Massachusetts Attorney General Tom Reilly also released a statement. He said that "One year ago, after a change in administrations, the Department of Justice negotiated a deal with Microsoft. The deal ignored Microsoft's ill gotten gains, did nothing about safeguarding competition in new technologies, and was filled with loopholes and exceptions. There was nothing in the deal that would change Microsoft's business practices in any substantial way. Some states joined the deal anyway, rather than continue. The rest made the decision to fight on, and seek a remedy that would make a difference. We knew that it would not be an easy path. We knew that this would end up having to be decided by higher Courts, one way or the other."

He added that "the district court did little more than accept Microsoft's loophole filled deal. We believe the final word must come from the appellate courts. We are going to appeal."

The USTR release states that "The U.S. proposal would eliminate tariffs on a full-range of consumer and industrial goods ranging from women's shoes, to tractors, to children's toys. The proposal, which will be presented to WTO members next week in Geneva, Switzerland, calls for a two-step approach to tariff elimination. First, WTO members must cut and harmonize their tariffs in the five year period from 2005 to 2010. Specifically, WTO members would eliminate all tariffs at or below 5 percent by 2010, cut all other tariffs through a "tariff equalizer" formula to less than 8 percent by 2010, and eliminate tariffs in certain highly traded industry sectors as soon as possible, but not later than 2010." See also, substantially identical DOC release.

The USTR also stated in a further summary that "Sectors should include, but are not limited to ... Information technology and electronics products".

The USTR elaborated in its release that "The second step calls for all members to make equal annual cuts in remaining tariffs between 2010 and 2015. These cuts would result in zero tariffs. The proposal also calls for a separate program to identify and eliminate non-tariff barriers, which would run on a parallel track with the negotiations on industrial tariffs. The United States will put forward an initial list of such barriers in January."

Level3 Communications CEO James Crowe stated in a release that "The transaction combines the assets and operations of Genuity, the company that helped invent the Internet, with Level 3, the company that built the first network fully optimized for Internet Protocol based communications. Both companies are experienced providers of optical and IP based services, and both are Tier 1 Internet backbone providers with industry leading quality of service. Genuity's transport and dedicated and dial-up Internet access business -- more than 80 percent of revenue -- is complementary to Level 3's transport, managed modem and IP services business."

Genuity provides Internet access, transport, managed security and VPN, hosting and other services. Its largest customers are Verizon and America Online. Both have consented to the transaction.

Lawrence Babbio, Vice Chairman and President of Verizon, stated in a release that "As a significant creditor and customer of Genuity, we fully support this transaction. We are delighted that we've been able to resolve many complex issues in a way that benefits both the customers of Verizon and Genuity, and Genuity's creditors. We are also pleased that Verizon's willingness to continue existing commercial arrangements with Level 3 enabled Genuity to agree to this transaction."

This transaction is subject to approval by the bankruptcy court and various regulatory agencies, including Hart Scott Rodino approval.

The SEC added that "This judgment settles part, but not all, of the Commission's action against WorldCom. ... The Commission's investigation into matters related to WorldCom's financial fraud is continuing."

John Sidgmore, P/CEO of WorldCom, stated that "This settlement is a significant milestone in WorldCom's restructuring efforts ... Resolution of this litigation enables our company to move even more confidently toward a successful conclusion of the company's financial restructuring." See, WorldCom release.

On October 24, 2002, the Electronic Privacy Information Center (EPIC), the ACLU, and others, filed a complaint [12 pages in PDF] alleging violation of the FOIA, 5 U.S.C. § 552, in connection with the DOJ's failure to respond to plaintiffs' FOIA request for records pertaining to the DOJ's implementation of the USA PATRIOT Act, the broad anti-terrorism bill passed late in 2001.

The complaint alleges that "there has been growing public concern about the scope of the Patriot Act and the government’s use of authorities thereunder, particularly in relation to constitutionally protected rights. Plaintiffs seek records that are critical to the public’s ability to evaluate the government’s use of vast new surveillance powers, and whose release can only serve national security, not undermine it."

The EPIC submitted a FOIA request to the DOJ and Federal Bureau of Investigation (FBI) on August 21, 2002. The document requested, among other things, records pertaining to the number of times the government has authorized the use of devices to trace the telephone calls or e-mails of people who are not suspected of any crime and the number of times the government has initiated surveillance of Americans under the expanded Foreign Intelligence Surveillance Act (FISA).

