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[News] Federal Trade Commission Cracks Down on Patent Trolls

  • Subject: [News] Federal Trade Commission Cracks Down on Patent Trolls
  • From: Roy Schestowitz <newsgroups@xxxxxxxxxxxxxxx>
  • Date: Sat, 26 Jan 2008 00:04:41 +0000
  • Newsgroups: comp.os.linux.advocacy
  • Organization: Netscape / schestowitz.com
  • User-agent: KNode/0.10.4
FTC Announces Landmark Settlement in “Patent Hold Up” Action

,----[ Quote ]
| On Wednesday, the Federal Trade Commission (FTC) announced the most important 
| resolution of a standards-related enforcement action since Rambus, and 
| possibly since its landmark settlement with Dell Computer in 1995.  At issue 
| was whether a licensing promise made by a patent-owning participant in a 
| standards development process is binding upon someone that later owns the 
| same patent.  In a split 3 – 2 decision, the FTC has ruled that it does, when 
| the later owner exploits the “lock in” of the marketplace by dramatically 
| increasing the cost to license the patent in question.        
`----

http://www.consortiuminfo.org/standardsblog/article.php?story=20080125051610202

FTC, Data Solutions Reach Settlement of Ethernet Autonegotiation Patent

,----[ Quote ]
| Chairman Majoras disagreed with the majority's determination of liability, 
| stating that “[t]his case departs materially from the prior line [of FTC 
| standard-setting ‘hold-up’ challenges], in that there is no allegation that 
| [the patent holder] engaged in improper or exclusionary conduct to induce 
| IEEE [Institute of Electrical and Electronics Engineers] to specify its NWay 
| technology” into the relevant standard. “The majority has not identified a 
| meaningful limiting principle that indicates when an action – taken in the 
| standard-setting context or otherwise – will be considered an ‘unfair method 
| of competition,’” she said, adding also, “The novel use of our consumer 
| protection authority to protect large corporate members of a standard-setting 
| organization is insupportable.”          
`----

http://www.linuxelectrons.com/news/hardware/15873/ftc-data-solutions-reach-settlement-ethernet-autonegotiation-patent


Related:

ISO warned about possible patent violations of DIS29500 (aka OOXML)

,----[ Quote ]
| I have just send the following email to ISO members (you can find some of 
| their email addresses on the INCTIS website) to warn them about the possible  
| patent ambush... 
`----

http://jeremywang67.blogspot.com/2008/01/iso-warned-about-possible-patent.html


Digging in the Comments: Patents

,----[ Quote ]
| Patent licensing is probably the most important aspect for all third parties 
| that want to implement or use the Open XML specification. Unfortunately the 
| Ballot Resolution Meeting cannot discuss these aspects because only technical 
| and editorial issues would get resolved.   
| 
| [...]
| 
| When you have a patent which covers Open XML and you refuse to license it, 
| the standard process gets stalled. Large companies in the standardization 
| process are reluctant to use that nuke option. Given the ambush that the 
| software patent practice means today it is quite possible that Open XML 
| infringes a patent and all parties eventually have an obligation to license 
| it.     
`----

http://www.noooxml.org/forum/t-31491/digging-in-the-comments:patents


Patent threat looms large over OOXML

,----[ Quote ]
| "If OOXML goes through as an ISO standard, the IT industry, government and 
| business will encumbered with a 6000-page specification peppered with 
| potential patent liabilities" said NZOSS President Don Christie.  
| 
| "Patent threats have already been used to spread doubt amongst organisations 
| keen to take advantage of the benefits of open source. No one knows whether 
| such claims have any merit, but it is calculated to deter the development and 
| use of open and alternative toolsets."   
`----

http://nzoss.org.nz/node/179


Cyberlaw OOXML Seminar 14 December

,----[ Quote ]
| However, this raises the issue - what assurance does a developer have that 
| such a large specification is not the subject of third party patent claims?  
|       ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
| The pedigree of the specification is certainly no reason for hope, Microsoft 
| has been the target of third party patent claims for some time now including 
| some high profile losses in patent suits. The fact that the specification has 
| been developed behind closed doors and on a fast track means that there has 
| been no adequate opportunity to evaluate the likelihood of third party patent 
| claims against the specifications. The sheer size of the document suggests 
| there will be at least a couple hiding in there somewhere.       
`----

http://brendanscott.wordpress.com/2007/12/13/cyberlaw-ooxml-seminar-14-december/


Corrupt countries were more likely to support the OOXML document format

,----[ Quote ]
| Is this just a random coincidence? The median of the CPI index of the above 
| mentioned 70 countries is 3.95. Of the most corrupted half (CPI index less 
| than 3.95) 23 or 77% voted for approval (approval or approval with comments) 
| and 7 or 23% for disapproval; 5 abstained. Of the least corrupted half (CPI 
| index more than 3.95) 13 or 54% voted for approval and 11 or 46% voted for 
| disapproval; 11 abstained - see the table below.      
`----

http://www.effi.org/blog/kai-2007-09-05.en.html


Microsoft accused of more OOXML standards fiddling 

,----[ Quote ]
| However the 11 new countries are refusing to say how they will vote. These 
| include Cote d'Ivoire, Cyprus, Ecuador, Jamaica, Lebanon, Malta, Pakistan, 
| Trinidad and Tobago, Turkey, Uruguay and Venezuela. Most people seem to think 
| that these have been put there by Vole to make sure the standard gets pushed 
| through.    
`----

http://www.theinquirer.net/default.aspx?article=42106

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