House to Vote on Extension
of Net Tax Ban |
10/16. The House is scheduled to consider HR
1552, the Internet Tax Nondiscrimination Act, under
suspension of the rules. Under this procedure, the time for
debate will be limited, no amendments will be permitted, and
passage will require a two thirds majority.
This bill would extend the current moratorium on Internet
access taxes, and multiple and discriminatory taxes on
Internet commerce. The current three year ban expires on
October 21. On October 10 the House Judiciary
Committee approved an amendment in the nature of a
substitute offered by Rep.
Spencer Bachus (R-AL) that provides a two year
extension. The original bill contained a five year extension.
The Senate is also likely to take up extension legislation
this week. |
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Nextwave Settlement |
10/16. The Washington Post reported in an October 16 story
by Christopher Stern that "The nation's major mobile
telephone companies have reached an agreement with NextWave
Telecom Inc. in which they would pay almost $16 billion to end
a five-year dispute over a slice of airwaves".
NextWave obtained
spectrum licenses at FCC auctions in 1996. The FCC permitted
NextWave to obtain the licenses under an installment plan,
thus creating a debtor creditor relationship. NextWave did not
make payments required by the plan, and filed a Chapter 11
bankruptcy petition. The FCC then
cancelled the licenses. However, the FCC was blocked by the
bankruptcy court, citing § 525
of the Bankruptcy Code. The U.S. District Court (SNDY)
affirmed. The U.S.
Court of Appeals (2ndCir) issued its order reversing and
remanding the case on Nov. 24, 1999; it issued its opinion
explaining its reversal in May 2000. The FCC then re-auctioned
this spectrum to Verizon Wireless, Voice Stream and other
successful bidders, which intend to use it for third
generation wireless, and other, services.
NextWave next petitioned the FCC to reconsider its
cancellation of its licenses. The FCC refused, and NextWave
petitioned for review by the U.S. Court of Appeals (DCCir).
The DC Circuit ruled on June 22 that the 2nd Circuit had not
already addressed NextWave's bankruptcy claims. It wrote in
its opinion
that the FCC "violated the provision of the Bankruptcy
Code that prohibits governmental entities from revoking
debtors' licenses solely for failure to pay debts
dischargeable in bankruptcy. The Commission, having chosen to
create standard debt obligations as part of its licensing
scheme, is bound by the usual rules governing the treatment of
such obligations in bankruptcy."
Even if the FCC, NextWave, and the re-auction winners reach a
settlement, it is hypothetically possible that other
communications companies that did not participate in the
re-auction would bring legal challenges to the FCC's handling
of this process. |
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Legislators Introduce Tech
Talent Bill |
10/15. Rep. Sherwood
Boehlert (R-NY) and Rep.
John Larson (D-CT) announced that they will introduce a
bill named the "Tech Talent Bill" that would
establish a competitive grant program through the National Science Foundation for
undergraduate institutions pledging to increase the number of
U.S. citizens or permanent residents obtaining degrees in
science, math, engineering and technology fields. The bill
would authorize $25 Million in FY02.
Rep. Boehlert is Chairman of the House Science Committee.
Rep. Larson, who is also a member of the Committee, stated in
a release
that "In the wake of September 11, we must remember that
there is a strong connection to be made between our national
security and the level of science and technology proficiency
in America." See also, Committee
release.
Sen. Joe Lieberman
(D-CT), Christopher Bond (R-MO), Barbara Mikulski (D-MD), Bill
Frist (R-TN), and Pete Domenici (R-NM) are sponsoring a
companion bill in the Senate. See, Lieberman
release. |
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USTR Discusses Trade, APEC
and WTO Round |
10/15. USTR Robert Zoellick
held a press conference in Kuala Lumpur, Malaysia, in which he
addressed the Asia Pacific Economic Cooperation (APEC)
meetings scheduled for October 17-21 in Shanghai, China, the
upcoming meeting in Doha, Qatar, and a new WTO round of trade
negotiations. He was also asked about other issues. See, transcript. |
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More Documents |
USDC:
Order
appointing Eric Green mediator in the Microsoft antitrust
case, 10/12 (PDF, USDC). |
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FCC Commissioner Wants to
Expand FCC Regulation |
10/15. FCC Commissioner Michael Copps
gave a speech in Washington DC in which he argued that the
terrorist attacks of September 11 mean that the FCC should
assume expanded regulatory authority, particularly with
respect to the Internet. See, prepared
text of speech.
"What does September 11 mean for how the FCC does
business?", Copps asked himself rhetorically. He answered
his own question: "I believe the Federal Communications
Commission has a larger job to do".
