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Presented by: 
Lawrence G. Walters, Esq. 
larry@firstamendment.com 
WWW.FIRSTAMENDMENT.COM 
WWW.WEBLAWNETWORK.COM
Current Legal Issues Facing 
Cam Models
--Current Legal Issues Facing Cam Models: 
1) Visa/Immigration/Workplace Issues 
• Ensure timely compliance with 
all immi...
--Current Legal Issues Facing Cam Models: 
2) Payment/Banking Issues 
• Compliance with U.S. law 
essential for payment 
p...
--Current Legal Issues Facing Cam Models: 
3) Studio/Network Relationship 
• Content control / standards 
• Legal agreemen...
--Current Legal Issues Facing Cam Models: 
4) Cam Model Performance Agreements 
• Carefully read 
waivers/releases/license...
--Current Legal Issues Facing Cam Models: 
5) Age Verification/Documentation/2257 
• Age verification records 
generation ...
Current Legal Issues Facing 
Cam Network & Studio 
Operators
--Current Legal Issues Facing Operators: 
1) Corporate Structuring/Asset Protection/Tax 
• Corporate entity options 
• Cor...
--Current Legal Issues Facing Operators: 
2) Trade Practices/FTC/Unfair Business 
Regulation 
• Disclosures, Disclaimers, ...
--Current Legal Issues Facing Operators: 
3) Age Verification/Documentation/2257 
• Records generation and 
maintenance 
•...
--Current Legal Issues Facing Operators: 
4) Content/Performance Controls on Models 
• Underage content 
• Friends, other ...
--Current Legal Issues Facing Operators: 
5) Payment Processing/Alternative Currencies 
• Compliance with U.S. law for U.S...
--Current Legal Issues Facing Operators: 
6) Cross-border Legal Compliance 
• Compliance with age verification and 
privac...
--Current Legal Issues Facing Operators: 
7) Website Operation 
• Section 230 Immunity 
• Deals with defamation, publicity...
Structuring the Legal 
Relationship Between Models, 
Studios & Operators
Balancing Acquisition & Retention 
• Who owns what? 
of Rights 
• Model owns: publicity rights, privacy rights, commercial...
Model Performance Agreement 
• Must address all applicable: 
• Copyrights 
• Trademarks 
• Publicity Rights 
• Privacy Rig...
IP License: Important Considerations 
• Scope 
• Duration 
• Media Limitation 
• Geographic Restrictions
Important Clauses Not To Be Forgotten 
• Non-compete 
• Nondisclosure 
• Non-solicitation 
• Non-disparagement
The Future of Camming: 
Legal Outlook
Top 5 Recommendations for Cam Models: 
1. Register a unique character name 
with the USPTO 
2. Maintain an electronic 2257...
Top 5 Recommendations for Network Operators 
1. Carefully consider corporate structure 
2. Accept digital currency 
3. Pro...
Q&A
Follow Up Questions 
Walters Law Group 
Lawrence G. Walters 
larry@firstamendment.com 
800.530.8137 
Skype: webatty
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Camming Con 2014 - Larry Walters

