3/8. The Supreme Court issued an order in Intel v. AMD. The Court ordered that "The motion of Commission of the European Communities for leave to participate in oral argument as amicus curiae and for divided argument is granted. The motion of the Solicitor General for leave to participate in oral argument as amicus curiae and for divided argument is granted." See, Order List [8 pages in PDF] at page 1.

This is a case regarding the availability of a discovery order from a U.S. District Court, pursuant to 28 U.S.C. § 1782, for a complainant in an antitrust matter before the European Commission.

The Supreme Court granted certiorari on November 10, 2003, Oral argument is scheduled for April 20, 2004.

See also, story titled "Supreme Court Grants Certiorari in Intel v. AMD", also published in TLJ Daily E-Mail Alert No. 776, November 11, 2003; and story titled "9th Circuit Rules on Discovery in U.S. for EC Antitrust Proceeding" in TLJ Daily E-Mail Alert No. 446, June 7, 2002.

This case is Intel Corporation v. Advanced Micro Devices, Inc., S.C. No. 02-572.

3/5. The U.S. Court of Appeals (6thCir) issued its opinion in Lucas Nursery v. Grosse, a dispute over residential yard work that escalated into a federal cybersquatting case. The Appeals Court affirmed the District Court's judgment for the domain name registrant. It held that a consumer who registered a domain name, and established a web site, solely to criticize the business that uses that name, did not meet the "bad faith" requirement of the Anticybersquatting Consumer Protection Act (ACPA).

Lucas Nursery is a business that does yard work. Michelle Grosse has a house with a yard. Grosse hired Lucas Nursery to level a dip in her front yard. Lucas Nursery laid soil and sod to level the dip. However, Grosse was not satisfied.

The Appeals Court opinion does not state whether or not she filed a complaint in state court alleging breach of contract, or other causes of action. But, she did register the domain, www.lucasnursery.com. And, she published a web site devoted to complaining about her landscaping experience.

Neither Lucas Nursery, nor Grosse, registered a trademark in the name "Lucas Nursery".

Lucas Nursery filed a complaint in U.S. District Court (EDMich) alleging violation of the Anticybersquatting Consumer Protection Act, which is codified at 15 U.S.C. § 1125(d). The District Court granted summary judgment to Grosse. Lucas Nursery appealed. The Court of Appeals affirmed.

Subsection 1125(d)(1)(A) provides that "A person shall be liable in a civil action by the owner of a mark, including a personal name which is protected as a mark under this section, if, without regard to the goods or services of the parties, that person --
  (i) has a bad faith intent to profit from that mark, including a personal name which is protected as a mark under this section; and
  (ii) registers, traffics in, or uses a domain name that --
    (I) in the case of a mark that is distinctive at the time of registration of the domain name, is identical or confusingly similar to that mark;
    (II) in the case of a famous mark that is famous at the time of registration of the domain name, is identical or confusingly similar to or dilutive of that mark; or
    (III) is a trademark, word, or name protected by reason of section 706 of title 18 or section 220506 of title 36."

Subsection 1125(d)(1)(B) then lists the nine factors to be considered by the Court in determining whether a person has a bad faith intent.

The case turned on the Appeals Court's application of the facts of this case to the ACPA's test for bad faith.

It found that some of the enumerated factors worked against Grosse. The first three all cut against her. That is, she held no "trademark or other intellectual property rights ... in the domain name". She did not register a domain name that consists of her name. She had made no prior use of the domain name.

But, the Appeals Court held that the 5th through 8th factors do not suggest bad faith. The Court summarized these factors. "These factors focus on: whether the defendant seeks to divert consumers from the mark holder’s online location either in a way that could harm good will or tarnish or disparage the mark by creating a confusion regarding the sponsorship of the site; whether there has been an offer to transfer or sell the site for financial gain; whether the defendant provided misleading contact information when registering the domain name; and whether the defendant has acquired multiple domain names which may be duplicative of the marks of others."

The Court emphasized that "The paradigmatic harm that the ACPA was enacted to eradicate -- the practice of cybersquatters registering several hundred domain names in an effort to sell them to the legitimate owners of the mark -- is simply not present in any of Grosse's actions." The Court concluded that "None of these factors militates against Grosse."

This opinion stands in contrast to the opinion of the U.S. Court of Appeals (4thCir) in PETA v. Doughney. See, story titled "4th Circuit Affirms Judgment Against Parody Web Site Operator" in TLJ Daily E-Mail Alert No. 256, August 24, 2001.