The FCC, which has statutory
mandates with respect to the Communications
Assistance for Law Enforcement Act (CALEA) and emergency
911 legislation, will likely pursue a more vigorous and
expeditious implementation of these statutes. Copps referenced
these topics. But, his speech was also littered with
references to the Internet, cyberspace, and information
systems -- all technologies over which the FCC now has no
general statutory authority.
"The Commission must be in the vanguard of our homeland
security efforts," said Commissioner Copps. He continued
that the FCC's "participation in the homeland security
effort is not only logical but also imperative. Truly secure
and reliable telecommunications and cyberspace systems are no
longer a luxury after September 11th."
The FCC is a regulatory commission made up of lawyers, lacking
both technical expertise in, and statutory authority over,
"cyberspace systems". One government agency with a
mandate in this area is the National
Infrastructure Protection Center (NIPC). Commissioner
Copps did name the source of this new FCC regulatory power:
"public interest" references contained in the
Communications Act of 1934.
He elaborated: "America will mobilize the great power of
its communications and broadcast and information systems to
serve the safety and security of all our people. In the final
analysis, the safety of the people is the first and foremost
responsibility of government."
Commissioner Copps spoke to the Federal
Communications Bar Association, a Washington DC group made
up largely of lawyers who practice before the FCC, work for
large telecommunications companies, or work for the FCC. |
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September 11 Serves As
Rationale for Tech Initiatives |
10/15. OPINION. Since the terrorist attacks of
September 11, proponents of various technology related bills
and regulatory initiatives have argued that events of
September 11 mandate adoption of their proposals. Yet, many of
these proposals predate September 11, and have little nexus to
the events of September 11. Examples includes some provisions
of the USA Act and PATRIOT Act, the Internet gambling
provisions of the Financial Anti Terrorism Act, the Tech
Talent Bill, and proposals to expand the regulatory authority
of the FCC.
Late last week the House and Senate passed similar bills
designed to give law enforcement and intelligence agencies
increased authority to investigate and prosecute, including
increased electronic surveillance powers. These bills, S 1510,
the USA Act, and HR 2975,
the PATRIOT Act, no doubt enhance the ability of government
agencies to fight terrorism. However, many of the provisions
apply to crimes across the board, and not just to foreign
intelligence gathering, terrorism, and related matters.
Similarly, on October 11 the House Financial
Services Committee adopted an amended version of HR
3004, the Financial Anti Terrorism Act of 2001.
§ 307 provides, in part, that "No person engaged in
the business of betting or wagering may knowingly accept, in
connection with the participation of another person in
unlawful Internet gambling (1) credit, or the proceeds of
credit, extended to or on behalf of such other person
(including credit extended through the use of a credit
card)". What is the connection between the use of credit
cards to place bets over the Internet, and terrorism?
Likewise, this week Representatives and Senators introduce
bills to increase government funding for math and science
education -- again, citing the events of September 11.
Finally, FCC Commissioner Michael Copps argued in a speech
on October 15 that the September 11 means that the FCC
"has a larger job to do". |
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Gov. Davis Signs School
Computer Bill |
10/15. California
Gov. Gray Davis signed Senate
Bill 388, a bill to facilitate the selling or leasing of
computers and Internet appliances to students' parents by
school districts. The bill provides that "a school
district may sell or lease Internet appliances or personal
computers to parents of pupils within the school district, for
the purpose of providing access to the school district's
educational computer network, at a standard price, not to
exceed the cost incurred by the school district in purchasing
the Internet appliance or personal computer." AB 388 was
sponsored by Sen.
Deirdre Alpert (D-San Diego). |
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About Tech Law Journal |
Tech Law Journal is a free access web site and e-mail alert
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litigation, and regulation affecting the computer and Internet
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Copyright 1998 - 2001 David Carney, dba Tech Law Journal. All
rights reserved. |
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Tuesday, Oct 16 |
House will meet at 12:30 PM for morning hour and at 2:00 PM
for legislative business. No recorded votes are expected
before 6:00 PM. The House will consider a number of measures
under suspension of the rules, including HR 1552, the Internet
Tax Nondiscrimination Act, which extends the existing
Internet tax moratorium for two years.
9:30 AM. The U.S.
Court of Appeals for the District of Columbia Circuit will
hear oral argument in COMSAT Corp v. FCC, No. 00-1458.
Judges Ginsburg, Williams and Henderson will preside.
Location: 333 Constitution Ave., NW, Washington DC.
