| District Court Enjoins AOL
                  in AMP Infringement Action | 
               
              
                10/25. The U.S.
                  District Court (CDCal) issued its Order
                  Granting Motion for Preliminary Injunction [PDF] in Playmedia
                  Systems v. America Online. This is a copyright
                  infringement action in which PlayMedia alleges that AOL's use
                  of PlayMedia's AMP software infringes its copyright.
                   
                  AMP decodes digital audio filed compressed in MP3 format. AOL
                  asserted that it is licensed, through its acquisition of
                  NullSoft, which had entered into a licensing agreement with
                  PlayMedia. PlayMedia argued that AOL's use of AMP software
                  exceeds the scope of this license. The District Court found
                  that PlayMedia established probable success in proving that
                  AOL is exceeding its license.
                   
                  The order states that "America Online, its subsidiaries,
                  ... are enjoined during the pendancy of this action, from (a)
                  copying the AMP® computer software owned by Plaintiff
                  PlayMedia Systems, Inc. or any derivative of the AMP®
                  computer software including without limitation Nitrane
                  (collectively "AMP®") into AOL 6.0 or any other
                  computer software application other than Winamp; (b) creating
                  derivative works based upon AMP® other than for use in
                  conjunction with Winamp; (c) distributing AMP® with AOL 6.0
                  or any other computer software application other than Winamp;
                  (d) purporting to license to any third party the right to
                  copy, distribute or in any other manner use any version of AOL
                  6.0 that contains AMP®; and (e) permitting any user of AOL
                  service from completing an online "session" on the
                  AOL service without AMP® being removed from the user's copy
                  of AOL 6.0 by means of an AOL online "live update."
                  "
                   
                  See, D.C. No. CV01-3506 AHM (Ex), Judge A. Howard Matz
                  presiding. | 
               
             
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                | 9th Circuit Rules on
                  Implied Licenses to Copy | 
               
              
                10/30. The U.S.
                  Court of Appeals (9thCir) issued its opinion
                  [PDF] in Foad
                  v. MGA, a copyright case involving a project
                  plan for a shopping center, which turned on the Appeals
                  Court's interpretation of whether an implied license to copy
                  existed.
                   
                  Foad Consulting Group prepared a preliminary and revised plot
                  plan for a proposed 45.5 acre shopping center in Arroyo
                  Grande, California, pursuant to contracts with a developer,
                  GenCom. GenCom then transferred its rights to develop the
                  project to Claire Enterprises, which in turn, hired Musil
                  Govan Azzalino (MGA), another architectural and engineering
                  firm. MGA used and copied much of Foad's prior plans. Foad
                  registered a copyright in its work.
                   
                  Foad filed a complaint in the U.S.
                  District Court (CDCal) against MGA alleging infringement
                  of its copyright in the shopping center project plans that it
                  had prepared. The District Court granted summary judgment to
                  MGA. It based its decision upon the merger doctrine
                  (i.e., that courts will not protect a copyrighted work from
                  infringement if the idea underlying the copyrighted work can
                  be expressed in only one way, lest there be a monopoly on the
                  underlying idea). Foad appealed. MGA argued the merger
                  doctrine and fair use on appeal. The Appeals Court
                  affirmed, on grounds not raised by the parties -- implied
                  license to copy.
                   
                  The Appeals Court wrote that "The Copyright Act permits
                  copyright holders to grant nonexclusive copyright licenses by
                  implication. But whether a copyright holder has properly
                  granted another a nonexclusive license by implication is a
                  matter of state contract law, provided that the state law does
                  not conflict with the Copyright Act or its underlying
                  policies. In this case, the February 1996 contract granted
                  GenCom an implied license to copy and adapt Foad's revised
                  plot plan and to publish the resulting derivative work in aid
                  of constructing the project for which it was designed."
                   
                  While this is a copyright case, the opinion of the Appeals
                  Court is largely a discussion of contract law. The Appeals
                  Court stated the issue as follows: "Which law, state or
                  federal, governs the creation of an implied, nonexclusive
                  copyright license?" It concluded that "while federal
                  law answers the threshold question of whether an implied,
                  nonexclusive copyright license can be granted (it can), state
                  law determines the contract question: whether a copyright
                  holder has, in fact, granted such a license."
                   
