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You are a public figure whose ability to earn a living depends upon your reputation for integrity and talent. Almost without warning, you become caught up in a highly publicized business scandal that threatens your livelihood and public image. The media's fascination with the details of the scandal has caused a public furor and led federal officials to open parallel criminal and civil investigations. You hear rumors that a Congressional committee is about to hold public hearings. You need help - and fast.
Last month, we discussed how brightly the spotlight is shining on ethics and compliance programs. We explained that Sarbanes-Oxley has a provision that provides Federal protection for employees of SEC registrants who report wrongdoing to the government and/or law enforcement. The Act has created a situation in which anyone who reports wrongdoing to the government and/or law enforcement is protected from employer retaliation under Federal Statute. And we urged that companies assess the effectiveness of their ethics and compliance efforts.
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In a decision interpreting for the first time certain provisions in the Bankruptcy Code, the Third Circuit Court of Appeals concluded that royalty payments belonged to the estate of the bankrupt debtor/licensor rather than to the new owner by assignment of the underlying intellectual property covered by the licenses. <i>In re CellNet Data Systems, Inc.,</i> 327 F.3d 242 (3d Cir. 2003). The Third Circuit held that the debtor/licensor was permitted to sever the right to receive the remaining royalty payments due on the license from the transfer of the underlying intellectual property rights.
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Unknowing building owners can incur substantial liability when incorporating certain artistic works within their buildings. The Visual Artists Rights Act of 1990 (VARA), 17 U.S.C. 106A, limits the ability of a building owner to alter, move, or remove a "work of visual art." This article will provide an overview of this statute and its interpretation and application by various courts.
Highlights of the latest intellectual property news and cases from around the country.
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On June 6, 2003, the Court of Appeals for the Federal Circuit seemingly breathed new life into research tool patents when it held that the use of patented peptides for drug discovery was not exempt from infringement under the "safe harbor" provision of 35 U.S.C. '271(e)(1). <i>Integra Lifesciences, Ltd. v. Merck KGaA,</i> 331 F.3d 860 (Fed. Cir. 2003). In an earlier case, <i>Bristol-Myers Squibb Co. v. Rhone-Poulenc Rorer, Inc.,</i> No. 95 Civ. 8833, 2001 WL 1512597 (S.D.N.Y 2001), a district court had ruled that the use of patented intermediates for drug screening was non-infringing, thereby implicating that the use of other research tool patents for drug discovery was likewise sheltered from infringement liability under '271(e)(1).
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Recent cases of importance to your practice.
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One of the fundamental policies of the Bankruptcy Code is to provide an equal distribution to all creditors of a debtor's estate. There are a variety of tools under the Bankruptcy Code to accomplish these goals. One such power is the statutory limitation of a landlord's rejection damage claim under section 502(b)(6).
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<b><i>Part One of a Two-Part Article</i></b> With corporate fraud and bankruptcy filings on the rise, creditors are increasingly looking to related entities, corporate shareholders, directors and officers to pay their claims when the corporation goes belly-up. Unfortunately, bankruptcy courts have made it virtually impossible for creditors to maintain individual alter ego claims against the debtor's shareholders and affiliates. As a result, crafting an alter ego claim that will survive an attack by the bankruptcy trustee (or the bankruptcy court itself) requires finesse.
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A recent jury verdict in California threatens to break wide open the uneasy issue of aggregated insurance payments in asbestos litigation. <i>Fuller-Austin Insulation Co. v. Fireman's Fund Ins. Co., et al.</i>, No. BC 116835 (Calif. Super. Los Angeles Co.). Its ramifications, however, reach far beyond insurance coverage litigation into every asbestos-related or mass tort bankruptcy.
