESTATE), UNTTLAPRTL 9,2009, TO CONSUMERS - WORLD.IIMAGES C.E,F E L ON SITE FOR 4 YEARS, ALL OTHEHS FOR 1 YEAR]

IMAGE CODE700-00008231700-00018138700-0003s068700-00045593700-0(x)45601700-0005138770G000525'10700-00055377700-00055948700-o006331700-00067230700-00069120700-00069698700-0007641 5700-00079231

DESCBIPTIONa)House for Saleb)Woman/Monltorsc)Couple Palntlngd)Womn ln Kltchene)Coupley'Housef)Famlly/Houseg)Womsn Uslng Lploph)DollarSlgn)Woman on PhoneDTable and Chalnk)Farm and Fleldl)lnterior of Homom)Llghtbulbsn)Dalmatlan Puppyo)Llvlng Room

slzE'lx sec paga1x sec pagemult sec pagos1x seo pago1 x seo pagolxseo pago1x sec pagelx seo pagglx sc pag1x sec pag81x sc pagsmult sac pages1 x soc pago1x sao pags1x soo page

ABSTDouglas E. WalkerKen DavlosMTPA StockDavld SohmldtDavld SchmldtDavfd SchmldtMasterfllelJ. A, KraullsMTPAStockGany BlackRoyOomsKathlo6n FlnlaySoott TyslckAllson Bamss MartlnAllan Davey

RELEASE' US$US$ussrJS $us$us$US$US$US$us$us$us$us$us$US$

RATE2010,00201 0.008780.002010.005010.005010,002010,002010.002010.002010.002010.008790.002010.002010.00201 0.00

NTYY/NY/N

Y/NN/NY/htN/NN/rNTYN/NN/NNT

40710.00OF CI-AIM INVOICE

Thls ls not a llceneo. No rproducllon rfghts are granted or lmpllsd herein. Flghts to reproduoe an lmago may only beacqulred subject lo the terms of a wrlfien llcanso from Masterllle,f thls Clalm lnvoice is lssued pursuant to a plor lran8acllon bewEn the partles, refor to the 'Terms of Loan and/orths 'General Terms and Conditions of lnvoloe/Llcense' eet foilh ln sepamto documents prevlously dellvered to the ollent.Thls lnvolce is due and payable upon receipt, lnterst of 2% per month wlll ba charged afier 30 days,This fnvoice ls subJect to the lews of lho Provlnce of Onlario. Jurisdiction shall be in lhe unlclpallty of Metropolitn Toronto.



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Masterlile Corporullon3 Ooncorde Gale, 4th FloorToronto, Ontario, Canada MsC 3N7416-929-S000800-387-901 0 toll free416-s20-2104 faxfinanoe@mastellle,com

masteflle.com

COPY cLAltvlNo, PMI-405-9452009 Mar 20Marty GaleGALETEAMf533 Munay Holladay RoadSall Lake Olty, UTusA, 841 17

Rep: Legal Compllanoe

REPRODUCTIONGRANTED: COMPLIANCE FEE LIOENSINO THE RETROACTIVE USE OF TWELVE (12)TMAGES ON WEBSTTEATWWW,TEAMGALE.COM, FOR GALTEAM (FEAL

ESTATE), UNTTLAPBTL 9,2009, TO OONSUMEFS - WORL,IMAGES ON SITE FOR 1 YEAB]

IMAGE CODE700-00024739700-00057029700-00062840700-00083094700-00068371700-00071900700-00072298700-ooo76424700-00078323700-000778s5700-00080396700-00083909

DESORIPTIONBusiness MeetingHousoiFlowar BushesWire Globo/OursorCouplo UnpackingHouse ond QardenTrash CanBroom Sweeplng DustFloworsHand & LlghtbulbCouple WorklngGleera DaisyBasset Hound Puppy

SIZE'lx sec page1 x sec page1 x eeo page'lx sec pago1x seo page1 x sec pagolx sec page1x sec pagafx sec page1x sec psge1x oEo page1x soc page

