WARNING: AVOID TRADEMARK SOLICITATIONS SEEKING UNNECESSARY FEES

More and more frequently, private companies which are not associated with the United States Patent and Trademark Office (USPTO) have been aggressively sending out misleading notices to trademark applicants and registrants seeking substantial fees for trademark-related “services” including but not limited to legal services, trademark monitoring services, recordation of trademarks with the U.S. Customs and Border Protection Agency, and private company registrations. These “notifications” (with invoices usually included) are typically sent via mail or e-mail and display names and official-looking letterhead resembling that of the USPTO. In addition to the confusingly similar names and/or graphics used by the soliciting entities, these come-ons also usually include accurate official USPTO data such as the trademark application serial number, registration number, classifications, filing dates, etc. – all of which is publicly available information.

Continue Reading

TODAY IS WORLD IP DAY

World Intellectual Property Organization (WIPO) Director General Francis Gurry said the day “is an opportunity to celebrate the contribution that intellectual property makes to innovation and cultural creation – and the immense good that these two social phenomena bring to the world.” WIPO posted a number of suggestions for celebrating World IP Day. This year’s theme is “visionary innovators – people whose innovations transform our lives.”

What are you doing to celebrate World IP Day?

 

Tech Start-Up Legal Issues 3: Guarding Your IP Assets: Video

Reposted from YouTube

Mark Radcliffe, a partner at DLA Piper, talks with Bloomberg Law's Spencer Mazyck about protecting intellectual property for technology start-ups.

 

(Source: Bloomberg)

Copyright Suits Over USPTO Apps Face Uphill Battle

Law360-masthead.png

By Ryan Davis

Law360, New York (March 05, 2012, 10:40 PM ET) -- Law firms that use academic articles in patent applications have little to fear from recent lawsuits alleging the use constitutes copyright infringement, attorneys say.

American Institute of Physics and John Wiley & Sons Inc. sued Schwegman Lundberg & Woessner PA and McDonnell Boehnen Hulbert & Berghoff LLP on Wednesday, alleging that the major patent law firms infringed their copyrights by submitting journal articles to the U.S. Patent and Trademark Office and making copies for internal use.

Continue Reading

From the Experts: Avoid Pitfalls of Social Media Contests and Sweepstakes

Reposted from Corporate Counsel Magazine

By Radiance Walters and Debbie Rosenbaum

In 2012, marketing teams will spend less time defining the term “social media” for corporate executives and more resources justifying increased expenditures in cyber platforms that have questionable returns on investment. Despite the unknown value of social media, conventional wisdom seems to suggest that companies require some form of social media presence. Frankly, a lack thereof sends red flags to consumers that a brand is unsophisticated or out of date.

Continue Reading

The United States issues its long awaited opinion on the Wire Act 1961

Reposted from DLA Piper's Media Intelligence Bulletin

Editorial Team: Nick Fitzpatrick, Duncan Calow and Patrick Mitchell

The Department of Justice has published a landmark legal opinion that could pave the way for internet gambling in the United States.

On 20 September 2011, the Department of Justice's Office of Legal Counsel reached its decision on whether the proposals by the states of Illinois and New York to use the internet and out-of-state transaction processors to sell lottery tickets to in-state citizens would violate the Wire Act 1961 (the "Wire Act"). The Wire Act prohibits wagering over telecommunications systems that cross state or national borders, therefore preventing use of the internet by states to sell lottery tickets even to adults within their own borders.

Continue Reading

Peter Frampton is the latest artist to sue for unpaid digital music royalties

Reposted from DLA Piper's Media Intelligence Bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

Peter Frampton has filed a lawsuit against Universal Music Group ("Universal Music") in respect of unpaid music royalties.

Peter Frampton filed a suit on 23 December 2011 against record label Universal Music for half a million pounds worth of unpaid music royalties and unspecified damages, making him the latest artist to make a claim against a record label in respect of digital royalties.

Continue Reading

HarperCollins sue Open Road for copyright infringement

Reposted from DLA Piper's Media Intelligence Bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

HarperCollins Publishers LLC ("HarperCollins") has filed a law suit against digital publisher Open Road Integrated Media ("Open Road") for copyright infringement in relation to the e-book rights to the children's book, 'Julie of the Wolves' (the "Work").

Continue Reading

Marvel wins dispute over ownership of Ghost Rider rights

Reposted from DLA Piper's Media Intelligence Bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

A federal judge has ruled against the creator of Ghost Rider in a battle for ownership rights of the character, ruling that he gave up all such rights to his employer, Marvel Entertainment LLC ('Marvel').

Continue Reading

Not SO(PA) Fast: Backing Away From PIPA and SOPA?

Lawmakers appear to be backing away from the PROTECT IP Act (PIPA) and Stop Online Piracy Act (SOPA) in the wake of this week’s widespread Internet protest.

As previously reported, a number of the Web’s highest profile sites were blacked out or otherwise unavailable on Wednesday in opposition to the legislation. The bills, which were designed to combat foreign-based piracy of digital content, but which opponents claim would have wider undesirable consequences for Internet businesses and consumers, now appear to be dead in both the House and Senate.

Senate Majority Leader Harry Reid (D-NV) today canceled the vote on PIPA, which was previously scheduled for January 24. Shortly thereafter, at the urging of Speaker of the House John Boehner (R-OH), House Judiciary Committee Chairman Lamar Smith (R-TX) indicated that SOPA would be moved to the back burner.

With the future of SOPA and PIPA as we know them now in doubt, it remains to be seen whether alternative legislation such as the OPEN Act will gain traction, or whether reworked versions of the bills will resurface in the House and Senate at some future date. Of course, we will be closely monitoring further developments as the occur.

The OPEN Act: Another Legislative Option to SOPA and PIPA

Undoubtedly today’s widespread Internet protest, which has darkened web sites ranging from Wikipedia to reddit to Flickr, has raised public awareness of the looming legislative and public relations battles associated with the Stop Internet Piracy Act (“SOPA”) and the Protect IP Act (“PIPA”), which are currently under consideration in the House and Senate, respectively. While the debate over the merits of these largely similar bills is still heating up (a vote on PIPA is expected as early as January 24), Congressman Darrell Issa (R) of California has announced plans to introduce competing legislation in the form of the Online Protection and Enforcement of Digital Trade Act (“OPEN Act”).

Continue Reading

Sites on Their SOPA-Boxes: Major Sites Close For Business In Protest Against Pending Legislation

As you may have noticed, today some of the most-visited websites on the Internet are blacked out, unavailable, or otherwise focusing on protesting currently-pending legislation in the United States that may impact many businesses and how they operate on the Internet. Specifically, popular sites such as Wikipedia, Craigslist, and BoingBoing are wholly unavailable, and others, such as Google, Wordpress, and Amazon, are prominently featuring commentary on the PROTECT IP Act (PIPA) and the Stop Online Piracy Act (SOPA), which are currently pending in the Senate and House, respectively.

