  By Eric Goldman  Dudnikov v. MGA Entertainment, 2005 WL
3693829 (D. Colo. Aug. 17, 2005) [see the earlier Magistrate
report]  This one just showed up on my radar screen–not sure why
it took so long to appear on Westlaw. However, this is an
interesting case because it adds to the sparse 17 USC 512(f)
caselaw. It’s also the first case I know of that addresses the
legal consequences of eBay’s VeRO program.  Plaintiffs sell
various items on eBay, including fleece hats with a “Bratz
applique affixed to it.” Defendant owns the IP rights in the
Bratz brand and believes that the auctioning of the hats
infringes their IP rights. [I don't know the Bratz brand and I'm
not sure what it means to affix an applique, but the plaintiffs
believe they are protected by the First Sale doctrine--which,
depending on where the applique comes from, may be a legitimate
argument].  Therefore, defendant submitted a notice of claimed
infringement under eBay’s VeRO program to shut down the
plaintiffs’ auctions. The plaintiffs then initi