9:30 - 11:30 AM. The American
Enterprise Institute (AEI) will host a seminar at which Jeffrey
Rohlfs (Strategic Policy Research, Inc.) will present his
new book titled Bandwagon
Effects in High Technology Industries. He will also
address the role of bandwagon effects in the debate among
economists and policy analysts over whether governments should
set technical standards. The price to attend is $5 (waived for
AEI supporters, government employees, and media). Location:
AEI, Wohlstetter Conference Center, Twelfth Floor, 1150 17th
Street, NW, Washington DC.
10:00 AM. The Senate
Commerce Committee will hold an oversight hearing to
examine the implementation of the Wireless Communication and
Safety Act and the integration of emergency 911 technologies.
Location: Room 253, Russell Building. |
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Wednesday, Oct 17 |
9:30 AM. The Senate
Banking Committee will hold a hearing on the nominations
of Susan Bies and Mark Olson to be members of
the Board of Governors of the Federal Reserve System.
Location: Room 538, Dirksen Building.
10:00 AM - 12:00 NOON. The House Science Committee
will hold a hearing titled Cyber Terrorism – A View From
the Gilmore Commission. Location: Room 2318, Rayburn
Building.
10:00 AM. The Senate
Judiciary Committee will hold a hearing to examine
homeland defense matters. Location: Room 106, Dirksen
Building.
12:15 PM. The Federal
Communications Bar Association's (FCBA) Mass Media
Practice Committee will host a brown bag lunch. The speakers
will be the FCC Commissioners' legal advisors on mass media
issues: Susan Eid (Powell), Stacy Robinson (Abernathy), Susana
Zwerling (Copps), and Catherine Bohigian (Martin). RSVP to
Kathy Dole at kdole@npr.org.
Location: National Public Radio, 635 Massachusetts Ave. NW,
Washington DC. |
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Thursday, Oct 18 |
Day one of a three day conference of the American
Intellectual Property Law Association (AIPLA). Location:
Crystal Gate Marriott Hotel, 1700 Jefferson Davis Highway,
Arlington, Virginia.
9:30 AM. The House
Commerce Committee's Subcommittee on Telecommunications
and the Internet will hold a hearing titled "Transition
to Digital Television: Progress on Broadcaster Buildout and
Proposals to Expedite Return to Spectrum." Rep. Fred Upton (R-MI)
will preside. Location: Room 2123, Rayburn Building.
9:30 AM. The U.S.
Court of Appeals for the District of Columbia Circuit will
hear oral argument in Celtronix Telemetry v. FCC, No.
00-1400. Judges Ginsburg, Williams and Henderson will preside.
Location: 333 Constitution Ave., NW, Washington DC.
9:30 - 11:30 AM. The American
Enterprise Institute (AEI) will host another program in
its Seminar Series in Telecommunications Deregulation. This
event is titled "On Refusing to Deal with Rivals."
The speaker will be Glen
Robinson of the University of Virginia School of Law. The
price to attend is $5 (waived for AEI supporters, government
employees, and media). Location: AEI Wohlstetter Conference
Center, Twelfth Floor, 1150 17th Street, NW, Washington DC.
10:00 AM. The House
Judiciary Committee's Subcommittee on Courts, the
Internet, and Intellectual Property will hold a hearing titled
Intellectual Property Litigation. Location: Room 2141,
Rayburn Building.
12:00 NOON. The Heritage
Foundation will host a panel discussion titled
"Freedom and Security: Preserving Constitutional
Liberties in Times of War." The speakers will be Jennifer
Neustead (Office of Legal Policy, DOJ), Lee Casey (Baker &
Hostettler), Todd Gaziano (Heritage), and Ed Meese (Heritage).
Location: Heritage Foundation, 214 Massachusetts Ave NE,
Washington DC.
2:00 PM. The Senate
Judiciary Committee will hold hearings on pending
nominations. Location: Room 226, Dirksen Building.
2:30 - 4:00 PM. The American
Enterprise Institute (AEI) will host a panel discussion
titled "Trade Promotion Authority -- What's the Bottom
Line for Congress?" The speakers will be Jagdish Bhagwati
(Columbia University), I.M. Destler (University of Maryland),
Brink Lindsey (Cato Institute), and Daniel Tarullo (Georgetown
University). See, online
registration page. Location: AEI Wohlstetter Conference
Center, Twelfth Floor, 1150 17th Street, NW, Washington DC. |
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Friday, Oct 19 |
Day two of a three day conference of the American
Intellectual Property Law Association (AIPLA). Location:
Crystal Gate Marriott Hotel, 1700 Jefferson Davis Highway,
Arlington, Virginia. |
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