Continue Reading

Retroactive Copyright Protection for Foreign Works Upheld

Follow up post to SUPREME COURT WILL DECIDE CONSTITUTIONALITY OF REMOVING WORKS FROM THE PUBLIC DOMAIN

By Tom Zutic and John Nading

In a 6-2 decision today in Golan, et al. v. Holder, et al., the U.S. Supreme Court upheld U.S. Copyright protection for foreign works which had fallen into the public domain prior to the U.S. joining the Berne Convention for the Protection of Literary and Artistic Works in 1989See Slip Opinion.  Under the Berne Convention, signatories agree to treat authors from fellow signatory countries as they would treat their own.  

Continue Reading

Google Books case: Google files motion to dismiss plaintiffs

Reposted from DLA Piper's Media & Sport Group Bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

Google has filed a motion to dismiss the Authors Guild and the American Society of Media Photographers as plaintiffs in the Google Books copyright infringement claim.

The long running US Google books case emerged out of two separate law suits: one filed by the American Authors Guild ("the Authors Guild") on behalf of authors and the other by the Association of American Publishers along with five separate publishers (for more details please see the April 2011 and October 2011 editions of Media Intelligence here and here).

Continue Reading

Whose followers are they, and how much are they worth?

INTELLECTUAL PROPERTY AND TECHNOLOGY ALERT

By Joshua Briones and Patrick S. Park

A judge ruled last week that PhoneDog.com, a web-based community of cell phone information, has properly pled a trade secret and conversion claim arising out of Phonedog’s allegations that it is entitled to certain Twitter followers that a former employee had built up during his four years at the company, where he worked as a blogger. 
 
The case raises at least two questions.  First, who owns a company Twitter account?  Second, how much is a Twitter follower worth?  

Continue Reading

No Proof Reebok Shoes Shaping You Up, Says FTC

Reposted from DLA Piper's Law à la Mode Edition 4 - Winter 2011

By:  Michael K. Barron, Sarah Phillips and Nadea Taylor (Boston and London)
“AdWords,” the paid, subscription-based Google referencing service which allows users to advertise their companies alongside Google search results, has recently been the subject of much legal scrutiny.  In late September, the European Court of Justice (ECJ) gave a preliminary ruling on questions referred to it by the English High Court in the case between Interflora and Marks & Spencer (“M&S”), regarding the purchase by M&S of the Google AdWord “Interflora” and other similar AdWords. 
In answering the questions referred to it, the ECJ repeated much of the recent jurisprudence in this area, in particular from the Google France case.  Previous cases established that purchasing a third parties’ trademark as an AdWord would only amount to trademark infringement if such use would have an adverse effect on one of the functions of the trademark.  
The ECJ gave the following guidance on how national courts should assess whether the use by a third party of a sign identical with a trademark in relation to identical goods or services has an adverse affect on one of the functions of the trademark:

By: Michelle Schaefer and Alexandra Marzelli (Washington, DC)

In September,  the U.S. Federal Trade Commission (“FTC”) — the consumer protection agency tasked with regulating U.S. advertising practices for consumer goods — warned companies selling apparel and footwear in the U.S. that all health and fitness claims must be substantiated by competent and reliable scientific evidence.  This warning came from the FTC’s lawsuit against Reebok International Lmtd. (“Reebok”), for alleged deceptive practices related to certain footwear including running sneakers, walking sneakers and flip-flops.  Reebok was charged with making “unsubstantiated claims” that the footwear provides extra tone and strength to key muscle groups (including the buttocks, hamstrings and calves) and strengthens various muscle groups by a certain percentage.  Under the settlement, Reebok agreed to pay $25 million in refunds to consumers.  Reebok has stated that the settlement does not indicate agreement with the FTC’s allegations and it will continue to sell the products at issue, but will market them differently.   

Continue Reading

Global Developments Regarding the Anti-Counterfeiting Trade Agreement

Reposted from DLA Piper's Law à la Mode Edition 4 - Winter 2011

By:  Michael K. Barron, Sarah Phillips and Nadea Taylor (Boston and London)
“AdWords,” the paid, subscription-based Google referencing service which allows users to advertise their companies alongside Google search results, has recently been the subject of much legal scrutiny.  In late September, the European Court of Justice (ECJ) gave a preliminary ruling on questions referred to it by the English High Court in the case between Interflora and Marks & Spencer (“M&S”), regarding the purchase by M&S of the Google AdWord “Interflora” and other similar AdWords. 
In answering the questions referred to it, the ECJ repeated much of the recent jurisprudence in this area, in particular from the Google France case.  Previous cases established that purchasing a third parties’ trademark as an AdWord would only amount to trademark infringement if such use would have an adverse effect on one of the functions of the trademark.  
The ECJ gave the following guidance on how national courts should assess whether the use by a third party of a sign identical with a trademark in relation to identical goods or services has an adverse affect on one of the functions of the trademark:

By: Gina Durham and Erin Wright Lothson (Chicago)

 

Those involved in the fashion and retail industries are well aware of the challenges associated with combating the global proliferation of commercial-scale counterfeiting and piracy.  With legal rights and remedies often varying on a country-by-country basis, enforcement of intellectual property rights on an international scale can often be fraught with unexpected hurdles and inconsistent outcomes.  The Anti-Counterfeiting Trade Agreement (“ACTA”) aims to change that.

On October 1, 2011, eight countries signed ACTA, namely Australia, Canada, Japan, Morocco, New Zealand, Singapore, South Korea and the U.S.  A signing ceremony was held in Tokyo by the Government of Japan.  Representatives of the E.U., Mexico, and Switzerland attended the ceremony and confirmed their continuing support for ACTA.  Those three sovereignties are in the process of finalizing domestic procedures in preparation to sign, and their signatures are expected by May 1, 2013.  Collectively, these eleven countries represent more than half of the world’s trade.

 

Continue Reading

For the Love of Red . . . Soles The Louboutin - YSL Shoe Saga Continues

Reposted from DLA Piper's Law à la Mode Edition 4 - Winter 2011

By:  Michael K. Barron, Sarah Phillips and Nadea Taylor (Boston and London)
“AdWords,” the paid, subscription-based Google referencing service which allows users to advertise their companies alongside Google search results, has recently been the subject of much legal scrutiny.  In late September, the European Court of Justice (ECJ) gave a preliminary ruling on questions referred to it by the English High Court in the case between Interflora and Marks & Spencer (“M&S”), regarding the purchase by M&S of the Google AdWord “Interflora” and other similar AdWords. 
In answering the questions referred to it, the ECJ repeated much of the recent jurisprudence in this area, in particular from the Google France case.  Previous cases established that purchasing a third parties’ trademark as an AdWord would only amount to trademark infringement if such use would have an adverse effect on one of the functions of the trademark.  
The ECJ gave the following guidance on how national courts should assess whether the use by a third party of a sign identical with a trademark in relation to identical goods or services has an adverse affect on one of the functions of the trademark:

By: Radiance A. Walters (Washington, DC)

Red-soled stilettos for only $39.99?  French luxury shoe designer Christian Louboutin continues the fight to protect its iconic “Chinese red” soles.  This past August, a U.S. federal district court denied a preliminary injunction against Yves Saint Laurent (YSL) and issued a decision that questioned the validity of Louboutin’s red-sole trademarkOn October 17, 2011, Louboutin’s lawyers appealed that decision to the U.S. Court of Appeals for the Second Circuit.  Shortly thereafter, premier jeweler Tiffany & Co. filed an amicus brief in support of Louboutin, furthering the fight to protect color as a trademark.  The International Trademark Association (INTA) also filed an amicus brief on November 14, 2011 taking the position that the District Court erred in rejecting the U.S. presumption of validity attendant to Louboutin’s federal trademark registration.  Further, INTA argues that the District Court incorrectly construed the Louboutin’s registration as a broad claim to the color red instead of the narrower claim to “lacquered red sole on footwear,” which is what the registration actually covers.  The Court of Appeals is left with the daunting task of determining whether and when color may function as merely a design element versus a source-identifying trademark.  

