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31 January 2008

Database rights: does Crowson Fabrics change things?

At the start of last week, I mentioned the case of Crowson Fabrics v Rider and Others, in which the Court found that the database right existed in certain information taken from the Claimant by the Defendant, such as customer contact details. (The previous link is to the judgment, now available on BAILLI).

So that you don't have to click back, my comment in the previous post was:

This [case] has taken many IP lawyers by surprise; in the aftermath of certain European Court of Justice judgements in 2004 the database right was thought to be a lame duck by most. Those judgements meant that the right only arose where there had been a substantial investment in the obtaining, verifying or presenting of the database content - a test that most databases will fail to meet. Was this test applied by the Court in Crowson?

We've now had a chance to look through the Crowson judgment and so can report further.

Continue reading "Database rights: does Crowson Fabrics change things?" »

Freedom of Information likely to be extended to some private sector bodies

Jack Straw, the UK's Secretary of State for Justice and Lord Chancellor, has confirmed in the House of Commons that the government plans to extend the Freedom of Information Act to the private sector. The UK Freedom of Information blog brings this news, quoting an exchange between Straw and Norman Baker MP.

The government launched a consultation on the issue in October 2007. The consultation closes on 1 February 2008. As part of his exchange in the Commons with Baker, Straw said:

"As the boundary between the public and private sectors for the delivery of what are essentially public services has moved, so we believe that the arrangements should move as well. That is why we are consulting on the matter."

Also as part of the exchange, Baker also asked whether the government planned to amend the Freedom of Information Act to "guard against repeated, petty and often exorbitant requests that are made frequently and do nothing to add to freedom of information". Straw replied "There is already a large array of safeguards in the Act and within the practice of the Information Commissioner."

28 January 2008

New music services offer music for free (although not DRM-free)

The Guardian brings news of the launch today of Qtrax.com, a site that claims to have over 25 million songs available legitimately for free. Qtrax.com is funded by advertising, and the record labels and artists get their cut, so everyone's happy. This is one of a number of free music sites discussed in the article.

Like Nokia's proposed free music download service, Qtrax.com appears to use DRM technology to control what users can do with their music.

UPDATE: Three of the big record labels are now saying that they haven't agreed to provide their music to Qtrax. As usual with developments in digital music, nothing is simple...

High Court allows computer program patent claims

To make readers aware of an important development in UK software patent law, here are some extracts from an IPKat report on the Astron Clinica judgment:

"In a surprising (to this Kat at least) turn of events, the Honourable Mr Justice Kitchin has ruled today that the current UK Patent Office practice of flatly rejecting patent claims to computer program products is wrong.

...

In conclusion then, Kitchin J found that the appeals should be allowed. Each application concerned a computer related invention where the examiner had allowed claims to, in effect, a method performed by running a suitably programmed computer and to a computer programmed to carry out the method. The Hearing Officer had rejected corresponding program claims on the basis that they were necessarily prohibited by Article 52, and in Kitchin J's judgment he had erred in doing so. The cases were remitted to the UK-IPO for further consideration in light of the judgment.

The IPKat is, frankly, quite amazed by the judgment, because he was (apparently quite wrongly) convinced that there was no room for manoeuver after Aerotel/Macrossan, in particular in light of one of the central points of A/M being that the scope of the monopoly must be considered when construing the claim, which appears to have formed the basis of the UK-IPO's change of practice. He wonders whether the story has run its course for now, and if we can simply all go back to falling into line with the EPO, or if the UK-IPO will judge that this one is worth going further on. Will they? Can they? Should they?"

To give background to the law on this area, the IPKat report helpfully links to its stories on earlier developments in relevant law.

We'll comment on the judgment later this week if we get the time, and no doubt the other IP law blogs will be full of opinion within a few days.

Amazon: one step closer to DRM free tracks in the UK?

According to a short piece on Guardian Technology, Amazon has announced that DRM-free music tracks will start being sold on certain of its 'international sites' during 2008. Whilst Amazon hasn't said which sites it is referring to, the Guardian presumes that this includes Amazon's UK site. The ecommerce giant is not giving details as to the timetable for rolling out the service to the sites, possibly because talks with the record labels are ongoing.

25 January 2008

Clash of the Titans

The longstanding rivalry between media giants Rupert Murdoch and Richard Branson has taken another turn this week, as Murdoch-owned company Gemstar embarks on patent litigation proceedings in the High Court against Virgin Media. Gemstar is a US TV listings business that is partly owned by News Corporation, and the litigation centres around three European patents that Gemstar claims are infringed by Virgin Media: EP0969662, EP1377049, and EP1613066.

The patent claims relate to techniques for providing interactive program guides (IPGs) and for handling recordings from IPGs.