The complaint requests that the Court order the DOJ "immediately to state which records it intends to disclose in response to plaintiffs’ FOIA request" and "immediately to process plaintiffs' FOIA request and to disclose the requested records".

The order, signed by Judge Ellen Huvelle, states that "defendant shall complete its processing of plaintiffs’ FOIA requests, including identifying all responsive documents and informing plaintiffs which documents defendant seeks to withhold and on what basis, not later than January 15, 2003". It also states that "plaintiffs shall inform defendant in writing of the withholdings that it wishes to challenge no later than January 17, 2003.

The order also sets deadlines for proceedings on summary judgment. The DOJ shall file is motion for summary judgment by January 24. The plaintiffs shall file their opposition by February 6. The DOJ shall file is reply by February 17.

The other plaintiffs are the American Booksellers Foundation for Free Expression (ABFFE), the Freedom to Read Foundation (FTRF), and the American Civil Liberties Association (ACLU). David Sobel of the EPIC signed the complaint.

The CU stated that "The proposed merger of satellite companies EchoStar and DirecTV understandably raised antitrust and competitive concerns, but under modifications proposed by the companies, the merger would have allowed them to offer local channels nationwide and present a real challenge to cable giants. Rather than work with the companies to restructure the deal, the Federal Communications Commission (FCC) simply rejected the merger. The FCC has also refused to grant licenses to companies seeking to compete with cable TV service, such as Broadwave USA and its Northpoint technology."

The CU added that "the FCC is apparently unwilling to lift a finger to help consumers harmed by cable's monopolistic practices. Congress and the FCC need to go back to the drawing board and fix the Telecommunications Act in order to promote competition so that consumers can see the increased choices and lower prices that they were promised six years ago."

The CU also criticized various cable companies for raising rates. It stated that "The holiday round of cable rate hikes is part of a troubling trend that dates back to 1996 when Congress passed the Telecommunications Act to initiate deregulation of cable companies." It added that "in the six years since the law was passed, cable rates nationwide have skyrocketed 45 percent, and 95 percent of American households still have only one cable company in their communities."

The National Cable and Telecommunications Association's (NCTA) Rob Stoddard responded that "Cable operators are highly sensitive to the competitive conditions of the marketplace. The analysis by Consumers Union distorts or overlooks a number of facts, including the constant escalation in costs of content; the recruitment, training, and retention of qualified personnel; improvements in customer care and service; as well as the industry's on-going investment in upgrading its plant. This year alone, operators are expected to have invested nearly $15 billion. The charge that direct broadcast satellite service is non-competitive is ludicrous, based on DBS’ acquisition of 20 million customers in less than a decade. We compete vigorously with DBS, but cable service -- featuring more choice, better local programming, and new digital services -- remains the best consumer value in the marketplace today." See, NCTA release.

11/25. Robert Harrelson plead in U.S. District Court (EDVa) to distribution of electronic communication intercepting devices. The U.S. Attorneys Office (USAO) stated in a release [PDF] that "The charges involve Harrelson’s illegal programming and distribution of DIRECTV access cards. DIRECTV delivers approximately 255 channels of digital entertainment and informational television programming to homes and businesses in the United States equipped with DIRECTV hardware - a mini-satellite dish, an integrated receiver/decoder and a DIRECTV access card, which is necessary to operate the decoder. Between December 2000 and September 2001, Harrelson and associates illegally programmed and distributed to others access cards with unrestricted access, without paying any fees, to all DIRECTV programming." Sentencing is scheduled for February 11, 2003.

11/27. Randal Milota plead guilty in U.S. District Court (EDCal) to mail fraud arising out of an internet based scheme to falsely advertise computer equipment that he never delivered. See, USAO release [PDF].

11/26. The U.S. District Court (NDCal) sentenced Lisa Chan to eighteen months in prison for conspiracy to infringe the copyrights of computer software. The U.S. Attorney's Office (USAO) stated in a release [PDF] that she sold thousands of copies of counterfeit Microsoft software. See also, indictment [PDF] and plea agreement [PDF].

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Altiris v. Symantec, No. 02-1137. This is an appeal from the U.S. District Court (CDUtah) in a patent infringement case involving Altiris' U.S. Patent No. 5,764,593, which describes a technology for remotely controlling the boot process of a computer to permit network administrators to automatically gain control. The District Court granted summary judgment to Symantec. This is D.C. No. 2:99CV-1007ST. Symantec's counsel is Robert Fram at Heller Ehrman. Location: Courtroom 203, 717 Madison Place, NW.