This case is Lucas Nursery and Landscaping, Inc. v. Michelle Grosse, U.S. Court of Appeals for the 6th Circuit, No. 02-1668, an appeal from the U.S. District Court for the Eastern District of Michigan, at Detroit, D.C. No. 01-73291, Judge Bernard Friedman presiding.

3/5. The U.S. Court of Appeals (7thCir) issued its opinion [29 pages in PDF] in Indiana Bell v. McCarty, a interconnection dispute between Indiana Bell (SBC) and AT&T arising in the state of Indiana.

Incumbent local exchange carrier (ILEC) Indiana Bell and competitive local exchange carrier (CLEC) AT&T failed to reach an agreement regarding interconnection. So, pursuant to 47 U.S.C. § 252, the Indiana Utility Regulatory Commission (IURC) arbitrated.

Indiana Bell then filed a complaint in U.S. District Court alleging that various parts of the IURC order were in violation with the Communications Act. The defendants include AT&T, William McCarty and other IURC Commissioners.

The District Court granted Indiana Bell's request for an injunction, in part. Indiana Bell and AT&T both appealed. The Appeals Court affirmed in part, and reversed in part.

The Appeals Court affirmed the District Court's affirmance of the IURC’s decision to award AT&T the tandem reciprocal compensation rate rather than the lower endoffice rate. The Appeals Court also affirmed the District Court's affirmance of the IURC's determination that Indiana Bell must splice dark fiber for AT&T upon request.

The Court of Appeals affirmed the District Court's finding regarding new combinations of network elements. AT&T had argued that the District Court erred in remanding for further findings the agreement provisions requiring Indiana Bell to provide AT&T with combinations of network elements that Indiana Bell ordinarily combines for itself as well as combinations that it ordinarily does not combine for itself.

The Court of Appeals also affirmed the District Court's finding regarding packet switching. AT&T had argued that the District Court erred in remanding for further findings the IURC’s decision requiring Indiana Bell to unbundle packet switching.

Finally, the Court of Appeals reversed the District Court regarding acceptance testing. AT&T had argued that the District Court erred in enjoining the portion of the interconnection agreement requiring Indiana Bell to perform acceptance testing before opening a loop circuit requested by AT&T.

This case in Indiana Bell Telephone Company, Inc. v. William McCarty, et al., U.S. Court of Appeals for the 7th Circuit, Nos. 03-1123, 03-1122 & 03-1124, appeals from the U.S. District Court for the Southern District of Indiana, Indianapolis Division, D.C. No. 01 C 1690, Judge Larry McKinney presiding.

2/25. On February 25, Rep. Amo Houghton (R-NY), Rep. Rob Portman (R-OH), and Rep. Jerry Moran (R-KS) introduced HR 3837, an untitled bill to limit the deduction for charitable contributions of patents and similar property. It was referred to the House Ways and Means Committee, of which Rep. Houghton is a senior member. Rep. Portman is also a member.

On February 24, Sen. Pat Roberts (R-KS) and Sen. Sam Brownback (R-KS) introduced S 2103, the companion bill in the Senate. That bill was referred to the Senate Finance Committee.

Rep. Houghton (at right) submitted a statement for the Congressional Record. He wrote that this bill would "tighten the tax rules for technology donations. The proposal would prevent the abusive transactions, but would allow the fair market value of legitimate gifts of technology to be deducted when the technology is transferred to universities, teaching hospitals, or nonprofit research institutions." Congressional Record, February 25, 2004, at page E232.

He continued that "Taxpayers are permitted to deduct the fair market value of patents and related technology that are donated to tax exempt charities. The benefit from the tax savings generated by patent and technology donations encourages the private owners of technology to transfer the patent to credentialed institutions that can develop it, creating new markets, improving people's lives, creating jobs, and strengthening the educational capabilities and innovative skills of our universities, teaching hospitals and research institutions." See, for example, Internal Revenue Service (IRS) Revenue Ruling 58-260, which confirmed the deductibility of donated patents.

However, he added that "In recent years the Internal Revenue Service and the Treasury Department have identified serious problems that have allowed unscrupulous taxpayers to abuse the law. In some cases, technology of questionable value is donated to tax exempt entities that are either incapable or unwilling to develop it. Any ``value´´ deducted in these cases is clearly exaggerated. In some cases, donor appraisals of otherwise valuable technology to a credentialed donee may have stated values that are inflated."

