Tech Law Journal Daily E-Mail Alert
November 6, 2002, 9:00 AM ET, Alert No. 543.
TLJ Home Page | Calendar | Subscribe | Back Issues
Control of Senate Switches to Republicans
11/5. Control of the Senate will switch from the Democrats to the Republicans as a result of the November 5 general election. Democrats and their allies held a slim one vote majority before the election. The Republicans now have at least a 51 vote majority, with two seats still undecided.

The change of control will have major consequences across a wide range of policy areas. It will also affect confirmations, particularly of judges. However, the most important consequences for technology lie in the changes in in control of a few committees.

Chairmanship of the Senate Commerce Committee will likely switch from Sen. Ernest Hollings (D-SC) to Sen. John McCain (R-AZ).

Sen. Hollings (at right) has been the Senate's leading opponent of the Tauzin Dingell bill, and any other legislation to provide regulatory relief to the Bell companies. He has also sought to restrain FCC Chairman Michael Powell's market oriented approach to regulation.

Sen. Hollings is also the sponsor of S 2048, the Consumer Broadband and Digital Television Promotion Act, a bill to mandate copy protection technology. He is also a cosponsor of Sen. Joe Biden's (D-DE) bill, S 2395, the Anticounterfeiting Amendments of 2002.

Moreover, the Communications Subcommittee Chairmanship will likely return to Sen. Conrad Burns (R-MT).

Chairmanship of Senate Appropriations Committee will switch back from Sen. Robert Byrd (D-WV) to Sen. Ted Stevens (R-AK). However, more important for technology will be the change of control of the Commerce Justice State and the Judiciary Subcommittee. Sen. Hollings also chairs this subcommittee. The Chairmanship may go to Sen. Judd Gregg (R-NH). Early this year, Sen. Hollings threatened to cut appropriations for the Federal Trade Commission (FTC) in order to pressure Charles James (head of the Antitrust Division) and Timothy Muris (Chairman of the FTC) to drop their plans to streamline the assignment of merger transactions.

The Chairmanship of the Senate Finance Committee will switch back from Sen. Max Baucus (D-MT), who won re-election, to Sen. Charles Grassley (R-IA). However, on technology related issues that fall within the jurisdiction of the Committee, the two have not diverged. Both, for example, worked for passage of trade promotion authority legislation.

The Chairmanship of the Senate Judiciary Committee will switch back from Sen. Patrick Leahy (D-VT) to Sen. Orrin Hatch (R-UT). This switch will have tremendous consequences in some non technology areas, such as confirmation of judges. The two also differ on several technology related homeland security issues.

However, there is no Democratic Republican split, or left right split, on the Senate (or House) Judiciary Committee on intellectual property issues.

The Judiciary Committee also has a subcommittee with jurisdiction over antitrust issues. However, while the Chairmanship will likely switch back from Sen. Herb Kohl (D-WI) to Sen. Mike DeWine (R-OH), there will be few consequences. The two see eye to eye on antitrust matters, and conduct subcommittee matters in joint and cooperative fashion.

A larger antitrust issue is who President Bush will appoint to replace Charles James as Assistant Attorney General in charge of the Department of Justice's Antitrust Division.

Several seats have opened on the Senate Judiciary Committee for Republicans. Sen. Strom Thurmond (R-SC) did not run for re-election. Rep. Lindsey Graham (R-SC) won his seat with 54% of the vote. He is an attorney, and is currently a member of the House Judiciary Committee. Hence, he is a likely candidate for appointment to the Committee. Another current member of the Committee, Sen. Robert Torricelli (D-NJ), dropped out of his race for re-election.

Several other races are noteworthy. Sen. Mike Enzi (R-WY), who leads the effort in the Senate to pass to pass the Export Administration Act, won re-election. Meanwhile, one of the leading opponents of this legislation, Sen. Fred Thompson (R-TN), did not seek re-election. Republican Lamar Alexander won his seat.

Two Democrats on the Commerce Committee lost their re-election bids. Sen. Jean Carnahan (D-MO) lost to Jim Talent. Sen. Max Cleland (D-GA) lost to Rep. Saxby Chambliss (R-GA).

