Malibu Media Ordered to Pay Sanctions

MILWAUKEE — Attorneys for Malibu Media were sanctioned yesterday by a federal judge, who said penalties would act as a deterrence over abusive attempts to coerce porn-piracy defendants into settlements.

Malibu Media produces and distributes content mostly through X-Art.com and has become one of the most prolific companies when it comes to consumer piracy litigation.

Yesterday, U.S. District Judge Rudolph Randa said he followed the lead of two other Wisconsin federal jurists who earlier this year directed Malibu Media to show cause as to why it shouldn't be sanctioned for attaching exhibits that help paint pictures of alleged infringers still identified as John Does.

In the present consolidated case involving three piracy defendants, Malibu Media vigorously defended its decision to attach such exhibits to its complaints, Randa said.

The exhibits included form entries from alleged porn-piracy defendants over questions about authorized household users and the distance from defendant residences to closest neighbors, among others.

Malibu Media explained that it hired a company called IPP International to "expand the universe of .torrent files that are scanned" as part of Malibu Media’s pre-suit investigation.

The results were the exhibits that were used as a cross-reference tool to help identify alleged infringers of its own films and other movies — even some that  Malibu Media doesn't hold copyrights to.  

But Randa said that even if the exhibits were somehow relevant or useful in this game of “whodunit,” there would be no legitimate justification for Malibu Media to attach the exhibit to its complaints.

"This is simply an additional form of coercion," Randa said. "The subscriber might attempt to shift blame to someone else, but the subscriber would still feel substantial pressure to accept the blame, especially if the actual infringer is a family member or other close relation.

"Either way, the choice between outing yourself or one of your relatives as an alleged connoisseur of extreme pornography isn’t a very appealing scenario."

Randa yesterday ordered Malibu Media attorneys to pay up $600 in sanctions to the court as "a measure of deterrence" for improper conduct.

Records obtained by XBIZ show the studio has waged 1,548 copyright infringement lawsuits in the past two years. Its earliest cases last year typically listed swarms of defendants, but because of numerous dismissals by jurists the cases now are mostly targeting solo defendants.

"Obviously, the use of [the exhibits] is, or was, part of an overall pattern of abusive litigation practices," Randa said. "Malibu Media is a sophisticated litigant, so it should not be allowed to avoid sanctions simply by adapting its tactics after being questioned by multiple federal judges.

"Malibu Media and its counsel should not be allowed to abuse the legal system in this manner without being called to account for it."

Randa yesterday also granted the technology-rights group Electronic Frontier Foundation's friend-of-the-court brief in support of sanctions in the case.

Kurt Opsahl, a staff attorney at EFF, told XBIZ that the group is pleases that Randa accepted its amicus brief and agreed that Malibu Media abused the legal system. 

"The salacious but irrelevant titles on Malibu’s [exhibit list] served no legitimate purpose in a complaint," Ophahl said. "Their only purpose is to coerce defendants to settle, based not on the merits of the case but on the reputational harm of being publicly associated with hardcore pornography — a purpose of harassment and embarrassment forbidden by the federal court's rules. While copyright owners have a right to enforce their copyrights, they must follow the same rules and observe the same standards of conduct as all other federal litigants.

"While $200 [per each of the three defendants] is not a particularly high penalty, the case sets the third precedent establishing this behavior is abusive. This serves a a strong warning to others who might consider following this path, and later judges may well issue sanctions substantially higher."

View order for sanctions

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

AEBN Publishes Popular Searches by Country for December, January

AEBN has released the list of popular searches from its straight and gay theaters, by country, for December and January.

Jim Austin Joins CrakRevenue Team

Strategist Jim Austin has been hired by CrakRevenue.

Judge Dismisses NCOSE-Backed Suits Against Adult Sites Over Kansas AV Law

A federal judge on Tuesday dismissed lawsuits brought against two adult websites in Kansas for alleged violations of the state’s age verification law.

Aylo/SWOP Panel Spotlights Creators' Struggle for Digital, Financial Rights

Aylo and Sex Workers Outreach Project (SWOP) Behind Bars presented, on Tuesday, an online panel on creators’ rights, debanking and deplatforming.

AV Bulletin: Canada, Italy, Australia Updates

Since the Supreme Court’s decision in Free Speech Coalition v. Paxton, more state age verification laws have been enacted around the United States, as well as proposed at the federal level and in other countries. This roundup provides an update on the latest news and developments on the age verification front as it impacts the adult industry.

Holly Randall Soft Launches 'Wet Ink' Magazine

Holly Randall has officially soft-launched the creator-focused publication Wet Ink Magazine.

Virginia 'Porn Tax' Bill Delayed Until 2027

A Virginia House of Delegates subcommittee on Monday voted to postpone until next year consideration of a bill that would impose a 10% tax on the gross receipts of adult websites doing business in that state.

Virginia Becomes Latest State to Weigh 'Porn Tax'

The Virginia House of Delegates is considering a bill that would impose a 10% tax on the gross receipts of adult websites doing business in that state.

Elizabeth Skylar Launches Production Banner on VRPorn.com

Elizabeth Skylar has launched her own virtual reality production banner on VRPorn.com.

CrakRevenue Introduces 'Trend Explorer' Feature for Affiliates

CrakRevenue has debuted the new Trend Explorer feature for its affiliates.

Show More