ABNSTMTPA StookDldler DorvalBlll FrymlreDan LlmGlola H. OhomloaTom GolllcottJean-Yvos BruElGloia H. ChomloaBoden/LedlnghamAndrew lneyMichael MahovllchAllson Bamss Martln

RLEASE' US$US$u8$US$US$us$us$us$US$US$US$us$

RATE2010.002010.002010.002010,002010,002010.002010.00201 0.0020'10.002010.002010.002010.00

Y/llN/l.lNiNYNNTN/NN/NN/NN/NY/NN/NN^r

Payable Upon Receipt - TOTAL; US $ 24120,O0TERMS OF CIIM INVOICE

ls not a lloense, No reproducllon rlghts are granted or lmpled heetn. Rlghts to reproduce an lmage may only bosub6ct to the terms of a wrlttan lcense frorn Masterflle,

thls Clalm lnvoice ls lssued pursuant to a prior transactlon botwean the parlfes, rofer to lfte uTerms of Loan and/orGeneralTrms and Condilions of lnvoicey'Llceneo set forlh ln sepamte documents provlously dellvgred lo lhe cllent.lnvoice is due and payable upon reoelpt. lnterast of 29lo per month wlll be chargod after 30 days,lnvolce ls subJeot to lhe laws of the Province of Ontado, Jurlsdlotlon shall be ln the muncfpallty ol Metropolltan Torcnto.



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Transacton Detals

Qeport Data: 440002Name: [aurie & Marty Galenttp :i/www,team gale. com/ome Page:Contact Details:

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Email: marty. gale@remax,netUnited States

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h"ansaction Details

Report ata: 440003Laurie & Marty GaleameHome Page: http://www.team g al e. co m/Address 1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502'lel: 801-277-3500Fax: 877-680-9278Email: marty. gale@remax,netUnited Statesountry:More Data:

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Transaction DetailsReport Data: 440005

Laurie & Marty Galeame:Home Page: rttp : //www,tea mg ale, com/1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 8Q1-27 7-3500Fax: 877-680-9278Email: [email protected] States

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Transaction Details

Report Data: 440004Laurie & Marty Galoame:Home Page: nttp : //www, tea m g ale. co m/

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Email: marty.gale@remax. netUnited States

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Transaction. Details

Report Data: 440008Name: Laurie & Marty GaleHome Page: http ;www,teamga I e, comiContact Details: Address 1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278

Email : marty.g af [email protected] Statesountry:

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Report Data: 440009Name: & Marty Galelttp ://wwl. tea m g a le. co m/ome Page:

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Iel:801-277-3500Fax:877-680-9278Email: marty, [email protected] States

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Report Data: 440017laurie & Marty Galeame:Home Page: rttp ://www, tea m g a I e. com/

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877'898-9502Tel: 801-277-3500Fax: 877-680-9278Email; marty.gale@remax, netUnited States

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Report Data: 440018-aure & Marty Galeame: rttp://www,teamgale,com/ome Page:Contact Details: 1533 Munay Hotladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Email: marty. gale@remax, netUnited States

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Catalog lmage No. 700-000525'1 0 Screen Gapture



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Transacton Details

Report Data: 440007Name: laurie & Marty GaleHome Page: http ://www.tea m g a I e, com/Contact Details: I533 lvlurray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel:801-277-3500Fax: 877-680-9278Email: marty.gale@remax. netUnited States

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Details

Repoft Data: 440010rie & Marty Galeame: ://vwvw, te a m ga I e. com/ome Page:

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tef: 801-277-3500Fax; 877-680-9278Email: marty.gale@remax. netUnited States

Address

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Fax:hone 2:one 1:Catalog lmage No. 700-00055948 Screen Gapture



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Transaction Details

Report Data: 440011Name: Laurie & Marty Galehttp : //www. te a m g a I e, co m/ome Page:

Address 1533 Murray Holtaday RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel; 801-277-3500Fax: 877-680-9278Email : marty. gale@remax,netUnited Statesountry:

