AI

AI 'Hallucinations' in Court Papers Spell Trouble For Lawyers (reuters.com) 73

An anonymous reader shares a report: U.S. personal injury law firm Morgan & Morgan sent an urgent email this month to its more than 1,000 lawyers: Artificial intelligence can invent fake case law, and using made-up information in a court filing could get you fired. A federal judge in Wyoming had just threatened to sanction two lawyers at the firm who included fictitious case citations in a lawsuit against Walmart. One of the lawyers admitted in court filings last week that he used an AI program that "hallucinated" the cases and apologized for what he called an inadvertent mistake.

AI's penchant for generating legal fiction in case filings has led courts around the country to question or discipline lawyers in at least seven cases over the last two years, and created a new high-tech headache for litigants and judges, Reuters found. The Walmart case stands out because it involves a well-known law firm and a big corporate defendant. But examples like it have cropped up in all kinds of lawsuits since chatbots like ChatGPT ushered in the AI era, highlighting a new litigation risk.

United States

Groups Ask US Court To Reconsider Ruling Blocking Net Neutrality Rules (reuters.com) 69

Public interest groups on Tuesday asked the full 6th U.S. Circuit Court of Appeals to reconsider a ruling that the Federal Communications Commission lacked legal authority to reinstate landmark net neutrality rules. From a report: The decision by a three-judge panel blocked the FCC under then President Joe Biden that had sought to reinstate the open internet rules implemented in 2015 but later repealed by the agency under President Donald Trump. The groups -- Free Press, Public Knowledge, Open Technology Institute and the Benton Institute for Broadband & Society -- argue the appeals court decision conflicts with an earlier decision by another court.

The groups said the case centers on the FCC's decades-long effort to prevent broadband internet providers "from abusing their gatekeeping power, in furtherance of the providers' economic or political interests, to constrain their users' access to third-party websites."

AI

Lawsuit Accuses Meta Of Training AI On Torrented 82TB Dataset Of Pirated Books (hothardware.com) 47

"Meta is involved in a class action lawsuit alleging copyright infringement, a claim the company disputes..." writes the tech news site Hot Hardware.

But the site adds that newly unsealed court documents "reveal that Meta allegedly used a minimum of 81.7TB of illegally torrented data sourced from shadow libraries to train its AI models." Internal emails further show that Meta employees expressed concerns about this practice. Some employees voiced strong ethical objections, with one noting that using content from sites like LibGen, known for distributing copyrighted material, would be unethical. A research engineer with Meta, Nikolay Bashlykov, also noted that "torrenting from a corporate laptop doesn't feel right," highlighting his discomfort surrounding the practice.

Additionally, the documents suggest that these concerns, including discussions about using data from LibGen, reached CEO Mark Zuckerberg, who may have ultimately approved the activity. Furthermore, the documents showed that despite these misgivings, employees discussed using VPNs to mask Meta's IP address to create anonymity, enabling them to download and share torrented data without it being easily traced back to the company's network.

The Courts

News Orgs Say AI Firm Stole Articles, Spit Out 'Hallucinations' (arstechnica.com) 20

An anonymous reader quotes a report from Ars Technica: Conde Nast and several other media companies sued the AI startup Cohere today, alleging that it engaged in "systematic copyright and trademark infringement" by using news articles to train its large language model. "Without permission or compensation, Cohere uses scraped copies of our articles, through training, real-time use, and in outputs, to power its artificial intelligence ('AI') service, which in turn competes with Publisher offerings and the emerging market for AI licensing," said the lawsuit (PDF) filed in US District Court for the Southern District of New York. "Not content with just stealing our works, Cohere also blatantly manufactures fake pieces and attributes them to us, misleading the public and tarnishing our brands."

Conde Nast, which owns Ars Technica and other publications such as Wired and The New Yorker, was joined in the lawsuit by The Atlantic, Forbes, The Guardian, Insider, the Los Angeles Times, McClatchy, Newsday, The Plain Dealer, Politico, The Republican, the Toronto Star, and Vox Media. The complaint seeks statutory damages of up to $150,000 under the Copyright Act for each infringed work, or an amount based on actual damages and Cohere's profits. It also seeks "actual damages, Cohere's profits, and statutory damages up to the maximum provided by law" for infringement of trademarks and "false designations of origin."

