Morrison & Foerster’s Appellate Group has created two unique blogs containing invaluable information:
The Federal Circuitry blog takes a data-driven look at the Federal Circuit; and
The Left Coast Appeals blog offers an empirical window into the Ninth Circuit’s workings, monitors the Ninth Circuit’s busy en banc proceedings, and highlights key recent Ninth Circuit decisions.
The USPTO recently released the report “Public Views on Artificial Intelligence and Intellectual Property Policy”. The report is part of the USPTO’s effort to engage with the innovation community and experts on AI and to promote innovation of AI through appropriate intellectual property incentives.
The report includes the analysis of nearly 200 responses received from individuals and organizations to federal notices published in August and October 2019 to solicit public comments on patenting AI inventions and the impact of AI on other areas of intellectual property policy. The USPTO requested feedback on issues such as whether current laws and regulations regarding patent inventorship and authorship of copyrighted work should be revised to take into account contributions other than by natural persons.
AI in Evolution. As an initial matter, commenters noted that AI has no universally recognized definition, and any definition used as part of an AI policy must be dynamic enough to evolve as AI technology evolves. Some suggested that the USPTO revisit the question of non-human inventions when artificial general intelligence (AGI)—AI that mimics human intelligence—is a reality and not just “purely hypothetical.”
Sufficient and Not Necessary. The majority of respondents took the view that current U.S. IP laws provide sufficient protection for development using current AI technology. To many, existing contract law principles can be used to adequately fill in any gaps as AI technology further advances. Generally, commentators were divided on the need for new intellectual property rights to address AI inventions. Those focusing on new protections were focused mostly on data, with some suggesting that advances in AI should warrant more protection for data rights, including sui generis protection.
Human Not Machine Inventors. With respect to patents, commenters agreed in large part that, for now, humans, not machines, must be inventors. Further, most agreed that only a natural person or a company, through an assignment, should be considered the owner of a patent or an invention, although some suggested extending ownership to those who train an AI process or own or control an AI system. Other respondents were concerned on the practical effects of recognizing non-natural inventors, e.g., how would a machine sign an oath?
Continue Reading In the Public Eye: USPTO Issues Report on AI
Is scraping data from a publicly available website trade secret misappropriation? Based on a new opinion from the Eleventh Circuit, It might be.
In Compulife Software, Inc. v. Newman, Compulife Software, a life insurance quote database service alleged that one of its competitors scraped millions of insurance quotes from its database and then sold the proprietary data themselves. Compulife brought a number of claims against its competitors, including misappropriation of trade secrets under Florida’s version of the Uniform Trade Secrets Act (FUTSA) and under the Federal Defend Trade Secrets Act (DTSA).
Following a bench trial, Magistrate Judge James Hopkins found that, while Compulife’s underlying database merits trade secret protection, the individual quotes generated through public Internet queries to the database do not. So using a bot to take those individual quotes one by one did not constitute a misappropriation of trade secrets. On appeal, however, the Eleventh Circuit disagreed, vacated, and remanded the case.
Facts of the Case
Compulife’s main product is its “Transformative Database,” which contains many different premium-rate tables that it receives from life insurance companies. While these rate tables are available to the public, Compulife often receives these tables before they are released for general use. In addition, Compulife applies a special formula to these rate tables to calculate its personalized life insurance quotes.
Continue Reading Webscraping a Publicly Available Database May Constitute Trade Secret Misappropriation
On December 19, 2019, the Staff of the U.S. Securities and Exchange Commission’s Division of Corporation Finance issued guidance outlining the Staff’s views about disclosure obligations that companies should consider with respect to technology, data and intellectual property risks that could arise when operations take place outside the United States. Companies should consider this guidance when preparing risk factor and other disclosures included in upcoming periodic reports and registration statements.
Background
The Staff notes that the SEC’s principles-based disclosure regime recognizes that new risks may arise over time, affecting different companies in different ways. For those companies that conduct business operations outside the United States, risks can arise for technology and intellectual property, particularly when operations take place in jurisdictions that do not provide protection that is comparable to the United States. The Staff observes that companies may be exposed to material risks of “theft of proprietary technology and other intellectual property, including technical data, business processes, data sets or other sensitive information.” Exposure to such risks can be heightened when companies conduct business in some foreign jurisdictions, house technology, data and intellectual property abroad, or license technology to joint ventures with foreign partners.
Continue Reading SEC Staff Issues Guidance on Technology, Data & IP Risks in International Operations
For the last twenty years, the music industry has been in a pitched battle to combat unauthorized downloading of music. Initially, the industry focused on filing lawsuits to shut down services that offered peer-to-peer or similar platforms, such as Napster, Aimster and Grokster. For a time, the industry started filing claims against individual infringers to dissuade others from engaging in similar conduct. Recently, the industry has shifted gears and has begun to focus on Internet Service Providers (ISPs), which provide Internet connectivity to their users.
