We previously have written about the copyright suit by North Jersey Media Group, Inc. (NJMG) against Sarah Palin and SarahPAC based on a Facebook note by Palin commemorating the attack on the World Trade Center on September 11, 2001:
The Facebook note used an iconic image of three firefighters raising the flag at Ground Zero.

Although the Complaint and Amended Complaint alleged that the photo was used for fundraising, neither of those court filings demonstrated specific fundraising use. Instead, the claim appears to be that anything Palin did for SarahPAC implicitly was fundraising.
I expected the case to settle, not because of any inside knowledge, but because the use was not for commercial advantage, and was taken down immediately. There was question as to whether Palin and SarahPAC even received actual notice of a take-down demand. Suit in federal Court was filed just two days after the Facebook entry.
Apparently the suit has not settled, because Palin's attorneys filed a
Motion to Dismiss in court yesterday. (Full motion and supporting Memorandum embedded at bottom of this post.)
In the Motion to Dismiss, Palin and SarahPAC argue: