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Technology Replacement Clause Requires Actual Replacement

Client Alert | less than 1 min read | 09.28.10

Some technology contracts have included "replacement" clauses which put limits on the agency's use of its termination for convenience power to flip to another vendor simply to get a better price. The Federal Circuit in McHugh v. DLT Solutions, Inc. (Sept. 23, 2010), held that, when the agency in such a clause had only agreed not to "replace" the leased software with "functionally similar equipment and/or software" for one year after termination or expiration of the lease, it did not breach when it did not install the leased software and continued to use its prior software.

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Client Alert | 4 min read | 04.01.26

Supreme Court Rejects “Mere Knowledge” Standard for Contributory Copyright Infringement in Cox v. Sony, Reverses $1 Billion Judgment Against Cox

On March 25, 2026, in Cox Communications, Inc. v. Sony Music Entertainment, the U.S. Supreme Court reversed a $1 billion verdict against Cox. The judgment was the result of a jury trial in which Sony claimed that Cox was liable for contributory copyright infringement because it knew that its customers were using its service to infringe yet did not respond with sufficient diligence to prevent that infringement....