                  Judge Betty Fletcher wrote the opinion of the Appeals Court.
                  An incensed Judge Alex Kozinski wrote a separate opinion in
                  which he concurred in the result, but not the implied license
                  analysis. He wrote that it is "dangerous" to base an
                  opinion on an argument not raised by the parties. He also
                  disputed the majority's analysis of contract law. | 
               
             
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                | More News | 
               
              
                10/30. The Copyright
                  Office published a notice
                  in the Federal Register regarding royalty payments for
                  retransmission of over the air broadcast signals. The notice
                  "directs all claimants to royalty fees collected under
                  the section 119 statutory license in 2000 to submit comments
                  as to whether a Phase I or Phase II controversy exists as to
                  the distribution of those fees, and a Notice of Intention to
                  Participate in a royalty distribution proceeding."
                  Comments and Notices of Intention to Participate are due by
                  November 29, 2001. Reply comments are due by December 31,
                  2001. See, 17 U.S.C.
                  § 119. See also, Federal Register, October 30, 2001, Vol.
                  66, No. 210, at Pages 54789 - 54791.
                   
                  10/29. The NTIA
                  published in its web site the fall
                  issue of the NTIA Spectrum News. | 
               
             
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                | USTR Zoellick Addresses WTO
                  Round and Tech | 
               
              
                10/30. USTR Robert Zoellick
                  gave a speech
                  in Washington DC to the Council
                  on Foreign Relations titled "The WTO and New Global
                  Trade Negotiations: What's at Stake". He advocated a new
                  round of World Trade
                  Organization (WTO) negotiations, and addressed provisions
                  regarding electronic commerce, information technology, and
                  intellectual property rights.
                   
                  E-Commerce. Zoellick stated that "The WTO rules
                  also need to be updated to tap the potential of high tech
                  innovations and e-commerce. Transactions over networks are
                  providing enormous growth opportunities for any service that
                  can reach customers electronically -- be it retailing,
                  financial, information, or entertainment services. The
                  opportunity for developing countries is vast -- providing them
                  with new, more efficient means to reach global markets for
                  products and services in which they have a competitive
                  advantage."
                   
                  Information Technology and Developing Nations.
                  "One of our primary objectives in launching a new global
                  negotiation is to use trade and openness to bring new
                  opportunities and new hope to the poorest among us," said
                  Zoellick. "The flagging fortunes of so many developing
                  nations, coupled with the difficult economic times,
                  underscores the importance of launching new global trade
                  negotiations. The trade liberalization ushered in by the
                  Uruguay Round highlights the potential of more trade for
                  developing nations. In the six years following the round's
                  completion, exports from developing nations grew by nearly $1
                  trillion, to a level of $2.4 trillion. Last year, developing
                  countries exported $73 billion worth of information technology
                  to the United States -- a 43 percent increase since 1996, the
                  year before the multilateral Information Technology Agreement
                  had been implemented."
                   
                  TRIPS and Pharmaceutical Patents. Zoellick stated that
                  "the Bush Administration is implementing a flexible
                  policy on intellectual property as it relates to medicines to
                  treat HIV/AIDS and other pandemics. This flexibility ...
                  enables countries and companies to help deal with this tragic
                  pandemic by encouraging low-cost access to critical medicines.
                  At the same time, the preservation of intellectual property
                  rules ensures incentives to develop medicines and
                  biotechnology that can help us cure and treat diseases that
                  have plagued humankind since our origin. I recognize that some
                  of the least developed countries in the WTO find it difficult
                  to fully comply with the pharmaceutical patent rules governing
                  world trade. In response to these difficulties, the United
                  States has proposed granting the least developed countries a
                  10-year extension, to 2016, to come into full compliance with
                  all pharmaceutical related patent obligations under the TRIPs
                  agreement."
                   