Finally, former FCC Commissioner Gloria Tristani challenged Sen. Pete Domenici (R-NM) for a New Mexico Senate seat. She lost 65-35.

Republicans Retain Control of House
11/5. Republicans retained control of the House of Representatives. Moreover, no Representatives active in debates on technology related legislation lost in their re-election efforts on November 5.

Rep. Billy Tauzin (R-LA) and Rep. John Dingell (D-MI), the Chairman and ranking Democrat on the House Commerce Committee each easily won re-election. Rep. Tauzin won 87% of the vote in his district, while Rep. Dingell won 72%. Although, Rep. Dingell faced a serious primary challenge in August as a result of redistricting.

Rep. Fred Upton (R-MI) (69%) and Rep. Edward Markey (D-MA) (unopposed), the Chairman and ranking Democrat on the Telecommunications Subcommittee, both won easy re-election. Rep. Cliff Stearns (R-FL) (65%) and Rep. Adophus Towns (D-NY) (98%), the Chairman and ranking member of the Commerce, Trade, and Consumer Protection Subcommittee, both won handily.

Rep. James Sensenbrenner (R-WI) (86%) and Rep. John Conyers (D-MI) (83%), the Chairman and ranking Democrat on the House Judiciary Committee, both won.

Rep. Howard Coble (R-NC) and Rep. Howard Berman (D-CA), the Chairman and ranking Democrat on the Courts, Internet and Intellectual Property Subcommittee, both won. However, Rep. Coble cannot continue as Chairman, because he is term limited under Republican rules. Rep. Bob Goodlatte (R-VA) (unopposed) and Rep. Lamar Smith (R-TX) (73%) are the leading contenders for the Chairmanship. Rep. Smith has backed intellectual property protection and cyber security legislation recently. Rep. Goodlatte is one of the House's most active and knowledgeable members on technology related issues.

On the Democratic side, Rep. Berman will likely remain as ranking Democrat. He is a Southern Californian who is a committed defender of the intellectual property rights of the entertainment industry. However, if he were to decline the position, the ranking Democrat would likely be Rep. Rick Boucher (D-VA) (66%), who is highly knowledgeable on tech issues, and a leading proponent of fair use rights and narrowing the anti circumvention provisions of the DMCA.

The northern Virginia incumbents all won easily: Rep. Jim Moran (D-VA) (60%), Rep. Tom Davis (R-VA) (83%), and Rep. Frank Wolf (R-VA) (72%).

The Silicon Valley area incumbents also all won easily: Rep. Zoe Lofgren (D-CA) (67%), Rep. Anna Eshoo (D-CA) (68%), Rep. Mike Honda (D-CA) (65%), and Rep. Ellen Tauscher (D-CA) (75%).

Rep. George Gekas (R-PA) (49%), a senior member of the Judiciary Committee, narrowly lost his re-election bid. Rep. Connie Morella (R-MD) (47%), a senior member of the House Science Committee, also lost.

Rep. John Shimkus (R-IL) (55%) defeated Rep. Dave Phelps (D-IL) (45%). The two were thrown together by redistricting. Rep. Shimkus is a member of the Commerce Committee, and its Telecom Subcommittee. In the present Congress, he has pushed the Dot Kids bill.

Rep. Charles Pickering (R-MS) (64%) defeated Rep. Ronnie Shows (D-MS) (35%). Rep. Pickering is a member of the Commerce Committee, and its Telecom Subcommittee. He was a leading opponent of the Tauzin Dingell bill.

USTR Zoellick Writes Congress Re Trade Negotiations
11/5. U.S. Trade Representative (USTR) Robert Zoellick wrote a letter [PDF] to Sen. Robert Byrd (D-WV), the President Pro Tem of the Senate, and a substantially identical letter [PDF] to Rep. Denny Hastert (R-IL), the Speaker of the House, to notify the Congress of administration efforts to negotiate a free trade agreement with south African nations. He stated that the negotiations with the Southern African Custom Union (SACU) will cover the protection of intellectual property, promotion of electronic commerce, and increased access for telecommunications companies. He also wrote a second letter [PDF] to Sen. Byrd and Rep. Hastert regarding U.S. trade goals. This letter addressed IPR, e-commerce, telecommunications, antitrust, and the dispute settlement process.