Continue Reading

U.S. Fashion Copyright Protection Still in a State of Limbo

By: Job Seese (New York)

Our Spring 2011 issue discussed a pending U.S. legislative bill that would expand copyright protection to fashion designs – something that generally is not available under existing U.S. law.  Known as the Innovative Design Protection and Piracy Prevention Act (IDPPPA), the bill was first introduced in the Senate in August 2010.  However, the bill was never taken up by the full Senate and effectively died at the end of that Congressional session.  Currently, a legislative bill of the same name is pending before the U.S. House of Representatives Subcommittee on Intellectual Property, Competition and the Internet.  

Continue Reading

Don't Let Genericide Happen to You

Reposted from DLA Piper's Law à la Mode Edition 4 - Winter 2011

By:  Michael K. Barron, Sarah Phillips and Nadea Taylor (Boston and London)
“AdWords,” the paid, subscription-based Google referencing service which allows users to advertise their companies alongside Google search results, has recently been the subject of much legal scrutiny.  In late September, the European Court of Justice (ECJ) gave a preliminary ruling on questions referred to it by the English High Court in the case between Interflora and Marks & Spencer (“M&S”), regarding the purchase by M&S of the Google AdWord “Interflora” and other similar AdWords. 
In answering the questions referred to it, the ECJ repeated much of the recent jurisprudence in this area, in particular from the Google France case.  Previous cases established that purchasing a third parties’ trademark as an AdWord would only amount to trademark infringement if such use would have an adverse effect on one of the functions of the trademark.  
The ECJ gave the following guidance on how national courts should assess whether the use by a third party of a sign identical with a trademark in relation to identical goods or services has an adverse affect on one of the functions of the trademark:

By: Tamar Duvdevani (New York)

Aspirin. Thermos. Escalator. Cellophane.  What do all of these items have in common?  If your answer is “objects that MacGyver needs to get out of a sticky situation,” you may be correct, but that is not what we were looking for.

Each of these commonplace, generic terms for the objects that they define were once valuable intellectual property before they lost protection through “genericide,” the  process by which trademark rights are diminished or lost as a result of overuse in the marketplace.  Genericide can happen in a variety of ways.  A trademark owner’s failure to police its mark, for example, can result in widespread use of the term by other sellers, thereby reducing the trademark’s ability to identify source.  In other instances, a term intended by the seller to be a trademark for its novel product is understood by the public to be a generic name because there is no other word in the vernacular to describe the product.  Both of these fates can be avoided by thoughtful branding strategies.

Continue Reading

The Debate for AdWords Ownership in Cyberspace Continues

Reposted from DLA Piper's Law à la Mode Edition 4 - Winter 2011

By:  Michael K. Barron, Sarah Phillips and Nadea Taylor (Boston and London)
“AdWords,” the paid, subscription-based Google referencing service which allows users to advertise their companies alongside Google search results, has recently been the subject of much legal scrutiny.  In late September, the European Court of Justice (ECJ) gave a preliminary ruling on questions referred to it by the English High Court in the case between Interflora and Marks & Spencer (“M&S”), regarding the purchase by M&S of the Google AdWord “Interflora” and other similar AdWords. 
In answering the questions referred to it, the ECJ repeated much of the recent jurisprudence in this area, in particular from the Google France case.  Previous cases established that purchasing a third parties’ trademark as an AdWord would only amount to trademark infringement if such use would have an adverse effect on one of the functions of the trademark.  
The ECJ gave the following guidance on how national courts should assess whether the use by a third party of a sign identical with a trademark in relation to identical goods or services has an adverse affect on one of the functions of the trademark:

By: Michael K. Barron, Sarah Phillips and Nadea Taylor (Boston and London)

“AdWords,” the paid, subscription-based Google referencing service which allows users to advertise their companies alongside Google search results, has recently been the subject of much legal scrutiny.  In late September, the European Court of Justice (ECJ) gave a preliminary ruling on questions referred to it by the English High Court in the case between Interflora and Marks & Spencer (“M&S”), regarding the purchase by M&S of the Google AdWord “Interflora” and other similar AdWords. 

In answering the questions referred to it, the ECJ repeated much of the recent jurisprudence in this area, in particular from the Google France case.  Previous cases established that purchasing a third parties’ trademark as an AdWord would only amount to trademark infringement if such use would have an adverse effect on one of the functions of the trademark.  

Continue Reading

Law à La Mode - Winter 2011 Edition

LALM cover winter.jpgDLA Piper's Fashion Retail Design Group recently published Law a la Mode - Edition 4 Winter 2011, a legal fashion-style magazine that is distributed to clients and friends of the firm worldwide.  Law a la Mode has a revolving editorialship and Edition 4 is the first to be edited by the U.S. offices.

Members of the U.S. editorial board include Ann K. Ford, Gina Durham, Tamar Duvdevani, Kiran N. Gore, Melissa Reinckens, Debbie Rosenbaum, Michelle Schaefer, Radiance A. Walters, and Job Seese (New York, Washington DC, and Chicago).  

The magazine is available here.

We welcome your thoughts and comments on our latest edition.  

 

 

FASHION FRANCHISING IN THE UNITED STATES

Reprinted from La A La Mode, DLA Piper's Fashion, Retail and Design E-zine

By Dennis Wieczorek (Chicago), Philip Zeidman (Washington DC) and Tao Xu (Reston) 

The State of Franchising Industry

The United States is the birthplace of both the business model of modern franchising and the legal framework of franchise regulation.  Over the past 5 decades, American consumers have come to rely on franchised businesses in every aspect of their daily lives, including food, lodging, hair salons, automobile service, home care and children’s and senior services.  Franchised businesses consistently outperform comparable non-franchised businesses, creating jobs and economic activity in local communities across the country.  According to a recent study conducted by PricewaterhouseCoopers for the International Franchise Association Educational Foundation, there are over 825,000 franchised businesses in the United States, representing 300 different business sectors.  These franchises employ nearly 18 million Americans, accounting for 1 out of every 8 jobs.  The franchise industry contributes over $2.1 trillion to the U.S. economy, and has grown by 40% over the past decade. 

Continue Reading

FTC Settlement Provides Guidance on Substantiation for Product Health and Fitness Claims

The Federal Trade Commission (FTC) recently entered a settlement order with Reebok International Ltd. to resolve charges that the company deceptively advertised that its "toning shoes" would provide extra tone and strength to leg and buttock muscles. The settlement arises out of an action the FTC brought in the United States District Court for the Northern District of Ohio alleging the Reebok engaged in deceptive acts or practices and false advertisements in violation of Sections 5(a) and 12 of the FTC Act. Among other things, the FTC took issue with a TV ad in which a fit woman explains to the audience the benefits of the toning shoe, pointing to a chart that showing that the shoes are proven to strengthen hamstrings and calves up to 11 percent and tone the buttocks up to "28 more than regular sneakers, just by walking." The FTC also contended that the use of the word "tone" in the product name was deceptive. The FTC's contention was that these claims were deceptive because they not supported by adequate substantiation.

