Also known as:misappropriation doctrine · misappropriation
Written by attorneys · grounded in primary & secondary sources — see below
A principle that imposes liability for the unauthorized taking and commercial exploitation of another's intangible property or identity when the appropriation causes harm and unjust enrichment.
Sources & Authorities
How it applies
Common Examples
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Unauthorized Biography Use
Danielle Dixon wrote a book detailing the life story of a famous athlete without permission and sold it for profit. The athlete sued, claiming the commercial exploitation of his identity caused harm. The court found liability because the use unjustly benefited Dixon by trading on the athlete's identity.
Lawyer Reporting Duty
Dylan Duffy learned from a client that another attorney had taken client funds without authorization. Duffy considered the client's request to stay silent but reported the conduct to disciplinary authorities anyway. The obligation to report persisted despite the client's wishes because the information was not protected as confidential.
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Cases
Statutes
Model Codes
Common Law
Study Supplements
Deborah Dunn, an attorney, transferred client trust money into her personal account intending to replace it later. No client suffered loss and Dunn had an otherwise clean record. Disbarment followed because the knowing unauthorized use of entrusted funds constituted serious misconduct.
Hot News Copying
Dawson Steel gathered breaking financial stories and sold them to subscribers under strict timing rules. Dynamic Solutions copied the facts from early editions and retransmitted them to its own western clients for immediate publication. The court enjoined the copying while the stories retained commercial value.
International News Service v. Associated Press248 U.S. 215 (1918)
Trade Dress Copying
Duffy Construction opened restaurants using the exact same layout, color scheme, and menu presentation as Delta Dynamics locations. Customers confused the two chains and sales at Delta Dynamics declined. The copying supported a claim because the distinctive appearance had acquired secondary meaning.
Two Pesos, Inc. v. Taco Cabana, Inc.505 U.S. 763, 768 (1992)
Posthumous Likeness Use
Denise Donovan licensed Bela Lugosi's image from a film studio for use in merchandise decades after the actor's death. Lugosi's heirs objected, asserting a continuing property interest in the commercial exploitation of the likeness. The claim failed because the right of publicity did not survive the actor's death under state law.
Lugosi v. Universal Pictures25 Cal. 3d 813, 160 Cal. Rptr. 323, 603 P.2d 425
Common questions
Frequently Asked
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Does the doctrine require proof that the plaintiff suffered actual financial loss?+
No. Liability can arise from unjust enrichment even without demonstrated loss to the plaintiff, as the focus is on the defendant's unauthorized exploitation of the protected interest.
Supporting sources
Can the doctrine apply to information that is not protected by copyright or patent?+
Yes. The doctrine protects commercially valuable intangibles created through investment when the defendant appropriates them at little cost, filling gaps left by formal intellectual property regimes.
Supporting sources
Is the doctrine limited to news or media contexts?+
No. Courts have applied it to sports scores, trade dress, and other intangible commercial values when substantial investment creates the asset and the defendant free-rides on that investment.
Supporting sources
248 U.S. 215 (1918)Property
…has the characteristics of quasi-property as between competitors, sufficient to support an action for unfair competition by misappropriation. 2. The injunction against INS’s appropriation of AP’s fresh news is affirmed. 3. INS may not use the AP’s news as the source of its own news while the news retains commercial value,…