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Newegg Wins Patent Troll Case After Court Delays

By Kasey Wang – Edited by Yunnan Jiang and Travis West

The District Court for the Eastern District of Texas recently issued a final judgement for online retailer Newegg, twenty months after trial, vacating a $2.3 million jury award for TQP. TQP, a patent assertion entity commonly known as a “patent troll,” collected $45 million in settlements for the patent in question before Newegg’s trial.

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The Evolution of Internet Service Providers from Partners to Adversaries: Tracking Shifts in Interconnection Goals and Strategies in the Internet’s Fifth Generation

By Robert Frieden – Edited by Marcela Viviana Ruiz Martinez, Olga Slobodyanyuk and Yaping Zhang

In respone to increasing attempts by Internet Service Providers to target customers who trigger higher costs for rate increases, the FCC and other regulatory agencies worldwide have stepped in to prevent market failure and anticompetitive practices. This paper will examine new models for the carriage of Internet traffic that have arisen in the wake of these changes.

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The Global Corporate Citizen:  Responding to International Law Enforcement Requests for Online User Data 

By Kate Westmoreland – Edited by Yunnan Jiang

This paper analyses the law controlling when U.S.-based providers can provide online user data to foreign governments. The focus is on U.S. law because U.S. dominance of internet providers means that U.S. laws affect a large number of global users. The first half of this paper outlines the legal framework governing these requests. The second half highlights the gaps in the law and how individual companies’ policies fill these gaps.

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3D Printing, Net Neutrality, and the Internet: Symposium Introduction

By Deborah Beth Medows – Edited by Yaping Zhang

Jurists must widely examine the pervasive challenges among the advents in Internet and computer technology in order to ensure that legal systems protect individuals while  encouraging innovation.  It is precisely due to the legal and societal quagmires that 3D printing and net neutrality pose that ideally position them as springboards from which to delve into broader discussions on technology law.

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A Victory for Compatibility: the Ninth Circuit Gives Teeth to RAND Terms

By Stacy Ruegilin – Edited by Ken Winterbottom

Microsoft won a victory in the Ninth Circuit last Thursday after the court found that Motorola, a former Google subsidiary, had breached its obligation to offer licenses for standards-essential technologies at reasonable and non-discriminatory rates. The court affirmed a $14.52 million jury verdict against Motorola for the breach.

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Use of Trademark in Domain Names Found to Be Nominative Fair Use
By Harry Zhou – Edited by Anthony Kammer

Toyota Motor Sales v. Tabari, No. 07-55344 (9th Cir. Jul. 8, 2010)
Slip Opinion

On July 8, 2010, the Ninth Circuit Court of Appeals vacated and remanded an injunction against Farzad and Lisa Tabari by the United States District Court for the Central District of California in a trademark infringement claim brought by Toyota Motor Sales U.S.A. (“Toyota”).  The Ninth Circuit stated that on remand the injuction must be modified to permit some use of Toyota’s “Lexus” trademark in Internet domain names.

Led by Chief Judge Alex Kozinski, the majority concluded that Tabari’s use of the string “lexus” in domain names “buy-a-lexus.com” and “buyorleaselexus.com,” under which Tabari operated an automobile brokerage, was nominative fair use, a defense that shielded Tabari from Toyota’s claim of trademark infringement.  The nominative fair use doctrine is a defense that gives individuals to right to use another’s trademark to refer to the trademarked good itself. The majority reasoned that Tabari’s truthful communications regarding the nature of the Lexus product fell into the protective scope of the nominative fair use doctrine.

Seattle Trademark Lawyer features excerpts from the opinion. The E-Commerce and Tech Law Blog summarizes potential impacts of the decision. An in-depth analysis of the opinion is available at Eric Goldman’s Technology and Marketing Law BlogRebecca Tushnet’s 43(B)log offers comments on the opinion. (more…)

Posted On Jul - 22 - 2010 Comments Off READ FULL POST

Federal Circuit Distinguishes Provisional Applications from Foreign Filings for Prior Art Priority under 102(e)
By Ian B. Brooks – Edited by Anthony Kammer

In re Giacomini, No. 2009-1400 (Fed. Cir. July 7, 2010)
Slip Opinion

On July 7, 2010, the Court of Appeals for the Federal Circuit affirmed the Board of Patent Appeals and Interferences’ (“Board”) rejection of claims of U.S. Patent Application No. 09/725,737 as anticipated under 35 U.S.C. § 102(e), the so-called “secret prior art” provision.  The Federal Circuit’s ruling expanded the scope of 102(e) such that prior art U.S. patents and applications under § 102(e) are now to have an effective filing date as of the filing date of the qualifying provisional application.

The Federal Circuit held as a matter of statutory interpretation, that under § 102(e) the effective filing date for patent priority is the filing date of the provisional application, so long as the provisional application contains a written description of the claimed invention.  Thus secret and confidential provisional applications will receive patent priority for a claimed invention against any later filings.  The court based its decision on §§ 111(b) and 119(e), emphasizing that the patent system rewards the person who is first to invent.