                  Japan. After delivering his prepared speech, Zoellick
                  said that he is "extremely disappointed" by Japan's
                  lack of effort in building support for launch of a WTO round
                  of negotiations. See, State
                  Department release. | 
               
             
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                | President Bush Issues
                  Directive on Student Visas | 
               
              
                10/29. President Bush issued his Homeland
                  Security Presidential Directive-2, which pertains to
                  "Combating Terrorism Through Immigration Policies".
                  The purpose of the directive is to diminish abuse of student
                  visas by aliens in the U.S. It also addresses the use of
                  databases, merging of databases, and data mining, to identify
                  potential terrorists.
                   
                  The Directive states that the U.S. "benefits greatly from
                  international students who study in our country. The United
                  States Government shall continue to foster and support
                  international students." However, the "Government
                  shall implement measures to end the abuse of student visas and
                  prohibit certain international students from receiving
                  education and training in sensitive areas, including areas of
                  study with direct application to the development and use of
                  weapons of mass destruction."
                   
                  Database Technology. The Directive also instructs the
                  Director of the Office of
                  Science and Technology Policy (OSTP) to "make
                  recommendations about the use of advanced technology to help
                  enforce United States immigration laws, to implement United
                  States immigration programs, to facilitate the rapid
                  identification of aliens who are suspected of engaging in or
                  supporting terrorist activity, to deny them access to the
                  United States, and to recommend ways in which existing
                  government databases can be best utilized to maximize the
                  ability of the government to detect, identify, locate, and
                  apprehend potential terrorists in the United States."
                   
                  The Directive continues that "Databases from all
                  appropriate Federal agencies, state and local governments, and
                  commercial databases should be included in this review. The
                  utility of advanced data mining software should also be
                  addressed. To the extent that there may be legal barriers to
                  such data sharing, the Director of the OSTP shall submit to
                  the Director of the Office of Management and Budget proposed
                  legislative remedies." | 
               
             
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                | About Tech Law Journal | 
               
                Tech Law Journal is a free access web site and e-mail alert
                  that provides news, records, and analysis of legislation,
                  litigation, and regulation affecting the computer and Internet
                  industry. This e-mail service is offered free of charge to
                  anyone who requests it. Just provide TLJ an e-mail address. 
                   
                  Number of subscribers: 2,237. 
                  Contact: 202-364-8882; E-mail. 
                  P.O. Box 15186, Washington DC, 20003. 
                  Privacy
                  Policy 
                  Notices
                  & Disclaimers 
                  Copyright 1998 - 2001 David Carney, dba Tech Law Journal. All
                  rights reserved. | 
               
             
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                | Wednesday, Oct 31 | 
               
              
                10:00 AM. The House will meet. It may take up the Aviation
                  Security Improvement Act and the Department of Defense
                  Appropriations Act for FY 2002.
                   
                  9:30 - 10:30 AM. Rep.
                  Sherwood Boehlert (R-NY), Chairman of the House Science Committee,
                  will moderate a "webchat" with representatives of
                  companies that address computer security. The
                  participants will include John Conlin (COO of Vericept), Peter
                  Tippett (Chief Technologist of TruSecure Corp.), Bob Brennan
                  (CEO of Connected Corp.), Randy Sandone (CEO of Argus Systems
                  Group), Buky Carmeli (Ch/CEO of SpearHead Security
                  Technologies), Joe Magee (Chief Security Officer at Top Layer
                  Networks, Inc.). The discussion will cover existing security
                  and protection technologies, and steps federal government and
                  industry are taking to ensure critical systems are protected.
                  See, online
                  registration page.
                   
                  10:00 AM. The House Financial
                  Services Committee is scheduled to mark up several bills,
                  including HR
                  556, the Unlawful Internet Gambling Funding Prohibition
                  Act. See, release.
                  Location: Room 2128, Rayburn Building.
                   
                  POSTPONED. 10:00
                  AM. The House
                  Commerce Committee's Subcommittee on Telecommunications
                  and the Internet will hold a hearing titled "An
                  Examination of How the Corporation for Public Broadcasting
                  Uses Federal Funds for National Public Television
                  Programming." Location: Room 2123, Rayburn Building. | 
              
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                | Thursday, Nov 1 | 
               
              
                9:00 AM - 5:00 PM. National
                  Institute of Standards and Technology (NIST) will hold
                  first session of a two day workshop to discuss the development
                  of cryptographic key management guidance for federal
                  government applications. Location: Administration Building
                  (Bldg. 101), Lecture Room A, National Institute of Standards
                  and Technology, Gaithersburg, MD. See, notice
                  in Federal Register.
                   