The industry’s opening salvo against ISPs was launched in 2014 when BMG sued Cox Communications, an ISP with over three million subscribers. BMG’s allegations were relatively straightforward. BMG alleged that Cox’s subscribers are engaged in rampant unauthorized copying of musical works using Cox’s internet service, and Cox did not do enough to stop it. While the DMCA provides safe harbors if an ISP takes appropriate action against “repeat infringers,” BMG alleged that Cox could not avail itself of this safe harbor based on its failure to police its subscribers.
Continue Reading Will the Music Industry Continue To Win Its Copyright Battle Against ISPs?
A federal district court dismissed a case against supermodel Gigi Hadid for posting to Instagram a photo of herself that was taken by a paparazzo. The reason for the court’s decision was simple: The party claiming copyright ownership of the photo failed to get it registered with the U.S. Copyright Office, a prerequisite to filing
In March, Socially Aware reported on a lawsuit involving several prominent news outlets’ publication of a photo of NFL quarterback Tom Brady on Twitter. The case had the potential to upend a copyright and Internet-law rule that, in the words of a Forbes columnist, “media companies had viewed as settled law for over a
If a web server located outside the United States hosts video content that can be viewed by Internet users located in the United States, does a public performance result under U.S. copyright law?
This has been a topic of hot debate for a surprisingly long time, with little or no direct guidance from the courts—until now. A recent decision from the D.C. Circuit, Spanski Enterprises v. Telewizja Polska, addresses this issue head-on, with the court finding that the uploading of video content in which a party held exclusive U.S. public performance rights and the subsequent directing of the content to U.S. viewers upon their request to be an infringing “performance” under the U.S. Copyright Act.
Telewizja Polska (“Polska”) is Poland’s national TV broadcaster that owns, operates and creates content for several Polish TV channels. Polska and Spanski Enterprises (“Spanski”), a Canadian corporation, entered into a licensing agreement granting Spanski exclusive broadcasting rights in North and South America to TVP Polonia, one of Polska’s TV channels. Polska provides online access to its programming through a video-on-demand feature on its Poland-based website and, to protect Spanski’s rights, Polska used geoblocking technology to block North and South American IP addresses from accessing the copyrighted content. The territorial restrictions were either incorporated into the digital video formats of the episodes themselves or assigned through a content management system.
Continue Reading Copyright’s Long Arm: Foreign Website Found to Infringe U.S. Copyright Law by Providing U.S. Viewers Access to Site Content
I confess: I have mixed emotions regarding the iconic “monkey-selfie” photo and all the hubbub it has created.
Don’t get me wrong; I think monkeys are wonderful, and the photo deserves its iconic status. Who can resist smiling while viewing that famous image of Naruto, the macaque monkey who allegedly snapped the self-portrait?
And the monkey selfie has been a boon to legal blogs. Our own posts regarding the photo have been among the most viewed content on Socially Aware (one of our posts prompted a call from my mother, who felt strongly that Naruto should be entitled to a copyright in the photo).
But, let’s face it, in an era where technology disruption is generating so many critical and difficult copyright issues, the law relevant to the monkey selfie is pretty straightforward, at least in the United States. As the U.S. Copyright Office states in its Compendium II of Copyright Office Practices, for a work to be copyrightable, it must “owe its origin to a human being,” and that materials produced solely by nature, by plants or by animals do not count. U.S. courts have reached the same conclusion. (Although I note that David Slater, the nature photographer whose camera was used to take the photo, claims that he—and not the macaque—is in fact the author of the photo for copyright purposes.)
Continue Reading Monkey-Selfie Case Returns—To Court & (Maybe) a Theater Near You
Does a search engine operator have to delist websites hosting, without authorization, your trade secret materials or other intellectual property? The answer may depend on where you sue—just ask Google. The U.S. District Court for the Northern District of California recently handed the company a victory over plaintiff Equustek Solutions Inc. in what has turned into an international battle where physical borders can have very real consequences on the Internet.
The dispute began when a rival company, Datalink, allegedly misappropriated Equustek’s trade secrets in developing competing products. Equustek also alleged that Datalink misled customers who thought they were buying Equustek products. In 2012, Equustek obtained numerous court orders in Canada against Datalink. Datalink refused to comply, and Canadian court issued an arrest warrant for the primary defendant, who has yet to be apprehended.
Continue Reading The Coming Border Wars: U.S. Court Decision Refusing to Enforce Canadian Court Order Highlights the Growing Balkanization of the Internet