In a Gemstar press release, Samir Armaly, executive vice president, intellectual property and licensing,  was quoted as saying:

"We have worked diligently to license Virgin Media for their distribution of various set-top boxes that contain IPGs covered by our patents, but negotiations did not lead to a resolution. The substantial value of our European patent portfolio has been recognized by leading service providers as well as leading consumer electronics manufacturers in the UK and throughout Europe. While we would have preferred to reach a commercial solution with Virgin Media, we ultimately have a responsibility to our shareholders, licensees, and other stakeholders to protect the value of our intellectual property"

Virgin Media have apparently retorted:

"We are confident the courts will see Gemstar's action for what it is: a piece of flagrant opportunism. We have been advised by our external counsel that the case is without merit and we will defend it vigorously"

See, for example, the article in The Independent.

Both parties seem equally confident about their respective positions, however, it appears that the validity of the patents may be open to attack, and, as IPKat quite rightly points out, ultimately the outcome will depend upon what the patents can validly claim and how far the parties want to take the matter.

 


 



 



The Independent

ICO publishes powers and penalties wishlist

The Information Commissioner's Office has published a 'wishlist' of new powers and penalties that it wants to be given.

The ICO publication is called "DATA PROTECTION POWERS AND PENALTIES: The Case for Amending the Data Protection Act 1998". We've created a brief summary of the key points below.

New powers

The ICO has requested:

  • "a power for the Information Commissioner to inspect personal data and the circumstances surrounding its processing in order to assess whether or not any processing of the data is carried out in compliance with the [Data Protection] Act."
  • "a power for the Information Commissioner to require a data controller to provide him with a report by a skilled person"
  • "enhanced enforcement powers to enable the Information Commissioner to bring seriously unlawful processing to an immediate halt, to place formal undertakings on a statutory basis and to enable the Information Commissioner to take enforcement action to prevent breaches of the Act that are likely to occur"
  • "information notices that can be served on any person rather than just a data controller."

New penalty: knowingly/recklessly failnig to comply with the DP principles

The ICO wants "a penalty for knowingly or recklessly failing to comply with the data protection principles so as to create a substantial risk that damage or distress will be caused to any person".

This penalty would not be a prison sentence; the ICO is looking for a fine with no maximum limit.

In his proposal document, the ICO gives reasons for wanting this new penalty: "There is  a shortfall in the sanctions available to the Information Commissioner and the means of enforcing those sanctions swiftly and effectively. There is no effective punishment or deterrent available for those who knowingly or recklessly disregard the requirements of data protection law in a way that causes a significant risk of harm whether directly to individuals or indirectly by undermining respect for the law."

This wishlist is not the subject of legislation or any consultation, and so at this stage is no more than confirmation of the changes that the ICO wants in the aftermath of the HMRC fiasco.

21 January 2008

Ripping yarns for the week

Here at IMPACT, everyone's snowed under this week. As usual, the other IP/IT law blogs and sites out there are doing a good job and so there's lots of interesting stuff to read. Here's a brief selection.

Firstly, the public section of the Society of Computers & Law contains Laurence Eastham's take on the latest legal developments arising from ripping music CDs to computers. Eastham's view? "Skip the consultation - the world has already moved on and legalising this form of copying is a social necessity."

Secondly, Sarah at Naked Law has written about the latest legal story to hit FaceBook, which concerns the popular FaceBook game Scrabulous:

"Scrabulous which is apparently one of the ten most popular Facebook applications attracts more than 500,000 users a day to the social networking site and appears to make litte effort to distinguish itself from Scrabble. It even provides a link to the Wikipedia definition of Scrabble from its rules page.  It's perhaps little wonder, then, that Hasbro accuses the makers of "gross copyright and trademark infringement" of Hasbro's rights in Scrabble."

Finally, Laurence Kaye discusses Crowson Fabrics Ltd v. Rider and others. This is a case in which the Court held that the database right of a company had been infringed. This has taken many IP lawyers by surprise; in the aftermath of certain European Court of Justice judgements in 2004 the database right was thought to be a lame duck by most. Those judgements meant that the right only arose where there had been a substantial investment in the obtaining, verifying or presenting of the database content - a test that most database will fail to meet. Was this test applied by the Court in Crowson? This is something we're examining here and will write about in due course.

17 January 2008

Nokia & Apple's not-so-firmware

To state the completely obvious (no better way to start a blog post!), Nokia and Apple are big players in the consumer technology arena. As well as selling devices, both want to have their customers using their mobile and portable devices' firmware for as many things as possible: locating goods or services in the locality, watching videos, taking photos and then buying the prints.

The ultimate aim is of course to get revenue from these things (e.g. advertising revenue, fees for downloading music). To take the example of music, Apple is already dominant in the digital music arena with iTunes; Nokia wants a piece of the action and is making serious efforts to become a popular digital music service provider during 2008.

However, these efforts to become and make money from being one-stop shops for all kinds of content and services look to have resulted in a very unpopular trend in firmware, as these companies seek to maximise revenue from their devices.

Nokia maps tracking feature goes missing in action

N95gpspmptodayAt the end of December 2007 Nokia released its latest firmware update for its N95 high-end smartphone. N95 owners, whilst impressed with many of the upgraded features, were taken by surprise by the disappearance of a key element of the tracking feature in the phone's maps facility (pictured - right). This feature allows users to track their location. The company's response to querys about this development was that users would have to pay for the premium version of maps if they wanted it back.

