By In today’s economic environment, bankruptcy is often the only viable option for struggling businesses. In Jasmine Networks, Inc. v. Superior Court (Santa Clara County), the Court faced the issue of whether a bankrupt company could maintain an action for trade secret misappropriation when that company had sold its “trade secrets” in connection with the bankruptcy. The Court concluded that a plaintiff did not have to be the present owner of trade secrets in order to pursue an action for trade secret misappropriation. Continue Reading Trade Secrets, Bankruptcy and “Standing”
The Seventh And Ninth Circuits Split On What Constitutes “Without Authorization” Within The Meaning Of The Computer Fraud And Abuse Act
By Dale C. Campbell and David Muradyan
The Seventh Circuit and the Ninth Circuit do not agree on what constitutes “authorization” under the Computer Fraud and Abuse Act, 18 U.S.C. § 1030 (2004) (“CFAA”)? The CFAA prohibits accessing computers “without authorization” or “exceed[ing] authorized access” to take various forbidden actions, ranging from obtaining information to damaging a computer or computer data. See 18 U.S.C. § 1030(a)(1)-(7). Notably, the CFAA provides a private cause of action for persons who have suffered harm resulting from computer fraud. Id. § 1030(g). The CFAA provides, in relevant part: “Any person who suffers damage or loss by reason of a violation of this section may maintain a civil action against the violator to obtain compensatory damages and injunctive relief or other equitable relief.” Id. To assert a viable claim, the harmed plaintiff must allege, among other things, that the defendant intentionally accessed its information “without authorization” or “exceeds authorized access.” Id. § 1030(a)(2). Congress enacted the CFAA in 1984 to enhance the government’s ability to prosecute computer crimes. LVRC Holdings LLC v. Brekka, 581 F.3d 1127, 1130 (9th Cir. 2009). The CFAA was targeted to rein in hackers who illegally accessed computers to steal data or to disrupt or destroy computer functionality. Id. The CFAA was also designed to target criminals who possessed the capacity to “’access and control high technology processes vital to our everyday lives . . ..’” Id. at 1130-31 (citing H.R. Rep. 98-894, 1984 U.S.C.C.A.N. 3689, 3694 (July 24, 1984).Continue Reading The Seventh And Ninth Circuits Split On What Constitutes “Without Authorization” Within The Meaning Of The Computer Fraud And Abuse Act
“The Heart Attack Grill” Commences Litigation Triage to Save Its Trade Dress
by The Heart Attack Grill in Chandler, Arizona (http://www.heartattackgrill.com) is unabashedly unhealthful. The morbidly titled restaurant proclaims its food has “a taste worth dying for,” and offers to feed all patrons 350 pounds and over for free. The menu features single through quadruple ”bypass burgers” (actual quadruple bypass burger pictured above), "flatliner fries" deep fried in pure lard, unfiltered “Lucky Strike” cigarettes, and Jolt Cola, amongst other fulsome fare. Continue Reading “The Heart Attack Grill” Commences Litigation Triage to Save Its Trade Dress
Why Establishing Trademark Use Is Not As Easy As One Would Think
by Scott Hervey
A basic prerequisite for the ownership and registration of a trademark is that the mark is “used in commerce.” The Trademark Act defines “use in commerce” as the bona fide use of a mark in the ordinary course of trade. Under the Act, a mark is deemed to be used in commerce when: (i) the mark is placed in any manner on goods, their containers, their displays, on the goods’ tags or labels and, in certain cases, on documents associated with the goods or their sale; and (ii) the goods are sold or transported in interstate commerce.Continue Reading Why Establishing Trademark Use Is Not As Easy As One Would Think
Unwanted Text Messages Does Not Equal Computer Fraud and Abuse
by Jeff Pietsch
A federal district court in Minnesota dismissed claims made under the Computer Fraud and Abuse Act (18 U.S.C. § 1030) (“CFAA”) for the receipt of unwanted text messages. The CFAA, which was originally adopted as criminal law to prohibit actions that damaged another’s computer system or stealing information from it, now permits a claim for civil damages. Continue Reading Unwanted Text Messages Does Not Equal Computer Fraud and Abuse