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Legal news from Tuesday, August 2, 2005 |
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Corporations and securities brief ~ Appeals court upholds patent infringement ruling against BlackBerry
James Murdock on August 2, 2005 11:27 PM ET

[JURIST] Leading Tuesday's corporations and securities law news, a federal appeals court has upheld a lower court decision against Canadian Research in Motion Ltd. [corporate website], the company that produces the popular BlackBerry [product website] e-mail pagers. The US Court of Appeals for the Federal Circuit held [opinion, PDF] that the trial court was correct in determining that Research in Motion violated patents held by NTP Inc. in making and selling the BlackBerry devices in the United States. The companies had agreed to a $450 million settlement [AP report], but NTP appears to be pushing for more money, arguing that their technology was used in other devices as well. Bloomberg has more.
In other corporations and securities law news... - As reported earlier on JURIST's Paper Chase, the Canadian Imperial Bank of Commerce (CIBC) [corporate website] has reached a settlement over its role in Enron's collapse [JURIST report]. In a press release, CIBC said the $2.4 billion settlement will end a lawsuit with Enron shareholders and awaits approval from the head plaintiff, the Board of Regents of the University of California. Though CIBC admitted no wrongdoing in the case, the bank has previously admitted to criminal conduct [US DOJ press release] by its employees in the Enron scandal. Reuters has more.
- The SEC [official website] has settled with - and banned - a former Prudential Securities [corporate website] broker. Chauncey Steele agreed to civil charges that will ban him from trading securities without admitting any wrongdoing in the alleged "painting the tape" scam. Steele was recently ordered by a federal court to pay $150,000 for his role in the scam, which involves making planned, small purchases of stock to make it appear to have greater value to unwary investors. The SEC suit alleged that Steele had orchestrated the scheme [SEC press release]. Reuters has more.


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President Bush signs Central American trade agreement
Holly Manges Jones on August 2, 2005 7:02 PM ET

[JURIST] President Bush Tuesday signed [White House press release] the US-Central American Free Trade Agreement (CAFTA) [text] into law, making it the first official trade pact between the US and Central America. CAFTA will end tariffs against US products in Guatemala, El Salvador, Nicaragua, the Dominican Republic, Costa Rica, and Honduras, and ensures those countries duty-free access to the US. Bush said the new law would help create jobs in the US by "leveling the playing field for our products," but CAFTA has been criticized by both Republicans and Democrats, passing the US House of Representatives [JURIST report] last week by a two-vote margin of 217-215 [roll call] after obtaining Senate approval by 54-45 [roll call] last month. Opponents of the accord say it will force more American jobs overseas and continue the exploitation of Central American workers. El Salvador, Honduras and Guatemala have already ratified the agreement, which will go into effect as soon as a date is agreed upon. The remaining three countries have two years to approve the pact. The Washington Post has more.


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States brief ~ AL governor signs sexual predator legislation
Rachel Felton on August 2, 2005 4:05 PM ET

[JURIST] Leading Tuesday's states brief, Alabama Governor Bob Riley signed legislation [Governor's press release] today that creates a mandatory sentence of at least 20 years to life for people convicted of certain sex crimes against children 12 and younger, and allows those offenders to be tracked by Global Positioning System technology for at least 10 years after serving their sentence. The law [text] also prohibits sex offenders from working or loitering near places where children gather and requires offenders to have a special mark identifying them as a sex offender on their driver's license or other identification card. The state legislature working on the bill [JURIST report] during a special session which ended on July 26. AP has more.
In other state legal news ... - The Wisconsin 3rd District Court of Appeals ruled [text] Tuesday that a $225,000 punitive damage award given to a couple involved in an accident caused by a drunk driver was not unconstitutional under the state or US constitutions. The court rejected the drunk driver's arguments that the award had no rational or reasonable relationship to the compensatory damages or to the criminal penalties he faced, and instead found that the jury properly concluded a large punitive award supported the criminal and civil sanctions imposed by the Legislature for behavior that was reckless or indifferent to the safety of others. The jury awarded $2,000 in compensatory damages. AP has more.
- Oregon lawmakers have passed legislation [text] that would make the state the first in the nation to require a doctor's prescription for cold and allergy medicines that contain pseudoephedrine, a key ingredient in manufacturing methamphetamine. Oregon currently requires customers to show identification and to sign a log when buying these products from pharmacies. Governor Ted Kulongoski is expected to sign [Governor's press release] the legislation this week, and the state Board of Pharmacy will have until July 2006 to implement the prescription requirement. View Senate's press release here. AP has more.
- A New Jersey appellate court has overturned [PDF text] a drunk driving conviction by finding that the police officer who pulled the driver over had "no objectively reasonable basis" for doing so. Judge Harvey Weissbard wrote for the majority, "If officers were permitted to stop vehicles where it is objectively determined that there is no legal basis for their action, the potential for abuse of traffic infractions as a pretext for effecting stops seems boundless and the cost to privacy rights excessive." The decision overturned a lower court ruling which found the officer acted in good faith and on articulable suspicion. The officer mistakenly thought the motorist was violating commercial vehicle laws. New Jersey's Star-Ledger has local coverage.


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