This paper reveals how theory of copyright has developed from history. From The Statute of Anne in 1710 to Wheaton v. Peters in 1834 where different aspects of copyright were put forward. This paper also deals with creation of American copyright by a utilitarian, rather than a natural-law, impulse, the language of the Copyright Clause was borrowed directly from the Statute of Anne. And origin of Fair use and how fair use doctrine has been hailed as a powerful check on the limited monopoly that a copyright grants. Comparison between fair use and natural copyright and how English courts recognized the fair use doctrine, which is considered as the most significant limitation on a copyright owner's exclusive rights during the copyright's term. And finally condition of copyright in India has been discussed and few suggestions were given.