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Transaction Details

Report Data:440020urie & Marty Galeame: rttp ://www.tea m g a le. com/ome Page:Contact Details: 1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax 877-68Q-9278Email : marty. [email protected] States

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Detals

Report Data:440012Name: Laurie & Marty Galehttp : www. tea m g a I e. com/ome Page:Gontact Details:

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax 877-680-9278Email: [email protected] States

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tion Details

Report Data:440013Name: Lauris & Marty GaleHome Page: http: //www,tea mg a I e. com/

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel; 877-898-9502Tel: 801-277'3500Fax: 877-680-9278Email: marty. gale@remax. netUnited States

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Transaction Details

Report ata: 440014Name: e& Galehttp ://www. tea m g a le. co m/ome Page:

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel;F77-898-9502Tel:8Q1-277-3500Fax: 877-680-9278Email: marty,gale@remax,netUnited States

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Report Data: 440015\ame -aurie & Marty Galerttp ://www,tea m g ale.com/ome Page:

1533 Murray Holladay RoadSalt Lake Cty, UT 84117Tel: 877-898-9502Tel:801-277-3500Fax: 877-680-9278Email : marty.gale@remax, netUnited States

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Trnsaction Details

Report Datar 440021Laurie & Marty Galeame http ://www.te a m g a I e, com/ome Page:Contact Details: 1533 Munay Holladay RoadSalt Lake Cty, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Emai I : [email protected] States

Address

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Details

Report Data:& Marty Galeame:

http ://www, te a m g a I e. com/ome Page:1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Email: [email protected] States

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Details

Report Data: 440026aurie & Marty Galeame: rttp://www,tea m g ale, comi{ome Page:

Sontact Detalls:1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel:801-277-3500Fax: 877-680-9278Emai l: marty.gale@remax. netUnited States

Address

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Phone 2:ne 1:Catalog lmage No. 700-00057029 Screen Gapture

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Transacton Details

Report Data: 440032\ame: ;aurie & Marty Galeiome Page: rttp : //wvwv. tea m g a I e. com/3ontact Detalls: Addross 1533 Murray Holladay RoadSalt Lake City, UT 84117Tel; 877-898-9502Tel: 801-277-3500Fax:877-680-9278Email: [email protected] Statesountry:More Data:

#2=hone #l: Phone Fax:Catalog lmage No. 700-00062640 Screen Gapture

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Details

Report ata: 440033urie & Marty Galeame: teamgale.com/ome Page:

1533 Murray HolladaY RoadSalt Lake City, UT 84117Tel: 877-898-9502lel:801-27 7-3500Fax: 877'680-9278Email: marty. [email protected] States

Address

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Phone #2:#1:Catalog lmage No. 700-00063094 Screen Gapture

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tion. DetailsiReport Data: 440025

rie & Marty Galeame: ://www,teamgale.com/ome Page:1533 Murray HolladaY RoadSalt Lake City, UT 84117Tel: 877-898-9502el: 8Q1-277-3500Fax: 877-680-9278Email : marty,[email protected] States

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Phone 2: Fax:Gatalog lmage No. 700-00068371 Screen Capture

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Transaction DetailsReport Data: 440031Name: Laurie & Marty GaleHome Page: http://www.teamg af e, com/Contact Details: Address 1533 Munay Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Email: [email protected]

United Statesountry:More Data:Phone 1: Phone 2: Fax:

Gatalog lmage No. 700-00071900 Screen Gapture



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Details

Report Data:440022urie & May Galeame: http:i/www.team ga le. com/ome Page:Contact Details: 1533 Murray Holladay RoadSaft Lake City, UT 84117Tel: 877-898-9502'lel: 801-277-3500Fax 877-680-9278Email: [email protected] States

Adclress

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Gatalog lmage No. 700-00072298 Screen Gapturet

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Details

Report tata:440023& Marty Galeame ://www,teamgalo.com/ome Page:

1533 Murray Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel; 801-277-3500Fax: 877-680-9278Email: marty.gale@remax. netUnited States

Address

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hone 1: Fax: 2:Cataf og lmage No. 700-0007 5424 Screen Capture



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tion, Details

Report Data: 440035rie May Galeame: http://www.teamgale,com/ome Page:

1533 Munay Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax:877-680-9278Email: marty,gale@remax. netUnited States

Address

Country:More Data

Contact Details:

Phone Fax:Catalog lmage No. 700-00076323 Screen Capture



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Details

Report Data:440024Galeie &ame: mgale.com/www.teaome Page:

1 533 ,Munay Holladay RoadSalt Lake City, UT 84117Tel: 877-898-9502Tel:801-277-3500Fax:877-680-9278Email: marty. gale@remax,netUnited States

Address

Country:More Data:

Contact Details:

e#2t Fax:eCatalog lmage No. 700-00077855 Screen Capture

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Detals

Report Data: 440036urie & Marty Galeame: .teamgale.com/ome Page:

Adclress 1533 Murray Holladay RoadSalt Lake CitY, UT 84117Tel: 877-898-9502Tel: 801-277-3500Fax: 877-680-9278Email: martY, gale@remax. netGountry: United StatesMore Data:

Sontact Details;

Fax:hone 1:Gatalog lmage No. 700-00080396 Screen CaPture



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Details

Report Data: 440037Laurie & Marty Galeame:Home Page: http://www, tea m g a le. com/

1533 Murray Holladay RoadSalt Lal


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ffixBle l'^, Mail: POBox727, . tphis, TN 381 94-4643Telephone: 901 -369-3600llMarch 30,2009Dear Customer:The following is the proof-of-detivery fortracking number 8il299194250.Dellvery lnformatlon:

Status:

Slgned for by:Service type;

Delvered

S.MORSONPriorty EnveloPe

Dellvery looation:

Dellvery date:

1533 MURRAY HOLLADAYRDSALT LAKE CITY, UT84117Mar27,2009 09:37

Shipping lnformatlon:Trackng number: 864299194250

Recipient:MARTY GALEGALE TEAM1533 MURRAY HOLLADAY ROADSALT LAKE CITY, UT 84117 US

Thank you for choosing FedEx Express.FedEx Worldwide Customer Service1 .B00.GoFedEx 1,800.463.3339

Shlpper:MASTERFILE STOCK IMAGE LIBRARY3 CONCORDE GATE FL 4TH3 CONCORDE GATE FL 4THNORTH YORK, ON M3C3N7 CA

Ship date:Weight:Mar 26, 20090.5lbs.



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Exhibit



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Andrew H. Stone (#4921)Andrew G. Deiss (#7184)Billie J. Siddoway (#9710)JONES WALDO HOLBROOK & MoDONOUGH PC170 South Main Street, Suite 1500Salt Lake City, UT 84101Telephone: (801 ) 521-3200Facsimile: (801) 328-0537Attorneys r Martin Gale, Laurie Gale and Gale Services, P'C.

IN THE TINITED STATES DISTRICT COURTFOR THE DISTRICT OF UTAH, CENTRAL DIVISION

vs.

MASTERFILE CORPORATION,Plainitff,

MARTIN GALE, dlblaTIIE GALETEAM; LAUzuE GALE, dlblaTHBGALE TE,AM; ANd GALE, SERVICES,P.C., dlbla THE GALE TEAM,

DEFENDANTS' REPONSES TOMASTERFILE CORPORATION'SSECOI\D SET OF DISCOVERYREQUESTSCase No. 2:09-CV-00966Judge Dee Benson

Defendants.

Defendants Martin Gale, dlblaThe Gale Team; Laurie Gale, dlbla The Gale Team; andGale Services, P.C., dlb/aThe Gale Team ( The Gale Team ), by and through its attorneys ofrecord, heteby responds to Masterfrle Corporation's ( Masterhle ) Second Set of DiscoveryRequests as follows:

GENERAL OBJECTIONSL The Gale Team objects to Masterfile's discovery requests to the extent that they

impose a burden or obligation upon them not required by the Federal Rules of Civil Procedure.