He wrote that "the President intends to initiate negotiations for a free trade agreement (FTA) with the five member countries of the Southern African Customs Union (Botswana, Lesotho, Namibia, South Africa and Swaziland, hereinafter ``SACU´´) ..." (Parentheses in original.) See also, USTR release.

USTR Robert ZoellickIntellectual Property. With respect to intellectual property, Zoellick (at right) wrote in his SACU letter that the U.S. will "Seek to establish standards that reflect a standard of protection similar to that found in U.S. law and that build on the foundations established in the WTO Agreement on Trade-Related Aspects of Intellectual Property (TRIPs Agreement) and other international intellectual property agreements, such as the World Intellectual Property Organization Copyright Treaty and Performances and Phonograms Treaty, and the Patent Cooperation Treaty."

He also stated that the U.S. will seek to "Establish commitments for SACU countries to strengthen significantly their domestic enforcement procedures, such as by ensuring that government agencies may initiate criminal proceedings on their own initiative and seize suspected pirated and counterfeit goods, equipment used to make or transmit these goods, and documentary evidence. Seek to strengthen measures in SACU countries that provide for compensation of right holders for infringements of intellectual property rights and to provide for criminal penalties under the laws of SACU countries that are sufficient to have a deterrent effect on piracy and counterfeiting."

He reiterated the same concepts in his broader trade letter.

E-Commerce. With respect to electronic commerce, Zoellick wrote in his SACU letter that the U.S. will "Seek to affirm that the SACU countries will allow goods and services to be delivered electronically on terms that promote the development and growth of electronic commerce" and "to ensure that the SACU countries do not apply customs duties in connection with digital products or unjustifiably discriminate among products delivered electronically."

In his broader trade letter, he added that the U.S. will "Seek to obtain greater market access for U.S. products and services delivered electronically, including a prohibition on the application of customs duties to electronic transmissions."

Telecommunications. Zoellick wrote in his SACU letter that the U.S. will "Pursue an ambitious approach to market access, including enhanced access for U.S. services firms to telecommunications and any other appropriate services sectors in SACU markets."

In his trade letter he wrote more broadly that the U.S. will "Pursue further commitments from WTO members to open their markets in virtually all service sectors, including professional services such as accounting, engineering, architecture, and legal services; computer and related services; advertising; telecommunications services; audiovisual services; express delivery services; construction services; wholesale, retail, and franchising distribution services; educational and training services; environmental services; energy services; financial services, including insurance, banking, securities, and other financial services; and tourism services."

Antitrust. Zoellick wrote in his trade letter that the U.S. will "Seek to ensure that work in the WTO on trade and competition policy plays a constructive role in furthering the development of a culture of competition among WTO members, such as through developing a peer review process to promote sound antitrust policies among members".

He also wrote that the U.S. will "Seek to ensure that work in the WTO on trade and competition policy does not undermine U.S. antitrust laws and the effective enforcement of those laws, and that U.S. antitrust enforcement decisions are not subject to WTO dispute settlement procedures."

Dispute Resolution. Finally, he wrote in his trade letter that he wants to make the "WTO dispute settlement procedures more transparent, effective, and fair." He did no specifically reference the FSC tax regime dispute with the EU.

More News
11/5. President Bush signed HR 2733, the Enterprise Integration Act of 2002, a bill to authorize the National Institute of Standards and Technology (NIST) to work with major manufacturing industries on an initiative of standards development and implementation for electronic enterprise integration. See, White House release.

11/5. The Securities and Exchange Commission (SEC) filed an amended complaint with the U.S. District Court (SDNY) against WorldCom. The SEC filed its initial complaint on June 26, 2002. This amended complaint broadens the allegations to include violations of the antifraud provision Section 17(a) of the Securities Act of 1933 and violation of the internal controls and books and records provisions of the Securities Exchange Act of 1934, Sections 13(b)(2)(A) and 13(b)(2)(B). This is D.C. No. 02-CV-4963 (JSR). See, SEC release.