He explained that "My proposal would limit the incentive to very specific circumstances. Deductions would be limited to technology gifts in cases when all rights, title and interest in technology are transferred to either a university, teaching hospital, or non-profit research institute that is able to apply its credentialed expertise to the development of the technology. Under the proposal, the donor and donee of any cash included with a qualified gift must agree to limit its use to the development of the technology gift."

Also, "The bill adds a number of measures to avoid abuse in this area. Qualified appraisals and qualified appraisers are required and defined. One or more appraisals (second appraisal if value is over $5 million) would be required without regard to any value limitation. The Secretary of the Treasury shall prescribe regulations or guidance regarding the qualified appraisals and qualified appraisers. In addition, other anti-abuse measures to prevent the bundling of patents or similar property and/or manipulation of the tax basis in order to increase the amount of the contribution are included." (Parentheses in original.)

These two bills would amend Section 170 of the Internal Revenue Code, which is codified at 26 U.S.C. § 170. This section provides for the deduction of charitable contributions made within the tax year. Subsection 170(e) provides for the deduction of certain contributions of ordinary income and capital gain property.

170(e) pertains to "Certain contributions of ordinary income and capital gain property". Subsection 170(e)(1) provides the general rule.

These bills would amend Subsection 170(e)(1) to read as follows. (The words in red, that is, (B)(iii), are added. The word "or" at the end of (B)(i) is deleted.)

"The amount of any charitable contribution of property otherwise taken into account under this section shall be reduced by the sum of --
  (A) the amount of gain which would not have been long-term capital gain if the property contributed had been sold by the taxpayer at its fair market value (determined at the time of such contribution), and
  (B) in the case of a charitable contribution --
    (i) of tangible personal property, if the use by the donee is unrelated to the purpose or function constituting the basis for its exemption under section 501 (or, in the case of a governmental unit, to any purpose or function described in subsection (c)), or
    (ii) to or for the use of a private foundation (as defined in section 509(a)), other than a private foundation described in subsection (b)(1)(E), or
    (iii) except as provided in paragraph (7), of any patent, copyright, trademark, trade name, trade secret, know-how, software, or similar property,
  the amount of gain which would have been long-term capital gain if the property contributed had been sold by the taxpayer at its fair market value (determined at the time of such contribution)."

These bills would then add a new subsection 170(e)(7) that would create an exception to the general rule for contributions to certain qualified research organizations.

Finally, these bills direct the IRS to promulgate regulations that require "the donor of property described in section 170(e)(1)(B)(iii) of such Code to obtain one or more qualified appraisals of the fair market value of such property by a qualified appraiser or appraisers."

These bills also direct the IRS to promulgate regulations that "may be necessary or appropriate to prevent the avoidance of the purposes of " the new provisions contained in this bill.

See also, February 2, 2004, International Intellectual Property Institute (IIPI) paper [48 pages in PDF] titled "IP Donations: A Policy Review".

See also, related TLJ stories:
 • "IIPI Paper Examines Tax Deductions for IP Donations" in TLJ Daily E-Mail Alert No. 837, February 16, 2004.
 • "IRS Plans Crack Down on Charitable Contributions Deductions Involving Transfers of Intellectual Property" in TLJ Daily E-Mail Alert No. 805, December 23, 2003.
 • "Tax Bill Signed, Without Broadband Expensing Provision or IP Deductions Limitation" TLJ Daily E-Mail Alert No. 669, May 29, 2003.
 • "Senate Passes Tax Bill with Limitation of Deduction for Charitable Contributions of Intellectual Property" TLJ Daily E-Mail Alert No. 664, May 19, 2003.

3/8. Two small wineries, and several wine consumers, filed a petition for writ of certiorari with the Supreme Court in Swedenburg v. Kelley.

On November 12, 2002, the District Court issued its opinion [32 page PDF scan] holding that the NY statute prohibiting out of state wineries from selling directly to NY residents, such as via the internet, violates the Commerce Clause of the Constitution. See, story titled "Court Holds New York's Ban on Internet Wine Sales Is Unconstitutional" in TLJ Daily E-Mail Alert No. 551, November 18, 2002.

On February 12, 2004 the U.S. Court of Appeals (2ndCir) issued its opinion [28 pages in PDF] reversing the District Court, and holding that NY's statute is a permissible exercise of authority granted to states under the 21st Amendment. See, story titled "2nd Circuit Rules in Internet Wines Sales Case" in TLJ Daily E-Mail Alert No. 840, February 19, 2004.

The winery petitioners are the Swedenburg Winery in the state of Virginia, which is owned by Juanita Swedenburg, and the Lucas Winery, located in Lodi, California. They are represented by the Institute for Justice (IJ).