In Exhibit A (PDF), the plaintiffs identified over 4,000 articles in what they called an "illustrative and non-exhaustive list of works that Cohere has infringed." Additional exhibits provide responses to queries (PDF) and "hallucinations" (PDF) that the publishers say infringe upon their copyrights and trademarks. The lawsuit said Cohere "passes off its own hallucinated articles as articles from Publishers."
Cohere said in a statement to Ars: "Cohere strongly stands by its practices for responsibly training its enterprise AI. We have long prioritized controls that mitigate the risk of IP infringement and respect the rights of holders. We would have welcomed a conversation about their specific concerns -- and the opportunity to explain our enterprise-focused approach -- rather than learning about them in a filing. We believe this lawsuit is misguided and frivolous, and expect this matter to be resolved in our favor."

Further reading: Thomson Reuters Wins First Major AI Copyright Case In the US
United States

UK Demand For a Back Door To Apple Data Threatens Americans, Lawmakers Say (msn.com) 94

Members of key congressional oversight committees wrote to the United States' new top intelligence official Thursday to warn that a British order demanding government access to Apple users' encrypted data imperils Americans. From a report: Ron Wyden, a Democrat on the Senate Intelligence Committee, and Andy Biggs, a Republican on the House Judiciary committee, wrote to just-sworn-in National Intelligence Director Tulsi Gabbard and asked her to demand the United Kingdom retract its order.

If the top U.S. ally does not back off, they said, Gabbard should consider limiting the deep intelligence sharing and cooperation on cybersecurity between the countries. The Post first reported the existence of the confidential British order last week. It directs Apple to create a back door into its Advanced Data Protection offering, which allows users to fully encrypt data from iPhones and Mac computers when putting it in Apple's iCloud storage. Apple cannot retrieve such content even when served with a court order, frustrating authorities looking for evidence of terrorism, child abuse and other serious crimes.

The order was issued under the Investigatory Powers Act, which allows the British Home Office to require technical cooperation from companies and forbids those companies from disclosing anything about the demands. It would apply globally, though the U.K. authorities would have to ask Apple for information stored by specific customers.

Crime

Elizabeth Holmes Breaks Her Silence In First Interview From Prison (people.com) 138

Convicted Theranos founder, Elizabeth Holmes, had her first interview since being reported to prison in 2023, telling People magazine that she is still working on "research and inventions" in the healthcare space. Here's an excerpt from the article: Scheduled for release on April 3, 2032, Holmes says she hopes to travel with her family and to fight for reform of criminal justice system. She recently drafted an American Freedom Act bill -- a seven-page handwritten document -- to bolster the presumption of innocence and change criminal procedure. "This will be my life's work," says Holmes, adding that she is speaking out now as part of her mission to advocate on behalf of incarcerated persons and those ripped away from their children.

And, despite her global reputation as a biotech con artist who put lives at risk, she says she's continuing to write patents for new inventions and plans to resume her career in healthcare technology after her release. "There is not a day I have not continued to work on my research and inventions," she says. "I remain completely committed to my dream of making affordable healthcare solutions available to everyone."

For now, however, she is sustained by weekend visits from her family, when she can cuddle Invicta, watch William gather acorns in the prison yard and hold Evans's hand and briefly hug and kiss. (Conjugal visits are not allowed.) "It kills me to put my family through pain the way I do," she says. "But when I look back on my life, and these angels that have come into it, I can get through anything. It makes me want to fight for all of it."

Software

The Future of GPLv3 Hangs In the Balance (sfconservancy.org) 66

New submitter jms00 writes: A years-long legal battle has quietly escalated into what could become the defining moment for the future of GPLv3, with implications that could reshape software freedom as we know it.

At issue is whether licensors have the power to impose 'further restrictions' on open-source software, potentially undermining the explicit rights granted to users and developers under AGPLv3, GPLv3, and LGPLv3.

The outcome of this case, now before the U.S. Court of Appeals for the Ninth Circuit, could set a dangerous precedent, limiting the ability to remove proprietary restrictions from copyleft-licensed software.

With little public attention on the case, the Software Freedom Conservancy (SFC) has stepped up as a key voice in defense of user rights, filing a critical amicus brief to challenge the lower court's ruling and protect the principles of software freedom.