Pitt Resigns
11/5. Securities and Exchange Commission (SEC) Chairman Harvey Pitt announced his resignation.
Wednesday, November 6
9:00 AM. FTC Commissioner Orson Swindle will give a speech titled "Promoting a Culture of Security" at a Cross Sectoral Industry Association meeting regarding the role of business in promoting a culture of security. This meeting is closed to the public. At 11:15 AM, Orson Swindle, Thomas Niles (U.S. Council for International Business), Joseph Alhadeff (VP/CPO of Oracle), Sandra Wilson (OECD) will hold a media briefing. RSVP is required for media briefing. See, notice. Press contact: Jonathon Huneke (USCIB) at 212 703-5043 or jhuneke@uscib.org. Location: Morrison & Foerster, 2000 Pennsylvania Ave., NW, Suite 5500.

9:30 - 11:30 AM and 2:00 - 4:00 PM. The FTC and the DOJ's Antitrust Division will hold the final workshops in their joint series titled "Competition and Intellectual Property Law and Policy in the Knowledge Based Economy" on October 25 and 30 and November 6. The November 6 event is titled "Antitrust Law and Patent Landscapes". The 9:30 AM program is titled "Standard Setting Organizations: Evaluating the Anticompetitive Risks Of Negotiating IP Licensing Terms and Conditions Before A Standard Is Set". The 2:00 PM program is titled "Relationships Among Competitors and Incentives to Compete: Cross Licensing of Patent Portfolios, Grantbacks, Reach Through Royalties, and Non- Assertion Clauses". Location: FTC Room 432, 600 Pennsylvania Ave., NW.

10:00 - 11:30 AM. Media Security and Reliability Council (MSRC) will hold a meeting. FCC Chairman Michael Powell will participate. The MSRC is a federal advisory committee formed after the terrorist attacks of September 11, 2001, to study ways to secure and maintain broadcast and multichannel video programming distribution (MVPD) in the face of terrorist attacks, natural disasters and other threats. See, FCC release [PDF]. Web cast. Press contact: Barbara Kreisman at 202 418-1600 or Susan Mort at 202 418-1043. Location: FCC, Commission Meeting Room (TW-C305), 445 12th Street, SW.

12:15 PM. The FCBA's Global Telecommunications Development Committee and International Practice Committee will host an event titled "What Happened in Marrakesh? A Debriefing on the 2002 ITU Plenipot". The speakers will be David Gross, Coordinator of International Communications and Information Policy at the State Department. RSVP to jhindin @wrf.com. Location: Wiley Rein & Fielding, 1750 K St, 10th Floor.

Thursday, November 7
The Senate will meet at 10:30 AM in pro forma session only.

9:30 AM. The FCC will hold a meeting. The agenda includes a number of spectrum related items. The Spectrum Policy Task Force will report on its findings and recommendations. The FCC's International Bureau will report on the outcome of the International Telecommunication Union Plenipotentiary Conference. The FCC will consider a Second Report and Order that would allocate spectrum in the 1.7 and 2.1 GHz bands that can be used to provide advanced wireless services (AWS), such as 3G or IMT-2000. The FCC will consider a Notice of Proposed Rulemaking (NPRM) concerning service rules for (AWS) in the 1.7 GHz and 2.1 GHz bands. And, the FCC will consider a NPRM and Order concerning allocation and service rules for the Dedicated Short Range Communication Services in the 5.850-5.925 GHz band. Location: FCC, 445 12th Street, SW, Room TW-C05 (Commission Meeting Room).

Day one of a two day conference hosted by the American Bar Association's Section of Antitrust Law. See, program. The basic price to attend is $875. Location: National Press Club, 529 14th St NW.

RESCHEDULED FOR DECEMBER 2. 10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Altiris v. Symantec, No. 02-1137. This is a patent infringement case involving technology for remotely controlling the boot process of a computer. Location: 717 Madison Place, NW.

Friday, November 8
The Senate will meet at 10:30 AM in pro forma session only.

Day two of a two day conference hosted by the American Bar Association's Section of Antitrust Law. See, program. The basic price to attend is $875. Location: National Press Club, 529 14th St NW.