Continue Reading

FTC Settlement Requires Detailed Disclosures Regarding Use of Flash Cookies

Cookies have long been a key means for online companies to track a consumer's web browsing activities. Most browsers allow the consumer to block conventional cookies from accessing their computer. To get around this obstacle, marketers have increasingly employed "flash cookies" , which use a different approach for storing a consumers online behavior and are not as easily blocked as conventional cookies. The Federal Trade Commission (FTC) has voiced increasing concern about the use of tools by companies to engage in online behavioral advertising without the consumer's knowledge or consent. This has led to the issuance of self-regulatory guidelines as well as increasing scrutiny of the use of online advertising tools by advertisers.

Continue Reading

Occupy Wall Street Trademark

Occupy Wall Street has filed a U.S. federal application for the trademark OCCUPY WALL STREET (U.S. App. No. 85454550) for use in connection with clothing and bags, periodicals and newsletters, and "a web site featuring photographic, audio, video and prose presentations featuring educational and entertaining materials relating to Occupy Wall Street and the Occupy Movement". On the same date, Fer-Eng Investments, LLC also filed an intent-to-use application for the trademark OCCUPY WALL STREET covering clothing and bags (U.S. App. No. 85454831). 

For more information: http://money.cnn.com/2011/10/31/news/economy/occupy_wall_street_trademark/index.htm 

Authors Guild files lawsuit against a consortium of university libraries for copyright infringement

Reposted from DLA Piper's Media & Sport Group Bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

The copyright infringement suit filed in New York alleges "widespread and unauthorized reproduction and distribution of millions of copyright books" by five universities and the HathiTrust through cooperation agreements entered into with Google Inc.
The copyright infringement suit filed on 12 September 2011 by the Authors Guild, two international writers groups and eight authors, alleges that the universities and HathiTrust (a large-scale collaborative repository of digital content from research libraries) are violating copyrights by scanning, duplicating and distributing their books. The plaintiffs are particularly concerned by the plan by HathiTrust to make available a small number of 'orphan works', where no author or publisher can be located.

The copyright infringement suit filed in New York alleges "widespread and unauthorized reproduction and distribution of millions of copyright books" by five universities and the HathiTrust through cooperation agreements entered into with Google Inc.

The copyright infringement suit filed on 12 September 2011 by the Authors Guild, two international writers groups and eight authors, alleges that the universities and HathiTrust (a large-scale collaborative repository of digital content from research libraries) are violating copyrights by scanning, duplicating and distributing their books. The plaintiffs are particularly concerned by the plan by HathiTrust to make available a small number of 'orphan works', where no author or publisher can be located.

Continue Reading

Judge gives new life to Google digital books talks

Reposted from DLA Piper's Media & Sport Group Bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

Manhattan Federal court Judge Denny Chin is still hopeful that Google Inc and authors and publishers groups could reach a settlement after their six-year legal dispute, allowing nine more months for talks.
The US Google books case, which emerged out of a US class action bought by US publishers against Google, is likely to continue into 2012 as Judge Denny Chin set a court schedule that extends the deadline for talks through to next year. The judge adopted the proposed pre-trial schedule at a follow-up status conference on 15 September 2011, after allowing the groups the summer to revise the proposed settlement that was rejected on 22 March 2011 (please see our previous article in the April 2011 issue of Media Intelligence here), just over a year after its final fairness hearing.
The proposed pre-trial schedule could take the case to trial by July 2012. Judge Chin stated that all parties could request assistance from the court or magistrate judge if they needed.
Notwithstanding this proposed schedule, the parties confirmed that settlement talks were progressing and they plan to continue to negotiate in order to resolve their differences. Judge Chin stated he was still hopeful they could reach a settlement before the new deadline.

Manhattan Federal court Judge Denny Chin is still hopeful that Google Inc and authors and publishers groups could reach a settlement after their six-year legal dispute, allowing nine more months for talks.

The US Google books case, which emerged out of a US class action bought by US publishers against Google, is likely to continue into 2012 as Judge Denny Chin set a court schedule that extends the deadline for talks through to next year. The judge adopted the proposed pre-trial schedule at a follow-up status conference on 15 September 2011, after allowing the groups the summer to revise the proposed settlement that was rejected on 22 March 2011 (please see our previous article in the April 2011 issue of Media Intelligence here), just over a year after its final fairness hearing.

The proposed pre-trial schedule could take the case to trial by July 2012. Judge Chin stated that all parties could request assistance from the court or magistrate judge if they needed.

Notwithstanding this proposed schedule, the parties confirmed that settlement talks were progressing and they plan to continue to negotiate in order to resolve their differences. Judge Chin stated he was still hopeful they could reach a settlement before the new deadline.

Did Beyoncé steal choreography for her "Countdown" video?

Pop diva Beyonce has been accused of stealing dance moves in her new music video "Countdown". Belgian Choreographer Anne Teresa De Keersmaeker claims that Beyonce plagarized dance moves from her original contemporary works without credit.  

Read more: http://www.dailymail.co.uk/tvshowbiz/article-2047520/Beyonc-accused-copying-choreography-new-Countdown-video.html

French CASTEL (卡斯代尔) Company Frozen out of China?

A recent decision of the Wenzhou Intermediate People's Court in China should put Western brand owners on their guard when being sued in China.  It also provides yet another reminder of the importance to Western brand owners of filing first in China.

Continue Reading

One size does not fit all: protecting trade secrets when drafting employment agreements

Reposted from Intellectual Property and Technology News, Issue 11, Q3 2011

ARTICLE
INTELLECTUAL PROPERTY AND TECHNOLOGY NEWS
Darius C. Gambino 
Tiffany Nichols 

By Darius C. Gambino and Tiffany Nichols

When companies form legal strategies to protect their IP assets and trade secrets, employment agreements are an essential part of the overall structure. Today’s work force is increasingly specialized, and companies extend across jurisdictions with different laws. In this competitive, potentially litigious environment, companies should consider customizing employment agreements for each position, and in some cases, for each individual employee, especially those in executive and leadership roles.

Continue Reading

US PATENT REFORM: THE NEW "FIRST INVENTOR TO FILE" SYSTEM - WITH A TWIST

INTELLECTUAL PROPERTY AND TECHNOLOGY ALERT

Robert Benson

Today President Barack Obama signed into law the America Invents Act, marking the first time in nearly 60 years that US patent legislation has been reformed.

The US does not often update its patent law. The most recent set of federal patent laws was signed by President Harry Truman in 1952, which itself was the first major revision of US patent law since the Patent Act of 1836.

Continue Reading

US court rules music site is not responsible for investigating copyright infringement by users

From DLA Piper's Media and Sports Group e-newsletter 'Media Intelligence'

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

A New York District court has ruled that MP3tunes, a website which allows users to store online collections of music, is entitled to rely on safeharbours under the US Digital Millennium Copyright Act in respect of certain activities of its users.

