857 F. Supp. 679 (N.D. Cal. 1994)
The defendants in this copyright and trademark infringement case operated an electronic bulletin board service called “MAPHIA” which allowed for, and actively encouraged, the upload and download of unauthorized versions of copyrighted Sega video games. Sherman, the owner and main operator of MAPHIA, profited from those services by selling game copiers which allowed for game play. Moreover, the court found that many of the games were located in files on defendants' computer bearing the name Sega, and the SEGA trademark also appeared when a Sega game downloaded from the bulletin board was run. Sega brought this action against the defendants, charging them with federal copyright and trademark infringement, unfair competition, and false designation of origin, as well as the violation of a series of California statutes.