Crime

'Serial Swatter' Who Made Nearly 400 Threatening Calls Gets 4 Years In Prison (thehill.com) 98

Alan W. Filion, an 18-year-old from Lancaster, Calif., was sentenced to four years in prison for making nearly 400 false bomb threats and threats of violence (source may be paywalled; alternative source) to religious institutions, schools, universities and homes across the country. The New York Times reports: The threatening calls Mr. Filion made would often cause large deployments of police officers to a targeted location, the Justice Department said in a news release. In some cases, officers would enter people's homes with their weapons drawn and detain those inside. In January 2023, Mr. Filion wrote on social media that his swats had often led the police to "drag the victim and their families out of the house cuff them and search the house for dead bodies."

Investigators linked Mr. Filion to over 375 swatting calls made in several states, including one that he made to the police in Sanford, Fla., saying that he would commit a mass shooting at the Masjid Al Hayy Mosque. During the call, he played audio of gunfire in the background. Mr. Filion was arrested in California in January 2024, and was then extradited to Florida to face state charges for making that threat. Mr. Filion began swatting for recreation in August 2022 before making it into a business, the Justice Department said. The teenager became a "serial swatter" and would make social media posts about his "swatting-for-a-fee" services, according to prosecutors.

In addition to pleading guilty to the false threat against the mosque in Florida, Mr. Filion pleaded guilty in three other swatting cases: a mass shooting threat to a public school in Washington State in October 2022; a bomb threat call to a historically Black college or university in Florida in May 2023; and a July 2023 call in which he claimed to be a federal law enforcement officer in Texas and told dispatchers that he had killed his mother and would kill any responding officers.

AI

Thomson Reuters Wins First Major AI Copyright Case In the US 54

An anonymous reader quotes a report from Wired: Thomson Reuters has won the first major AI copyright case in the United States. In 2020, the media and technology conglomerate filed an unprecedentedAI copyright lawsuit against the legal AI startup Ross Intelligence. In the complaint, Thomson Reuters claimed the AI firm reproduced materials from its legal research firm Westlaw. Today, a judge ruled (PDF) in Thomson Reuters' favor, finding that the company's copyright was indeed infringed by Ross Intelligence's actions. "None of Ross's possible defenses holds water. I reject them all," wrote US District Court of Delaware judge Stephanos Bibas, in a summary judgement. [...] Notably, Judge Bibas ruled in Thomson Reuters' favor on the question of fair use.

The fair use doctrine is a key component of how AI companies are seeking to defend themselves against claims that they used copyrighted materials illegally. The idea underpinning fair use is that sometimes it's legally permissible to use copyrighted works without permission -- for example, to create parody works, or in noncommercial research or news production. When determining whether fair use applies, courts use a four-factor test, looking at the reason behind the work, the nature of the work (whether it's poetry, nonfiction, private letters, et cetera), the amount of copyrighted work used, and how the use impacts the market value of the original. Thomson Reuters prevailed on two of the four factors, but Bibas described the fourth as the most important, and ruled that Ross "meant to compete with Westlaw by developing a market substitute."
"If this decision is followed elsewhere, it's really bad for the generative AI companies," says James Grimmelmann, Cornell University professor of digital and internet law.

Chris Mammen, a partner at Womble Bond Dickinson who focuses on intellectual property law, adds: "It puts a finger on the scale towards holding that fair use doesn't apply."
Social Networks

US-Funded 'Social Network' Attacking Pesticide Critics Shuts Down (theguardian.com) 64

The US company v-Fluence secretly compiled profiles on over 500 food and environmental health advocates, scientists, and politicians in a private web portal to discredit critics of pesticides and GM crops. Following public backlash and corporate cancellations after its actions were revealed by the Guardian, the company announced it was shutting down the profiling service. The Guardian reports: The profiles -- part of an effort that was financed, in part, by US taxpayer dollars -- often provided derogatory information about the industry opponents and included home addresses and phone numbers and details about family members, including children. They were provided to members of an invite-only web portal where v-Fluence also offered a range of other information to its roster of more than 1,000 members. The membership included staffers of US regulatory and policy agencies, executives from the world's largest agrochemical companies and their lobbyists, academics and others.

