1/29. The Attorney General of the State of New York Internet Bureau (AGNY) entered into three similar agreements [21 pages PDF] titled "Assurance of Discontinuation" with Priceline.com Incorporated, Travelocity.com LP, and Cingular Wireless LLC in connection with their having advertised on the internet via an intermediary who deceptively used adware. These agreements were signed on January and 23, 18, and 29, 2007, respectively.

The AGNY stated in a release that the three businesses were "promoting products and services on the Internet through deceptively installed programs known as ``adware.´´" AG Andrew Cuomo stated in this release that "Advertisers will now be held responsible when their ads end up on consumers’ computers without full notice and consent ... Advertisers can no longer insulate themselves from liability by turning a blind eye to how their advertisements are delivered, or by placing ads through intermediaries, such as media buyers."

The AGNY filed a civil action in April of 2006 against DirectRevenue LLC, but did not name as defendants either Priceline, Travelocity or Cingular. The agreements state that Priceline, Travelocity and Cingular used Direct Revenue to deliver ads on the internet.

For example, the agreement with Priceline states that "Direct Revenue installed adware programs onto millions of computers worldwide that delivered to users surfing the Internet a steady stream of advertisements for Direct Revenue's clients, such as Priceline. In selecting which ads to show, Direct Revenue programs also monitored the websites visited by users, along with data typed into web forms. Direct Revenue installed its adware programs on consumers' computers without adequate notice or the consent of consumers. Furthermore, Direct Revenue software was difficult to remove and also surreptitiously installed other programs and updates onto desktops already running its adware."

Moreover, this agreement states, "Priceline knew that consumers had downloaded Direct Revenue adware without full notice and consent and continued to receive ads through that software", and that "Some of Priceline's advertisements were delivered directly to consumers from web servers owned or controlled by Priceline."

These agreements state that the AGNY has not filed civil actions against Priceline, Travelocity and Cingular, and that the three businesses enter into these agreement in lieu of litigation.

The Priceline agreement, for example, states that the AGNY "finds that, by using Direct Revenue's adware programs to advertise its products and services on the Internet, Priceline has engaged in deceptive business practices in violation of New York General Business Law Section 349 and Executive Law Section 63(12)." Although, the three businesses do not admit wrongdoing in these agreements.

The agreements then impose limits on the future online advertising practices of the three businesses. It requires full disclosure to consumers, branding of adware advertisements, easy uninstallation of adware, and initiation of a due diligence program with reviews to be performed quarterly

These agreements define adware as "any downloadable software program that displays advertisements to a computer user, including, but not limited to, programs that display pop-up or pop-under advertisements, redirect website or search requests, install toolbars onto Internet browsers or electronic mail clients, or highlight particular keywords or phrases for Internet users as they surf the web."

The Center for Democracy and Technology (CDT) praised these agreements in its web site. The CDT has published studies of adware. See, March 20, 2006, report [11 pages in PDF] titled "Following the Money: How Advertising Dollars Encourage Nuisance and Harmful Adware and What Can be Done to Reverse the Trend", which the CDT updated on May 2, 2006. See also, and August 9, 2006, report [28 pages in PDF] titled "Following the Money II: The Role of Intermediaries in Adware Advertising".

1/30. The Federal Trade Commission (FTC) filed an administrative Complaint [7 pages in PDF] against Sony BMG Music Entertainment alleging violation of the Federal Trade Commission Act in connection with its surreptitiously imbedding software on music CDs that spies on consumers and creates security risks. The FTC and Sony BMG also entered into an Agreement Containing Consent Order [11 pages in PDF].

Sony BMG admitted no wrongdoing, but agreed to make certain disclosures to music CD consumers in the future. The agreement also bars Sony BMG from using collected information for marketing, prohibits it from installing software without consumer consent, and requires it to provide a reasonable means of uninstalling that software. It also requires Sony BMG to accept exchanges of affected CDs, and to pay affected consumers up to $150 in damages.

Sony BMG has already settled civil actions filed by many states. See, for example, story titled "Texas Obtains Permanent Injunction Against Sony BMG" in TLJ Daily E-Mail Alert No. 1,508, December 19, 2006.

FTC Chairman Deborah Majoras stated in a release that "Installations of secret software that create security risks are intrusive and unlawful ... Consumers' computers belong to them, and companies must adequately disclose unexpected limitations on the customary use of their products so consumers can make informed decisions regarding whether to purchase and install that content."

