Strike 3 Holdings, LLC v. John Doe subscriber assigned IP address 96.255.206.30 — Court permits early ISP subpoena but restricts identification, discovery, and settlement contacts

Background

Strike 3 Holdings, LLC sued one John Doe defendant for copyright infringement, alleging that the defendant used the BitTorrent file-distribution network to download adult films covered by Strike 3's copyrights. The complaint identified the defendant only through an IP address assigned by an internet service provider to a customer on a particular date. Strike 3 sought leave to serve a third-party subpoena before the Rule 26(f) conference so it could identify the account subscriber associated with that address. Rule 26(d)(1) ordinarily prevents discovery before the parties confer.

The court explained that an IP address is an electronic route to the internet rather than a physical place and may be reassigned among customers. It also acknowledged concerns raised in similar cases: connecting an address to a subscriber may not establish who downloaded the works, and the pornographic subject matter can create embarrassment and pressure to settle even when the subscriber was not responsible. The order cited decisions discussing wireless access by relatives, guests, or intruders and reports of coercive settlement practices. These were concerns informing discovery safeguards, not findings that Strike 3 had engaged in misconduct or that its infringement allegations were false.

The Court’s Holding

The court granted Strike 3's motion for early discovery, subject to detailed conditions. Strike 3 may obtain and serve a Rule 45 subpoena on the ISP for information identifying the subscriber, attaching the complaint and order. Before producing the information, the ISP must notify the subscriber about the suit and supply the subpoena, complaint, and order. The subscriber has 30 days from service of the subpoena to move to quash or seek other appropriate relief. A timely motion prevents production until the court rules; without one, the ISP must produce the information within 14 days. Strike 3 must reimburse the ISP's reasonable compliance costs and expenses, including attorney's fees.

A subscriber may challenge the subpoena anonymously but must give the Clerk a name and current address using the attached ex parte form. That contact information is withheld from Strike 3, and the court will not decide the subscriber's motion until the required information is supplied. Information produced by the ISP must be marked "Highly Confidential." Absent further court order, Strike 3 may use it only to assess whether Rule 11(b) supports amending the complaint to name the subscriber. Disclosure is limited to persons directly involved as attorneys representing Strike 3 in this action, and recipients must agree in writing to be bound by the order. Any amended complaint must publicly redact identifying information, with an unredacted copy filed under seal.

If the ISP information is insufficient to support an amended complaint, Strike 3 may depose the subscriber about responsibility for the alleged downloading. The deposition is limited to one hour, with privileges preserved, and no further discovery is allowed without court authorization. Strike 3 may not directly or indirectly initiate settlement communications with a Doe defendant identified through the subpoena or deposition unless the court approves. Settlement may occur under supervision of designated magistrate judges upon request, subject to Local Rule 607.4 confidentiality unless otherwise ordered. The restriction does not bar settlement communications with a represented Doe defendant. The order resolves early discovery and its safeguards; it does not adjudicate infringement or liability.

Key Takeaways

• Strike 3 received permission to serve an early Rule 45 subpoena on the ISP, but only under the order's express conditions.
• The subscriber receives notice and 30 days to move to quash, and a timely motion stays production until the court acts.
• An anonymous challenge still requires ex parte disclosure of contact information to the Clerk, not to Strike 3.
• ISP-produced information is highly confidential and may be used only to evaluate a Rule 11-compliant amended complaint unless the court permits otherwise.
• If further identification is needed, the order allows only a one-hour subscriber deposition and restricts unrepresented-defendant settlement overtures without court approval.

Why It Matters

The order illustrates a protective approach to BitTorrent copyright discovery: it permits a copyright owner to seek subscriber information while treating an IP address as an imperfect proxy for the person who allegedly infringed. The court's concern supports procedural safeguards rather than a categorical denial of discovery.

Its confidentiality, redaction, sealing, discovery, and settlement provisions are designed to reduce mistaken identification and coercive pressure. The ruling therefore determines how Strike 3 may investigate and potentially name a defendant, while leaving the merits of the copyright claim unresolved.