Continue Reading

Protecting Jewelry and Other Accessory Designs

Fashion designers and companies can seek to protect their jewelry and other accessory designs through copyright, trademark and/or design patent registrations. Copyrights, trademarks, and patents are separate and independent forms of law and protection; therefore, protection can be obtained in one or all of the three ways discussed in more detail below. 

 
First, a trademark registration protects jewelry and other accessory designs ("accessory" meaning handbags, belts, watches, hats, etc.) that are inherently distinctive or have acquired distinctiveness/secondary meaning in the marketplace. In other words, the design must function as a source identifier. For example, Gucci holds a U.S. registration (Reg. No. 3238962) covering wallets, purses, handbags, shoulder bags, clutch bags, tote bags and clothing apparel for its distinctive horse bit design pictured below.
                                                                                                                                   
                                                                                                                        
Trademark protection, of course, also extends to the product's name and appearance. The registration process typically takes about one year. 
 
Second, a copyright registration protects designs that are sufficiently creative and artistic. Copyrightable works include logos, artwork, or design elements that are stitched, imprinted or embossed onto fabric; and ornamental aspects of jewelry, watches, belts, and handbags. For examples, see Registration Nos. VA000111813 (artwork on handbags), VAu000699898 (belt and buckle collection) and VA0001664539 (Marquis Loop Necklace and Earring Set). Aspects that are not copyrightable include style, shape, cut, pattern or material of clothing articles and basic utilitarian aspects of jewelry, watches, belts, handbags and other accessories. On average, the registration process takes about three months to one year. 
 
Lastly, a design patent registration protects  the overall aesthetic appearance of a design (i.e., the ornamental aspects of jewelry, watches, belts, hats, handbags, rings, etc.). Specifically, the designs must be new and sufficiently different from all prior designs. For example, Louis Vuitton owns a design patent (Patent No. D466,689) for the "ornamental design for a handbag" and Tag Heuer owns a design patent for the "ornamental design for a watch" (Patent No. D413,815). The registration process takes about one to two years.
 
As a side note, utility patents, which protect how an object operates or functions (meaning, its functional/utilitarian features), usually cannot be used to protect jewelry or accessory designs unless the design includes some type of mechanical improvement. 

Continue Reading

British website owners targeted by US Immigration and Customs Enforcement

Reposted from DLA Piper's Media & Sport Group bulletin

Editorial Team: Nick FitzpatrickDuncan Calow and Patrick Mitchell

British websites suspected of infringing US copyrights are being targeted by the US Immigration and Customs Enforcement (ICE) agency whether or not their servers are based in the US and whether or not there is another direct link to the country.


ICE has warned website owners that they could face extradition to the US on piracy charges if they have reason to believe they are infringing US copyrights. In addition, websites could be closed down.


Erik Barnett, ICE's assistant deputy director, warned that all '.com' or '.net' websites could be legitimately targeted if they were suspected of involvement in spreading pirated US films, TV or other media. These web addresses have their connections routed through Verisign, an internet infrastructure company based in Virginia, which ICE believes is an adequate connection to seek a US prosecution.


ICE has targeted not only those sites that directly host or stream pirated material, but also those that simply provide links to it. Barnett's comments follow the case of Richard O'Dwyer, a British student facing extradition for running TVShack.net, a web site which provides links to non-licensed streams of US films and TV shows. 

Social Media: Legal (and less Legal) Tips for the Hospitality Industry for Avoiding Pitfalls and Reaping Benefits

It goes without saying that social media platforms are now key weapons in the armoury of any marketing department.  Few major brands in any sector are without a Facebook presence, and even those yet to use social media as a marketing tool will be affected by references to them on such platforms.

The hospitality industry is as affected by this phenomenon as any.  As well as universally relevant platforms like Facebook, Twitter and Bebo, there are of course numerous specific hospitality industry sites enabling user-generated postings and reviews: Tripadvisor, Expedia, Yelp, Toptable, and so on.  In addition, there are content-hosting sites like Youtube, which may for example be used to host viral advertisements.  These different sites raise numerous legal issues: around branding, advertising, content ownership, defamation, rights in content, etc.  The issues themselves are rarely new, but the response to them may demand a different approach.  Below are some recommendations from a lawyer’s perspective on how hospitality industry operators may best shape their social media strategy.

Continue Reading

Going "Bananas" Over Nicknames

“Real World” MTV reality star Johnny Devenanzio has allegedly threatened to sue producers of the popular HBO show “Entourage,” claiming that they stole his nickname “Johnny Bananas” without his permission. Devenanzio claims that he has diligently developed the nickname over the course of five years on television through his “jerk-off” antics on various MTV reality shows.

Under U.S. trademark law, personal names are often considered “merely descriptive” and, thus, are generally not protectable trademarks absent a showing of acquired distinctiveness. Acquired distinctiveness (also known as "secondary meaning") is evidence that the proposed mark, which in this case is “Johnny Bananas”, has become distinctive as applied to the specified goods or services through exclusive and continuous use in commerce for at least five years.

In this instance, does Devenanzio have a valid claim of acquired distinctiveness in his nickname “Johnny Bananas” in connection with, perhaps, entertainment and/or television-related goods and services based on his alleged five-years use in commerce?

Continue Reading

A Step Back From Protecting Louboutin's Infamous Red Soles

Follow up to my blog post SUING OVER THOSE INFAMOUS RED SOLES

The fashion world may have received yet another stifling blow from the federal court's decision in Christian Louboutin S.A. v. Yves Saint Laurent America, Inc., et al., in which the court refused to grant Louboutin's request for a preliminary injunction against YSL on claims of alleged trademark infringement resulting from YSL's red-soled fashion heels arguably similar to Louboutin's. The court ruled that Louboutin's claim to "the color red" and its 2008 U.S. federal registration covering "women's high fashion designer footwear" were "overly broad" and "inconsistent with the scheme of trademark registration established by the Lanham Act." The court further reasoned that, "[a]warding one participant in the designer shoe market a monopoly on the color red would impermissibly hinder competition among other participants."

In light of the court's analysis, it is arguable whether this decision has, in fact, encouraged or stifled fashion innovation. On the one hand, this decision may have opened the door for other shoe designers to start using the color red or another arguably distinctive color on the soles of their fancy (or not-so-fancy) footwear, which in turn may further competition in the marketplace, as the court intended. On the other hand, this decision could potentially discourage fashion designers from maximizing their creativity and innovation in designing apparel and footwear out of fear that third-party copy cats will seek to imitate or trade off of their designs. 

Undoubtedly, the court's decision presents both opportunities and risks in the fashion industry that are yet to be revealed. However, as for those fashionistas who paid a pretty penny for Louboutin's signature red soles and for Louboutin himself, does this decision have the potential to negatively impact the value and/or notoriety of Louboutin's precious footwear?

in which the court refused to grant Louboutin's request for a preliminary injunction against YSL on claims of alleged trademark infringement resulting from YSL's red-soled fashion heels arguably similar to Louboutin's. The court ruled that Louboutin's claim to "the color red" and its 2008 U.S. federal registration covering "women's high fashion designer footwear" were "overly broad" and "inconsistent with the scheme of trademark registration established by the Lanham Act." The court further reasoned that, "[a]warding one participant in the designer shoe market a monopoly on the color red would impermissibly hinder competition among other participants."
 
