Net News
Recent developments of note in the Internet industry. This month:<br>CA Judge Orders Online Reporters to Reveal Sources in Apple Computer Case<br>Hollywood Studios File New Round of Web Lawsuits <br>British Court Forces ISPs to Reveal Music Sharers <br>Movie Downloading Judged Legal in France <br>eBay Loses Patent Case; Injunction May Follow
Has The Cyberlaw Clinic Struck Out?
The cyber-crusaders behind the attempt to roll back the 1998 Copyright Term Extension Act are at it again. <br>This time, Stanford professor Lawrence Lessig and his Cyberlaw Clinic asked a Northern California district court to strike the Copyright Renewal Act of 1992, which automatically renewed so-called orphan works, copyrights in works created from 1964-1977. Not one to shy away from controversy, the Clinic also asked the district court to reconsider the Supreme Court's Eldred decision in light of the "fundamental" changes Congress made to the U.S. copyright system over the last 30 years. Although the Clinic made some interesting policy arguments, it once again failed to articulate a sound legal basis to back up its claims.
Hyperlinking As Infringement
Can hyperlinks on one Web site that link to another site where copyrighted materials are displayed constitute copyright infringement? Although at least two earlier decisions have declined to recognize the potential of copyright infringement from the mere use of such hyperlinks, the recent Indiana federal district court case, <i>Batesville Services, Inc v. Funeral Depot, Inc.</i>, concluded that a defendant's use of hyperlinks on a Web site that link to copyrighted material on another Web site could constitute copyright infringement.
Public Company Web Sites: A Marketing Tool Subject To Securities Laws
Following the enactment of the Sarbanes-Oxley Act, disclosures by public companies via their Web sites are increasingly required or encouraged. With the implementation of these new rules and the growth of the Internet, investors, as well as prospective investors, increasingly are relying upon a company's Web site for investment information. Public companies should recognize the value of their Web sites as marketing and investor-relations tools, subject to the boundaries of applicable legal standards and constraints.
Courthouse Steps
Recently filed cases in entertainment law, straight from the steps of the Los Angeles Superior Court.
Whistleblowing: SOX's Unintended Victims
It seems fitting to recall Samuel Morse's first telegraph message now that his telecommunications progeny Bernie Ebbers, former chief executive of WorldCom, has been convicted on all nine counts claiming that he helped mastermind an $11 billion accounting fraud at his former firm, now known as MCI. Ebbers had been charged with one count of conspiracy, one count of securities fraud, and seven counts of filing false statements with securities regulators. He could serve up to 85 years in prison. Meanwhile, another senior executive of a major corporation has been undone -- not by business fraud, but by a personal affair.
Rights of Disability Insurance Claimants Boosted with Decision
There are significant differences in the rights afforded to an insured under a disability insurance policy depending upon whether the insurance is provided pursuant to an individual policy or under an employer-sponsored plan covered by the Employee Retirement Income Security Act of 1974 (ERISA), 29 USC ' 1001 <i>et seq</i>. While individual policies are traditionally governed by applicable state common law contract principles, ERISA preempts any and all state laws "insofar as they may now or hereafter relate to" a covered disability plan, and such state laws encompass "all laws, decisions, rules, regulations, or other state actions having the affect of law, of any State" as well as statutory provisions and common law claims.
Class Action Fairness Act Raises Issues for Employment Litigation
In February, President Bush signed his first piece of "tort reform" legislation, the Class Action Fairness Act (the Act), into law. The Act expands federal diversity jurisdiction to encompass most large class actions, including employment law related class actions. One area of employment litigation that the Act may likely impact is in the wage and hour class action context where, as discussed below, litigants file wage and hour class actions in state court while also pursuing Fair Labor Standards Act (FLSA) collective actions in federal court.