Users weren't exactly impressed; one user blog commented that Nokia was being "cheeky" and another wasn't best pleased. The Register said:

"Nokia would like users to look at their mobile phone as a desktop-equivalent, but even Microsoft would balk at removing without warning a feature through Windows Update, and then offering that same feature as a product. There may not be many users complaining about the removal of tracking from Nokia Maps - it's a little-used feature - but the concept of features being removed without warning is something that should worry every smartphone user."

Apple charges Touch users for latest firmware update

Apple CEO Steve Jobs this week angered existing owners of the ipod Touch, the company's iphone-like media player and internet tablet, when it announced that they would have to pay $20/£13 for the latest update of the Touch firmware.

The update brings new features to the Touch, such as a built-in email browser. Apple's position appears to be that the new features are "luxury", not essential, so it can charge for them. Fair enough, right? Many existing users don't think so; not only does the Touch come at a luxury price, but anyone buying a Touch now will get these "luxuries" included at no extra cost. In other words, Apple is treated existing users different to new users.

The response from Touch owners to Apple's announcement appears to be largely hostile; while a few people on the Apple user forums are saying that will be compliant and upgrade, most seem to have little in the way of kind words to say about Apple or Jobs. There also looks to be much talk from users about finding alternative ways to upgrade their Touches without paying Apple a single penny (see below for more details).

Can the law help disgrunted users?

What can annoyed users do about this kind of behaviour from consumer tech companies like Nokia and Apple?

Users are unlikely to find their contracts with Apple, Nokia, or their device providers (e.g. the mobile telecomms companies in the case of Nokia), very helpful. (I haven't got time to look, but well done if you do spot any obligation in the terms & conditions for Nokia to provide maps as part of its phones, or Apple to provide full firmware updates for free.)

Theoretically, if a user purchased their N95 from a shop on the promise/confirmation (from the shop, or in the advertising campaign for the device) that the maps feature was included, or bought their Touch on the promise/confirmation that firmware upgrades were all free, that user might be able to return the device to the shop and get a refund on the basis of breach of contract by the shop. However, this argument could be tricky to run and could stumble into legal problems early on (e.g. the terms & conditions of the retailer could state that the content of marketing materials or verbal promises given by a shop might be excluded from the contract between user and retailer). Even if the user was successful, they've no longer got a N95/Touch, just their money back - this is unlikely to be the aim of most disgruntled users, who want the missing features.

If enough consumers complained, the competition authorities in countries where these devices are sold might also investigate whether Nokia/Apple have abused their market power. This could be particularly relevant to the Touch; Apple completely controls what applications and features are on the device, doesn't let users install third party software, and can therefore demand whatever money it wants from users. Again, this is a complicated legal issue and is not going to result in annoyed users getting the missing features in the near future.

In my view, the above developments are only likely to be resolved in the long-run through consumer pressure and by the companies in question realising that they are deterring potential purchasers by making their offerings look unreliable.

Users take control

In the short term, there are practical solutions for users. Nokia smartphones run on the generic Symbian operating system, for which there is loads of third party software available (much of it free, and open source). There are often third party alternatives to Nokia phone features, meaning that if Nokia pulls these kind of stunts, third party software can replace the missing features.

Iphone_touch_500_380x285For the iPod Touch, I've already said that Apple doesn't allow third party applications to be installed. However, geeky Touch fanatics have come up with various ways of cracking the device so that third party applications can be installed; this is commonly known as "jailbreaking". (Right - a jailbroken Touch and a standard Touch). From this development has sprung up what appears to have a very active developer community, and what looks to be a substantial community of users of jailbroken Touches. Whilst jailbreaking is unlikely to be allowed under the Touch end user licence, many users will argue that the $20/£13 firmware update announcement effectively legitimises jailbreaking until Apple unlocks the Touch to third party applications.

In the long run, users may choose to buy devices that aren't so tightly controlled by a particular company; the development of Linux operating systems for mobile phones (e.g. Google's Android Alliance) means that this may become a realistic option in the next few years.

The moves by Apple and Nokia, and the response of users, make this an interesting area to watch and consider, both in terms of IT developments and the legal implications. I've not considered the law in any detail in this post, and will try to do so in the next few months.

Notes: Picture of N95 from PMP Today blog. Pictures of iPod Touch from PocketPicks.

Larry Lessig practises what he preaches

Folio_ideasLawrence Lessig, US lawyer and founder of Creative Commons, has secured the release his 2001 book The Future of Ideas under a Creative Commons licence. The licence in question is Attribution Noncommercial (US law). To achieve this, his publishers Random House had to agree to the move.

Announcing the development on his blog earlier this week, Lessig said:

"Thanks to Random House (and Basic Books, and Penguin) for being open to this experiment. I hope we'll have some useful data to report about its effect."

This means that all of Lessig's books are now available online free of charge under Creative Commons licences. No doubt Chris Anderson on The Long Tail will have something to say about this connects with his FREE theory.

Thanks to the MobileRead Networks blog for spotting this.

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