In light of the court's analysis, it is arguable whether this decision has, in fact, encouraged or stifled fashion innovation. On the one hand, this decision may have opened the door for other shoe designers to start using the color red or another arguably distinctive color on the soles of their fancy (or not-so-fancy) footwear, which in turn may further competition in the marketplace, as the court intended. On the other hand, this decision could potentially discourage fashion designers from maximizing their creativity and innovation in designing apparel and footwear out of fear that third-party copy cats will seek to imitate or trade off of their designs. 
 
Undoubtedly, the court's decision presents both opportunities and risks in the fashion industry that are yet to be revealed. However, as for those fashionistas who paid a pretty penny for Louboutin's signature red soles and for Louboutin himself, does this decision have the potential to negatively impact the value and/or notoriety of Louboutin's precious footwear?

Taking franchise disputes to the internet: judicial absolute immunity does not apply

By Scott McIntosh and Joe Englert 

Reposted from DLA Piper client alert

A Florida appellate court recently held in Ball v. D’Lites Enterprises, Inc., 2011 WL 3109733 (Fla. 4th DCA July 27, 2011), that a franchisor was not entitled to judicial absolute immunity for allegedly defamatory statements made regarding several franchisees on its corporate website, even though the franchisor and franchisees were currently engaged in litigation and the statements were related to the issues underlying the dispute. In light of this decision, franchisors, franchisees and franchisee associations should be aware that, when posting statements on the Internet related to pending litigation, they will not likely be protected by judicial absolute immunity.

Continue Reading

DLA Piper ranked #5 among the Top 100 trademark filing law firms

DLA Piper ranked #5 among the Top 100 trademark filing law firms in 2010, in a joint study recently released by Corporation Service Company and World Trademark Review.  The study reports that in 2010 DLA Piper filed a total ofnearly 1,000 trademark applications for its clients, according to USPTO filing data.  Since 2004, DLA Piper has consistently ranked among the top five law firm filers in similar surveys.  Our own Ann Ford, US Chair of our Trademark, Copyright, and Media practice, ranked in the Top 20 in the nation for top individual trademark filing lawyers.

DLA Piper ranked #5 among the Top 100 trademark filing law firms in 2010, in a joint study recently released by Corporation Service Company and World Trademark Review.  The study reports that in 2010 DLA Piper filed a total ofnearly 1,000 trademark applications for its clients, according to USPTO filing data.  Since 2004, DLA Piper has consistently ranked among the top five law firm filers in similar surveys.  Our own Ann Ford, US Chair of our Trademark, Copyright, and Media practice, ranked in the Top 20 in the nation for top individual trademark filing lawyers.

Volunteer Spotlight: Mark Feldman

A well-deserved recognition for our colleague!

Reposted from INTA Bulletin: August 1, 2011  Vol. 66  No. 14 

How many IP attorneys do you know who own a personal registered trademark? Mark Feldman is one. Remaining true to his name and his profession, he owns MARK IS MY NAME AND MARKS ARE MY GAME. Also hitting the mark is the personalized license plate on his car: CIRCLE R. 

Despite the puns and fun, trademarks are serious business for the chair of DLA Piper LLP’s intellectual property practice in Chicago. Being in a large general practice firm, Mark gets queried on the broadest possible range of IP issues, consulting with partners and associates and counseling corporate clients “on their myriad issues du jour.” He also teaches IP basics to general practice lawyers to help them recognize the full scope of issues facing clients. In Mark’s words, “I have the greatest job in the world if you have a short attention span!” 

Active in INTA for nearly 30 years, Mark recognizes important industry trends, including increasing use of trademarks in search engines and throughout cyberspace. “Courts and statutes must deal with what constitutes ‘use’ of a trademark, and they are still in the early stages of wrestling with these concepts.” Mark says that “so far, the court decisions have been very favorable for the Internet industry. It will be interesting to see if the pendulum swings back to give greater respect to the traditional rights of brand owners to control the use of their marks.” 

In Mark’s opinion, while the world seems to be getting smaller, the opposite is true in the trademark realm. “As more countries are formed, trademark owners have additional places to protect their marks.” He advocates simplification, with more countries joining the Madrid Protocol and eliminating such formalities as legalization. 

Very active on INTA’s Saul Lefkowitz Moot Court Committee since 1995—most recently as the coordinator of all regions for the national law student competition— Mark loves introducing the next generation of trademark attorneys to this area of law. 

As for his favorite trademarks, Mark remains sweet on NUTRASWEET because he was “there for its birth and it’s become a casebook study on how to develop and implement a branded ingredient strategy.” 

When not working, Mark spends time with his “most important copyright client”—his wife, who runs a nonprofit that produces films—and his two daughters, his son-in-law and his one-year-old granddaughter.

Parody Sites & Trademark Dilution

Guest blog post by Melanie Garcia.  Melanie is a Summer Associate in the Washington, D.C. office of DLA Piper LLP.  She is a J.D. Candidate at the Georgetown University Law Center.