12/2/06. The U.S. District Court (DNev) signed a Stipulated Judgment and Order for Permanent Injunction [18 pages in PDF] in USA v. TJ Web Productions LLC, a case brought by the Federal Trade Commission (FTC) against a company that operated an affiliate marketing program that induced others to send pormographic commercial e-mail messages on its behalf.

The judgment enjoins the defendant from further violation of the CAN SPAM Act, which is codified at 15 U.S.C. § 7701, et seq., and the FTC's Adult Labeling Rule, which is codified at 16 C.F.R. § 316.4. It also requires the defendant to pay a $465,000 civil penalty.

See also, the FTC's January 30, 2007, release describing this judgment, and the FTC's July 20, 2005, complaint [10 pages in PDF].

This case is USA v. TJ Web Productions LLC, U.S. District Court for the District of Nevada, D.C. No. CV-S-05-0882-RLH-GWF.

1/30. Susan Schwab, the U.S. Trade Representative, held a new conference in Geneva, Switzerland, in which she discussed Doha round trade negotiations and intellectual property rights (IPR) violations in the People's Republic of China. See, transcript [7 pages in PDF] and transcript [HTML].

Schwab (at right) said that "counterfeiting, piracy, violations of intellectual property are a very very serious problem that trading nations, rules-based trading nations face, that entrepreneurs and innovators and artists, those who create face -- whether you were talking about writing a book or filming a movie or inventing a life-saving medicine, there are IP issues that come into play."

She continued that "China has been a major source of intellectual property rights violations. In fact if you look at where the problems have come from, China is first, Russia is second, and then there are other countries, Brazil and others, that have played into this."

She asserted that "there is a genuine interest on the part of responsible governments to address the protection of intellectual property, piracy and counterfeiting issues. I believe in China, for example, the conversations that we had, that I had in China in December as part of the Strategic Economic Dialogue, it is very clear that there is a commitment on the part of many Chinese leaders to address this problem."

"Any country that aspires to be a knowledge-based economy, to promote its entrepreneurial and artistic classes sees the value of protecting intellectual property. But if you look, for example, at the statistics of pirated and counterfeit goods coming into the United States, well over 70 percent of the goods captured, the pirated, counterfeit goods captured at the border in the United States come from China and that number has been growing, not going down. So this is an issue we need to address", said Schwab.

She was also asked about IP based companies that are reluctant "to take on and make public their case. They’re expecting governments, the U.S. and others, to make the case but they’re getting the impression that that’s not happening."

Schwab responded that "The question that you raised about corporate executives, unfortunately whether it’s in the intellectual property rights area or many other trade disputes, frequently individual companies, corporations, feel very vulnerable to pressure from governments in countries where they do business. This isn't just exclusively related to intellectual property rights. It is something that I have heard through my entire career as a trade negotiator. It is a reason that in many cases trade associations take the lead in terms of filing cases, registering complaints, and why governments are prepared to take on the responsibility of addressing complaints, because individual companies can be pressured or held hostage and are nervous about speaking out, even when they are in the right."

Peter Mandelson, the EU's trade commission, gave a speech on January 22, 2007, in Amsterdam, Netherlands, in which he stated that the European response to globalization "means a new approach to China that accepts tough competition while insisting that China meets its WTO obligations and plays by the rules of international trade. It means a hardnosed approach to market access where European businesses are shut out by unfair restrictions. It means a global fight against counterfeiting and intellectual property theft."

Mandelson (at right) also gave a speech on January 27, 2007, in which he addressed Doha round negotiations. He stated that "We are not going to hammer out a deal, but we do have a responsibility to move things forward. We need to tell the world that Doha is not dead and, internally, we need to re-collectivise the negotiating process."

He added that "I emphatically reject the view that, overall, this outcome would be Doha-lite. A deal around these lines would be the single most ambitious multilateral trade agreement ever negotiated."

He also discussed the consequences of failure to negotiate an agreement. "The world will lose its insurance policy against the spread of protectionism. We will see a loss of confidence in the WTO system. And we will preside over a major setback for multilateralism. This is what makes an imperfect deal better than no deal."

See also, World Intellectual Property Organization (WIPO) release regarding meeting in Geneva on January 30 and 31, 2007.