IJ VP Clint Bolick stated in a release that "This case presents a clash between economic protectionism and consumer freedom ... It pits the State and a quartet of multi-billion dollar oligopolists against family-owned wineries and the consumers who want to buy their wines."

There are now several inconsistent opinions from various circuits of the U.S. Court of Appeals regarding the constitutionality of bans of direct sales of wines.

The present case is Juanita Swedenburg, et al. v. Edward Kelly, et al., U.S. Court of Appeals for the 2nd Circuit, Nos. 02-9511 and 03-7089, appeals from the U.S. District Court for the Southern District of New York.

3/8. The Federal Election Commission (FEC) announced its final disposition of Matter Under Review (MUR) 5373, an FEC initiated review of the Bush Cheney 2000 committee, Kleiner Perkins Caufield & Byers (KPCB), and several charter aircraft service corporations. The gist of the matter is that Bush Cheney 2000 did not pay enough for charter air service, and thus, the charter services made, and Bush Cheney received, illegal in kind contributions.

The charter services were used for campaign related travel, but in some instances, were paid the lower first class air rate, rather than the charter rate. After the FEC investigation, the Bush Cheney 2000 committee paid the difference -- $95,509 -- to the U.S. Treasury, and the FEC took no further action against any of the respondents. See, FEC release of March 8, 2004 titled "Compliance Case Made Public".

The FEC counsel's report [PDF] of May 14, 2003 stated that "The Office of General Counsel recommends that the Commission find reason to believe that Bush-Cheney 2000, Inc. and David Herndon, as Treasurer, violated 2 U.S.C. § 441b(a) by accepting in-kind contributions from air charter vendors. The Office of General Counsel also recommends that the Commission find reason to believe that ... Kleiner, Perkins, Caufield & Byers ... violated 2 U.S.C. § 441b(a). Since the Committee paid the $95,509 to the United States Treasury, the carriers forfeited this amount to the United States Treasury. As a result, this Office does not believe that any further corrective action by the respondents or a civil penalty is necessary."

KPCB's COO wrote a letter [PDF] to the FEC in response to the report in which he stated that "I continue to believe Kleiner Perkins Caufield & Byers had no involvement - financial or otherwise - in the charter flights in question." He also wrote in another letter [PDF] that Kleiner Perkins does not now and has never owned any airplanes, and Kleiner Perkins did not provide or subsidize charter airplanes for Bush-Cheney 2000 ..."

KPCB is a venture capital firm based in Menlo Park, California that focuses on information technology and biotechnology. The KPCB website lists Floyd Kvamme as a "partner emeritus". The website of the President's Council of Advisors on Science & Technology (PCAST) lists Floyd Kvamme as a "partner" at KPCB, and Co-Chair of the PCAST. Another KPCB partner, John Doerr, has a history of association with the Clinton Gore administration.

3/8. David Heineman was appointed to the Homeland Security Advisory Council (HSAC). He is the Lieutenant Governor of Nebraska, and Chairman of the Nebraska Information Technology Commission. See, DHS release.

3/8. Matt Oppenheim has joined the Washington DC office of the law firm of Jenner & Block as a partner in its Entertainment and New Media Practice. He will also work with the firm's Intellectual Property and Technology Practice. He was previously SVP for Business and Legal Affairs for the Recording Industry Association of America (RIAA).

3/5. Jacquelynn Ruff was named Vice President for Public Policy and International Regulatory Affairs at Verizon. She was previously Assistant Bureau Chief of the Federal Communications Commission's (FCC) International Bureau. She joined the FCC in 1999. Before that, she worked for the law firm of Wilmer Cutler & Pickering. See, Verizon release.

3/8. Jennifer McKee was named Assistant Chief of the Federal Communications Commission's (FCC) Wireline Competition Bureau's (WCB) Pricing Policy Division (PPD). She was previously an Attorney Advisor in the PPD. She has worked on voice over internet protocol (VOIP), access charge reform rulemaking proceedings, tariff investigations, and pricing issues in Section 271 applications. See, FCC release [PDF].

