Wednesday, December 10, 2008 ILR Home Page

Weekly Alert  
 
December 10, 2008 
 

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Intellectual Property
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Internet Commerce
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Freedom of Speech
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Telecommunications
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Privacy & Security
· 
Taxation
· 
Jurisdiction & Procedure
· 
Criminal Liability
Latest Cases
Latest Pleadings, Motions, & Briefs
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Latest News 
 
INTELLECTUAL PROPERTY
 
Open Invention Network Announces 'Linux Defenders' Prior Art Resource Program 
 
Open Invention Network announced Dec. 9 the "Linux Defenders" program as a repository of prior art to help prevent the award of meritless patents for inventions based on the use of the Linux operating system.  The initiative, co-sponsored by the Software Freedom Law Center and the Linux Foundation, not only collects information on existing patents and publications, but adds a "defensive publication" option allowing ad hoc, current additions to the repository.  Subscribers read more ...

Other Intellectual Property news:
 
·  Watchdog Group Makes Recommendations to Obama on Internet, Copyright Issues
·  Qualcomm's Standards-Setting Misconduct Results in Limited Enforceability, Fees Award
·  New Tennessee Law Sets Campus Anti-Piracy Rules
·  VW Scores Domain Transfer from Foreign Infringer
·  Harvard Law Professor Challenges Copyright Act
·  Using Competitor's Trademarks in Domain Name, Metatags Held to Violate Lanham Act

 
Subscribers may search ILR's Intellectual Property database

INTERNET COMMERCE 
 
Kentucky Appeals Court Stays Gambling Domain Forfeiture Hearing Pending Appeal 
 
The Court of Appeals of Kentucky will consider Dec. 12 whether a state circuit court wrongfully ordered the seizure of 141 Internet domain names allegedly used for gambling activities illegal within the state.  Judge Thomas D. Wingate, in the Kentucky Circuit Court for Franklin County, held Oct. 16 that the domain names were a form of property subject to in rem jurisdiction in the state, and ordered them seized.  Subscribers read more ...

 
Other Internet Commerce news: 
 
·  Total Online Job Postings Fell 1.6 Percent in November, as New Job Ads Also Declined
·  Antitrust Claims Against Apple Fail; Mac OS License Warned of Aftermarket Restrictions
·  Viability of ALCOA, Price Squeeze Claim Post-Trinko Debated Before Supreme Court

 
Subscribers may search ILR's Internet Commerce database

FREEDOM OF SPEECH
 
CDT Asks New Administration to Prioritize Openness, Free Speech, User Privacy Online 
 
The Obama administration should get to work right away on pro-privacy, pro-openness initiatives if the Internet is to remain a dynamic platform for communication and commerce, the Center for Democracy and Technology said Dec. 9.  Topping the CDT's wish list are new federal laws in the areas of privacy and net neutrality, updates to existing computer-related statutes, and a vigorous commitment to free speech online.  Subscribers read more ...

 
Other Freedom of Speech news: 
 
·  Bush Signs Bill Into Law to Improve Blocking Technology
 
Subscribers may search ILR's Freedom of Speech database
 

TELECOMMUNICATIONS 
 
Consumer Advocates Say Stimulus Bill Should Not Give Incentives to Companies 
 
Two consumer advocacy groups Dec. 4 said any federal subsidies for building out broadband infrastructure that may be contained in a stimulus package should not be directed to private companies, but to local governments.  "Expanding broadband access should be a priority for the Obama administration, but we are adamantly opposed to just doling out taxpayers' money to [telecommunications] companies," said Gene Kimmelman, vice president of federal and international affairs at Consumers Union.  Subscribers read more ...

 
Other Telecommunications news: 
 
·  Martin Outlines December Agenda, Seeks Vote on Free Broadband Access
·  Net Neutrality Advocates Advise Obama to Select FCC, Trade Representative Carefully
·  Obama Economic Recovery Plan to Include Universal Broadband Access

 
Subscribers may search ILR's Telecommunications database

PRIVACY & SECURITY 
 
Microsoft to Cut Search Engine Data Retention to Six Months If Others Follow 
 
Microsoft Corp. announced Dec. 8 that the company is prepared to meet Internet search anonymization guidelines laid out by the European Union's Article 29 Working Party of data protection commissioners, but only if all search companies agree to do the same.  "We've evaluated the multiple uses of search data and believe that we can, in time, move to a six month timeframe while retaining our strong method of anonymisation," John Vassallo, Microsoft's vice president of EU Affairs, said in a statement.  Subscribers read more ...

