Articles about The Law

Steve Jobs left behind a legal mess for Apple chief executive Tim Cook. Decisions the former CEO made when brokering ebook distribution deals haunt Apple, as a civil price-fixing case moves forward and the specter of a federal antitrust investigation approaches. Microsoft cofounder Bill Gates left Steve Ballmer in similar straights in early 2000. Look what happened to Microsoft since.

Apple is alleged to have colluded with major publishers to fix ebook prices, in violation of US antitrust law. There has been little analysis from legal experts on whether or not Apple is actually in danger of criminal complaint. I sat down with William Markham, a partner with San Diego-based law firm Maldonado & Markham, to understand the basics of the civil ebook case and possible federal criminal action. It seems like Apple may find itself a target of antitrust claims in short order, if Markham is right.

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I'm appalled by the sudden feeding frenzy about the Siri lawsuit, which was filed last week but only big-time hit the mainstream news yesterday. Now the damn thing is everywhere, and I've been asked to jump on the meat wagon and write something, too. Siri is the iPhone 4S "personal assistant".

It's all so pointless, going after Apple for beta software, about which advertising states "sequences shortened" for Siri's responses. New Yorker Frank M. Fazio is suing Apple because he bought a 32GB iPhone 4S from a Best Buy in Brooklyn on Nov. 19, 2011. Gasp, "plaintiff was exposed to Apple's representations regarding the Siri feature" -- that is according to the legal filing. Siri's alleged crimes: Failing to understand Fazio and giving him the "wrong answer". Apple's alleged misdeed: Misleading and false advertising.

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Apple may find itself on the precipice of an antitrust lawsuit over its handling of ebooks, but on the flipside is quickly becoming a key witness in the US Government's continuing investigation into Google's business practices. The Federal Trade Commission has asked the Cupertino, Calif. company to detail Google's integration into iOS.

Google has been the default search engine for the iPhone since its debut in 2007, and on the iPad since 2010. While consumers do have the option to change the setting to Yahoo or Microsoft's Bing, from the factory it's all Google. Google Maps also is the basis for iOS' navigation functionality, with no other options provided.

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European Union antitrust chief Joaquin Almunia says that the Competition Commission is open to a settlement with publishers in the increasingly high-profile ebook price fixing case, but only if the companies address key regulatory issues. Almunia says regulators are coordinating with the Justice Department, which is also investigating the industry.

Apple's activities are still central to the investigation, with Hachette, HarperCollins, Macmillan, Penguin and Simon & Schuster's deals with the Cupertino, Calif. company being questioned. Like the US Justice Department investigation, Apple's efforts to restrict how ebooks are sold to competitors is a key issue.

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While Apple and book publishers may find themselves on the precipice of an antitrust lawsuit from the Justice Department, filings in a concurrent civil class-action lawsuit obtained by BetaNews indicate that Apple has already admitted to two of the most damaging allegations in the case that the federal government is likely to include.

According to reporting Thursday by the Wall Street Journal, at the heart of the case is the agreement struck with publishers which changed the way ebooks are sold to retailers. This in turn caused prices to increase dramatically, critics argue. Apple is also accused of further controlling the market through a clause in its own contract for iBooks that forbade publishers from permitting competitors to sell books at a cheaper price than the iBookstore.

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Before his death in October of last year, one of Steve Jobs' last big moves was Apple's foray into electronic books. The company announced the platform in March 2010, but the method in which Apple handled its deals with publishers has caught the eye of regulators.

The Justice Department plans to sue Apple and the five biggest book publishers -- including Simon & Schuster Inc, Hachette Book Group, Penguin Group USA, Macmillan, and HarperCollins -- and accuse them of colluding to raise prices of books. Apple is alleged to have struck an agreement with the publishers that allowed them to change the way they sold ebooks, and in turn allowed the publishers to take more control over pricing.

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LulzSec is gone now following the ratting out of its top members by the group's apparent leader, Hector Xavier Monsegur, aka "Sabu". Charges were filed in US District Court for the Southern District of New York on Tuesday, charging four members with two counts of conspiracy to commit computer hacking.