? 6:30 - 8:00 PM. The FCBA's International Practice Committee will host a reception to meet Southeast Europe telecom regulators. RSVP to laurabsherman@hotmail.com. Location: Hilton Hotel Embassy Row, 2015 Massachusetts Ave., NW.

7:00 - 8:00 PM. There will be a panel discussion titled "The State of Electronic Government: Surveillance, Security and Civil Rights". The speakers will be Wilson Dizard (Government Computer News), Jim Davidson (lobbyist), Marc Rotenberg (Electronic Privacy Information Center), Mike Stock (3rd Millennium Technologies), Gary Strong (National Science Foundation). See, notice. The price to attend is $10. For reservations, call 202 662-7501. Location: National Press Club, Holleman Lounge, 529 14th St. NW, 13th Floor.

Deadline to submit comments to the National Telecommunications and Information Administration (NTIA) in response to its request for comment on the domestic and family law documents exception to the E-SIGN Act. See, notice in the Federal Register.

DEADLINE EXTENDED. Deadline to submit comments to the FCC in its third biennial review of its broadcast ownership rules pursuant to § 202 of the Telecommunications Act of 1996. The FCC seeks comments on the national television multiple ownership rule, the local television multiple ownership rule, the radio television cross ownership rule, and the dual network rule. The FCC announced this Notice of Proposed Rulemaking (NPRM) at its meeting on September 12. See, story titled "FCC Announces Broad Review of Media Ownership Rules" in TLJ Daily E-Mail Alert No. 509, September 16, 2002. The FCC released the text of this NPRM on September 23. See, notice in the Federal Register, October 28, 2002, Vol. 67, No. 208, at Pages 65751 - 65776. This is MB Docket No. 02-277.

Deadline to submit comments to the FCC's Wireline Competition Bureau (WCB) regarding AT&T's October 15 Petition for Rulemaking to Reform Regulation of Incumbent Local Exchange Carrier Rates for Interstate Special Access Services [118 pages in PDF]. This is RM No. 10593.

Deadline to submit comments to the National Institute of Standards and Technology (NIST) regarding its draft publication [16 pages in PDF] titled "Recommendation for Block Cipher Modes of Operation: the RMAC Authentication Mode". This is NIST Special Publication 800-38B (draft). It was written by Morris Dworkin in the NIST's Information Technology Laboratory's Computer Security Division. Send comments to EncryptionModes@nist.gov.

Deadline to submit comments and proposals for the scheduling of the CARP proceedings to the Copyright Office regarding its request for "written comments and proposals for the scheduling of Copyright Arbitration Royalty Panel (CARP) proceedings to adjust royalty rates and terms under provisions of the Copyright Act governing ephemeral recordings and digital transmissions of performances of sound recordings, as well as notices of intent to participate in the CARP to set rates and terms under the statutory license for eligible nonsubscription services to make certain digital audio transmissions of sound recordings for the 2003-2004 period." See, notice in the Federal Register.

9:00 AM - 5:00 PM. Day one of a three day meeting of the National Institute of Standards and Technology's (NIST) Computer System Security and Privacy Advisory Board (CCSPAB). The CCSPAB advises the Secretary of Commerce and the Director of NIST on security and privacy issues pertaining to federal computer systems. The agenda includes (1) GSA update on e-authentication, (2) updates on recent computer security legislation, (3) update by OMB on privacy and security issues, (4) briefing on OMB enterprise architecture effort, (5) briefing on NIST certification and authentication effort. See, notice in Federal Register. Location: North Gaithersburg Hilton Hotel, 620 Perry Parkway, Gaithersburg, MD.

CANCELLED? 10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Bell Communications Research v. Fore Systems, No. 02-1083. This is appeal from the U.S. District Court (DDel) in a patent infringement case involving ATM/SONET technology. Bell Communications Research (aka Bellcore) filed a complaint against Fore Systems (aka Marconi Systems). Fore's counsel is Fish & Richardson. Location: Courtroom 203, 717 Madison Place, NW.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Storage Technology v. Cisco, No. 02-1232. This is a patent infringement case involving communication networks. Location: Courtroom 203, 717 Madison Place, NW.

10:00 AM - 3:00 PM. The FCC's Technological Advisory Council will meet. See, notice in the Federal Register. For more information, contact Jeffery Goldthorp at 202 418-1096 or jgoldtho@fcc.gov. Location: FCC, Room TW-C305, 445 12th St. SW.

