Perfect 10 Lawsuit Tossed

BEVERLY HILLS, Calif. – After suing Visa and MasterCard in January for contributory and vicarious infringement, the owner of Perfect 10 Inc., Norman Zada, saw his case tossed by a judge from the U.S. District Court for Northern California.

Zada waged war against the two largest credit card behemoths in January of this year, along with First Data Corp., Cardservice International and Humboldt Bank.

Perfect 10 holds copyrighted images of nude and topless women who have not been surgically enhanced and makes that content available on a subscription basis through the Perfect 10 website and a quarterly magazine.

Zada's complaint accused the two credit card companies and banks of facilitating and profiting from the illegal use of copyrighted material on adult entertainment websites.

The complaint stated that Visa and MasterCard have made large sums of money from the sale of pirated adult content and should be held liable for any related copyright violation.

However, in an Aug. 5 ruling, Judge James Ware dismissed the allegations as failing to provide enough facts that the credit card companies and their affiliates participated, knowingly or not, in copyright infringement of Perfect 10's content.

Zada told XBiz in an earlier interview that over the past six years he has lost more than $29 million to copyright infringement and along with that, nearly $8 million in legal fees defending content for his Perfect 10 website and magazine.

After pumping most of his capital into producing quality content, Zada said he didn't realize webmasters were going to steal his images faster than he could produce them.

The August ruling comes on the heels of another ruling in a similar case against three payment processing companies for copyright and trademark infringement, unfair competition, false advertising, violation of right of publicity and RICO (Racketeer Influenced and Corrupt Organizations) Act violations.

Zada's lawsuit against CCBill, iBill, and Internet Key was rejected in July by U.S. District Judge Lourdes G. Baird based on the determination that the three companies did not directly or knowingly infringe on Perfect 10's content and that they qualified for safe harbor protections under the Digital Millennium Copyright Act, which limits online service providers from copyright infringement liability, among other conditions.

The plaintiffs argued that safe harbor only applied to search engines like Yahoo and Google, which locate and link to sites they are not affiliated with. But Baird said that a company that linked to a limited network of sites with which it had contractual relationships still qualified under the safe-harbors provisions.

Both decisions are a major setback to Zada, after spending years pursuing alleged copyright infringers. In 2002 Zada won a preliminary injunction against Cybernet Ventures Inc., the owners of adult verification service Adult Check. A similar lawsuit against Paycom was dismissed in 2002.

Zada has said that his company will appeal Ware's ruling.

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

2026 XBIZ Miami Conference Schedule Announced

XBIZ is pleased to announce the release of the full show schedule for XBIZ Miami, set to take place May 11-14 at the Goodtime Hotel in South Beach.

Court of International Trade Rejects Trump 'Replacement' Tariffs

The U.S. Court of International Trade on Thursday ruled that President Trump’s 10% global tariff under the Trade Act of 1974, imposed after the Supreme Court invalidated the administration’s broad “Liberation Day” tariff regime, is illegal — but stopped short of a nationwide injunction against the tariff.

UPDATED: Utah VPN Rule Enforcement Paused in Aylo Lawsuit

Provisions of a new Utah law making adult websites liable if minors in the state circumvent geolocation efforts to bypass age verification, which were set to come into force on Wednesday, have been put on hold until Sept. 3.

JustFor.fans Launches 'JFF Create' iPhone App

JustFor.fans (JFF) has launched its new iPhone creator management app, JFF Create.

ShootXEvents Joins ASACP as Media Sponsor

ShootXEvents has signed on as an in-kind media sponsor for the Association of Sites Advocating Child Protection (ASACP).

Pornhub Unblocks UK Users on iOS Devices, Citing Apple AV Effectiveness

Pornhub parent company Aylo on Tuesday announced that users in the United Kingdom will once again be able to access the popular site if they are using Apple devices and have confirmed their age through Apple’s U.K. age-verification process.

North Carolina Weighing Tax on Brick-and-Mortar Sales of Adult DVDs, Mags

The North Carolina state legislature is considering a bill that would impose a new 10% tax on adult DVDs, magazines and other visual material sold by physical retailers in the state.

FSC Launches 'Know Your Rights' 1st Amendment Resource Page

The Free Speech Coalition (FSC) has launched "Know Your Rights," a resource page detailing First Amendment protest guidelines.

Utah VPN Rule for Adult Sites Takes Effect This Week

A new law in Utah comes into force Wednesday, making adult websites liable if minors in the state circumvent geolocation efforts to bypass age verification.

UPDATED: Court Approves Class Action in Labor Claims Against VMG

A U.S. district court has granted class certification in a civil lawsuit filed against Vixen Media Group (VMG) by retired performer Kenzie Anne, making it possible for additional performers to join in a class action against the company.

Show More