936242.1



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Z. The Gale Team objects to Masterfile s discovery requests to the extent that theyseek information protected against disclosure by the attorney/client privilege, the work productdoctrine, or any other privilege or confidentiality provided for by law. The Gale Team construeseach discovery request not to seek any such objectionable information.

3. The Gale Team objects to Masterfile s discovery requests to the extent that theyask for information that is outside of the possession or control of The Gale Team, that is inMasterfile s possession, that is substantially as easily available to Masterfile as to The GaleTeam, that is publicly available, or that is otherwise available to Masterfile Corporation.

4. The Gale Team objects to Masterfile s discovery requests to the extent that theyare overly broad, unduly burdensome, or not reasonably calculated to lead to the discovery ofadmissible evidence.

5. The Gale Team objects to Masterfile s discovery requests to the extent that theycall for speculation.

6. The Gale Team specifically reserves the right to introduce attrial all evidenceincluding evidence which is presently known to them but not deemed material or not known tothem, and/or which is discovered subsequent to the date of these Responses, and reserves theright to amend these Responses without motion at any time. All of the Responses containedherein are based only on the information and documents presently available to The Gale Team atthis stage in the litigation and discovery process. The Gale Team anticipates that furtherdiscovery, independent investigation, legal research and analysis will supply additional facts, addmeaning to known facts, and establish additional and different factual and legal conclusions, all

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of which may lead to additions to, changes in, and/or variations from the statements set forthbelow.

Each of the foregoing general objections is iricorporated into each response below.SECOND SET OF REQUESTS F OR ADMISSION

REOUEST NO. 1: Admit that images which look identical to each of the Masterfileimages at issue in this case (Masterfile image codes: 700-00008231, et al.) have appeared onYOUR WEBSITE.

ANSWER: AdmitREOUEST NO. 2: Admit that images which look substantially similar to each of the

Masterfile images at issue in this case (Masterfile image codes: 700-00008231, et al.) haveappeared on YOUR WEBSITE.

ANSWER: Admit.SECOND SET OF INTERROGATORIES

INTERROGATORY NO. 1: If YOU do not unequivocally admit Masterfile s Requestfor Admission No. l, above, DESCRIBE IN DETAIL the factual basis for YOUR failure to doso, and IDENTIFY all differences YOU claim exist between each of Masterfile s images(Masterfile image codes: 700-00008231, et al.) and similar images that have appeared on YOURWEBSITE.

ANSWER: No response required.INTERRO TORY NO.2: If YOU do not unequivocally admit Masterfi le s Requestfor Admission No. 2, above, DESCRIBE IN DETAIL the factual basis for YOUR failure to doso, and IDENTIFY all differences YOU claim exist between each of Masterfile s images

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(Masterfile image codes: 700-00008231, et al.) and similar images that have appeared on YOURWEBSITE,

ANSWER: No response required.INTERROGATORY NO.3: DESCRIBE IN DETAIL the use of all of the images on

YOUR WEBSITE, which are similar to the images at issue in this case (Masterfile image codes:700-00008231, et al.),INCLUDING when YOUR WEBSITE was created, when each of theimages was posted on YOUR WEBSITE, and when and how each of the images was removedfrom YOUR WEBSITE.

ANS\ilER: Subject to and without waiving their general objections, Defendants answerthat Gale Services P,C, purchased a completed presentation from Real Estate Power Tools inMarch 2004. Real Estate Power Tools uploaded the presentation to www.galeteam.com in April2004. RealEstate Power Tools protected the content of the presentation, and the Defendants didnot have any opportunity to alter the presentation, including any opportunity add or remove theImages from the presentation. Upon notice from Masterfile of its allegation of copyrightinfringement, Gale Services P.C. contacted Real Estate Power Tools and requested that theidentified images be removed from wuryv.galeteam.com Real Estate Power Tools removed theimages pursuant to the request from Gale Service P,C.

