Justia Internet Law Opinion Summaries

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WhitServe, owned by Whitmyer, an inventor and a practicing patent attorney holds four patents, namely: “Onsite Backup for Internet-Based Data Processing,” “System Automating Delivery of Professional Services,” “System for Delivering Professional Services Over the Internet,”; and “Web Site Providing Professional Services.” Whitserve sued CPi, which helps other businesses pay their patent maintenance fees on time, alleging infringement by CPi’s system, which are used by a CPi customer, such as a law firm, to generate and send reminders to its clients of upcoming patent or trademark annuity or maintenance fee deadlines. A jury found that CPi failed to prove any claims invalid, that CPi’s systems infringed the patents, that CPi’s infringement was willful, and that WhitServe was entitled to $8,378,145 in damages. The court denied WhitServe’s request for a permanent injunction and did not address a request for a compulsory license. WhitServe’s requests for enhanced damages and attorneys’ fees, prejudgment interest, prejudgment remedy, and disclosure were denied. The Federal Circuit affirmed the finding of infringement, the finding of no anticipation of most, but not all, claims, and denial of fees and sanctions. The case was remanded for a new trial on damages. View "Whitserve, L.L.C. v Computer Packages, Inc." on Justia Law

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In 1998, the U.S.PTO issued Registration 334 to WJ for the mark LENS in connection with “computer software featuring programs used for electronic ordering of contact lenses in the field of ophthalmology, optometry and opticianry.” In 2001, Lens.com, an online retailer of contact lenses applied for the mark LENS in connection with “retail store services featuring contact eyewear products rendered via a global computer network.” The PTO cited the 334 Registration as a bar based on likelihood of consumer confusion and refused registration of the mark as merely descriptive of services. In 2002, WJ assigned the registration to Lens.com, which withdrew its cancellation petition under a settlement agreement and obtained the 334 Registration for the mark LENS in connection with “computer software featuring programs used for electronic ordering of contact lenses in the field of ophthalmology, optometry and opticianry.” In 2008, 1-800 Contacts filed Cancellation 925 alleging that Lens.com abandoned or fraudulently obtained the mark LENS because Lens.com never sold or otherwise engaged in the trade of computer software. The Board granted summary judgment of abandonment on the ground that the software is merely incidental to sale of contact lenses, and is not a “good in trade,” solicited or purchased in the market for its intrinsic value.’” The Federal Circuit affirmed. View "Lens.com, Inc. v. 1-800 Contacts, Inc." on Justia Law

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Based on his role in operating an online pharmacy that did not require prescriptions, defendant was convicted of conspiracy to import controlled substances, 21 U.S.C. 963 and 18 U.S.C. 2, conspiracy to possess controlled substances with the intent to distribute 21 U.S.C. 846 and 18 U.S.C. 2, and conspiracy to launder money, 18 U.S.C. 2; 1956-1957 with intent to promote the importation of controlled substances. The Seventh Circuit affirmed, upholding admission of expert testimony by a pharmacologist who testified about the classification of various drugs, their side effects, and the medical supervision needed to prescribe them. Although the testimony had only minimal relevance, the threshold for relevance under Rule 401 is quite low. Parts of the testimony related to side effects and birth defects should have been excluded under Rule 403 because the probative value was negligible, but the error was harmless given the weight of the evidence. View "United States v. Boro" on Justia Law

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The Eastern Orthodox monastic order began a spiritual affiliation with the bishops of the Russian Orthodox Church Outside of Russia (ROCOR)in 1965. Although the Monastery concedes it commemorated the bishops of ROCOR until 1986, it considers itself an independent entity. The Monastery's 35 monks worked on translating religious texts from their original Greek into English. The works were in demand amongst parishes, but the Monastery obliged requests on a limited basis. One of the monks went to Colorado where he formed Dormition Skete, dedicated to painting traditional Orthodox icons. A Skete member, the Archbishop, created a website devoted to the Orthodox faith. Based on postings on that site, the Monastery sued the Archbishop, in state court, for copyright infringement. The parties settled with the Archbishop acknowledging the Monastery’s ownership of the works. The website continued to include its translations; the Monastery filed a federal suit, 17 U.S.C. 101. The district ruled in favor of the Monastery, rejecting claims or public domain, that ROCOR was the true owner of the copyrights, and of fair use. The First Circuit affirmed. The Archbishop offered identical or near-identical versions of the works on his website for the precise purpose for which the Monastery originally created them, harming their potential market value. View "Soc'y of the Holy Transfiguration Monastery, Inc. v. Archbishop Gregory of Denver" on Justia Law