The profiling was one element of a push to downplay pesticide dangers, discredit opponents and undermine international policymaking, according to court records, emails and other documents obtained by the non-profit newsroom Lighthouse Reports. Lighthouse collaborated with the Guardian, the New Lede, Le Monde, Africa Uncensored, the Australian Broadcasting Corporation and other international media partners on the September 2024 publication of the investigation. News of the profiling and the private web portal sparked outrage and threats of litigation by some of the people and organizations profiled. [...]

v-Fluence says it not only has eliminated the profiling, but also has made "significant staff cuts" after the public exposure, according to Jay Byrne, the former Monsanto public relations executive who founded and heads the company. Byrne blamed the company's struggles on "rising costs from continued litigator and activist harassment of our staff, partners, and clients with threats and misrepresentations." He said the articles published about the company's profiling and private web portal were part of a "smear campaign" which was based on "false and misleading misrepresentations" that were "not supported by any facts or evidence." Adding to the company's troubles, several corporate backers and industry organizations have cancelled contracts with v-Fluence, according a post in a publication for agriculture professionals.

Bitcoin

Man Who Lost Bitcoin Fortune In Welsh Tip Explores Purchase of Entire Landfill (theguardian.com) 151

AmiMoJo writes: A computer expert who has battled for a decade to recover a $743 million bitcoin fortune he believes is buried in a council dump in south Wales is considering buying the site so he can hunt for the missing fortune. James Howells lost a high court case last month to force Newport city council to allow him to search the tip to retrieve a hard drive he says contains the bitcoins.

The council has since announced plans to close and cap the site, which would almost certainly spell the end of any lingering hopes of reaching the bitcoins. The authority has secured planning permission for a solar farm on part of the land. Howells, 39, said on Monday it had been "quite a surprise" to hear of the closure plan. He said: "It [the council] claimed at the high court that closing the landfill to allow me to search would have a huge detrimental impact on the people of Newport, whilst at the same time they were planning to close the landfill anyway. I expected it would be closed in the coming years because it's 80/90% full -- but didn't expect its closure so soon. If Newport city council would be willing, I would potentially be interested in purchasing the landfill site -- as is -- and have discussed this option with investment partners and it is something that is very much on the table."

United States

White House Moves to Halt Federal Funds for EV Charging Stations (politico.com) 288

Thursday the White House "moved to halt a $5 billion initiative to build electric vehicle charging stations," reports Politico, "by instructing states not to spend federal funds previously allocated to them..." NPR described the move as "putting in limbo billions of dollars allocated to states with current and future projects..."

Politico notes the move "appears to upend years of precedent in which federal promises of funds for highway projects had given states an all-but-guaranteed assurance that they were free to spend them. It also raises legal questions... Funding experts had told POLITICO last year that decades of legal precedent would largely insulate the charging money... Andrew Rogers [deputy administrator of the Federal Highway Administration, or FHWA, in the Biden administration] said in a text message that the new letter "appears to ignore both the law and multiple restraining orders that have been issued by federal courts." Rogers, who is now a senior vice president at Boundary Stone Partners, said the move appears to be "in direct violation" of the Impoundment Control Act of 1974, a Watergate-era law that prohibits presidents from unilaterally canceling congressionally approved spending. Trump has contended that the law is unconstitutional.
Politico also got a quote from the chief analyst at analytics firm Paren, who predicts lawsuits from affected states and that the final impact of the move will be "just causing havoc and slowing things down for awhile." [A letter to state transportation directors from the Federal Highway Administration] clarifies that states will be able to receive reimbursements for "existing obligations" to design and build stations "in order to not disrupt current financial commitments." According to the letter, FHWA plans to publish new draft guidance on the NEVI program in the spring, followed by a comment period, before issuing new final guidance. Only then will states be able to resubmit their annual implementation plans for all fiscal years of the program.
"But that doesn't mean that the program is going to be sunset or the funds are not going to be made available again to the states," Nick Nigro, the founder of Atlas Public Policy consultancy told NPR: Several experts tell NPR that as a result of its overwhelming bipartisan support at the time, attempts to overturn it within the executive branch are likely to be challenged in court. Nigro believes the funding will resume eventually...