SECOID SET OF REOUESTS FOR PRODUCTIONREOUEST FOR PRODUCTION NO. 1: If YOU do not unequivocally admit

Masterfile s Requests for Admission Nos. I and2 above, produce all DOCUMENTSEVIDENCING any differences YOU claim exist between similar images that were on YOUR

4936242 |



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WEBSITE and the Masterfrle images at issue in this case (Masterfile image codes: 700-00008231, et al.).

NEB: No response required.REOUEST FOR PRODUCTION NO. 2: Produce all DOCUMENTS that support or

relate to YOUR ans\ryer to Masterfle's Interrogatory No. 3 above'ANSWER: Defendants will produce all properly responsive documents at a mutually

convenient time and location.DATED this I 8th day of June , 2010.

JONES WALDO HOLBROOK McDoNoUGH PC

/s/ Billie I SiddowavBy: Andrew G. DeissBillie J. SiddowayAt t o rney s fo r P I aint iff

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Wesley D. Felix (6539)Amber M. Mettler (11460)SNELL & WILMER t-.r-.p15 West South Temple, Suite 1200Gateway Tower WestSalt Lake City, Utah 84101Telephone: 801.257.1900Facsimile: 801.257.1 800Email: [email protected]@swlaw.comA n o rney s fo r P I a i nt iff Mas t e rJ I e C o rp o r at i o n

IN THE UNITED STATES DISTRICT COURTFOR THE DISTRICT OF UTAH, CENTRAL DIVISION

MASTERFILE CORPORATION,Plaintiff,

VS

MARTIN GALE, IbIAT}IE GALE TEAM;LAURIE GALE, d/b/A THE GALE TEAM;and GALE SERVICES,P.C., d/b/a THEGALE TEAM,

Defendants

DECLARATION OF DANIEL B.POI LACKCase No. 2:09-cv-966

Honorable Dee Benson



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I, Daniel B. Pollack, declare as follows:1. I am over the age of 18 years, a resident of Toronto, Ontario, Canada, and am

fully competent in all respects to testif, regarding the matters set forth herein.2. I am employed by Plaintiff Masterfile Corporation ( Masterftle ) as general

counsel. I have held this position since September 2010.3, I have personal knowledge of the facts set forth in this Declaration, except for

those facts stated on information and belief.4. In October 2009, Masterfrle retained Howrey LLP ( Howrey ), located in Salt

Lake City, Utah, to pursue Defendants and protect Masterfile's copyrights in this matter.5, After the Howrey firm dissolved, Masterfile retained Terry Jessop & Bitner, also

located in Salt Lake City, to continue to prosecute this litigation.6. Subsequently, in February 2013, Masterhle retained Snell & Wilmer, LLP, also

located in Salt Lake City, Utah, to continue to prosecute this litigation.7. According to the records of Masterfrle, which are maintained in the ordinary

course of business in connection with this matter's file, Howrey billed Masterfile a total of526,711.00 in attorneys' fees, and $925,45 in costs associated with this matter. The attorneysfrom Howrey who worked on this matter included Nicole A, Skolout, Aida Neimarlija, andWesley Felix, along with a paralegals, Shannon Macauley and Karmen Schmid. For the work ofthese attorneys and paralegals, Howrey charged $400, $410 and $460 per hour for Ms. Skolout,$280 per hour for Ms. Neimarlija, and $175 per hour for Ms. Macauley and Ms. Schmid. Mr.Felix, a partner at the Howrey firm, did not bill any of the time that he spent on this matter toMasterfile.

2



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8. According to the records of Master{ile, whioh are maintained in the ordinarycourse of business in connection with this matter's file, Terry, Jessop & Bitner billed Masterfilea total of 3,045.00 in attorneys' fees, and 104.12 in costs associated with this matter. Theattomey from Terry Jessop & Bitner who worked on this matter was Karmen Schmid, whosework was billed at the rate of 175 per hour.