12:00 NOON - 2:00 PM. The DC Bar Association will host a panel discussion titled "Victor/Victoria: The ``Secret´´ to Proving Dilution". The panel will discuss the case Moseley v. V Secret Catalogue (which is pending before the Supreme Court) and the Federal Trademark Dilution Act. The speakers will be John Whealan (amicus USPTO), Jonathan Hudis (Oblon Spivak, for amicus AIPLA), and Jeremy Maltby (O’Melveny & Myers, for Victoria's Secret). The price to attend is $30 for IP Section members, $35 for other DC Bar members, $40 for the public, and free for people with a GWU law school ID. For more information, contact Maureen Britti at mbritti@dcbar.org or 202-626-3463, or Robert Brauneis at rbraun@main.nlc.gwu.edu. Location: George Washington University Law School, Moot Court Room, 2000 H Street, NW.

12:00 NOON. The U.S. District Court (DC) will hold a status hearing in McConnell v. FEC and related cases. Judge Kotelly will preside. Location: Courtroom 11, 333 Constitution Ave., NW.

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in Sprint v. FCC, No. 01-1266. Judges Ginsburg, Rogers and Tatel will preside. Location: 333 Constitution Ave., NW.

9:30 - 11:30 AM. The FCC's WRC-03 Advisory Committee's Informal Working Group 7: Regulatory Issues and Future Agendas will meet. Location: Boeing Company, Arlington, VA.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Resonate v. Alteon Websytems, No. 02-1201. Resonate filed its complaint in U.S. District Court (NDCal) against Alteon Websystems, which has since been acquired by Nortel Networks, alleging infringement of U.S. Patent No. 5,774,660, titled "World Wide Web Server With Delayed Resource Binding For Resource Based Load Balancing On A Distributed Resource Multi Node Network". The District Court issued a a claim construction ruling adverse to Resonate. Location: Courtroom 402, 717 Madison Place, NW.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in Intel v. Via Technologies, No. 02-1212. Location: Courtroom 201, 717 Madison Place, NW.

10:15 AM - 3:30 PM. The American Enterprise Institute (AEI) will host a panel discussion titled "The Use of Safeguards as Trade Policy Instruments: Where Have We Been, Where Are We Going?". See, notice and registration page. Location: AEI, 12th floor, 1150 17th St., NW.

2:30 - 5:15 PM. The Department of Commerce's (DOC) Central & East European Business Information Center (CEEBIC) will host a briefing and reception. The speakers will be visiting regulators and officials. For more information, contact Jennifer Gothard (CEEBIC) at 202 482-2645 or jennifer_gothard@ita.doc.gov.

10:00 AM - 1:00 PM. The FCC's Network Reliability and Interoperability Council (NRIC) will hold a meeting. For more information, contact Jeffery Goldthorp at 202 418-1096 or jgoldtho@fcc.gov. The meeting, which will be chaired by FCC Chairman Michael Powell and NRIC Chairman Richard Notebaert, will address "recommendations to protect the nation's communications infrastructure -- both physical and cyber -- against attack". See, FCC notice [MS Word]. See also, notice in the Federal Register. Location: FCC, Room TW-C305, 445 12th St. SW.

? 12:15 - 1:30 PM. The FCBA's Wireless Telecommunications Practice Committee will host a luncheon titled "WiFi -- What's all the Buzz About?" The speakers will be Julie Knapp (Deputy Chief of the FCC's Office of Engineering & Technology), Peter Pitsch (Intel), and Rebecca Arbogast (Legg Mason). The price to attends is $15. RSVP to wendy@fcba.org. Location: Sidley Austin Brown & Wood, 1501 K St. NW, 6th Floor, Conference Room 6E.

12:30 PM. Rep. Richard Armey (R-TX), the outgoing House Majority Leader, will speak at a luncheon. Location: National Press Club, 529 14th St. NW, 13th Floor.

2:00 - 3:00 PM. Bill Whyman, President of the Precursor Group, will speak at an Information Technology Association of America (ITAA) event. The title of his presentation is "Precursor Group's Tech Demand Model: IT Spending Set to Improve in '03". See, ITAA notice. For more information, contact Madeleine Wickwire at mwickwire@itaa.org.

Extended deadline to submit comments to the FCC in response to its Notice of Proposed Rulemaking (NPRM) [15 pages in PDF] in its proceeding titled "In the Matter of Digital Broadcast Copy Protection". This NPRM proposes that the FCC promulgate a broadcast flag rule, and seeks comment on this, and related questions. This is MB Docket No. 02-230. See also, FCC release [PDF] and Order [PDF] of October 11, 2002 extending deadlines.