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Denson spent about a year in federal prison for mail and wire fraud after he got caught up in a "Nigerian" money scam, 18 U.S.C. 1341 & 1343. After persons in Africa emailed Denson saying that he had inherited the rights to an overseas company worth $9-plus million Denson called a local Secret Service office. An agent warned him not to participate and that he could be criminally liable. Denson took thousands of dollars from persons who had trusted him to help with some "window-washing invention" he had "a patent for." Denson called the agent again and admitted that he had "deceived" others into giving him money. Meeting with some agents two days later, Denson described his scheme. He had tried to get an undercover agent to "invest" $30,000 in an overseas-construction venture, handing the agent false documents. The First Circuit upheld sentences of 15 months for supervised release (sentencing range 4-10 months) and 30 months terms for the fraud convictions, to run consecutively with the 15-month term. The court rejected a challenge to a “willful blindness” jury instruction. View "United States v. Denson" on Justia Law

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Flava, which specializes in production and distribution of videos of black men engaged in homosexual acts, obtained a preliminary injunction against myVidster, an online social bookmarking service by which people refer sites to those with similar tastes, based on a finding that myVidster is a contributory infringer. The Seventh Circuit vacated the injunction. A Flava customer is authorized only to download the video for his personal use. If instead he uploaded it to the Internet and so by doing so created a copy (because the downloaded video remains in his computer), he was infringing. The court remanded for determination of whether myVidster was a contributory infringer if a visitor to its website bookmarks the video and later someone clicks on the bookmark and views the video. View "Flava Works, Inc v. Marques Rondale Gunter, et al" on Justia Law

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01 Communique is the owner of the 479 Patent, which relates to technology that enables one computer to access another computer remotely via the Internet. The patent contains five independent claims describing systems, methods, and products for enabling such remote access, as well as numerous claims dependent therefrom. It discloses use of a “locator server computer” as an intermediary between a “remote computer” (the computer seeking access) and a “personal computer” (the computer to be accessed). The locator server computer “includes” software, referred to in the patent as a “location facility,” that locates the personal computer. The district court entered summary judgment of noninfringement, based on construction of a single claim term, “location facility.” The Federal Circuit vacated, finding the claim construction erroneous. View "01 Communique Lab., Inc. v. Logmein, Inc." on Justia Law

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Antor owns the 961 patent relating “to a method and apparatus for transmitting information recorded on digital disks from a central server to subscribers via a high data rate telecommunications network.” The goal of the ’961 patent is to allow subscribers to access and to receive information (digital media such as music, images, documents, video, and software) stored on information systems over a telecommunications network. On reexamination the Patent and Trademark Office rejected the patent as anticipated and obvious over four references. The Federal Circuit affirmed. The Board correctly held that the existence of licenses under the patent is, alone, insufficient to overcome the prima facie case of obviousness View "In re: Antor Media Corp." on Justia Law

Posted in: Internet Law, Patents
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Defendant hacked the email account of then-Alaska governor and Vice Presidential candidate Sarah Palin. After forensic examinations revealed that he took action to remove information from his computer relating to the incident, he was indicted on several counts, including identity theft, but only convicted of obstruction of justice, 18 U.S.C. 1519. Section 1519, part of the Sarbanes-Oxley Act of 2002, prohibits knowing destruction or alteration of any record with intent to impede, obstruct, or influence investigation of any matter within the jurisdiction of any federal department or agency or in relation to or in contemplation of any such matter or case. The Sixth Circuit affirmed, rejecting an argument that the law was unconstitutionally vague and that there was not sufficient evidence to support his conviction. Defendant's posts indicated "contemplation" of a federal investigation.View "United States v. Kernell" on Justia Law

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Plaintiff owns patents, directed to a computer-aided method and system for processing credit applications from car dealers over electronic networks. The patents claim priority to and incorporate the 403 patent, filed in 1995. The district court entered judgment of noninfringement on certain claims; of invalidity for failure to claim patentable subject matter under 35 U.S.C. 101 with respect to other claims; and of invalidity for indefiniteness on others. The Federal Circuit affirmed in part and reversed in part. With respect to infringement, the district court improperly carved-out the Internet from its construction of "communications medium" and improperly construed "central processing means." Finding "central processing means" indefinite, the court invalidated three claims for failure to recite sufficient structure to perform claimed functions. Certain claims were invalid as being directed to an abstract idea preemptive of a fundamental concept or idea that would foreclose innovation in the area. View "Dealertrack, Inc. v. Huber" on Justia Law