3/8. The Senate Finance Committee held a hearing on several pending nominations, including that of Donald Korb to be Chief Counsel for the Internal Revenue Service (IRS). Korb wrote in his prepared testimony that "In the late 1990's, this Committee identified serious concerns regarding the operations of the Internal Revenue Service.  The reforms instituted at that time are having a positive impact both on the way the Service conducts its operations and on compliance by the taxpaying public with our tax laws.  In line with those reforms, Commissioner Everson has set three goals for the Service: to continue to enhance the service that the IRS provides to taxpayers, to continue to modernize the information technology systems of the Service, and to strengthen the integrity of the nation's tax system through enhanced enforcement activities.  If confirmed, my top priority as Chief Counsel will be to help Commissioner Everson achieve these goals." (Emphasis added.)

The House will meet at 12:30 PM for morning hour, and at 2:00 PM for legislative business. The House will consider several non technology related items under suspension of the rules. Votes will be postponed until 6:30 PM. See, Republican Whip Notice.

The Supreme Court is on recess until March 22, 2004.

9:30 AM. The Senate Commerce Committee will hold a business meeting. The agenda includes consideration of S 2056, the "Broadcast Decency Enforcement Act of 2004", which is sponsored by Sen. Sam Brownback (R-KS) and Sen. Lindsey Graham (R-SC). Sen. Ernest Hollings (D-SC), the ranking Democrat on the Committee, will offer his bill, S 161, the "Children's Protection from Violent Programming Act". See, notice. Press contact: Rebecca Hanks (McCain) at 202 224-2670 or Andy Davis (Hollings) at 202 224-6654. Location: Room 253, Russell Building.

10:00 AM. The Senate Finance Committee will hold a hearing titled "The Administration's International Trade Agenda". U.S. Trade Representative (USTR) Robert Zoellick will testify. Location: Room 215, Dirksen Building.

12:15 PM. The Federal Communications Bar Association's (FCBA) Cable Practice Committee will host a brown bag lunch. The topic will be the Federal Communications Commission's (FCC) plug & play and broadcast flag rules. The speakers will be Susan Mort (FCC), John Wong (Division Chief of the FCC's Media Bureau's Engineering Division) and Michael Lance (Deputy Division Chief of the ED). For more info contact Frank Buono at fbuono@willkie.com. RSVP to Wendy Parish at wendy@fcba.org. Location: Willkie Farr & Gallagher, 1875 K St., NW, 2nd Floor.

1:30 - 3:00 PM. The WRC-07 Advisory Committee's Informal Working Group 1: Terrestrial and Space Science Services will meet. See, notice [PDF]. Location: Federal Communications Commission (FCC), 445 12th Street, SW, Conference Room #5 (8th Floor, Room 8-B411).

Day one of a three day conference hosted by the National Institute of Standards and Technology (NIST) and the Federal Information Systems Security Educators' Association (FISSEA) titled "Awareness, Training and Education: The Driving Force Behind Information Security". The price to attend is $365. See, notice. Location: Inn and Conference Center, University of Maryland University College (UMUC), 3501 University Boulevard East, Adelphi, MD.

Day three of a four day meeting of the National Association of Regulatory Utility Commissioners (NARUC). For more information, contact Michelle Malloy at 202 898-2214 or Wendy Harris at 202 898-2209. See, notice. Location: Renaissance Washington Hotel.

The House will meet at 10:00 AM for legislative business. The House is scheduled to take up HR 2391, the "Cooperative Research and Technology Enhancement (CREATE) Act", under suspension of the rules. See, Republican Whip Notice.

9:30 - 11:00 AM. The AEI-Brookings Joint Center will host a panel discussion titled "The Internet Telephony Revolution: Reality or Hype?". The speakers will be Robert Crandall, Harold Furchtgott-Roth, Reed Hundt and Robert Litan. RSVP to Shannon Leahy at sleahy@brookings.edu or 202 797-6274. Location: National Press Club, 529 14th St. NW, 13th Floor.

9:30 AM. The Senate Finance Committee will hold a hearing titled "United States Economic and Trade Policy in the Middle East". Location: Room 215, Dirksen Building.

10:00 AM. The House Commerce Committee's Subcommittee on Telecommunications and the Internet will hold a hearing titled "Oversight of the Satellite Home Viewer Improvement Act". See, notice. The hearing will be webcast. Press contact: Larry Neal at 202 225-5735. Location: Room 2123, Rayburn Building.

10:00 AM. The House Ways and Means Committee's Subcommittee on Oversight and Subcommittee on Social Security will hold a joint hearing titled "Social Security Number and Individual Taxpayer Identification Number Mismatches and Misuse". See notice. Location: Room 1100, Longworth Building.