 
Other Privacy & Security news: 
 
·  Adjudication Agencies Must Consider Privacy When Posting Case Decisions, Stoddart Says
·  Commerce Department Seeks to Impose Fees on U.S. Firms in EU Data-Transfer Safe Harbor
·  Some E-Mail Interceptions May Violate Wiretap Act
·  Commission Urges Obama to Create Cybersecurity Office Within White House

 
Subscribers may search ILR's Privacy & Security database 

TAXATION
 
Washington State Legislative Panel Summarizes Digital Goods Tax Options 
 
The Washington state joint legislative task force on taxation of electronically digital products Dec. 5 advised the Legislature that any tax legislation on digital products considered in the 2009 session should encompass "meaningful and easily administered broad-based business exemptions" while complying with the Streamlined Sales and Use Tax Agreement.  Changes in state tax law will be necessary to maintain compliance with the SSUTA, the committee said in its final report.  Subscribers read more ...

Other Taxation news: 
 
·  Notices Go Out to 13 Million Addresses in Nationwide Class Action Against Expedia
·  State Court Upholds Sales Tax on Shipping Charges
·  Interstate Internet Service Transmission Exempt from Sales Tax
·  COST Suggests Changes to Governance of SSUTA

 
Subscribers may search ILR's Taxation database

JURISDICTION & PROCEDURE 
 
E-Discovery Mistake Not Privilege Waiver, but Some E-Mails Turned Over as Sanction 
 
A plaintiff company's inadvertent disclosure of hundreds of sensitive e-mails did not waive its privileged status, the U.S. District Court for the Eastern District of Pennsylvania concluded Nov. 14, applying both the new federal rule on privilege waiver and a multifactor waiver test widely used by federal district courts.  Rhoads Industries, Inc. v. Building Materials Corp. of America, 2008 ILRWeb (P&F) 3075.  Subscribers read more ...

 
Other Jurisdiction & Procedure news: 
 
·  No High Court Review of CAN-SPAM Case Rejected for Lack of Personal Jurisdiction
 
Subscribers may search ILR's Jurisdiction & Procedure database

CRIMINAL LIABILITY 
 
MySpace Impostor Demands Acquittal, Says Showing She Read Website Terms Required 
 
The success of the government's prosecution of Lori Drew, a woman who allegedly violated the Computer Fraud and Abuse Act by creating a fictitious MySpace page, contrary to the site's Terms of Use, will likely hinge on the court's interpretation of the statute's intent requirement.  The jury returned a verdict Nov. 26 against Drew, a woman who allegedly violated MySpace terms of service by creating a profile purporting to be a teenaged boy to communicate with a teenaged girl who later committed suicide.  Subscribers read more ...

 
Subscribers may search ILR's Criminal Liability database
 

Latest Cases 
 
·  AOL, L.L.C. v. Iowa Department of Revenue, 2008 ILRWeb (P&F) 2899 [Iowa Ct App] (Company's Internet services were not subject to sales tax because the transmission between the member's computer in Iowa and the company's servers in Virginia did not occur "in the state")
·  Apple, Inc. v. Psystar Corp., 2008 ILRWeb (P&F) 3083 [ND Cal] (Antitrust claims against Apple fail; Mac OS license warned of aftermarket restrictions)
·  Arista Records LLC v. Usenet.com, Inc., 2008 ILRWeb (P&F) 3073 [SD NY] (Counterclaims dismissed because they constitute no affirmative cause of action and they are duplicative of affirmative defenses under DMCA)
·  Kean v. Wal-Mart Stores, Inc., 2008 ILRWeb (P&F) 3081 [Ill App Ct] (State court upholds sales tax on shipping charges)
·  Market America v. Optihealth Products, Inc., 2008 ILRWeb (P&F) 3079 [MD NC] (Use of plaintiff's trademarks as metatags and as keywords for Internet advertising subject defendants to jurisdiction in North Carolina)
·  Murray v. Financial Visions, Inc., 2008 ILRWeb (P&F) 3085 [D Ariz] (Allegations that a web host automatically forwarded certain clients' e-mail for secret monitoring may set out a colorable claim for e-mail interception in violation of the Wiretap Act)
·  Netcraft Corp. v. eBay, Inc., 2008 ILRWeb (P&F) 3203 [Fed Cir] (eBay and PayPal do not infringe a patent relating to Internet billing methods)
·  Qualcomm, Inc. v. Broadcom, Inc., 2008 ILRWeb (P&F) 3201 [Fed Cir] (Expanding on its 2003 Rambus decision on misconduct in standards-setting organizations, the court held that Qualcomm had a duty to disclose its patents to an SSO that eventually adopted a standard that, when implemented, infringed the patents)
·  Rhoads Industries, Inc. v. Building Materials Corp. of America, 2008 ILRWeb (P&F) 3075 [ED Pa] (Company's inadvertent disclosure of hundreds of sensitive e-mails did not waive its privileged status, but some e-mails turned over as sanction)
·  Rhoads Industries, Inc. v. Building Materials Corp. of America (Clarification Order), 2008 ILRWeb (P&F) 3077 [ED Pa] (Court issues clarifying order in e-discovery case that divides e-mails into two categories depending on whether the top e-mail in a string was properly noted on a privilege log)
·  Suarez Corp. Industries v. Earthwise Technologies, Inc., 2008 ILRWeb (P&F) 3043 [WD Wash] (Using competitor's trademarks in domain name, metatags held to violate Lanham Act)
·  United States v. Drew (Jury Verdict), 2008 ILRWeb (P&F) 3082 [CD Cal] (Defendant, whose actions on MySpace led to teen's suicide, found guilty on three counts of accessing a protected computer without authorization or in excess of authorization)
·  Volkswagen, AG v. volkswagentalk.com, 26 ILR (P&F) 129 [ED Va] (VW secures transfer of infringing domain name in ACPA in rem action)

