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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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By Jeanne Jeong

UnknownSummary Judgment Finding Patent Claim Invalid as Indefinite Reversed and Remanded Due to Specification and Prosecution History

The United States Court of Appeals for the Federal Circuit in Eidos Display, LLC v. AU Optronics Corp. reversed and remanded the United States District Court for the Eastern District of Texas grant of summary judgment finding that Eidos Display, LLC and Eidos III, LLC’s (Eidos) patent claim of U.S. Patent No. 5,879,958 (‘958 patent) was invalid as indefinite.  Eidos Display, LLC v. AU Optronics Corp., 14-1254 (Fed. Cir. Mar. 10, 2015).  The Federal Circuit held that in light of the specification and prosecution history, the claim informed relevant parties with reasonable certainty about the “scope of the claimed invention.”  Eidos at 2.  Eidos alleged that AU Optronic infringed claim 1 of 958 patent, which concerns manufacturing processes for an electro-optical device such as an LCD panel.  Id. at 3.  The limitation at issue involved the construction of the claim’s language, “contact hole for source wiring and gate wiring connection terminals.”  Id. at 10.  Finding that the specifications did not deviate from known industry practice at the time the patent was filed, the history of the patent, and the text of the specification itself, the court adopted Eidos’s construction and concluded that a person of ordinary skill in the art would understand that the language at issue meant separate contact holes for source wiring connection terminals and gate wiring connection terminals.  Id. at 11-15.

http://www.cafc.uscourts.gov/images/stories/opinions-orders/14-1254.Opinion.3-6-2015.1.PDF

 

District Court Grant of Summary Judgment Finding Affirmed

The United States Court of Appeals for the Federal Circuit in American Energy Co., LLC ex rel. Exelon Generation Co., LLC v. United States affirmed the United States Court of Federal Claims’ decision granting summary judgment below based on the economic performance requirement of 42 U.S.C. § 461(h).  Amergen Energy Co., LLC ex rel. Exelon Generation Co., LLC v. United States, 14-5067 (Fed. Cir. Mar. 11, 2015).  Finding that the district court properly found § 461(h) pertained to the case, the court further determined based on the statutory text that the “all events test” is not limited to expense deductions and applies to basis calculation.  Amergen at 2. Because AmerGen did not economically perform the decommissioning during the relevant tax years, the court held that AmerGen may not, on its 2001 through 2003 tax returns, include future nuclear decommissioning liabilities from its purchase of three nuclear power plants for calculating the basis of an acquired nuclear power plant and associated assets.  Id. at 10-15.

http://www.cafc.uscourts.gov/images/stories/opinions-orders/14-5067.Opinion.3-9-2015.1.PDF

Posted On Mar - 15 - 2015 Comments Off READ FULL POST

By Ken Winterbottom

Judicial Watch Sues to Reveal Clinton Emails

Conservative political watchdog group Judicial Watch filed a lawsuit against the U.S. Department of State last Wednesday seeking to compel disclosure of email correspondence between then-Secretary of State Hillary Clinton and Nagla Mahmoud, the wife of former Egyptian president Mohamed Morsi. Mahmoud previously threatened to publish the emails last August, as evidence of an alleged “special relationship” between the Obama and Morsi administrations that President Obama disavowed when Morsi’s government was overthrown in the 2013 Egyptian coup d’état. Morsi was a leading member of the Muslim Brotherhood, an organization later labeled a terrorist organization by Egypt’s successor government. Within a few weeks of Mahmoud’s threat, Judicial Watch filed a Freedom of Information Act request seeking access to the emails. Because the State Department has not yet responded, the watchdog group is now suing to compel the release of the emails, possibly as a move to damage Clinton’s reputation in anticipation of the upcoming presidential election.

(more…)

Posted On Mar - 11 - 2015 Comments Off READ FULL POST

By Jenny Choi – Edited by Anton Ziajka

lenovo-n20p-010Jessica N. Bennett v. Lenovo (United States), Inc., and Superfish, Inc., No. 15-CV-00368 (S.D. Cal. filed Feb. 19, 2015)

Lenovo is facing backlash from security experts for pre-installing adware called Superfish on some of its computers. Superfish detects advertisements on websites and replaces them with targeted images based on the user’s browsing habits, AnAndTech reports. Lenovo explained that it pre-installed Superfish to help its users make more informed choices by replacing advertisements with ones that potentially offer lower prices. However, Superfish threatens users’ privacy and data security, ArsTechnica describes in detail here and here.

On February 19, 2015, plaintiff Jessica N. Bennett filed a class action lawsuit in federal court for the Southern District of California against Lenovo and Superfish for pre-installing Superfish on a Lenovo-made laptop that she purchased. Ms. Bennett’s complaint states claims against both defendants for violations of California’s Invasion of Privacy Act, the Federal Wiretap Act, and California’s Unfair Competition Law; and for common law trespass to personal property. MaximumPC reports on the lawsuit. (more…)

Posted On Mar - 10 - 2015 Comments Off READ FULL POST

By Lan Du – Edited by Sarah O’Loughlin

hp-a-fcc-wireless-100340081-origOn February 26, along with the decision in favor of net neutrality, the Federal Communications Commission (“FCC”) voted to preempt the North Carolina and Tennessee state laws preventing the expansion of community broadband networks.  The vote was split 3-2 along party lines, with the Chairman Tom Wheeler joined by fellow Democrats Mignon Clyburn and Jessica Rosenworcel.

The FCC order came in response to petitions filed by two municipal broadband networks: the City of Wilson, North Carolina and the Electric Power Board (EPB) of Chattanooga, Tennessee.  Both operated broadband networks providing Gigabit-per-second broadband, voice, and video service.  Under Tennessee laws, municipal electric systems like EPB are not allowed to provide internet and cable services out of its electrical system footprints.  A 2011 North Carolina law similarly prevents the City of Wilson from expanding its gigabit fiber network, prohibiting its deployment to any areas in which residents currently have Internet service of at least 786kbps, a speed threshold that falls woefully short of any practical online use and is far below the FCC’s newly revised broadband definition.

In overturning these states laws, the FCC relied on the Section 706 of the Telecommunications Act of 1996. Section 706 requires the FCC to encourage the deployment of broadband to all Americans by using “measures that promote competition in the local telecommunications market, or other regulating methods that remove barriers to infrastructure investment.”  The FCC concluded that the subjected provisions of the Tennessee and North Carolina laws erected such barriers, conflicting with the federal regulation provided by Section 706. (more…)

Posted On Mar - 10 - 2015 Comments Off READ FULL POST

By Yaping Zhang – Edited by Yunnan Jiang

UnknownOn March 2, 2015, 51 scholars, in the field of economics and law, submitted a letter to the United States Congress, petitioning for effective legislative reform to reduce patent litigation cost. In the letter, they argue that the substantial patent litigation costs have tended overall to reduce R&D, venture capital investment, and firm startups. They also attach 37 publications on patent litigation and its economic impacts, countering the view by lobbyists and others who claim that there is little empirical evidence to assess the performance of the American patent system. In particular, the scholars express their concern over “patent assertion entities” (PAEs), popularly known as patent trolls, estimating that PAEs litigation has been costing tens of billions of dollars per year since 2007, and has curtailed venture capital investment and firms’ R&D spending.

The letter can be found here. (more…)

Posted On Mar - 10 - 2015 Comments Off READ FULL POST
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