10:30 AM. The House Homeland Security Committee's Subcommittee on Intelligence and Counterterrorism will hold a hearing titled "The Department of Homeland Security Proposed Information Analysis Budget for Fiscal Year 2005". The witness will be Gen. Patrick Hughes, Assistant Secretary for Information Analysis. See, notice. Press contact: Liz Tobias at 202 226-9600. Location: undisclosed.

10:30 AM - 12:15 PM. The Center for Strategic and International Studies (CSIS) will host an event titled "Understanding Outsourcing". The speakers will include Rep. Adam Smith (D-WA). For more information, contact Mark Schoeff at 202 775-3242 or mschoeff@csis.org. Location: CSIS, 1800 K Street, NW, B-1 conference room.

2:00 PM. The Senate Finance Committee will hold a hearing on U.S. economic and trade policy in the Middle East. Location: Room 215, Dirksen Building.

2:00 - 4:30 PM. The American Enterprise Institute (AEI) will host a pair of panel discussions titled "Three Cheers for Globalization". See, notice. Location: 12th floor, 1150 17th St., NW.

2:30 PM. The Senate Judiciary Committee has scheduled a hearing on pending judicial nominations. The agenda, which the Committee frequently changes, includes consideration Peter Hall (to be a Judge of the U.S. Court of Appeals for the 2nd Circuit), Jane Boyle (Northern District of Texas), Marcia Cooke (Southern District of Florida), and Walter Kelley (Eastern District of Virginia). See, notice. Location: Room 226, Dirksen Building.

4:00 PM. The House Rules Committee will meet to adopt a rule for consideration of HR 3717, the "Broadcast Decency Enforcement Act of 2004".

Day two of a three day conference hosted by the National Institute of Standards and Technology (NIST) and the Federal Information Systems Security Educators' Association (FISSEA) titled "Awareness, Training and Education: The Driving Force Behind Information Security". The price to attend is $365. See, notice. Location: Inn and Conference Center, University of Maryland University College (UMUC), 3501 University Boulevard East, Adelphi, MD.

Day four of a four day meeting of the National Association of Regulatory Utility Commissioners (NARUC). For more information, contact Michelle Malloy at 202 898-2214 or Wendy Harris at 202 898-2209. See, notice. Location: Renaissance Washington Hotel.

Deadline to submit requests to the U.S. Trade Representative's (USTR) Trade Policy Staff Committee (TPSC) to testify orally at the TPSC hearing on March 17, 2004 regarding negotiating objectives for the proposed free trade agreement (FTA) between the U.S. and four Andean countries (Colombia, Peru, Ecuador, and Bolivia). See, notice in the Federal Register, February 17, 2004, Vol. 69, No. 31, at Pages 7532 - 7534.

The House will meet at 10:00 AM for legislative business. The House may take up HR 3717, the "Broadcast Decency Enforcement Act of 2004", subject to a rule. See, Republican Whip Notice.

7:45 AM. The Federal Communications Bar Association (FCBA) will host a breakfast. The speaker will be Steve Largent, P/CEO of the Cellular Telecommunications and Internet Association (CTIA). Prices range for $30 to $55. See, registration form. Location: J.W. Marriott Hotel, 1331 Pennsylvania Ave. NW.

9:30 AM. The Federal Communications Commission (FCC) will hold a meeting. The event will be webcast. Location: FCC, 445 12th Street, SW, Room TW-C05 (Commission Meeting Room).

9:30 AM. The U.S. Court Appeals (DCCir) will hear oral argument in City and County of San Francisco v. FCC, No. 03-1186. See, FCC brief [31 pages in PDF]. Judges Ginsburg, Randolph and Roberts will preside. Location: 333 Constitution Ave.

10:00 AM. The House Ways and Means Committee will hold a hearing titled "President Bush's Trade Agenda". The sole witness will be U.S. Trade Representative Robert Zoellick. See notice. Location: Room 1100, Longworth Building.

10:00 AM. The House Education and Workforce Committee will hold a hearing titled "The Changing Nature of the Economy: The Critical Roles of Education and Innovation in Creating Jobs & Opportunity in a Knowledge Economy". The witnesses will include Alan Greenspan (Chairman of the Federal Reserve Board) and John Castellani (Business Roundtable), and Robert Grady (Carlyle Group and National Venture Capital Association). The hearing will be webcast by the Committee. Location: Room 2175, Rayburn Building.

10:00 AM. The House Appropriations Committee's Subcommittee on Homeland Security will hold a hearing on the proposed budget for the Transportation Security Administration (TSA). The Homeland Security Act transferred the TSA from the Department of Transportation to the Department of Homeland Security (DHS). The Computer Assisted Passenger Prescreening System (CAPPS) II program is run by the TSA. Under Secretary for Border and Transportation Security Asa Hutchinson is scheduled to testify. Location: Room 2359, Rayburn Building.