So far, 56 stations [with multiple chargers] are up and running as a result of the program, while more than 900 sites in total have been "awarded" to date, according to Loren McDonald, chief analyst at Paren, another research analytics firm. McDonald said several hundred of the awarded sites are currently under construction and expected to open this year. He does not believe the FHWA has the authority to pause or rescind any aspect of the NEVI program... "I assume lawsuits from states will start soon, and this will go to court and Congress," McDonald said in a statement.

The move has "confounded states, which had been allocated billions of dollars by Congress for the program," the New York Times reported Friday. "[S]ome state officials said that as a result of the memo from the Trump administration, they had stopped work on the charging stations. Others said they intended to keep going."

The Washington Post reports that a Texas Department of Transportation official "said it would continue to deploy federal funds for EV chargers until it receives further guidance," and that Ryan Gallentine, managing director at the national business association Advanced Energy United, said that states "are under no obligation to stop these projects based solely on this announcement." Politico adds: Also on Thursday, FHWA took down several internet pages providing information on NEVI and its sister program, the $2.5 billion Charging and Fueling Infrastructure grant program... Amid the confusion, at least six states — Alabama, Oklahoma, Missouri, Rhode Island, Ohio and Nebraska — have put their NEVI programs on hold, according to McDonald. Rhode Island and Ohio had been considered leading states in implementing the program.
The Courts

Automakers Sue To Kill Maine's Hugely Popular 'Right To Repair' Law (techdirt.com) 41

Maine's overwhelmingly popular right-to-repair law is under attack by automakers through lawsuits and lobbying efforts aimed at weakening or delaying enforcement. While the law remains in limbo due to industry influence and legal challenges, broader enforcement issues persist across multiple states, with corporations often ignoring right-to-repair laws despite their legal passage. Techdirt reports: A little over a year ago, Maine residents voted overwhelmingly (83 percent) to pass a new state right to repair law designed to make auto repairs easier and more affordable. More specifically, the law requires that automakers standardize on-board diagnostic systems and provide remote access to those systems and mechanical data to consumers and third-party independent repair shops. But as we've seen with other states that have passed right to reform laws (most notably New York), passing the law isn't the end of the story. Corporate lobbyists have had great success not just watering these laws down before passage, but after voters approve them. They've also been swarmed by coordinated industry lawsuits and falsehood-spewing attacks.

Maine's popular right to repair law just took effect after a year of hashing out the fine details, but the bill's still being changed as the state tries to sort out enforcement. Large automakers have been looming over that process to try and weaken the law. But the Alliance For Automotive Innovation also just filed a new lawsuit saying the law isn't fully cooked and therefore violates the law: "This is an example of putting the cart before the horse. Before automakers can comply, the law requires the attorney general to first establish an 'independent entity' to securely administer access to vehicle data. The independent entity hasn't been established. That's not in dispute. Compliance with the law right now is not possible."

Patents

Amazon Says Germany Customers Won't Lose Amazon Prime As a Result of Nokia Patent Win 12

A German court has ruled that Amazon's Prime Video service violates a Nokia-owned patent, ordering Amazon to stop streaming in its current form or face fines of 250,000 euros per violation. However, Amazon assured customers in a statement on Friday that there is no risk of losing access to Prime Video because the decision affects only a limited functionality related to casting videos between devices.

"Prime Video will comply with this local judgement and is currently considering next steps. However, there is absolutely no risk at all for customers losing access to Prime Video," Amazon's Prime Video spokesperson told Reuters. Meanwhile, Nokia's chief licensing officer, Arvin Patel, said: "...the innovation ecosystem breaks down if patent holders are not fairly compensated for the use of their technologies, as it becomes much harder for innovators to fund the development of next generation technologies."
Facebook

'Torrenting From a Corporate Laptop Doesn't Feel Right': Meta Emails Unsealed (arstechnica.com) 89

An anonymous reader shares a report: Newly unsealed emails allegedly provide the "most damning evidence" yet against Meta in a copyright case raised by book authors alleging that Meta illegally trained its AI models on pirated books.