8:30 - 10:00 AM. The American Enterprise Institute (AEI) will host an event titled "Post Election Review of Telecommunications Policy". The speakers will be former FCC Commissioner Harold Furchtgott Roth and Greg Sidak. RSVP to Veronique Rodman at 202 862-4871 or vrodman @aei.org. Location: AEI, 11th Floor, Conference Room, 1150 17th Street, NW.

9:00 AM - 4:45 PM. The FCC's Consumer / Disability Telecommunications Advisory Committee will meet. Location: FCC, 445 12th Street, SW, Room TW-C305 (Commission Meeting Room).

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in AT&T v. FCC, No. 01-1511. Judges Ginsburg, Edwards and Garland will preside. Location: 333 Constitution Ave., NW.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Cygnus Telecommunications Technology v. Totalaxcess.com, No. 02-1325. This is a consolidated patent case appealed from the U.S. District Court (NDCal). Location: 717 Madison Place, NW.

Monday, November 11
Veterans Day. The FCC will be closed.

Deadline to submit comments to the National Institute of Standards and Technology (NIST) regarding its draft publication [62 pages in PDF] titled "Guide to Selecting Information Technology Security Products". This is NIST Special Publication 800-36 (draft). It was written by Timothy Grance, Marissa Myers and Marc Stevens in the NIST's Information Technology Laboratory's Computer Security Division. Send comments to sp800-36@nist.gov.

Deadline to submit comments to the National Institute of Standards and Technology (NIST) regarding its draft publication [78 pages in PDF] titled "Guide to IT Security Services". This is NIST Special Publication 800-35 (draft). It was written by Tim Grance, Joan Hash, Marc Stevens, Kristofor O’Neal, Nadya Bartol and Robert Young  in the NIST's Information Technology Laboratory's Computer Security Division. Send comments to sp800-35@nist.gov.

Deadline to submit comments to the National Institute of Standards and Technology (NIST) regarding its draft publication [66 pages in PDF] titled "Security Considerations in Federal Information Technology Procurements A Guide for Procurement Initiators, Contracting Officers, and IT Security Officials". This is NIST Special Publication 800-4A (draft). It was written by Tim Grance, Joan Hash and Marc Stevens in the NIST's Information Technology Laboratory's Computer Security Division. Send comments to sp800-4@nist.gov.

Tuesday, November 12
9:00 AM - 6:30 PM. Day one of a two day conference titled "W3C Workshop on the Future of P3P". The topic is the the World Wide Web Consortium's (W3C) Platform for Privacy Preferences Project (P3P). See, agenda. See also, links to copies of submitted papers. Location: Dulles, Virginia campus of America Online, Seriff Auditorium, Creative Center 2, America Online Dulles campus; enter the campus at Creative Center 3 (CC3), 22110 Pacific Blvd, Dulles, VA.

CANCELLED? 9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in Z Tel Communications v. FCC, No. 01-1461. This is a challenge to the FCC's order approving Verizon's Section 271 application to provide in region interLATA service in the state of Pennsylvania. Judges Ginsburg, Edwards and Garland will preside. Location: 333 Constitution Ave., NW.

3:30 - 4:30 PM. The Heritage Foundation will host an address by Rep. Jim Ryun (R-KS) titled "Reforming Congress for a Safer Homeland: The Need for Congressional Committee Reorganization". Location: 214 Massachusetts Ave., NE.

6:00 - 8:00 PM. The FCBA will host a CLE seminar titled "FCC Winter Preview". The panelists will include Donald Abelson (Chief of the FCC's International Bureau), Thomas Sugrue (Chief of the FCC's Wireless Telecommunications Bureau), Kenneth Feree (Chief of the FCC's Media Bureau), and William Maher (Chief of the FCC's Wireline Competition Bureau), and Bryan Tramont (Senior Legal Advisor to FCC Chairman Michael Powell). Location: Sidley Austin Brown & Wood, Conference room 6-E.