1/29. The Federal Bureau of Investigation's (FBI) Electronic Surveillance Technology Section (ESTS) extended the deadline (to February 28, 2007) to submit comments regarding its Communications Assistance for Law Enforcement Act of 1994 (CALEA) related cost recovery process information collection activities. See, original notice in the Federal Register, November 29, 2006, Vol. 71, No. 229, at Pages 69146-69147, which set the original comment deadline of January 29, 2007, and notice of extension in the Federal Register, January 29, 2007, Vol. 72, No. 18, at Pages 4045-4046.

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The House will meet at 10:00 AM for legislative business. It will consider HJRes 20, a continuing appropriations resolution. It will also vote on three non-technology related items considered under suspension of the rules. See, Majority Leader's weekly calendar [PDF].

The Senate will meet at 9:30 AM for morning business. It will then resume consideration of HR 2, the "Fair Minimum Wage Act of 2007".

TIME? Day two of a two day closed meeting of the Department of Defense's (DOD) Defense Science Board's (DSB) Task Force on Space Industrial Base [PDF]. See, notice in the Federal Register, January 24, 2007, Vol. 72, No. 15, at Page 3116. Location: Science Applications International Corporation (SAIC), 4001 N. Fairfax Drive, Arlington, VA.

8:30 AM - 4:30 PM. The Center for Democracy and Technology (CDT) will host an event titled "3rd Annual Internet Caucus State of the Net Conference". See, notice and agenda. The basic price is $350. The price for members of the Internet Caucus Advisory Committee is $300. The price for non-profit and academic personnel is $75. The price for "current government employees and credentialed members of the press" is free. Location: Hyatt Regency Hotel, 400 New Jersey Ave., NW.

10:00 AM. The Senate Banking Committee will hold a hearing titled "The Treasury Department’s Report to Congress on International Economic and Exchange Rate Policy (IEERP) and the U.S.-China Strategic Economic Dialogue". The sole witness will be Henry Paulson, Secretary of the Treasury. See, notice. Location: Room 538, Dirksen Building.

10:00 AM. The House Financial Services Committee (HFSC) will hold its organizational meeting for the 110th Congress. See, notice. Press contact: Steve Adamske at 202-225-7141 or Heather Wong at 202-226-3314. Location: Room 2128, Rayburn Building.

10:15 PM. The House Judiciary Committee will hold a hearing titled "Presidential Signing Statements under the Bush Administration: A Threat to Checks and Balances and the Rule of Law?". Location: Room 2147, Rayburn Building.

10:30 AM -12 NOON. The Heritage Foundation will host an event titled "Taiwan Security Looking Forward: Issues and Problems". The speakers will Andrew Nien-dzu Yang (Secretary General, Council for Advanced Policy Studies, Taiwan), James Mulvenon (Center for Intelligence and Analysis, Richard Bush, (Brookings Institute), and Harvey Feldman (Heritage). See, notice. Location: Heritage, 214 Massachusetts Ave., NE.

12:15 - 1:30 PM. The Federal Communications Bar Association's (FCBA) HLS/Emergency Communications Committee will host a brown bag lunch titled "Emergency Alert and Warning and the Warning, Alerts and Response Network (WARN) Act". The speakers will be Christopher McCabe (CTIA), David Webb (Federal Emergency Management Agency), and Lisa Fowlkes (FCC's Public Safety and Homeland Security Bureau). For more information, contact Jennifer Manner at jmanner at msvlp dot com or 703-390-2730. Location: Akin Gump, 1133 New Hampshire Ave., NW.

2:30 PM. The Senate Judiciary Committee (SJC) will hold a hearing titled "US-VISIT: Challenges and Strategies for Securing the U.S. Border". The witnesses will be Richard Barth (Assistant Secretary, Office of Policy Development, Department of Homeland Security), Robert Mocny (Acting Director, US-VISIT, Department of Homeland Security), Richard Stana (GAO), Phillip Bond (Information Technology Association of America), and Stewart Verdery (Monument Policy Group). See, notice. Press contract, Tracy Schmaler at 202-224-2154. Location: Room 226, Dirksen Building.

2:30 PM. The Senate Intelligence Committee will hold a hearing on the nomination of Michael McConnell to be Director of National Intelligence. Location: Room 106, Dirksen Building.

5:00 - 7:00 PM. The Center for Democracy and Technology (CDT) will host an event titled "10th Annual Kickoff Reception & Technology". See, notice. Location: Room 902, Hart Building, Capitol Hill.

