Court rules against digital reseller

2 April 2013 Last updated at 07:51 ET

A company which allowed customers to resell their digital music "second hand" breached copyright, a US judge has ruled.

ReDigi billed itself as the first legal way to resell music bought online - but soon provoked the ire of record labels.

It was sued by Capitol Records in January 2012, and on Monday a New York judge said ReDigi was making unauthorised copies of music.

The ruling could have broad implications for digital reselling.

Unlike physical music CDs, Judge Richard Sullivan ruled that the "first sale doctrine" did not apply.

The doctrine is a long-established rule which allows the reselling of goods to a new owner. In other words, selling a CD once you no longer want it.

But in the digital world, where duplication is much easier, the first sale doctrine was not appropriate, the judge said.

"It is simply impossible that the same 'material object' can be transferred over the internet," he wrote in his ruling.

"ReDigi facilitates and profits from the sale of copyrighted commercial recordings, transferred in their entirety, with a likely detrimental impact on the primary market for these goods."

ReDigi argues that their system means the original download is removed from the seller's computer.

The company asks users to download proprietary software, which verifies if a file was bought legally. If the song checks out, it is then erased from the seller's hard drive and uploaded to ReDigi's computer servers.

ReDigi's software is designed to prevent sellers from reinstalling a sold song to their computer, and offers users the chance to check their libraries for illegal music.

But the judge said: "It is beside the point that the original phonorecord no longer exists. It matters only that a new phonorecord has been created."

Wider impact

The notion of being able to sell on your unwanted digital goods is a concept that has caught the eyes of, among others, Amazon and Apple.

Both companies have been granted patents relating to the selling or transferring of digital goods - but while both offer cloud storage services for music, neither has yet set up a reselling function.

"Both Amazon and Apple have been working on patents, which are insurance policies for both of them in my view," said Joe Wikert from O'Reilly Media, speaking to Reuters.

"They have been sitting on the sidelines watching the ReDigi case."

Mr Wickert added that the ruling was "not a good first step" for the digital reselling industry.

Capitol Records, whose catalogue includes Frank Sinatra's Come Fly With Me and The Beatles' Yellow Submarine, sought $150,000 (£99,000) for each infringement.

The judge did not set an amount for damages, instead inviting both firms to submit statements regarding the next steps in the case.

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Debris sifted for 9/11 human remains

1 April 2013 Last updated at 12:48 ET

New York officials have resumed sifting through construction debris from the World Trade Center, looking for human remains from the 9/11 attacks.

Deputy Mayor Cas Holloway said on Friday that DNA testing would be used to make every identification possible.

About 60 lorry-loads of debris collected over two years will be processed in the next 10 weeks in the borough of Staten Island.

Some 2,750 people were killed in the 11 September 2001 attacks.

So far 1,634 victims have been named.

The New York City medical examiner said on Monday that the latest bout of sifting for human remains from the attacks had begun.

Since 2006, the department has used the technology to identify 34 victims, finding 2,345 possible remains of victims.

A new skyscraper, One World Trade Center, is being built on the site of the twin towers.

Once completed, it will be the tallest building in the Western hemisphere.

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Caroline Kennedy 'next Japan envoy'

1 April 2013 Last updated at 14:01 ET

President Barack Obama has asked the daughter of former President John F Kennedy to be America's ambassador to Japan, US media report.

Caroline Kennedy was a key Obama supporter in 2008 and 2012, but has largely shunned political life.

She considered running for a New York senate seat when Hillary Clinton became secretary of state in 2009, but declined citing personal reasons.

Japan is among America's largest trading partners.

A source from the Democratic party told CNN on Monday that Ms Kennedy was being vetted for the post.

Previous US ambassadors to Tokyo have included former Senate majority leader Mike Mansfield, former Vice-President Walter Mondale and former House Speaker Tom Foley.

Ms Kennedy is the only surviving child of the assassinated president and former First Lady Jacqueline Bouvier Kennedy.

She is married to Edwin Schlossberg, who owns a New York-based design firm, and they have three children.

Ms Kennedy is a graduate of Harvard and Columbia universities and has served at many non-profit organisations, such as the John F Kennedy Library and the American Ballet Theatre.

She was also a speaker at the two previous Democratic National Conventions.

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Execution call for 'cinema killer'

1 April 2013 Last updated at 15:55 ET

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Defence lawyers for Mr Holmes are expected to argue he is not guilty because he was legally insane at the time of the shootings

Prosecutors have said they will seek the death penalty for the man accused of killing 12 people last July at a cinema in the US state of Colorado.

On Friday, prosecutors rejected an offer from James Holmes to plead guilty in order to avoid execution.

The 25-year-old is charged with multiple counts of murder and attempted murder in the attack in Aurora, one of the worst mass shootings in US history.

Dozens were wounded in the attack at a midnight showing of a Batman film.

"It's my determination and my intention that in this case for James Eagan Holmes justice is death," Arapahoe County District Attorney George Brauchler said at Monday's hearing, which the accused attended.

Mr Holmes' parents sat holding hands in the public gallery.

