Thursday, February 01, 2007

Bloggers Take a $700,000 Bite Out of Apple

It's no big secret that Apple vigorously protects its trade secrets and trademarks (although oddly enough they have no problem trampling all over someone else's trademarks when then want, e.g., the iPhone). But a California court has decided Apple overstepped its bounds when it sued bloggers at www.AppleInsider.com and www.PowerPage.org, over alleged violations of California state trade secret law.

Apple claimed the bloggers had violated the law by disclosing alleged "confidential information" about not-yet-released Apple products.

However, a  Santa Clara County Court felt otherwise and ruled against Apple and in favor of the defendants.  In doing so, the court ordered Apple to pay the legal fees incurred by defendants, including a 2.2 times multiplier of the actual fees, bringing the total to approximately &700,000.

The defendants were represented by attorneys from the Electronic Frontier Foundation (EFF).

The ruling is seen by web journalists as a First Amendment rights victory for the online community.

Kasper Jade, publisher of AppleInsider.com, said, "The court's ruling is a victory for journalists of all mediums and a tremendous blow to those firms that believe their stature afford them the right to silence the media. Hopefully, Apple will think twice the next time it considers a campaign to bully the little guy into submission."

Assuming the ruling stands, Apple could appeal, it marks a recognition of the courts that the First Amendment extends to the Internet. It also appears to be a step forward in establishing the legitimacy of journalists/bloggers reporting on the Web, rather than more traditional media.

 

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