6:00 - 9:15 PM. The DC Bar Association will host a continuing legal education (CLE) seminar titled "Harnessing U.S. Trade Policy to Solve International Intellectual Property Rights Problems". The speakers will include Sturgis Sobin (Heller Ehrman), Victoria Espinel (Assistant US Trade Representative for Intellectual Property Rights), Brian Pomper (Chief International Trade Counsel, Senate Finance Committee), and Yang Guohua (Counselor for Intellectual Property, Embassy of China). The price to attend ranges from $90 to $135. For more information, call 202-626-3488. See, notice. Location: DC Bar Conference Center, 1250 H St NW B-1 Level.

Deadline to submit initial comments to the Federal Communications Commission (FCC) in response to its Further Notice of Proposed Rulemaking (FNPRM) in its TV white space proceeding. This FNPRM is FCC 06-156 in ET Docket Nos. 04-186 and 02-380. The FCC adopted this item at an October 12, 2006, meeting, and released it on October 18, 2006. See, story titled "FCC Adopts Order and FNPRM Regarding TV White Space" in TLJ Daily E-Mail Alert No. 1,467, October 12, 2006, and notice in the Federal Register, November 17, 2006, Vol. 71, No. 222, at Pages 66897-66905.

EXTENDED FROM JANUARY 5. Extended deadline to submit reply comments to the Federal Communications Commission (FCC) to assist the Wireless Telecommunications Bureau (WTB) in drafting a report on the ability of persons with hearing disabilities to access digital wireless telecommunications. This proceeding is WT Docket No. 06-203. See, original FCC Public Notice [4 pages in PDF] (DA 06-2285) and Public Notice (DA 06-2498) extending deadlines.

The House will not meet due to party retreats. See, Majority Leader's weekly calendar [PDF].

9:00 AM - 4:30 PM. Day one of a two day meeting of the U.S.-China Economic and Security Review Commission. See, notice in the Federal Register, January 17, 2007, Vol. 72, No. 10, at Page 2088. Location: Room 562, Dirksen Building, Capitol Hill.

10:00 AM. The Senate Commerce Committee (SCC) will hold a hearing titled "Assessing the Communications Marketplace: A View from the FCC". The witnesses will be the five Commissioners of the Federal Communications Commission (FCC). See, notice. Location: Room 253, Russell Building.

? 2:30 PM. The Senate Homeland Security and Governmental Affairs Committee's Subcommittee on Oversight of Government Management will hold a hearing "to examine privacy implications of the Federal government's health information technology initiative relating to private health records, focusing on the efforts of Department of Health and Human Services to integrate privacy into the Health Information Technology national infrastructure and Office of Personnel Management's efforts to expand the use of Health Information Technology through the Federal Employees Health Benefits Program and the impact such actions have on Federal employees' health information privacy". Location: Room 342, Dirksen Building.

Deadline to submit additional reply comments to the Federal Communications Commission (FCC) regarding the Missoula Plan, an intercarrier compensation reform plan. See, notice in the Federal Register, January 18, 2007, Vol. 72, No. 11, at Pages 2249-2250. This proceeding is CC Docket No. 01-92.

The House will not meet due to party retreats. See, Majority Leader's weekly calendar [PDF].

9:00 AM - 12:00 NOON. Day two of a two day meeting of the U.S.-China Economic and Security Review Commission. See, notice in the Federal Register, January 17, 2007, Vol. 72, No. 10, at Page 2088. Location: Room 562, Dirksen Building, Capitol Hill.

12:30 PM. Ted Leonsis, Vice Chairman of AOL, will give a speech titled "Web 2.0 and How it is Reshaping Marketing and Traditional Media". Location: Ballroom National Press Club, 13th floor, 529 14th St. NW.

Deadline to submit comments to the Federal Communications Commission (FCC) in response to the recommendations of the FCC's World Radiocommunication Conference Advisory Committee regarding the 2007 World Radiocommunication Conference (WRC-07). See, FCC's Public Notice [45 pages in PDF] (DA 07-26), to which the recommendations are attached. This is IB Docket No. 04-286.