  1. 1. Presented by: Lawrence G. Walters, Esq. larry@firstamendment.com WWW.FIRSTAMENDMENT.COM WWW.WEBLAWNETWORK.COM
  2. 2. Current Legal Issues Facing Cam Models
  3. 3. --Current Legal Issues Facing Cam Models: 1) Visa/Immigration/Workplace Issues • Ensure timely compliance with all immigration requirements • Carefully describe nature of business activities • Keep paperwork up-to-date
  4. 4. --Current Legal Issues Facing Cam Models: 2) Payment/Banking Issues • Compliance with U.S. law essential for payment processors • Mainstream payment processors may not be familiar with service • Acceptance of alternative currency, cash out, etc.
  5. 5. --Current Legal Issues Facing Cam Models: 3) Studio/Network Relationship • Content control / standards • Legal agreement, policies • Negotiation? • Audits • Appeals/Contests • Liability • Penalties • Liquidated Damages • Suspension/Termination • Compensation • Frequency, method, currency, disputes
  6. 6. --Current Legal Issues Facing Cam Models: 4) Cam Model Performance Agreements • Carefully read waivers/releases/licenses • Intellectual property ownership & allocation issues • Revenue sharing • Payment frequency, methods, etc.
  7. 7. --Current Legal Issues Facing Cam Models: 5) Age Verification/Documentation/2257 • Age verification records generation • Other age-related records, urls, copies of recordings, etc. • Records maintenance • Compliance with Section 2257 in U.S. vs. laws in other jurisdictions
  8. 8. Current Legal Issues Facing Cam Network & Studio Operators
  9. 9. --Current Legal Issues Facing Operators: 1) Corporate Structuring/Asset Protection/Tax • Corporate entity options • Corps, LLC’s, DBA’s, LLP’s • Domestic or foreign formation • Tax/IRS issues • Asset Protection • Trusts, receiverships, etc. • Holding companies
  10. 10. --Current Legal Issues Facing Operators: 2) Trade Practices/FTC/Unfair Business Regulation • Disclosures, Disclaimers, Promotions & Releases • Trade practices of third party affiliates or advertisers • Adequate, obvious, and conspicuous disclosures • Placement, appearance and location of disclosures • Consumer protection goals
  11. 11. --Current Legal Issues Facing Operators: 3) Age Verification/Documentation/2257 • Records generation and maintenance • Implementation of Anti-Human Trafficking Standards • Reporting requirements • Publication of notices and resources
  12. 12. --Current Legal Issues Facing Operators: 4) Content/Performance Controls on Models • Underage content • Friends, other models • Simulated v. actual underage material • Reporting obligations under Section 2258A • Extreme behavior • Bestiality • Cutting • Breath play • Level of control may impact §2257 • Unauthorized third parties on cam • No acquisition of rights, 2257 info, releases or ID’s
  13. 13. --Current Legal Issues Facing Operators: 5) Payment Processing/Alternative Currencies • Compliance with U.S. law for U.S. based payment processors • Acceptance of alternative currencies • Refund/charge back policies • Risk mitigation
  14. 14. --Current Legal Issues Facing Operators: 6) Cross-border Legal Compliance • Compliance with age verification and privacy policies in other jurisdictions • International and local tax issues • Impact of U.S. law on foreign operators and performers
  15. 15. --Current Legal Issues Facing Operators: 7) Website Operation • Section 230 Immunity • Deals with defamation, publicity rights, and typical state level civil disputes, excluding intellectual property and federal criminal prosecution • DMCA Safe Harbor • Deals exclusively with copyright liability • Protects only the network operator • User Agreements, Policies & Disclosures • Section 2257 Labeling Obligations & Exemptions • Copyright/Trademark/Domain Name Issues
  16. 16. Structuring the Legal Relationship Between Models, Studios & Operators
  17. 17. Balancing Acquisition & Retention • Who owns what? of Rights • Model owns: publicity rights, privacy rights, commercial exploitation rights • Copyrights owned by either model or photographer, can be assigned or retained and licensed • Network operator owns source code, domain name, trademarks, copyrights to certain elements • Rebill rights, customer database • Model presumably owns trademarks, but can be assigned or licensed • Danger area for models • Ensure discussion of right to use model’s real name & character, persona or stage name ownership
  18. 18. Model Performance Agreement • Must address all applicable: • Copyrights • Trademarks • Publicity Rights • Privacy Rights • Persona/Character Rights
  19. 19. IP License: Important Considerations • Scope • Duration • Media Limitation • Geographic Restrictions
  20. 20. Important Clauses Not To Be Forgotten • Non-compete • Nondisclosure • Non-solicitation • Non-disparagement
  21. 21. The Future of Camming: Legal Outlook
  22. 22. Top 5 Recommendations for Cam Models: 1. Register a unique character name with the USPTO 2. Maintain an electronic 2257 Age Verification database 3. Incorporate, Incorporate, Incorporate 4. Don’t escort 5. Encourage acceptance of digital currency
  23. 23. Top 5 Recommendations for Network Operators 1. Carefully consider corporate structure 2. Accept digital currency 3. Protect your IP 4. Revamp web docs regularly 5. Implement robust Age Verification policies
  24. 24. Q&A
  25. 25. Follow Up Questions Walters Law Group Lawrence G. Walters larry@firstamendment.com 800.530.8137 Skype: webatty

Camming Con 2014 - Larry Walters

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