 
Subscribers may search ILR's Cases database

Latest Pleadings, Motions, & Briefs 
 
·  Capitol Records, Inc. v. Alaujan (Notice of Constitutional Question), 2008 ILRWeb (P&F) 3016 [D Mass] (Law professor, on behalf of peer-to-peer file-sharing defendant, asserted that two federal copyright statutes are unconstitutional)
·  Gordon v. Virtumundo, Inc. (Supplemental Brief of Appellants in Response to Amicus Brief), 2008 ILRWeb (P&F) 3012 [9th Cir] (Appellants argue that they have standing to bring a private right of action under the CAN-SPAM Act)
·  Independent Newspapers, Inc. v. Brodie (Brief of Appellant), 2008 ILRWeb (P&F) 2240 [Md Ct Spec App] (Public Citizen argues that Maryland developer should not obtain identity of anonymous Internet speakers)
·  Tiffany (NJ), Inc. v. eBay, Inc. (Brief for Plaintiffs-Appellants), 2008 ILRWeb (P&F) 2818 [2d Cir] (Tiffany argues that district court erred in not finding eBay liable for contributory trademark infringement and for misapplying the document of nominative fair use)
·  Tiffany (NJ), Inc. v. eBay, Inc. (Brief for Defendant-Appellee), 2008 ILRWeb (P&F) 3018 [2d Cir] (eBay argues that general knowledge of counterfeit goods is insufficient to render it liable for contributory trademark infringement)
·  Tiffany (NJ), Inc. v. eBay, Inc. (Brief Amicus Curiae of Electronic Frontier Foundation, et al., in Support of eBay), 2008 ILRWeb (P&F) 3200 [2d Cir] (Public interest group argues that secondary trademark liability should not reach intermediaries that lack direct means to ascertain whether the purported direct infringer is offering infringing goods)
·  United States v. Drew (Jury Instructions), 2008 ILRWeb (P&F) 3014 [CD Cal] (Instructions to jury in case charging defendant with violating CFAA, leading to teen's suicide)
·  United States v. Drew (Rule 29 Motion for Judgment of Acquittal), 2008 ILRWeb (P&F) 3020 [CD Cal] (Defendant says government was required to, but did not, show that she read the terms of service before it could successfully claim she intentionally accessed MySpace to violate them)
 
Subscribers may search ILR's Pleadings database 

Latest Research from Pike & Fischer

High-speed Internet Packaging and Pricing Strategies: 5th Edition - New!
Cable operators have continued keeping broadband prices relatively stable while steadily increasing data rates, and are using short-term discounting and entry-level tiers to attract price-sensitive customers and compete with generally lower DSL prices. But Verizon's FiOS service, which operates over a fiber-to-the-home network, is delivering the most speed for the dollar on both the downstream and upstream, according to our annual analysis of high-speed Internet pricing and promotions. This report includes in-depth examinations of the broadband pricing, bundling and marketing strategies of the top service providers, including Comcast, Time Warner Cable, Cox, Cablevision, Charter, Bright House, Qwest, AT&T and Verizon. The report ranks each provider by maximum speeds provided and by price points, and includes 20 tables and charts of data and analysis.  Learn More  Order Now

Residential VoIP Market Outlook
Residential subscriptions to VoIP service have been growing dramatically in the past few quarters, even as growth of other advanced home communications services slows down. We are forecasting that VoIP-connected households should exceed 25 million by the end of the decade, and will grow at about 14% annually over the next few years. In this report, we offer more detailed forecasts plus an analysis of the various residential VoIP services on the market.  Learn More  Order Now

View all Market Research Reports & Briefs

Events & Conferences 
 

Broadband Policy Summit V
Super Early Bird Discount—Save $200 -- Expires January 1, 2009
Sheraton Crystal City, Arlington, VA, June 18-19, 2009

As the Obama administration prepares to take the reins in Washington, a new age in telecommunications law and policy begins. Broadband Policy Summit V, Washington's preeminent broadband communications policy forum, promises more than ever to be the place to learn how to position your company and clients to thrive in this new broadband environment.
  Learn More  Order Now



New Regs & Spam Webinar - CD Recordings Available!
On Oct. 28, Pike & Fischer played host to top legal experts from the government and the private sector, who addressed the latest developments in CAN-SPAM enforcement and litigation. Hear from the FTC, the Florida AG's Office, in-house counsel, and seasoned litigators on our exclusive CD. PowerPoint presentations included.  Order Now

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