Unhappy customers have been embracing the Internet for years to vent their frustrations with companies.  Lately, several bloggers have capitalized on websites that lampoon popular companies and companies are beginning to fight back.  
Recently, Forever 21 threatened to sue fashion blogger Rachel Kane for diluting its brand and trademark with her blog, WTForever21.com.  Forever 21, a global retail chain of clothing and accessories for young men and women, reportedly sent cease-and-desist letters to Ms. Kane regarding her blog.  On WTForever21.com, Ms. Kane posts and satirizes images of clothing from Forever21.com.  For example, on April 14, 2011 Ms. Kane posted a picture of earrings from Forever 21 with the following caption, “Those bead curtains that provide no privacy and serve no other purpose than to get tangled around each other, or in your hair when you walk through them, came back from 1973 and decided to become earrings.”  While this is understandably offensive to the company, it seems Forever 21 has chosen not to pursue further action against Ms. Kane.  
There are many reasons why Forever 21 may have chosen not to bring a suit against Ms. Kane.  Forever 21 has had several widely publicized legal battles over alleged copyright infringement.  Widespread coverage of its actions against Ms. Kane throughout the fashion blogosphere and other social media outlets may be one reason Forever 21 shied away from the lawsuit.  
Another possible reason is that the law is also complicated in this area and any legal battle would be hard won.  In order to win a dilution claim, a plaintiff must prove that the defendant’s use of a mark is confusing and therefore dilutes the plaintiff’s trademark.  A dilution claim must also prove that the defendant is using the plaintiff’s mark as a mark.  It is possible that the WTForever21.com domain name does just that, but it is less clear whether this use is confusing.  
Moreover, a claim against WTForever21.com would not just involve a trademark dilution claim.  Because WTForever21.com is a blog such a claim would also implicate Ms. Kane’s First Amendment protected speech.  First Amendment freedoms would protect Ms. Kane’s blog from liability unless the court found that the title of the blog, WTForever21.com, has no artistic relevance to the blog’s product, i.e., its content.  The blog would also be liable if it made explicitly false statements regarding the original mark.  Because Ms. Kane’s blog is a critique or parody site of Forever 21, and because the site explicitly states that it is not affiliated with Forever 21, it is possible that First Amendment defenses might defeat a claim of trademark dilution.  
If  such a claim is not defeated on First Amendment grounds, it is possible that Ms. Kane could argue that the blog is a parody.  To be found a parody, the blog must fall under the exception in the Lanham Act that protects parodic competing marks from liability.  For a parody to meet this exception under the Lanham Act, it must  not be a “designation of source for the person’s own goods or services.”  15 U.S.C. § 1125(c).  Under the Second Circuit’s analysis in the “Charbucks” case, Starbucks Corp. v. Wolfe’s Borough Coffee, Inc., 588 F.3d 97 (2nd Cir. 2009), the competing Charbucks mark could not use parody as a shield because Charbucks used the mark “as a designation of source” for the defendant’s goods, and the mark was “at most, a subtle satire.”  The court held that the Charbucks mark did not meet the parody threshold because rather than being a “satire or irreverent commentary of Starbucks” it functioned as a signal to consumers that Charbucks was a Starbucks competitor.  Under the Second Circuit’s analysis, because WTForever21.com does not signal itself as a competitor but is in fact an irreverent commentary, Ms. Kane’s blog likely falls under the Lanham Act’s exception.   
Under the Fourth Circuit’s analysis of trademark parodies, finding that a mark is a parody is not an automatic defense to trademark infringement.   However, if a mark is found to be a parody this will likely weigh in favor of the defendant, especially if the original mark is recognizable and there is little chance of confusion.  An infringing mark is a parody in the Fourth Circuit if it successfully creates an association with the famous mark and simultaneously communicates that it is not the famous mark.  Under the Fourth Circuit’s analysis, WTForever21.com will also likely be free of liability because it both signals the famous global retailer Forever 21, and that it is not the retailer itself.
Like WTForever21.com, other sites like Lamebook.com or Regretsy.com may also be protected by the First Amendment and because they are parody sites.  While this may irk the original trademark owners, Facebook.com and Etsy.com, bloggers and blog-readers will continue to revel in the snide commentary these parody sites provide.  
However, First Amendment protections do not mean that bloggers always get a free pass.  Bloggers using a trademark to cultivate traffic to their site but whose site is not related to the trademark may be found to be infringing.  For example, if the blog Lamebook.com was about pet grooming rather than lame comments on Facebook, its title would have no relevance to the blog’s expressive content.  Facebook might then have a dilution of trademark claim against Lamebook.com if it could prove confusion.  Moreover, any blog that makes a false claim or purports to be authorized by the trademark owner will likely be subject to liability.  Even when it is possible that First Amendment claims might prevent blogger liability, trademark owners may still want to consider bringing suit against bloggers for trademark dilution when there is a real chance of confusion regarding the infringing mark.  
Companies should monitor the Internet for blogs that use their trademarks, including blogs that critique them, to ensure that bloggers are not making false claims and that the blogs are not being confused with the original marks.  Trademark owners should also consult with counsel if there are any blogs that they believe might cause trademark confusion, regardless of whether the blog is protected speech.  Counsel can help determine whether bringing suit is a viable option.

Unhappy customers have been embracing the Internet for years to vent their frustrations with companies.  Lately, several bloggers have capitalized on websites that lampoon popular companies and companies are beginning to fight back.  

Recently, Forever 21 threatened to sue fashion blogger Rachel Kane for diluting its brand and trademark with her blog, WTForever21.com.  Forever 21, a global retail chain of clothing and accessories for young men and women, reportedly sent cease-and-desist letters to Ms. Kane regarding her blog.  On WTForever21.com, Ms. Kane posts and satirizes images of clothing from Forever21.com.  For example, on April 14, 2011 Ms. Kane posted a picture of earrings from Forever 21 with the following caption, “Those bead curtains that provide no privacy and serve no other purpose than to get tangled around each other, or in your hair when you walk through them, came back from 1973 and decided to become earrings.”  While this is understandably offensive to the company, it seems Forever 21 has chosen not to pursue further action against Ms. Kane.  

There are many reasons why Forever 21 may have chosen not to bring a suit against Ms. Kane.

Continue Reading

Trademarks as Geographical indications

Guest blog post by Megan A. Cosgrove and Carissa L. Bouwer. Megan and Carissa are summer associates in the Sacramento office of DLA Piper. They attend University of the Pacific, McGeorge School of Law and will graduate in 2012.

Last weekend, we decided to host a wine and cheese party for a small group of friends.  We ran down the list of everything we needed.  Small plates?  Check.  Wine glasses?  Check.  Napkins?  Check.  Those little wine glass charms so people can identify their glasses?  Check check.  Brie?  Check.  Parmesan?  Che…wait…we have a hard white pungent cheese, but I’m not sure that it’s from Parma.  Does it need to be?  And that pastry…we can’t just assume it’s Cornish.  What if it’s not? We’d be liars.  All of our closest friends would find out that our Cornish pastries weren’t from the UK and they would never come back for wine, cheese, and delish appetizers again.

Perhaps this isn’t a conversation you’ve had before a party.  But let’s be honest, our tastes, and our conversations, have changed quite a bit since our college days.  I’m pretty sure I never bothered asking where the beer in that keg came from, but it might be time we ask where our wine, cheese, and other food products come from.  And interestingly enough, the birthplace of many foods and beverages we consume are actually revealed in the name.  And a lot of imposters are going to have to change.

In 2000, the California Legislature agreed with Napa Valley wine producers that the term “Napa” signified quality in wine.  They were concerned that novice wine buyers would be duped into paying more for a lower quality wine if the term “Napa” did not designate that the wine was actually from the well-known grape growing region of California.   As a result, the legislature passed Bus. & Prof. Code § 25241, providing that wine made from grapes grown in other regions could not be branded “Napa wines.”

Continue Reading

UK Supreme Court Opens Door to Overseas Copyright Claims in UK Courts

By John Wilks and Damian Herrington, DLA Piper UK

In its first ever ruling on an intellectual property case, the UK's Supreme Court has decided in Lucasfilm v Ainsworth that the stormtrooper helmets used in the Star Wars films were not "sculptures", and thus were not protected by the English law of copyright.

Significantly, however, the Supreme Court also ruled that the infringement claims based on US copyright brought by Lucasfilm in respect of Mr Ainsworth's acts in the US were justiciable in the English courts, a ruling which could have wide-ranging implications for the ability of English courts to decide claims for acts taking place in foreign countries which infringe the copyright in those countries.  The case indicates that if a defendant is resident in England, the English courts will be prepared to deal with claims for infringement of foreign copyright.

Whether the decision leads to full scale forum shopping by copyright infringement claimants remains to be seen.  But it will give claimants a useful litigation option in cases where there is international infringement of copyright by an English-domiciled defendant.

Continue Reading

SUPREME COURT WILL DECIDE CONSTITUTIONALITY OF REMOVING WORKS FROM THE PUBLIC DOMAIN

Guest blog post by Matthew Slevin.  Matthew is a Summer Associate in the San Francisco office of DLA Piper LLP. He is a J.D. Candidate at the University of California Hastings College of the Law.