Patently-O provides an overview of the case. Matt Osenga at Inventive Step provides an analysis of possible implications of the decision. The Patent Prospector discusses the decision and notes that Americans will continue to receive priority over foreign patent applications. (more…)

Posted On Jul - 21 - 2010 1 Comment READ FULL POST

By Ian B. Brooks

Reality Porn Producers Claim Fair Use in Suit against Record Labels

Ars Technica reports that Warner Bros. Records and ten other record music labels have filed suit against porn companies RK Netmedia and RealityKings.com. The record labels allege copyright infringement for the use of their unlicensed songs in hundreds of hardcore pornographic videos. They are seeking the maximum statutory penalty of $150,000 per video. RK Netmedia says it will defend the suit under the fair use doctrine. They argue that because they shoot their films in reality show style, their equipment captures music played in the background of the nightclubs and venues where they shoot. The complaint is available here.

ACLU Challenges Constitutionality of Massachusetts Law Protecting Minors on the Internet

On July 12, 2010, an updated Massachusetts law went into effect which will extend existing laws to protect minors from obscene materials on the Internet. Citizen Media Law Project and Ars Technica report on the ACLU’s challenge to the law. The “harmful to minors” law has been expanded to cover many online communications, such as electronic mail, instant messaging, and text messaging. The ACLU argues that the updated law will have a chilling effect on Internet communications, affecting even constitutionally protected communications between adults. The law, which was previously restricted to physical locations such as shops within Massachusetts, now has the effect of reaching outside of the state. The ACLU seeks to have the updated language removed from the law.

Louisiana is Latest to Enact Anti-Cyber-Bullying Statute

Lowering the Bar and Citizen Media Law Project report on the latest cyber-bullying statute enacted in Louisiana. The law makes illegal the “transmission of any electronic textual, visual, written, or oral communication with the malicious and willful intent to coerce, abuse, torment, or intimidate a person under the age of 18.” Violators could face a maximum penalty of a $5,000 fine and three years in jail. The Media Coalition opposed the law on constitutional grounds prior to its enactment because of its vague language. Much of the language remained unchanged, so its constitutionality continues to be a concern for some.

Posted On Jul - 20 - 2010 Comments Off READ FULL POST

District of Massachusetts reduces jury-awarded damages by 90 percent in copyright infringement lawsuit
By Abby Lauer – Edited by Jad Mills

Sony BMG Music Entertainment et. al. v. Tenenbaum, No. 07cv11446-NG (D. Mass. July 9, 2010)
Slip Opinion

In a decision by Judge Nancy Gertner, the United States District Court for the District of Massachusetts reduced the damages awarded by a jury to members of the recording industry in a copyright infringement lawsuit. After finding defendant Joel Tenenbaum guilty of illegally downloading copyrighted music, the jury awarded statutory damages of $22,500 per song, $675,000 total for 30 songs. Judge Gertner held that the damages award should be reduced to $2,250 per song or $67,500 total. In so holding, Judge Gertner maintained that the jury’s award was far greater than necessary to serve the government’s interest in deterring copyright infringement and compensating copyright owners whose rights have been infringed. She argued that Congress never intended the extraordinary damages provisions of copyright law to apply to situations where a defendant did not receive pecuniary benefit from his infringing activities.

Ars Technica provides an overview of the case. The Electronic Frontier Foundation commends the court’s decision. (more…)

Posted On Jul - 14 - 2010 Comments Off READ FULL POST

Use of Common Words in Trademarks Can Still Dilute
By Harry Zhou – Edited by Jad Mills

Visa Int’l Serv. Ass’n v. JSL Corp., No. 08-15206 (9th Cir. Jun. 28, 2010)
Slip Opinion

On June 28, 2010, the Ninth Circuit affirmed the U.S. District Court for the District of Nevada’s grant of summary judgment for Visa International Service Association (“VISA”) on its trademark dilution claim against JSL Corporation (“JSL”).

Chief Judge Alex Kozinski delivered the opinion, holding that JSL’s “eVisa” mark had diluted VISA’s “Visa” mark under 15 U.S.C. § 1125(c)(2)(B) (2006). The court found that JSL’s “eVisa” brand had created a situation in which two different products, namely VISA credit cards and JSL’s eVisa.com, competed for association with the word “Visa.” The court explained that although the word visa has a common meaning, the Visa mark can still be diluted by a junior user who is not using the word according to that common meaning. And since Orr did not dispute that the “Visa” mark was famous and distinctive before JSL started to use “eVisa,” the court upheld summary judgment.

Reuters provides a summary of the opinion. Seattle Trademark Lawyer briefly analyzes the court’s rationale. Eric Goldman’s Technology and Marketing Law Blog criticizes the decision. (more…)

Posted On Jul - 13 - 2010 Comments Off READ FULL POST
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