12:00 NOON. The House Judiciary Committee's Subcommittee on Courts, the Internet, and Intellectual Property will hold a hearing titled "Section 115 of the Copyright Act: In Need of Update?". 17 U.S.C. § 115 pertains to compulsory licensing. The hearing will be webcast. Press contact: Jeff Lungren or Terry Shawn at 202 225-2492. Location: Room 2141, Rayburn Building.

Day three of a three day conference hosted by the National Institute of Standards and Technology (NIST) and the Federal Information Systems Security Educators' Association (FISSEA) titled "Awareness, Training and Education: The Driving Force Behind Information Security". The price to attend is $365. See, notice. Location: Inn and Conference Center, University of Maryland University College (UMUC), 3501 University Boulevard East, Adelphi, MD.

Deadline to submit comments to the Federal Communications Commission (FCC) regarding its Third Report and Order and Second Further Notice of Proposed Rulemaking pertaining to the administration of the FCC's e-rate subsidy program for schools and libraries. See, notice in the Federal Register, February 10, 2004, Vol. 69, No. 27, at Pages 6229 - 6238. This item is FCC 03-323 in Docket No. 02-6. The FCC adopted this item at its December 17, 2003 meeting. See, FCC release [PDF] describing this item. The FCC released the text of this item on December 23, 2003.

12:15 PM. The Federal Communications Bar Association's (FCBA) Diversity Committee will host a brown bag lunch. The topic will be "Balancing Work Life & Family Life". The speakers will be FCC Commissioner Kathleen Abernathy, Debra Lee (BET), and Michele Farquhar (Hogan & Hartson). RSVP to Monica Desai at 202 418-7419 or mdesai@fcc.gov by Wednesday, March 10. Location: FCC, 445 12th St., SW, 8th Floor, Conference Room 1.

The Senate will not meet from March 15 through March 19.

9:30 AM. The U.S. Court Appeals (DCCir) will hear oral argument in AT&T Wireless Services v. FCC, No. 03-1043. Judges Sentelle, Rogers and Garland will preside. Location: 333 Constitution Ave.

Extended deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Report and Order Further Notice of Proposed Rulemaking [72 pages in PDF] in its proceeding titled "In the Matter of Digital Broadcast Content Protection". This item is FCC 03-273 in MB Docket 02-230. This FNPRM seeks comment regarding a permanent approval mechanism for content protection and recording technologies to be used in conjunction with device outputs. For more information, contact Rick Chessen rchessen@fcc.gov or Susan Mort at smort@fcc.gov or 202-418-7200. See, notice [PDF] extending deadlines.

Extended deadline to submit reply comments to the Federal Communications Commission (FCC) in response to its Second Further Notice of Proposed Rulemaking regarding digital plug and play compatibility. The FCC announced its Second Report and Order and Second Further Notice of Proposed Rulemaking at its September 10, 2003 meeting. See, story titled "FCC Adopts Digital Plug and Play Cable Compatibility Rules" in TLJ Daily E-Mail Alert No. 737, September 11, 2003. The notice in the Federal Register states that the NPRM seeks public comments "on the mechanisms and standards by which new connectors and associated content protection technologies can be approved for use with unidirectional digital cable products". It further seeks comments on "the potential extension of digital cable system transmission requirements to digital cable systems with an activated channel capacity of 550 MHz or higher; whether it is necessary to require consumer electronics manufacturers to provide pre-sale information to consumers regarding the functionalities of unidirectional digital cable televisions; and whether the Commission should ban or permit the down-resolution of non-broadcast MVPD programming." This item is FCC 03-225 in CS Docket 97-80 and PP Docket 00-67. See, notice in the Federal Register, November 28, 2003, Vol. 68, No. 229, at Pages 66776 - 66781. See also, order [PDF] extending deadlines.

Deadline to submit comments to the Office of Personnel Management (OPM) regarding its proposed rule implementing provisions in the E-Government Act of 2002 that authorize the temporary assignment of employees in the field of information technology management (IT) between the federal government and private sector organizations. See, notice in the Federal Register January 15, 2004, Vol. 69, No. 10, at Pages 2308 - 2311.