Those charged on Tuesday include Ryan Ackroyd aka "Kayla" and Jake Davis aka "Topiary" of London; Darren Martyn aka "pwnsauce" and Donncha O’Cearrbhail aka "palladium" of Ireland. A fifth, Jeremy Hammond aka "Anarchaos" of Chicago was also charged, but in connection with the Stratfor hack that occurred last December. He was arraigned separately of the rest of LulzSec.

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The joke is on LulzSec this morning following the arrests of three top members of the group, and charges filed against two more. The action follows the cooperation of its leader, Hector Xavier Monsegur, aka "Sabu", who has reportedly worked with authorities since his arrest last June.

Monsegur plead guilty to 12 hacking-related charges in August. Although details of his arraignment have yet to be made public, the charges against four of the five are now available online.

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Opponents of the Motion Picture Association of America are using the US Government's recently created "We The People" online petition service to force the Obama Administration to take a position on some controversial comments by former Conn. Senator-turned MPAA chief Chris Dodd to Fox News last Thursday.

By Tuesday afternoon, the petition had already passed the 25,000 person threshold to trigger a response from the White House. With over 27,500 signatures, it is gaining about 1,000 signatures an hour. Stop Online Privacy Act and PROTECT IP Act protesters are not satisfied with killing the bill alone: they want heads to roll.

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As the internet pats itself on the back for protesting SOPA and changing the minds of a handful of U.S. Senators, file-sharing site Megaupload has been brought down in one of the largest copyright infringement cases of all time.

Seven individuals and two international corporations have been charged in the United States with running an international organized crime ring dealing exclusively in piracy of copyrighted material.

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The chorus of opposition to Google's recent search changes grows louder, with Electronic Privacy Information Center urging the Federal Trade Commission to launch an investigation into whether or not Google is violating users' privacy with the new feature.

Google settled with the FTC in March over its failed Buzz service, submitting to privacy audits for a period of 20 years as a result. EPIC is specifically concerned with personal data, photos, posts, and contact details being included in search results.

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Western Digital is liable for $525 million in damages to Seagate following an arbitration decision regarding the misappropriation of trade secrets. The ruling stems from a court case brought by Seagate in 2006 against Western Digital and one of its former employees who had taken a job with its competitor.

That employee is accused of sharing information with his new employer, although court proceedings were stayed while the two sides entered arbitration in 2007. The arbitrator sided with Seagate in the matter.

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Sony sure has some gall to attempt to prevent you or me from suing them, especially for its own stupidity. Late last week, the company made some key changes to its terms of service which effectively takes away your right to sue.

After accepting the new ToS, arbitration through a Sony-selected arbitrator is your only recourse. Worse yet, you give up the right to launch or join class action suits against the company.

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Microsoft CEO Steve Ballmer hit me with a club yesterday -- okay, figuratively, but it didn't feel that way. He boomed onto the BUILD developer conference Day 2 keynote stage with an unexpected message: Microsoft is re-imaging -- that is reinventing -- around Windows. Now that's talk I haven't heard from the big boss in about 10 years.

"Our point of view is Windows is at the center", Ballmer told financial analysts a few hours later. The proclamation is stunning because of timing and what Microsoft is doing with Windows 8. In mid May, US trustbusters finally ended oversight of Microsoft; the company plans to integrate into Windows 8 the kind of stuff it hasn't since, well, XP launched a decade ago next month.

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All U.S. residents who were registered with, or subscribed to classmates.com at any time between October 30, 2004 and February 23, 2011 now have access to cash from a $2.5 million class action settlement against the original social networking site.

In 2008, San Diego man Anthony Michaels sued Classmates.com for using the names of his former classmates to mislead him into upgrading from a free membership to a paid one. Michaels claimed the site had sent him emails to alert him that his old peers were trying to contact him, and when he upgraded his membership and logged in, he learned that it was all a ruse.

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