January 2012 Archives

Internet Piracy Results In Arrests In New Zealand

January 22, 2012



Megaupload.com was among the world's biggest file-sharing sites with 150 million registered users and about 50 million hits daily. It was big enough that it earned founder Kim Dotcom $42 million in 2011.

The movie industry objected that the site was making money off pirated material; even though, Megaupload is based in Hong Kong and the founder was living in New Zealand, some of the alleged pirated content was hosted on leased servers in Virginia, which was sufficient for U.S. prosecutors to take action.

Thereafter, the site was closed and its founder and three Megaupload employees were arrested in New Zealand on allegations by American prosecutors that they facilitated millions of illegal downloads of films, music and other content, costing copyright holders at least $500 million in lost revenue.

The authorities in New Zealand were able to obtain artwork, weapons, and more than $8 million in funds and cars valued at nearly $5 million after serving 10 search warrants at several businesses and homes around Auckland.

A group of hackers retaliated for the recent news and claimed credit for attacking the Justice Department's website. After investigations by federal officials, it was confirmed that the department's website was down for several hours and the disruption was being "treated as a malicious act." This group of hackers who are also known as "Anonymous" claimed credit and also claimed that they also broke into the Motion Picture Association of America's website.

Fairfax Media located at New Zealand reported that the defendants were present at the courtroom for extradition proceedings which may last a year or longer. Dotcom's lawyer raised objections to a media request to take photographs and video, but then Dotcom spoke out from the dock, saying he didn't mind photos or video "because we have nothing to hide." The judge granted the media access, and ruled that the four would remain in custody until a second hearing Monday.

Michelle Obama Is Officially Live On Twitter

January 15, 2012



Michelle Obama is officially live on Twitter. The first lady's Twitter feed went live on Thursday and her link is being managed by the president's re-election campaign. The first two tweets came from the campaign staff and described the account as "a new way for you to connect with First Lady Michelle Obama and the President's campaign." The traffic was high within the first hour with more than 20,000 followers. President Barack Obama also has a Twitter account managed by the campaign. Its first tweet of the day: "It's not every day we get to welcome the First Lady of the United States to Twitter - happy to have you, Michelle Obama!"

This acknowledges that technology plays a key role in our lives and allows us to communicate with each other through different means and methods. Twitter is an online social networking service and microblogging service that enables its users to send and read text-based posts of up to 140 characters, known as "tweets". It was created in March 2006 by Jack Dorsey and launched that July. The service rapidly gained worldwide popularity, with over 300 million users as of 2011, generating over 300 million tweets and handling over 1.6 billion search queries per day. It has been described as "the SMS of the Internet." Twitter Inc. is based in San Francisco, with additional servers and offices in New York City.

Bankruptcy Is Not Always the End of a Brand Name

January 15, 2012



The potential value of the Hostess name and how Twinkie, Ding Dong or Wonder Bread could be repurposed into other consumer products was being assessed as Hostess Brand filed for bankruptcy this last Wednesday.

For the time being, Hostess will continue to produce Twinkies, but some experts are concerned about whether the company can survive. This is Hostess Brands' second trip in bankruptcy court where it resurfaced in 2009 after a four-and-a-half year corporate restructuring.

Throughout history, buyers have placed high bets on brand names like Borders, Polaroid and Sharper Image which continue to resonate with consumers even after the company has filed for bankruptcy and has liquidated its assets.

University of Minnesota Sues Website Operator for Posting Psych Test Online

January 15, 2012



In January 2011, the University of Minnesota filed suit alleging that a website operator violated copyright law by posting a widely-used psychological test online. The psychological test, which is known as the Minnesota Multiphasic Personality Inventory ("MMPI"), was developed to assess personality traits and help diagnose mental disorders. This test contains more than 500 statements which test takers are supposed to mark either true or false. Over the years, MMPI has become one of the most commonly used psychological tests. The lawsuit alleges that a New Zealand-based Web operator named Andrew Dobson illegally posted the statements and software that claimed to interpret the answers to two websites.

The university's main concern is to avoid exposure of the test questions to ensure validity of responses because if test-takers have seen the test before, then any responses may be invalid. The University's lawyer stated that the lawsuit was filed to ensure the websites did not repost the tests. In addition, if the websites cooperate, the lawsuit will likely be withdrawn.

This topic is an example of how intellectual property can be obtained and abused by a third party without legal justification. Intellectual property refers to creations of the mind: inventions; literary and artistic works; and symbols, names and images used in commerce. Intellectual property is divided into two categories: (1) Industrial Property which includes patents for inventions, trademarks, industrial designs and geographical indications; and (2) Copyright which includes literary works (e.g., novels, poems and plays), films, music, artistic works (e.g., drawings, paintings, photographs and sculptures) and architectural design. The legal rights related to copyright include those of performing artists in their performances, producers of phonograms in their recordings, and broadcasters in their radio and television programs.