9. Since being retained, Snell & Wilmer has bilted Masterfile a total of 3,217.50 inattomeys' fees associated withthis matter. The attorneys om Snell & Wilmer who worked onthis matter are Amber M. Mettler and Mr. Felix. Snell & Wilmer charges Masterfile 385.00 perhour for Mr. Felix's services and 325.00 per hour for Ms. Mettler's services.

l0' A breakdown of ali fees, including a reasonably detailed desution of the timespent and the work performed, is attached hereto as Exhibit A.

t I . Accordingly, Masterfile has incurred a total of 3 2,973 .50 in attorneys' feesassociated with proseouting this litigation.

12, In addition, Masterfile has incuned costs of I ,029,57 . A breakdown of aJl costsis attached hereto as Exhibit B,

13. I declare under penalty of perjury that the foregoing statements are true andcorrect to the best of my knowledge, information, and belief.

DATED this lst day of Apr1,20I3.

B. Pollack

J



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Terry Jessop & Bitner

Snell & Wilmer

Totalourly Rateummary of WorkPerformed Hoursttorney/ ParalegalName 3,0457.4 175repare motion forsummary judgment ondamages;communications withopposing counsel andclient

Karmen Schmid

Totalours Hourly Rateummary of WorkPerformedAttorney/ ParalegalName 3,217.50.90 325mber M. Mettler Prepare motion forsummary judgment ondamages;communications withclient 380repare motion forsummary judgment ondamages;communications withclient

Wesley Felix

973.s0Total Fees

5



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EXHIBIT B: Summary of CostsHowrey LLP

Terry Jessop & Bitner

Description AmountFiline fee for Complaint 3s0.00Service of Comolaint lmileaee fees) 20.35Photocopies 224,90Lexis lcgal research 330,20Total s925.45

Description AmountWestlaw and related leeal research s102.32Photocopies 1.80Total 104.12Total Costs s1.029.57

6



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V/esley D. Felix (6539)Amber M. Mettler (11460)SNELL WILMERrrp15 West South Temple, Suite 1200Gateway Tower Vy'estSalt Lake City, Utah 84101Telephone: 801.257.1900Facsimile: 801.257,1800Email: [email protected]@swlaw.com

A t t or ney s fo r P I aint iff Mas t e rfi e C o rp o r at i o n

MASTERFILE CORPORATION,Plaintift

vs.MARTIN GALE, d/b/A THE GALE TEAM;LAURIE GALE, dlblaTHB GALE TEAM; andGALE SERVICES,P.C., dlblaTHE GALETEAM,

Defendants

IN THE UNITED STATES DISTRICT COURTFOR THE DISTRICT OF UTAH, CENTRAL DIVISION

DECLARATION OF WESLEY D. FELIXCase No. 2:09-cv-966Honorable Dee Benson



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I, V/ESLEY D. FELIX, declare as follows:

L I am over the age of l8 years, a resident of Salt Lake City, Utah, and am fully competentin all respects to testify regarding the matters set forth herein'

2. I am an attorney, a member in good standing of the Utah State Bar, and admitted topractice law before all federal and state courts in the State of Utah. Snell & Wilmer, L'L.P' ( Snell &Wilmer ) and I are counsel for Plaintiff Masterfile Corporation ( Masterfile ) in this matter. Prior tojoining Snell &'Wilmer, I was an attorney at Howrey LLP ( Howrey ) until January 207l,which servedas counsel for Masterfile in this matter until 201 1 . I have personal knowledge of the facts set forthherein.

3. I have personal knowledge of the facts set forth in this Declaration, except for those factsstated on information and belief.

4. I have reviewed the hourly rates and bills by Masterfile's outside counsel in this matterand believe they are reasonable based on the attorneys' skills, experience, and reputations. Further, thework performed by Masterfile's attorneys during the course of prosecuting this litigation was necessaryand appropriate.

5. I declare under penalty of perjury that the foregoing statements are true and correct to thebest of my knowledge, information, and belief,

DATED rhistelday of April,2013.


58.1 apendix - exhibits 1-3

Documents