Deadline to submit comments to the National Institute of Standards and Technology (NIST) regarding its draft document [58 pages PDF] numbered "NIST Special Publication 800-63" and titled "Recommendation for Electronic Authentication". This publication supplements the December 16, 2003 Office of Management and Budget (OMB) memorandum [PDF] titled "E-Authentication Guidance for Federal Agencies" that defines four levels of authentication in terms of the likely consequences of an authentication error. This NIST publication states that it "provides technical guidance to Federal agencies implementing electronic authentication. The recommendation covers remote authentication of users over open networks. It defines technical requirements for each of four levels of assurance in the areas of identity proofing, registration, tokens, authentication protocols and related assertions." E-Mail comments to eauth-comments@nist.gov.

3/5. Securities and Exchange Commission (SEC) Chairman William Donaldson gave a speech in Washington DC in which he discussed, among other topics, market regulation issues affected by new technologies.

Donaldson (at right) stated that "Several recent phenomena have created problems in resolving the protection of best price in our trading system. New technologies have made electronic trading platforms much faster and offered greater assurance of execution of a displayed order size compared to slower, floor-based markets. Intervening and uncertain access fees make protection of the best price even more difficult. The critical issue is how best to capture the benefits of speed and certainty of execution, while maintaining the bedrock principle of assuring that all investors are protected so that their better-priced orders are executed. By modernizing the National Market System, we will help our markets retain their position as the deepest and most efficient in the world, which will benefit investors regardless of their size or sophistication."

He also said that "To augment our oversight of mutual funds, we have also formed an SEC staff task force that will be drafting the outlines of a new surveillance program. ... I have also asked the task force to examine how new technologies can be used to enhance our oversight responsibilities."

3/4. BellSouth announced that it "has signed a definitive agreement with Telefonica Móviles, the wireless affiliate of Telefonica ... to sell its interests in its 10 Latin American operations. The purchase price is based on a total enterprise value of the 10 Latin American companies of $5.85 billion. BellSouth will receive after tax cash proceeds of approximately $4.2 billion and reduce consolidated debt by $1.5 billion." See, BellSouth release.

3/8. President Bush sent a message to the Congress that formally notifies it of his intent to negotiate a free trade agreement (FTA) with Morocco.

3/2. Federal Reserve Board Chairman Alan Greenspan gave a speech titled "Current Account" to the Economic Club of New York, in New York City. One subject that he discussed was "home bias", or the "inclination to invest a disproportionate percentage of domestic savings in domestic capital assets, irrespective of their differential rates of return". He stated that "The decline in home bias probably reflects an increased international tendency for financial systems to be more transparent, open, and supportive of strong investor protection. Moreover, vast improvements in information and communication technologies have broadened investors' vision to the point that foreign investment appears less exotic and risky. Accordingly, the trend of declining home bias and expanding international financial intermediation will likely continue."

3/8. The National Archives and Records Administration's Electronic Records Policy Working Group published a notice in the Federal Register requesting public comments on implementation of Section 207(e)(1)(A) of the E-Government Act of 2002, regarding "Public Access to Electronic Information". This section provides for "the adoption by agencies of policies and procedures to ensure that chapters 21, 25, 27, 29, and 31 of title 44, United States Code, are applied effectively and comprehensively to Government information on the Internet and to other electronic records.''  Comments must be received by April 5, 2004. See, Federal Register, March 8, 2004, Vol. 69, No. 45, at Page 10764.

3/1. The Office of Management and Budget (OMB) released a report [78 pages in PDF] titled "FY 2003 Report to Congress on Federal Government Information Security Management".

3/3. The House Financial Services Committee's Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises held a hearing on HR 3574, the "Stock Option Accounting Reform Act". Most witnesses testified in support of HR 3574, which would require the expensing of stock options for top executives only, and in support of broad based employee stock option plans. See, prepared testimony of witnesses: Karen Kerrigan (Small Business Survival Committee), Mark Heesen (National Venture Capital Association), Reginald Reed (Cisco Systems), and Arthur Coviello (RSA Security). In contrast, Robert Merton (Harvard Business School) testified that all stock options should be expensed.

3/8. The U.S. Court of Appeals (1stCir) issued its opinion in Quaak v. KPMG-B, a case regarding requests for documents in investigation and litigation in the United States. KPMG-B has been sued in connection with its role as auditor for the failed speech recognition software company, Lernout & Hauspie Speech Products. This case is Hans Quaak et al. v. Klynveld Peat Marwick Goerdeler Bedrijfsrevisoren, U.S. Court of Appeals for the 1st Circuit, No. 03-2704, an appeal from the U.S. District Court for the District of Massachusetts.