Will children in the U.S. soon be unable to hear an orchestral performance of Peter and the Wolf?  In the coming fall term, the U.S. Supreme Court will hear Golan v. Holder, No. 10-545 (2011), which raises important questions about whether Congress can reinstate copyright protection to works formerly held in the public domain.  Among the works concerned are many important foreign films, music and art by authors such as Wolf composer Sergei Prokofiev, not to mention Hitchcock, Shostakovich, Stravinsky, Picasso and H.G. Wells.  The Court will consider two issues: (1) whether the Copyright Clause prohibits Congress from taking works out of the public domain and (2) whether the removal of works from the public domain violates the First Amendment by infringing on the free expression rights of those who rely on the use of those works.

Golan serves as follow-up to the landmark case Eldred v. Ashcroft, 537 U.S. 186 (2003), in which the Supreme Court held that Congress’ extension of copyright terms to keep works out of the public domain did not violate the First Amendment or the “limited [t]imes” provision of the Copyright Clause.  The Court in Eldred, however, left a door open for other potential violations, noting that if Congress "altered the traditional contours of copyright protection," then it could require First Amendment scrutiny. 

The two-pronged challenge in Golan concerns the “copyright restoration” provision enacted as section 514 of the Uruguay Round Agreements Act (URAA) in 1994 (and codified at 104A and 109(a) of the Copyright Act).  Intended to bring the U.S. into compliance with its treaty obligations under the Berne Convention, the URAA provided new copyright protection to tens of thousands of old foreign works that have long been in the public domain in the U.S. due to not having met registration requirements in the past.  In the case, a group of performers, publishers, distributors, and educators claim those “traditional contours” have been unconstitutionally altered.  They first brought suit against the federal government in the District of Colorado back in 2001, claiming that they relied on using the formerly public works for their livelihood and had to stop once the restored copyrights made licensing them cost-prohibitive. The case has been working its way through the federal courts ever since. 

On the Copyright Clause issue, the Tenth Circuit, in Golan v. Gonzalez, 501 F.3d 1179 (10th Cir. 2007), rejected one of Petitioners’ primary arguments: an attempt to apply Graham v. John Deere, 383 U.S. 1 (1966).  That old case stands for the rule that Congress cannot issue patents for inventions previously held in the public domain.  The appellate court found that Graham was inapplicable, citing a key difference between patent and copyright law: the quid pro quo of a patentee’s disclosure in exchange for protection is not present in copyright, under which authors, the court reasoned, are “eager” to disclose their work.  The court also relied on language in the Eldred case, which had upheld Congress’ “expansive” power to extend copyright terms absent an irrational exercise of authority. 

Now in their brief on the merits filed at the Supreme Court last month, Petitioners advance a more fundamental argument based in statutory interpretation of the “limited [t]imes” provision.  They argue that its plain meaning, along with Framers’ apparent intent to create a “permanent and stable” public domain and Congress’ history of maintaining one, point to the fact that Congress cannot restore protection to works already in the public domain.  They claim that if the URAA provision is valid, then Congress is potentially free to reinstate any work’s copyright after its initial termination, thereby treating no copyright term as truly “limited.”

As to the First Amendment issue, the Tenth Circuit held earlier this year that the URAA provision did not infringe on the petitioners’ free expression.  Golan v. Holder, 609 F.3d 1076 (10th Cir. 2011).  Applying intermediate level scrutiny to the provision, the court found that Congress had several sufficiently important interests to which the URAA was narrowly tailored, chief among them the goal of helping U.S. copyright holders by obtaining reciprocal international protection.  The Petitioners’ brief to the Supreme Court now launches an attack on that alleged interest.  They claim that goal “is not even a legitimate purpose,” because it does nothing but create private economic benefits to authors (or their estates) who created public domain works long ago.  Petitioners assert that as opposed to merely balancing the interests between the U.S. authors and parties who rely on foreign works, Congress sacrificed public speech rights in favor of potentially giving former domestic copyright holders more money.  They argue that creating private benefits is not a legitimate objective of copyright law.

As SCOTUSBlog described, Golan is “a major test of copyright power.”  It raises significant questions about the extent of Congress’ ability to regulate copyright and the complicated overlap that exists between it and First Amendment rights.  Although the facts here deal specifically with foreign works, the Court’s decision next term could have broad ramifications in all artistic spheres in the country.  To what degree can the U.S. public rely on the existence of a public domain? 

The Respondent’s brief on the merits is due to the Supreme Court on August 3.  For further examination of the procedural background and the others arguments raised by both parties, see SCOTUSBlog and Copyhype.

Social Media & The Future of Legal Service

Guest blog post by Carissa L. Bouwer. Carissa is a summer associate in the Sacramento office of DLA Piper. She attends University of the Pacific, McGeorge School of Law and will obtain a J.D. in 2012.  

Advances in technology have changed the way lawyers conduct research, communicate with clients, discover information about opposing parties, and even file documents with courts.  Is the next advancement likely to be in the way that defendants are served process?

Since 2008, the United Kingdom, Canada, New Zealand, and Australia have all allowed substituted service of process through Facebook when a defendant could not otherwise be served.  In 2009, the United Kingdom allowed an injunction to be served via Twitter by sending a message that contained a link to the injunction.  In giving approval for service through social networking sites, the courts required that reasonable efforts were made to serve the defendants, that they could not be served in another manner, and that the service was likely to give actual notice.  The Australian court also stipulated that the papers be sent through a private message and not just posted on the defendant’s wall where it would go into the newsfeed of all of the defendant’s friends.

There are approximately 150 million Facebook users in the United States and more than 750 million around the world.  Twitter users number 300 million.  LinkedIn had 3.6 million visitors in May.  In comparison, readership of newspapers is decreasing dramatically: New York Times print edition is 1.4 million on Sundays and 1.8 million people read USA Today. 

In the United States, the minimum standard for service of process has long been to provide “actual notice.”  In Mullane v. Central Hanover Bank & Trust, the Supreme Court said that due process requires that “notice is reasonably calculated, under all the circumstances, to apprise interested parties of the pendency of the action and afford them an opportunity to present their objections.”  Notice by publication is not thought to give actual notice when a defendant’s identity is known.  That is especially understandable today, as print newspapers are a declining industry and readership continues to fall.  However, a large percentage of the population, nationally and globally, check their e-mail and other social networking sites daily, if not hourly.  When people move from place to place, their access to social networking sites moves with them.  Where other methods of notice have failed, a Facebook message may serve the ultimate goal of providing actual notice to a defendant who can’t be physically found.  It also has the advantages of being fast, cheap, and seems particularly appropriate when the underlying action is web-based.  To date, there are no reported cases of service of process in the U.S. being made through social networking, but attorneys may begin to consider it an option for defendants who are avoiding service by traditional methods.

There are concerns about identifying the correct person and confirming that their social networking accounts are active.  Courts will, and should, require that evidence be offered proving the documents served on social media sites will come to the defendant’s knowledge.  But once those concerns have been alleviated, service through social media may be the next great step of using technology to bring us closer together.

MIP: CAN I TRADE MARK THIS CATCHY HEADLINE?

In June, our team was asked to contribute to a Managing Intellectual Property Magazine feature on trademark protection for slogans/phrases. Our responses were provided alongside responses from seven other practitioners from around the world as part of a global practice feature MIP runs on a monthly basis.  Here are our answers, and we encourage you to read the others in the June 2011 edition of MIP here

Continue Reading