Wednesday, November 13
9:00 AM - 5:30 PM. Day two of a two day conference titled "W3C Workshop on the Future of P3P". The topic is the the World Wide Web Consortium's (W3C) Platform for Privacy Preferences Project (P3P). See, agenda. See also, links to copies of submitted papers. Location: Dulles, Virginia campus of America Online, Seriff Auditorium, Creative Center 2, America Online Dulles campus; enter the campus at Creative Center 3 (CC3), 22110 Pacific Blvd, Dulles, VA.

9:00 AM. Day one of a two day meeting of Information Systems Technical Advisory Committee (ISTAC) of the Commerce Department's Bureau of Industry and Security (formerly known as the Bureau of Export Administration). The ISTAC advises the BIS on technical questions that affect the level of export controls applicable to information systems equipment and technology. The meeting will be partly open, and partly closed. The agenda for the open portion of the meeting includes a presentation on China's high performance computing market and a presentation on semiconductor manufacturing trends. The agenda for the closed portion of the meeting is secret. See, notice in the Federal Register, October 22, 2002, Vol. 67, No. 204, at Page 64868. Location:  Room 3884, Hoover Building, 14th Street between Pennsylvania and Constitution Avenues, NW.

12:15 PM. The FCBA's Mass Media Practice Committee will host a brown bag lunch. The topic will be radio issues. The speakers will be Peter Doyle (Chief of the FCC's Audio Division) and other FCC staff. RSVP to Barry Umansky at 202 263-4128 or barry.umansky @thompsonhine.com. Location: National Association of Broadcasters, 1771 N St., NW, 1st floor conference room.

6:00 PM. The Center for Democracy and Technology (CDT), Truste, and Privastaff will host a book signing and wine and cheese reception for Ann Cavoukian, Information and Privacy Commissioner of Ontario and co-author of The Privacy Payoff: How Successful Business Build Customer Trust. For more information, contact LuJuan Brooks 202 637-9800 or lbrooks@cdt.org. Location: National Press Club, 529 14th St. NW, 13th Floor.

High Tech Broadband Coalition Lobbies FCC
11/4. Representatives of various companies and groups that are members of the High Tech Broadband Coalition (HTBC) met with Jordan Goldstein, Senior Legal Advisor to Federal Communications Commission (FCC) Commissioner Michael Copps, regarding various proceedings before the FCC pertaining to regulatory treatment of high speed Internet access.

The HTBC wrote in an ex parte communications disclosure [2 pages in PDF] that it argued that "the best way to reach universal adoption of broadband is strong facilities based broadband competition among cable modem, wireline broadband (xDSL/fiber), satellite and wireless alternatives." It added that the FCC "should refrain from imposing unbundling obligations on incumbent local exchange carriers' new, last mile broadband facilities, including fiber and DSL and successor technologies deployed on the customer side of the central office."

It added that "competitive entrants should continue to have access to core copper loops and be able to collocate their equipment in ILEC central offices."

The HTBC also wrote that it "has raised concerns about consumers' access to content and applications over the Internet and has asked the Commission to vigilantly monitor the cable and wireline markets to ensure basic principles of connectivity are maintained."

Present at the meeting were representatives of Texas Instruments, Catena Networks, Intel, Corning, the Telecommunications Industry Association, the ITIC, the National Association of Manufacturers.

Two Columns?
This edition of the TLJ Daily E-Mail Alert is laid out in two columns, rather than the usual three. TLJ requests comments from readers regarding whether two or three columns is a better format.
About Tech Law Journal
Tech Law Journal publishes a free access web site and subscription e-mail alert. The basic rate for a subscription to the TLJ Daily E-Mail Alert is $250 per year. However, there are discounts for entities with multiple subscribers. Free one month trial subscriptions are available. Also, free subscriptions are available for law students, journalists, elected officials, and employees of the Congress, courts, and executive branch, and state officials. The TLJ web site is free access. However, copies of the TLJ Daily E-Mail Alert and news items are not published in the web site until one month after writing. See, subscription information page.

Contact: 202-364-8882; E-mail.
P.O. Box 4851, Washington DC, 20008.
Privacy Policy
Notices & Disclaimers
Copyright 1998 - 2002 David Carney, dba Tech Law Journal. All rights reserved.