This document discusses several topics related to contracting in the digital world. It begins by discussing how leases have become more common for businesses to acquire computer equipment for tax and financing reasons. It then addresses how software is typically licensed rather than sold due to copyright and trade secret laws. The document also examines how electronic documents and signatures can satisfy legal requirements for writings. Additionally, it analyzes how courts determine internet jurisdiction based on the level of interactivity of a website. The document further explores issues around cost-shifting for e-discovery in litigation. Finally, it discusses evidentiary challenges for authenticating and establishing hearsay exceptions for electronic documents in court.
5. Agenda
• The Non-Purchase Transaction: Leases &
Licenses
• Electronic “Writings”
• Internet Jurisdiction
• E-discovery Cost-shifting
• Evidentiary challenges for electronic
documents
• Questions
5
6. Agenda
• The Non-Purchase Transaction: Leases &
Licenses
• Electronic Writings
• Internet Jurisdiction
• E-discovery Cost-shifting
• Evidentiary challenges for electronic
documents
• Questions
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7. The Rise of the Lease
• Very typical for businesses to lease their
computer equipment
– Tax, ease of financing, other business reasons
– Easier to keep up with technology improvements
• GA adopted UCC Art. 2A
• Implications?
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8. The Rise of the Lease
• Typical three-party transaction:
• Supplier
• Finance source
• End user
• Situations where lease could matter:
• Product defects
• Indemnification for IP infringement
• Executing on judgment
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9. Software Licenses
• Why doesn’t anyone sell software?
– Copyright first sale doctrine
– Trade secrets protection
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10. Software Licenses
How to establish assent to terms?
• “shrink-wrap” license: By installing
• “click-wrap” license: By clicking
• “browse-wrap” license: By continuing
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12. Shrink-wrap/Click-wrap Licenses
Tracphone Wireless, Inc. v. Zip Wireless Prods.,
Inc., 716 F. Supp. 2d 1275 (N.D. Ga. 2010)
Imageline, Inc. v. Fotolia LLC, 663 F. Supp. 2d
1367 (N.D. Ga. 2009)
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13. Agenda
• The Non-Purchase Transaction: Leases &
Licenses
• Electronic “Writings”
• Internet Jurisdiction
• E-discovery Cost-shifting
• Evidentiary challenges for electronic
documents
• Questions
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15. Electronic “Writings”
• In the 21st Century, most contracts are not
even “signed” at all.
• Will electronic document (fax, email, pdf)
satisfy definition of “writing” where the law
requires one?
• “Beeps & chirps” case: Dept. of Trans. v.
Norris, 474 S.E.2d 216
(Ga. App. 1996)
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16. Electronic “Writings”
• Statutory responses: Edocs anti-discrimination
– Georgia
• Electronic Records and Signatures Act (O.C.G.A. § 10-12-1
et. seq.) (1997)
• Uniform Electronic Transactions Act (UETA), O.C.G.A. §
10-12-1 et. seq.
– Federal
Electronic Signatures in Global and
National Commerce Act ("ESIGN Act";
codified at 15 U.S.C. § 7001 et seq.)
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18. Electronic “Writings”
• ESIGN Act & UETA: electronic “signature”
• No technology standard dictated
• Additional support for the click-wrap
agreement
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19. Agenda
• The Non-Purchase Transaction: Leases &
Licenses
• Electronic “Writings”
• Internet Jurisdiction
• E-discovery Cost-shifting
• Evidentiary challenges for electronic
documents
• Questions
19
20. Internet Jurisdiction: Web Site
• Zippo Manufacturing Co. v. Zippo Dot Com,
Inc., 952 F. Supp. 1119 (W.D. Pa. 1997)
• Aero Toy Store v. Grieves,
279 Ga. App. 515 (2006)
• Imageline, Inc. v. Fotolia LLC,
663 F. Supp. 2d 1367
(N.D. Ga. 2009)
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21. Internet Jurisdiction: Email
• Object Technologies v. Marlabs, Inc., 246 Ga.
App. 202, 202-203 (2000)
• Crossing Park Props., LLC v. JDI Fort
Lauderdale, LLC, Case No. A12A0201 (Ga. App.
June 28, 2012)
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22. Agenda
• The Non-Purchase Transaction: Leases &
Licenses
• Electronic “Writings”
• Internet Jurisdiction
• E-discovery Cost-shifting
• Evidentiary challenges for electronic
documents
• Questions
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24. E-discovery Cost-shifting
• Major corporate litigation, 2009:
$ 3 million average
• Preservation
• Collection
• Processing
• Production
•Who Pays?
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25. E-discovery Cost-shifting
• During discovery, producing party pays
• Exceptions
– “Not reasonably accessible” data under federal
rules
– Third party discovery
• Law evolving toward cost containment as
judges see more cases
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26. E-discovery Cost-shifting
Post-judgment: treat like copying costs
Fed. R. Civ. Pro. 54(d)
In re Ricoh, 2011 U.S. App. LEXIS 23495 (Fed. Cir. 2011)
Race Tires Am., Inc. v. Hoosier Racing Tire Corp., No. 11-
2316, 2012 U.S. App. LEXIS 5511 (3d Cir. Mar. 16, 2012)
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27. E-discovery Cost-shifting
• Caution: Agreements to share, or for each
party to pay its own e-discovery expenses, will
control
• In federal court, consider reserving right in
joint preliminary planning report
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28. Agenda
• The Non-Purchase Transaction: Leases &
Licenses
• Electronic “Writings”
• Internet Jurisdiction
• E-discovery Cost-shifting
• Evidentiary challenges for electronic
documents
• Questions
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29. Evidence & E-Docs
• Thanks to Big Data, we rely on computer
accuracy in daily life
• In the courtroom, that’s just not good enough
• Checklist: Lorraine v. Markel American
Insurance Company, 241 F.R.D. 534 (D. Md.
2007)
• Highlights: authentication, hearsay, original
writings
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30. Evidence & E-Docs
• Most common problem: business records
• Capital City Devel., LLC v. Bank of N. Ga., Case
No. A12A0414 (Ga. App. July 5, 2012)
• Standard Bldg. Co., Inc. v. Wallen Concept
Glazing, Inc., 298 Ga. App. 443 (2009)
• Crawford v. Dammann, 277 Ga.
App. 442 (2006)
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