9:00 AM - 5:00 PM. Day one of a three day meeting of the Architectural and Transportation Barriers Compliance Board's (ATBCB) Telecommunications and Electronic and Information Technology Advisory Committee (TEITAC). The agenda includes consideration of web site design mandates. Section 508 of the Rehabilitation Act of 1973, as amended, which is codified at 29 U.S.C. § 794d, provides that the ATBCB shall write regulations that contain design mandates for federal departments and agencies for electronic and information technologies used by disabled employees. See, notice in the Federal Register: January 12, 2007, Vol. 72, No. 8, at Pages 1472-1473. Location: Transportation Security Administration, 601 South 12th Street, Arlington, VA.

9:30 AM. The U.S. Court of Appeals (DCCir) will hear oral argument in Qwest Corp v. FCC, App. Ct. No. 05-1450. See, FCC's brief [PDF]. Judges Griffith, Kavanaugh and Williams will preside. Location: 333 Constitution Ave., NW.

? 10:00 AM. The Senate Judiciary Committee (SJC) will hold a hearing on judicial nominations. Press contract, Tracy Schmaler at 202-224-2154. Location: Room 226, Dirksen Building.

10:00 AM. The U.S. Court of Appeals (FedCir) will hear oral argument in DataTreasury v. EDS, App. Ct. No. 2006-1506. This is a patent infringement case involving electronic check processing. Location: Courtroom 203, 717 Madison Place, NW.

Deadline to submit initial comments in response to the Federal Communications Commission's (FCC) Public Notice [4 pages in PDF] regarding how the FCC should interpret the phrase "remote communities effectively unserved by commercial mobile service", in Section 605(a) of the Warning, Alert, and Response Network (WARN) Act. The WARN Act was enacted in late 2006 a part of the port security bill. It establishes a process for commercial mobile service providers to voluntarily elect to transmit emergency alerts. Section 605(a) establishes a grant program for the installation of technologies in remote communities. This item is FCC 07-4 in PS Docket No. 07-8. See also stories titled "Bush Signs Port Security Bill" in TLJ Daily E-Mail Alert No. 1,469, October 16, 2006, and "House and Senate Approve Port Security Bill With Tech Provisions" in TLJ Daily E-Mail Alert No. 1,461, October 4, 2006.

9:00 AM - 5:00 PM. Day two of a three day meeting of the Architectural and Transportation Barriers Compliance Board's (ATBCB) Telecommunications and Electronic and Information Technology Advisory Committee (TEITAC). The agenda includes consideration of web site design mandates. See, notice in the Federal Register: January 12, 2007, Vol. 72, No. 8, at Pages 1472-1473. Location: Transportation Security Administration, 601 South 12th Street, Arlington, VA.

? 9:30 AM. The Senate Judiciary Committee (SJC) will hold a hearing "to examine if the Department of Justice is politicizing the hiring and firing of U.S. attorneys relating to preserving prosecutorial independence". Press contract, Tracy Schmaler at 202-224-2154. Location: Room 226, Dirksen Building.

10:00 AM. The House Financial Services Committee (HFSC) will hold a hearing titled "Committee on Foreign Investments in the United States (CFIUS), One Year After Dubai Ports World". Location: Room 2128, Rayburn Building

12:00 NOON - 1:30 PM. The DC Bar Association will host a panel discussion titled "Global Trademark Portfolio Part II: Maintenance and Enforcement". The speakers will include Elizabeth Regan (Marriott International), Elisabeth Langworthy (Sutherland Asbill & Brennan), and Leigh Ann Lindquist (Sughrue Mion). The price to attend ranges from $15 to $30. For more information, call 202-626-3463. See, notice. Location: DC Bar Conference Center, 1250 H St NW B-1 Level.

12:00 NOON - 2:00 PM. The DC Bar Association will host a panel discussion titled "Business Activity Tax Nexus: New Cases, Federal Legislation, and FIN 48". The speakers will include Diann Smith (Council On State Taxation) and Kendall Houghton (Sutherland Asbill & Brennan). The price to attend ranges from $10 to $30. For more information, call 202-626-3463. See, notice. Location: DC Bar Conference Center, 1250 H St NW B-1 Level.

6:30 - 8:30 PM. The Federal Communications Bar Association's (FCBA) Diversity & Young Lawyers Committees will host an event titled "Happy Hour". For more information, contact Jeffrey Tignor at jeffrey dot tignor at fcc dot gov or 202-418-0774, or Mark Brennana at MWBrennan at HHLAW dot com or 202-637-5600. Location: Zengo, 781 7th St., NW.

The Federal Communications Commission (FCC) is scheduled to commence Auction No. 69.