|4/10. The U.S. District Court (NDCal)
held a hearing in A&M Records v. Napster. Judge
Marilyn Patel stated that Napster's failure to block
copyrighted songs was "disgraceful," and suggested
that she might again order that Napster be shut down. RIAA
General Counsel Cary Sherman released a statement
afterwards: "Today's hearing reflects Judge Patel's
determination to ensure that the Court's injunction is obeyed
and that Napster's infringing conduct comes to an end.
Notwithstanding Napster's nitpicking over every detail of the
Court's Order in an effort to resist compliance, we are
confident that the Court will make the injunction effective.
From our perspective, what's important now is the continuing
stream of new deals being announced by our companies to bring
innovative, online subscription services to consumers. Napster
would do well to do whatever it takes to come into compliance,
and then turn their full energies into launching a new,
|Misappropriation of Trade
|4/10. The U.S.
Court of Appeals (8thCir) issued its opinion
[PDF] in Children's
Broadcasting Corp. v. Disney a case involving misappropriation
of trade secrets, and the trial court's authority to grant
judgment as a matter of law (JMOL). Children's Broadcasting
Corp. (CBC) created a 24 hour radio format aimed at children
and their parents. In 1995 ABC Radio, which did not then have
a competing format, contracted to provide CBC services,
including advertising sales, affiliate development, and
consulting. Both parties agreed to keep information developed
during the term of the agreement confidential and to use this
information only for the purposes of the agreement; however,
the agreement was terminable at will. In 1996 ABC Radio
terminated the agreement, and began its own children's radio
format. CBC filed a complaint in U.S. District Court (DMinn)
against Disney (which acquired ABC in 1996) and ABC Radio,
alleging a variety of claims. The claims which survived
defendants' motion for summary judgment were misappropriation
of trade secrets, breach of contract for failure to use
reasonable efforts to sell advertising and develop affiliates,
and breach of the contractual duty of confidentiality. The
jury found that defendants had misappropriated CBC's
advertiser list and rate information, and awarded it $10
Million from each defendant. The jury also found that ABC
Radio breached the contract with respect to advertising sales
and confidentiality and awarded $20 Million. The District
Court then granted defendants JMOL on the grounds that CBC had
not presented sufficient evidence as to causation and damages;
it also granted an alternative motion for a new trial on the
issue of damages. The Appeals Court reversed the JMOL, but
affirmed the grant of a new trial on damages.
in CBC v. Disney, a case involving misappropriation of trade
secrets, 4/10 (PDF, USCA).
criticizing President Bush's trade policy, 4/10 (HTML, PPI).
on free trade and the WTO, 4/10 (HTML, WTO).
1467, a bill to withdraw normal trade relations treatment
from the People's Republic of China (HMTL, LibCong).
1446, Standard Trade Negotiating Authority Act of 2001 (HMTL,
|4/9. President Bush's proposed budget would increase
funding for the USTR from
$29,452,000 for FY2001 to $30,097,000 for FY2001. This is an
increase of $645,000, or 2%. This proposal also projects that
the USTR will have 203 full time equivalent employees in FY
2002, the same as in FY 2001. See, proposed
budget for the Executive Office of the President [PDF] and
4/10. President Bush and King Abdullah of Jordan met in
Washington DC to discuss the U.S.
Jordan Free Trade Agreement (FTA) [PDF], and other
topics. The FTA was negotiated by the Clinton administration
last year, but has not yet been ratified by the Senate. Trade
with Jordan is minimal. However, controversy has arisen
because many see this FTA as a blueprint for future FTAs. The
main dispute is whether these FTA's should contain language
addressing labor and environmental issues, as does this FTA
with Jordan. The Jordan FTA is also significant because it
contains extensive language pertaining to intellectual
property and e-commerce. This FTA addresses
patents, trademarks, copyright, and enforcement of IPR.
It also provides that the parties will not impose new customs
duties on electronic transmissions. President Bush and King
Abdullah also held a joint press conference. Bush stated that
"We had a very good discussion about trade, and I
explained to His Majesty that ours is a country that believes
in free trade. We look forward to working to get an agreement,
one way or the other, out of our Congress, that encourages
free trade with Jordan. We will be discussing strategies
as how best to achieve that objective; but the objective is
for there to be a free trade agreement between our
4/10. The Progressive
Policy Institute, a Democratic party think tank, released
criticizing President Bush's trade policy. It condemns
President Bush's refusal to submit to the Senate the Jordan
FTA negotiated by the Clinton administration. It also condemns
Bush for not giving any major public addresses regarding free
trade and fast track trade negotiating authority.
4/10. WTO Director General
Mike Moore gave a far ranging speech
on free trade and the WTO in Brussels, Belgium.
|4/10. The ACLU announced
that it will run an ad in the print editions of the New York
Times and the New Yorker on April 16 and 15, respectively,
criticizing the Echelon and Carnivore
communications surveillance programs. The ad will feature a
picture of a cell phone and the large print statement,
"Now equipped with 3-way calling. You, whoever you're
dialing, and the government."
|4/10. The USPTO released a
[PDF] titled "Applications for Registration to Practice
Before the United States Patent and Trademark Office" to
be used for the October 17, 2001 examination. The filing
deadline is July 6, 2001.
|4/10. Former FCC Chairman William Kennard will join
the Board of Directors of Handspring,
maker of the Visor handheld computer. See, release.
4/10. Lynn Pasahow and David Hadden joined the
law firm of Fenwick &
West as partners in the litigation group. Both previously
worked in the Palo Alto office of McCutchen Doyle
as partners. Both Pasahow and Hadden focus on complex
intellectual property and patent litigation related to
computer hardware and software. They obtained a preliminary
injunction enforcing Amazon's 1-Click patent.
4/10. Jeff Grove, former Staff Director of the
Subcommittee on Technology of the House Science Committee,
has been named Director of the Association
for Computing Machinery Public Policy office in
|1:15 PM. Commissioner Orson Swindle will speak at the
"Privacy & American Business Corporate Privacy
Officer Program 2001's Washington Briefing and Peer
Workshop." Location: Hyatt Regency, Washington, DC.
2:00 PM. The PTO Fee Coalition will hold a meeting. Interested
companies and trade associations should call Wayne Paugh at
|4/10. The FCC's Mass
Media Bureau announced an application filing window for
construction permits for Low Power FM (LPFM) stations in
selected states. The window will open on June 11, 2001 and
close on June 15, 2001. See, FCC
4/10. The FCC's Enforcement Bureau dismissed
a complaint asking it to investigate erroneous election night
projections in Florida by major news organizations.
4/10. The FCC extended
the deadline for filing reply comments in its Notice
of Inquiry (NOI) regarding cable open access to May
11. (See, In the Matter of Nondiscrimination in the
Distribution of Interactive Television Services Over Cable, CS
Docket No. 01-7.) The deadline had been April 20. The Media Access Project
filed a request to extend the reply comment deadline, citing
the voluminous and complex original comments filed in response
to the NOI. The FCC's electronic
filing system contains 27 such comments.
4/10. The FCC's Common
Carrier Bureau's Accounting Safeguards Division held a public
meeting to discuss policies and procedures for independent
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