Last month, Meta admitted to torrenting a controversial large dataset known as LibGen, which includes tens of millions of pirated books. But details around the torrenting were murky until yesterday, when Meta's unredacted emails were made public for the first time. The new evidence showed that Meta torrented "at least 81.7 terabytes of data across multiple shadow libraries through the site Anna's Archive, including at least 35.7 terabytes of data from Z-Library and LibGen," the authors' court filing said. And "Meta also previously torrented 80.6 terabytes of data from LibGen."

"The magnitude of Meta's unlawful torrenting scheme is astonishing," the authors' filing alleged, insisting that "vastly smaller acts of data piracy -- just .008 percent of the amount of copyrighted works Meta pirated -- have resulted in Judges referring the conduct to the US Attorneys' office for criminal investigation."

The Internet

Believing in Aliens Derailed This Internet Pioneer's Career. Now He's Facing Prison (bloomberg.com) 44

Joseph Firmage, a former Silicon Valley prodigy who built a $2.5 billion web services company in the 1990s, is now being sued by investors who claim he defrauded them through an alleged antigravity machine scheme. In 1998, at the height of his success as CEO of USWeb, Firmage claimed an alien appeared in his bedroom, derailing his corporate career. He then spent decades pursuing UFO research and attempting to develop antigravity propulsion technology, raising millions from investors.

Court documents allege Firmage and associates are responsible for roughly $25 million in losses through various companies and schemes. Some investors say he used elaborate ruses, including people impersonating government officials, to solicit funds. Firmage, currently in jail on elder abuse charges, maintains he was actually the victim of international scammers who exploited his access to investors.
Java

Oracle Starts Laying Mines In JavaScript Trademark Battle (theregister.com) 36

The Register's Thomas Claburn reports: Oracle this week asked the US Patent and Trademark Office (USPTO) to partially dismiss a challenge to its JavaScript trademark. The move has been criticized as an attempt to either stall or water down legal action against the database goliath over the programming language's name. Deno Land, the outfit behind the Deno JavaScript runtime, filed a petition with the USPTO back in November in an effort to make the trademarked term available to the JavaScript community. This legal effort is led by Node.js creator and Deno Land CEO Ryan Dahl, summarized on the JavaScript.tm website, and supported by more than 16,000 members of the JavaScript community. It aims to remove the fear of an Oracle lawsuit for using the term "JavaScript" in a conference title or business venture.

"Programmers working with JavaScript have formed innumerable community organizations," the website explains. "These organizations, like the standards bodies, have been forced to painstakingly avoid naming the programming language they are built around -- for example, JSConf. Sadly, without risking a legal trademark challenge against Oracle, there can be no 'JavaScript Conference' nor a 'JavaScript Specification.' The world's most popular programming language cannot even have a conference in its name." [...] In the initial trademark complaint, Deno Land makes three arguments to invalidate Oracle's ownership of "JavaScript." The biz claims that JavaScript has become a generic term; that Oracle committed fraud in 2019 when it applied to renew its trademark; and that Oracle has abandoned its trademark because it does not offer JavaScript products or services.

Oracle's motion on Monday focuses on the dismissal of the fraud claim, while arguing that it expects to prevail on the other two claims, citing corporate use of the trademarked term "in connection with a variety of offerings, including its JavaScript Extension Toolkit as well as developer's guides and educational resources, and also that relevant consumers do not perceive JavaScript as a generic term." The fraud claim follows from Deno Land's assertion that the material Oracle submitted in support of its trademark renewal application has nothing to do with any Oracle product. "Oracle, through its attorney, submitted specimens showing screen captures of the Node.js website, a project created by Ryan Dahl, Petitioner's Chief Executive Officer," the trademark cancellation petition says. "Node.js is not affiliated with Oracle, and the use of screen captures of the 'nodejs.org' website as a specimen did not show any use of the mark by Oracle or on behalf of Oracle."

Oracle contends that in fact it submitted two specimens to the USPTO -- a screenshot from the Node.js website and another from its own Oracle JavaScript Extension Toolkit. And this, among other reasons, invalidates the fraud claim, Big Red's attorneys contend. "Where, as here, Registrant 'provided the USPTO with [two specimens]' at least one of which shows use of the mark in commerce, Petitioner cannot plausibly allege that the inclusion of a second, purportedly defective specimen, was material," Oracle's motion argues, adding that no evidence of fraudulent intent has been presented. Beyond asking the court to toss the fraud claim, Oracle has requested an additional thirty days to respond to the other two claims.