                  9:30 AM. The U.S.
                  Court of Appeals for the District of Columbia Circuit will
                  hear oral argument in MCI WorldCom v. FCC, No. 00-1406.
                  Judges Edwards, Williams and Randolph will preside. Location:
                  333 Constitution Ave., NW, Washington DC.
                   
                  10:00 AM. The House
                  Commerce Committee's Subcommittee on Telecommunications
                  and the Internet is scheduled to hold a legislative hearing on
                  HR
                  2417, the Dot Kids Domain Name Act of 2001.
                  Location: Room 2123, Rayburn Building.
                   
                  10:00 AM. The Senate
                  Judiciary Committee has scheduled an executive business
                  meeting. Location: Room 226, Dirksen Building.
                   
                  11:00 AM. Rep. Bob
                  Goodlatte (R-VA) will hold a press conference to announce
                  the introduction of legislation regarding the problems of
                  illegal gambling and to update gambling statutes to
                  keep pace with new technologies. Location: Room 2226, Rayburn
                  Building.
                   
                  2:00 - 4:00 PM. The U.S. International Telecommunication
                  Advisory Committee (ITAC) will hold a meeting regarding
                  preparations for the 2002 World Telecommunication Development
                  Conference (WTDC). See, notice
                  in Federal Register, October 17, 2001, Vol. 66, No. 201, Page
                  52825. Location: State Department, Room 1408.
                   
                  2:00 PM. The Senate
                  Committee on Environment and Public Works will hold a
                  hearings to examine infrastructure security, chemical site
                  security, and economic recovery. Location: Room 406, Dirksen
                  Building.
                   
                  2:30 PM. The Senate
                  Commerce Committee will hold a hearing on the nomination
                  of Arden Bement to be Director of the National Institute of Standards
                  and Technology (NIST). Sen.
                  Ron Wyden (D-OR) will preside. Location: Room 253, Russell
                  Building.
                   
                  4:00 PM. The Cato Institute
                  will host a forum on the book Rebels
                  on the Air: An Alternative History of Radio in America.
                  The speaker will be Jesse Walker (author) and Tom Hazlett
                  (American Enterprise Institute). Reception to follow. See, Cato notice.
                  Location: The Cato Institute, 1000 Massachusetts Avenue, NW,
                  Washington DC. | 
              
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                | Friday, Nov 2 | 
               
              
                9:00 AM - 5:00 PM. National
                  Institute of Standards and Technology (NIST) will hold
                  second session of a two day workshop to discuss the
                  development of cryptographic key management guidance for
                  federal government applications. Location: Administration
                  Building (Bldg. 101), Lecture Room A, National Institute of
                  Standards and Technology, Gaithersburg, MD. See, notice
                  in Federal Register.
                   
                  9:30 AM. The U.S.
                  Court of Appeals for the District of Columbia Circuit will
                  hear oral argument in COMSAT v. FCC, No. 00-1458.
                  Judges Edwards, Williams and Randolph will preside. Location:
                  333 Constitution Ave., NW, Washington DC.
                   
                  9:30 AM. The Center for
                  Digital Democracy will hold a press conference titled
                  "The Future of the Internet". For more information,
                  contact Jeffrey Chester at 202 232-2234. Location: First
                  Amendment Room, National Press Club.
                   
                  12:15 PM. The Federal
                  Communications Bar Association's (FCBA) Wireless
                  Telecommunications Practice Committee will host a luncheon
                  titled "Secondary Markets: FCC Initiatives on Promoting
                  the Lease of Spectrum." The speaker will be William Kunze,
                  Chief of the Commercial Wireless Division. The price to attend
                  is $15. RSVP to Wendy Parish
                  no later than Tuesday, October 30. Location: Sidley & Austin, 1501 K
                  Street, NW, Rm 6-E, Washington DC. | 
               
             
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