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398                                  12  Implementation Issues: From Globalization to Justification, Privacy, and Regulation

             Digital Rights Management (DRM)                  APIs are not subject to copyright, the appeals court disagreed,
                                                              holding that Java’s  API packages were copyrightable,
           Digital rights management (DRM) describes a system of  although it sent back the case to the trial court to determine
           protecting the copyrights of data circulated over the Internet  whether or not Google’s copying was a violation of the Fair
           or digital media. These arrangements are technology-based  Use Doctrine. In 2014, Oracle won the case (see McLaughlin
           protection measures (via encryption or using watermarks).  2014).
           Typically, sellers own the rights to their digital content. For
           details, see eff.org/issues/drm. However, DRM systems may   Trademarks
           restrict the fair use of material by individuals. In law, fair use
           refers to the limited use of copyrighted material, without pay-  According to the USPTO, a trademark is “a word, phrase,
           ing a fee or royalty, for certain purposes (e.g., reviews, com-  symbol, and/or design that identifies and distinguishes the
           mentaries, teaching).                              source of the goods of one party from those of others.” A
                                                              trademark is used by individuals, business organizations, or
             Patents                                          other legal entities to notify consumers of a unique source,
                                                              and to tell the difference between a company’s products or
           According to fedcirc.us, a patent is “an exclusive right to a  services and those of others. Although federal registration is
           particular invention. Patents are granted by states or govern-  not necessary, there are several advantages, such as inform-
           ments to the creator of an invention, or to someone who has  ing the public that the trademark belongs to the registrants,
           been designated by them to accept the rights over the inven-  and giving them exclusive right of use (see uspto.gov/trade-
           tion. The holder of the patent has sole rights over the invention  marks/basics/definitions.jsp).
           for a specified period of time” (e.g., 20 years for applications   In 2008, eBay  won a landmark  trademark case  against
           filed on or after June 8, 1995 in the United States and 20 years  Tiffany, a leading jewelry retailer, who had sued eBay alleg-
           in the United Kingdom). Patents serve to protect the idea or  ing that many of the items being advertised on eBay as
           design of the invention, rather than any tangible form of the  Tiffany merchandise were actually fakes. The U.S. court ruled
           invention.                                         in 2008 that eBay cannot be held liable for trademark
              There is some discrepancy between the USA and Europe  infringements “based solely on their generalized knowledge
           over the way certain patents are granted. For example, in  that trademark infringement might be occurring on their
           1999, Amazon.com successfully obtained a U.S. patent for its  websites.”
           “1-Click” ordering and payment procedure. Using this patent,
           Amazon.com sued Barnes and Noble in 1999, alleging that its
           rival had copied its patented technology. Barnes and Noble   SECTION 12.6 REVIEW QUESTIONS
           was enjoined by the courts from using their “Express Lane”
           payment procedure. However, on May 12, 2006, the USPTO   1.  What is intellectual property law? How is it helpful to cre-
           ordered a reexamination of the “1-Click” patent. In March   ators and inventors?
           2010, the Amazon patent was rewritten in the USA to include   2.  Define DRM. Describe one potential impact on privacy
           only a shopping cart, and was approved as such. Nevertheless,   and one drawback.
           Expedia and many other e-tailers use similar “checkout” sys-    3.  What is meant by “fair use”? How does the “jailbreaking”
           tems today. See en.wikipedia.org/wiki/1-Click.       of iPhones fall under “fair use”?
              Another example of a legal case involving patents is when   4.  Define trademark infringement and discuss why trademarks
           Canadian  firm  i4i  Corporation  sued  Microsoft,  for  patent   need to be protected from dilution.
           infringement, alleging that Microsoft had infringed i4i’s pat-
           ent relating to text manipulation software. Microsoft wanted
           the  standard  changed  by  which  patents  would  be  deemed  12.7   PRIVACY RIGHTS, PROTECTION,
           invalid. Microsoft took the case all the way to the U.S. Supreme   AND FREE SPEECH
           Court and lost.
                                                              Privacy has several meanings and definitions. In general, pri-
           Oracle Versus Google                               vacy is the state of not being disturbed by others, being free
           In following its legal right of enforcement, Oracle has been  from others’ attention, and having the right to be left alone and
           mining its newly acquired patent portfolio and actively seek-  not to be intruded upon. (For other definitions of privacy, see
           ing and suing infringers. In 2012, Oracle sued Google over its  the Privacy Rights Clearinghouse at  privacyrights.org.)
           Android product for using Oracle’s Java technology (copying  Privacy has long been a legal, ethical, and social issue in most
           Java code) without a license. While the trial court ruled that  countries.
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