The Courts

Judge Denies Apple's Attempt To Intervene In Google Search Antitrust Trial (theverge.com) 13

A US District Court judge denied Apple's emergency request to halt the Google Search monopoly trial, ruling that Apple failed to show sufficient grounds for a stay. The Verge reports: Apple said last week that it needs to be involved in the Google trial because it does not want to lose "the ability to defend its right to reach other arrangements with Google that could benefit millions of users and Apple's entitlement to compensation for distributing Google search to its users." The remedies phase of the trial is set for April, and lawyers for the Department of Justice have argued that Google should be forced to sell Chrome, with a possibility of spinning off Android if necessary. While Google will still appeal the decision, the company's proposed remedies focus on undoing its licensing deals that bundle apps and services together.

"Because Apple has not satisfied the 'stringent requirements' for obtaining the 'extraordinary relief' of a stay pending appeal, its motion is denied," states Judge Mehta's order. Mehta explains that Apple "has not established a likelihood of success on the merits" for the stay. That includes a lack of clear evidence on how Apple will suffer "certain and great" harm.

The Courts

NetChoice Sues To Block Maryland's Kids Code, Saying It Violates the First Amendment (theverge.com) 27

NetChoice has filed (PDF) its 10th lawsuit challenging state internet regulations, this time opposing Maryland's Age-Appropriate Design Code Act. The Verge's Lauren Feiner reports: NetChoice has become one of the fiercest -- and most successful -- opponents of age verification, moderation, and design code laws, all of which would put new obligations on tech platforms and change how users experience the internet. [...] NetChoice's latest suit opposes the Maryland Age-Appropriate Design Code Act, a rule that echoes a California law of a similar name. In the California litigation, NetChoice notched a partial win in the Ninth Circuit Court of Appeals, which upheld the district court's decision to block a part of the law requiring platforms to file reports about their services' impact on kids. (It sent another part of the law back to the lower court for further review.)

A similar provision in Maryland's law is at the center of NetChoice's complaint. The group says that Maryland's reporting requirement lets regulators subjectively determine the "best interests of children," inviting "discriminatory enforcement." The reporting requirement on tech companies essentially mandates them "to disparage their services and opine on far-ranging and ill-defined harms that could purportedly arise from their services' 'design' and use of information," NetChoice alleges. NetChoice points out that both California and Maryland have passed separate online privacy laws, which NetChoice Litigation Center director Chris Marchese says shows that "lawmakers know how to write laws to protect online privacy when what they want to do is protect online privacy."

Supporters of the Maryland law say legislators learned from California's challenges and "optimized" their law to avoid questions about speech, according to Tech Policy Press. In a blog analyzing Maryland's approach, Future of Privacy Forum points out that the state made some significant changes from California's version -- such as avoiding an "express obligationâ to determine users' ages and defining the "best interests of children." The NetChoice challenge will test how well those changes can hold up to First Amendment scrutiny. NetChoice has consistently maintained that even well-intentioned attempts to protect kids online are likely to backfire. Though the Maryland law does not explicitly require the use of specific age verification tools, Marchese says it essentially leaves tech platforms with a no-win decision: collect more data on users to determine their ages and create varied user experiences or cater to the lowest common denominator and self-censor lawful content that might be considered inappropriate for its youngest users. And similar to its arguments in other cases, Marchese worries that collecting more data to identify users as minors could create a "honey pot" of kids' information, creating a different problem in attempting to solve another.

United States

New Bill Aims To Block Foreign Pirate Sites in the US 106

U.S. Representative Zoe Lofgren has introduced a bill that would allow courts to block access to foreign websites primarily engaged in copyright infringement. The Foreign Anti-Digital Piracy Act would enable rightsholders to obtain injunctions requiring large Internet service providers and DNS resolvers to block access to pirate sites.

The bill marks a shift from previous site-blocking proposals, notably including DNS providers like Google and Cloudflare with annual revenues above $100 million. Motion Picture Association CEO Charles Rivkin backed the measure, while consumer group Public Knowledge criticized it as "censorious." The legislation requires court review and due process before any blocking orders can be issued. Sites would have 30 days to contest preliminary orders.

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