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LOS ANGELES (AP) — A jury on Monday found that Katy Perry's 2013 hit "Dark Horse" improperly copied a 2009 Christian rap song, setting up arguments over how much the singer and other defendants will owe.Monday's decision returned by a nine-member federal jury in a Los Angeles courtroom came five years after Marcus Gray and two co-authors first sued alleging "Dark Horse" stole from "Joyful Noise," a song Gray released under the stage name Flame.The case now goes to a penalty phase, where the jury will decide how much the plaintiffs are owed for copyright infringement.Gray's attorneys argued that the beat and instrumental line featured through nearly half of "Dark Horse" are substantially similar to those of "Joyful Noise.""Dark Horse," a hybrid of pop, trap and hip-hop sounds that was the third single of Perry's 2013 album "Prism," spent four weeks atop the Billboard Hot 100 in early 2014, and earned Perry a Grammy nomination.Perry's attorneys argued that the song sections in question represent the kind of simple musical elements that if found to be subject to copyright would hurt music and all songwriters."They're trying to own basic building blocks of music, the alphabet of music that should be available to everyone," Perry's lawyer Christine Lepera said during closing arguments Thursday.Perry and the song's co-authors, including her producer Dr. Luke, testified during the seven-day trial that none of them had heard the song or heard of Gray before the lawsuit, nor did they listen to Christian music.Gray's attorneys had only to demonstrate, however, that "Joyful Noise" had wide dissemination and could have been heard by Perry and her co-authors, and provide as evidence that it had millions of plays on YouTube and Spotify, and that the album it's included on was nominated for a Grammy."They're trying to shove Mr. Gray into some gospel music alleyway that no one ever visits," said plaintiffs' attorney Michael A. Kahn during closing arguments, when he also pointed out that Perry had begun her career as a Christian artist.Kahn and Gray declined comment but smiled as they left the courtroom after the verdict.The 34-year-old pop superstar and "American Idol" judge brought laughs to the proceedings when she testified during its second day, and her lawyers were having technical troubles getting "Dark Horse" to play in the courtroom."I could perform it live," Perry said.No performance was necessary after the audio issues were fixed. Jurors heard both songs played back-to-back in their entirety at the end of closing arguments this week.Perry was not present for the reading of the verdict Monday afternoon. 2651

LOS ANGELES (CNS) - The Securities and Exchange Commission announced Friday that Calabasas-based Cheesecake Factory Inc. will pay a 5,000 penalty for making "false or misleading" disclosures about the impact of the COVID-19 pandemic on its business operations and financial condition.This is the first time the SEC has brought allegations against a public company for misleading investors about the financial effects of the pandemic.According to the SEC's order, the Cheesecake Factory restaurant group said in regulatory filings in March and April that its eateries were "operating sustainably," while failing to disclose that the company was losing roughly million in cash per week and had just 16 weeks of cash remaining.The order finds that although the company did not disclose the information in its filings, the group did share the particulars with potential private equity investors or lenders as it sought additional liquidity during the public health crisis.Without admitting the SEC's findings, the restaurant company agreed to pay the penalty and to cease-and-desist from further violations of the charged provisions. In determining to accept the settlement, the SEC said it considered the cooperation afforded by the company.A Cheesecake Factory representative pointed to a disclosure form filed Friday in which the company stated it was in full compliance with the cease- and-desist order and that the company "fully cooperated with the SEC in the settlement" without admitting or denying the regulators' allegations.The order also finds that although the March filing described actions the company had undertaken to preserve financial flexibility during the pandemic, it failed to disclose that Cheesecake Factory already had informed its landlords that it would not pay rent in April due to the impacts that COVID- 19 inflicted on its business."During the pandemic, many public companies have discharged their disclosure obligations in a commendable manner, working proactively to keep investors informed of the current and anticipated material impacts of COVID-19 on their operations and financial condition," SEC Chairman Jay Clayton said. "As our local and national response to the pandemic evolves, it is important that issuers continue their proactive, principles-based approach to disclosure, tailoring these disclosures to the firm and industry-specific effects of the pandemic on their business and operations. It is also important that issuers who make materially false or misleading statements regarding the pandemic's impact on their business and operations be held accountable."Cheesecake Factory had notified its landlords that it wouldn't pay rent on April 1 due to financial complications stemming from the coronavirus outbreak. A letter sent by Chief Executive David Overton to the restaurant group's landlords -- many of which are shopping mall operators -- was released publicly in March by Eater L.A.The company has 294 restaurants in North America, 39 in California and five in San Diego County.Its largest landlord is Indianapolis, Indiana-based real estate company Simon Property Group, which provides space for 41 Cheesecake Factory locations, according to the San Fernando Valley Business Journal."When public companies describe for investors the impact of COVID-19 on their business, they must speak accurately," said Stephanie Avakian, director of the SEC's Division of Enforcement. "The Enforcement Division, including the Coronavirus Steering Committee, will continue to scrutinize COVID- related disclosures to ensure that investors receive accurate, timely information, while also giving appropriate credit for prompt and substantial cooperation in investigations." 3725

LOS ANGELES (AP) — The widow of a man who died in a fiery dive boat disaster that killed 34 people in waters off California is suing the vessel's owners.Christine Dignam, who lost her husband Justin Dignam, filed her claim Monday in Los Angeles federal court.The lawsuit against Santa Barbara-based Truth Aquatics is the first from a relative of those who died on the boat.RELATED: San Diego woman killed in deadly Conception boat fire off Santa BarbaraThe lawsuit is a counterclaim to a lawsuit filed pre-emptively by owners of the boat, called the Conception, to protect them from liability under a quirk of maritime law.The fire is the subject of ongoing criminal and safety inquiries by federal authorities. The blaze's cause has not been determined.Lawyers for the boat company did not immediately respond to emails seeking comment on the lawsuit. 860

LONG BEACH, Calif. (AP) — Authorities have identified three men who died after a gunman opened fire from an alley into a party, fatally shooting them and wounding nine others.Long Beach police say Thursday that 25-year-old Maurice Poe Jr., 35-year-old Melvin Williams II, and 28-year-old Ricardo Torres were slain in the attack.Authorities are still trying to find the gunman, who concealed his face as he fired the shots into the gathering of 25 to 30 people, including a group of co-workers, then fled in a vehicle. Other suspects may have been involved in the shooting.Police say the shooting was a targeted attack but not believed to be gang-related.Long Beach police did not have information Thursday regarding the conditions of the seven women and two men who were wounded. 787

LOS ANGELES (AP) — One of the deadliest accidents in recent U.S. maritime history was the fault of the owners of a dive boat whose lack of oversight resulted in a fire that swept through the vessel and killed all 34 people in their bunks below deck. The National Transportation Safety Board says Tuesday the Conception's captain failed to post a roving night watchman aboard the Southern California scuba dive vessel, which allowed the fire to quickly spread and trap the 33 passengers and one crew member. The NTSB also faulted the Coast Guard's inadequate regulations. Attorneys for the boat's owner and the captain did not immediately respond to requests for comment. 678

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