Former Prenda Law Counsel Loses Appeal in Minn.

Former Prenda Law Counsel Loses Appeal in Minn.

MINNEAPOLIS — A Minnesota appeals court today found that former Prenda Law attorney Paul Hansmeier should be held liable along with others for defendants’ attorneys fees and costs stemming from a porn piracy case.

The case involving Hansmeier stems from sanctions imposed and affirmed last year.

The Minnesota Court of Appeals had ruled on a decision affirming a district court’s $63,000 judgment for attorneys fees against Guava LLC, a company that held copyrights for a number of adult films.

The court agreed with a lower court that Guava and the Alpha Law Firm’s suit against the defendants misused the subpoena process and ended up as an attempt to “harass and burden non-parties through obtaining IP addresses to pursue possible settlement rather than proceed with potentially embarrassing litigation regarding downloading pornographic movies.”

Afterward, a judgment creditor moved to add Hansmeier as a judgment debtor because of the Prenda Law attorney’s ties to the Alpha Law Group.

The district court granted the motion after new evidence that came to light in the debtors’ examinations showing that Hansmeier had intentionally defunded the Alpha Law Firm’s bank account and that his testimony to the court had been inconsistent.

His actions, the district court said, necessitated it to “pierce the corporate veil” and hold him jointly and severally liable, along with the copyright holder and the Alpha Law Firm, which initially filed the case against the original defendant. Hansmeier, meanwhile, appealed the court’s finding.

In its decision today, the appeals court ruled that the district court did not abuse its discretion by piercing Alpha Law Firm’s corporate veil to hold Hansmeier liable as a judgment debtor.

The appellate panel wrote that “Hansmeier knew of the possibility of sanctions in this action, transferred Alpha’s money away, and terminated Alpha to avoid paying the judgments in this action.”

“The record supports those findings, which clearly show that Hansmeier abused the corporate-liability shield to avoid paying sanctions in a bad-faith lawsuit for which he was responsible,” the appeals court said. “Neither the judgment debtors’ motion to post funds nor John Doe’s opposition to that motion undermines the conclusion that Hansmeier operated Alpha in an unjust manner."

View today's ruling

Related:  

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More News

Flirt4Free Wins Trademark Infringement Case Against Copycat Website

The World Intellectual Property Organization (WIPO) has ruled in favor of Flirt4Free in a case against a copycat website using an infringing domain.

Irish PM Affirms Plan for UK-Style Ban on 'Extreme' Content

Ireland’s prime minister on Wednesday confirmed that his government is moving ahead with plans to introduce legislation criminalizing possession and distribution of “extreme” pornography, which he hopes to see passed by early 2027.

UK Parliamentary Group Calls for Outlawing Cam Platforms

The U.K. Parliament’s All-Party Parliamentary Group (APPG) on Commercial Sexual Exploitation has published a report in which it calls for banning adult livestreaming platforms.

Ofcom Escalates Sun Social, Superb Convert Investigations

U.K. media regulator Ofcom has ramped up its ongoing Online Safety Act (OSA) compliance investigations into PlayVids/PeekVids operator Sun Social Media and PimpBunny operator Superb Convert.

Centrobill Rolls Out Apple Pay, Google Pay Options

Centrobill has added Apple Pay and Google Pay options for merchants.

Judge Preliminarily Approves Pornhub Class Action Settlement

A U.S. District Court judge on Monday granted preliminary approval to a settlement between Aylo and the plaintiffs in two class-action lawsuits over allegations that former Pornhub parent company MindGeek knowingly allowed and profited from CSAM on its sites.

Roald Riepen Steps Down as CEO of IMC

Roald Riepen, CEO of International Media Company (IMC), is stepping down.

Ofcom Sets Timeline for Enforcing 'Extreme' Content Rules

Before U.K. media regulator Ofcom begins enforcing new laws criminalizing certain “extreme” adult content online, it will first hold a consultation in early 2027, and then provide updated guidance for sites and platforms.

FSC Publishes Guidance on New UK Pornography Laws

The Free Speech Coalition (FSC) has published information for its members on the United Kingdom's recently passed pornography laws, which take effect next week.

Brazil Issues Guide to Digital Safety Compliance

Brazil’s National Data Protection Agency (ANPD) published on Wednesday a new guide outlining online providers’ child-protection responsibilities under the Digital Statute for Children and Adolescents (Digital ECA), which requires adult websites to age-verify users located in Brazil.

Show More