Custom Copies, Inc., prepares and sells course packs, which contain compilations of readings for college courses. A teacher selects the readings and delivers a syllabus to the copy shop, which obtains the materials from a library, copies them, and binds the copies. Blackwell Publishing, Inc., which owns the copyright to some of the materials, -led a suit, alleging copyright infringement. Custom Copies -led a motion to dismiss for failure to state a claim.

(a) Custom Copies argued, in part, that creating and selling did not "distribute" the course packs. Does a copy shop violate copyright law if it only copies materials for course packs? Does the copying fall under the "fair use" exception? Should the court grant the defendant's motion? Why or why not?

(b) What is the potential impact of copying and selling a book or journal without the permission of, and the payment of royalties or a fee to, the copyright owner? Explain.