Legally insane?

Prosecution and defence lawyers have agreed that it will take longer to bring Mr Holmes' case to trial, now that the suspect could face the death penalty.

Continue reading the main story

I love the choice, I love it, I love it... I hope I'm in the room when he dies"

End Quote Bryan Beard Friend of victim

The trial had been scheduled for August; now a judge has pushed it back to February 2014. But defence lawyers urged the court not to rush to trial.

"They are trying to execute our client and we will do what we need to do to save his life," defence lawyer Tammy Brady told ABC News. "We are asking the court not to rush this."

Last week, prosecutors argued that the defence motion for a guilty plea was not valid as a plea deal, but correspondents say such an agreement could still be reached before the case goes to trial.

Mr Holmes' defence lawyers were expected to argue he is not guilty because he was legally insane at the time of the 20 July shooting.

But investigators say the former neuroscience graduate student had stockpiled weapons and ammunition ahead of the attacks.

He allegedly also booby-trapped his flat to explode, in an apparent bid to distract police from responding to the cinema during the shooting.

Victims and their families said they did not welcome the thought of a lengthy trial.

Pierce O'Farrill, who was shot three times in the attack, told the Associated Press news agency: "All of us victims would be dragged along potentially for years. It could be 10 or 15 years before he's executed.

"I would be in my 40s and I'm planning to have a family, and the thought of having to look back and reliving everything at that point in my life, it would be difficult."

Bryan Beard, whose best friend Alex Sullivan was killed in the attack, spoke of his joy at the prosecutors' announcement.

"I had a huge adrenaline rush,'' he told the Associated Press at the courthouse. "I love the choice, I love it, I love it... I hope I'm in the room when he dies."

In March, Colorado introduced new gun legislation to impose limits on the size of ammunition magazines and expand background checks for gun buyers.

The law bans the type of magazine investigators say was used to fire dozens of bullets in just a few seconds during the Aurora shooting.

President Barack Obama is scheduled to visit Denver, Colorado, on Wednesday to highlight the bill as part of a campaign for national gun control measures in the wake of a mass shooting at a primary school in December, in the state of Connecticut.

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California city enters bankruptcy

1 April 2013 Last updated at 18:52 ET

A judge has approved the California city of Stockton's bankruptcy filing, making it the most populous US city ever to enter bankruptcy protection.

A federal judge said without bankruptcy protection, Stockton would be unable to provide basic government services.

The city of 290,000, 90 miles (144km) east of San Francisco, saw its tax base plummet in the US housing market crash.

The ruling grants Stockton protection from creditors - who opposed the filing - while it negotiates debt repayment.

Stockton's creditors - bond holders and insurers who had financed the city's debt - argued the city had not cut spending enough nor sought a tax increase to avoid bankruptcy. With the city now in bankruptcy, they may not be repaid their full principals.

But lawyers for the city said it had slashed its budget to the bone after a 70% decline in the city's tax base.

The California city first filed for bankruptcy in June 2012 after failing to come to an agreement with its creditors. The judge came to his decision on Monday after a three-day trial.

"It's unfortunate that we have been forced to spend millions of dollars, thousands of hours and almost a year on this effort," city manager Bob Deis said, referring to the fight with creditors who opposed the bankruptcy filing.

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Stockton slashed its police force even as crime rates have soared

"These are valuable resources and money that could have gone toward addressing the critical safety needs of our community, restoring services, and paying our creditors."

During the housing boom, the city developed its waterfront, with a new marina and sports complex, and negotiated generous pension and healthcare benefits for city employees.

But when the housing market crashed beginning in 2008, the city's revenue sank when a rush of home foreclosures caused a dip in property taxes and developer fees.

Officials were forced to make dramatic spending cuts to patch a budget deficit - roughly $26m (£17m) this year. The city eliminated a quarter of its police officers, one third of the fire department staff and 40% of all other employees. It also cut wages and medical benefits.

Stockton's unemployment and violent crime rates now rank among the worst in the nation.

The city's case was being watched closely by other struggling US cities and towns that may also seek bankruptcy protection.

Stockton's largest debt is $900m owed to the California Public Employees' Retirement System to cover pension promises. The city has kept up with pension payments at the expense of other debt, arguing it needs a strong pension plan to retain its workforce.

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High alert after prosecutor's death

1 April 2013 Last updated at 18:55 ET

Law enforcement officials in Texas are on high alert two days after a county prosecutor and his wife were found slain in their home.

Mike McLelland, 63, was the third US justice official killed this year.

Police escorted employees into the courthouse on Monday and a prosecutor in one of the largest counties in Texas has accepted a 24-hour security detail.

Officials are investigating whether the murders, which include the killing of McLelland's deputy, are linked.

No arrests have been made in connection with the death of Assistant District Attorney Mark Hasse on 31 January.

But police were reportedly investigating a link between his death and the 19 March killing of Colorado prisons chief Tom Clements.

White supremacist group

McLelland and his wife Cynthia were found shot to death in their home on Saturday.

Continue reading the main story

This is not just an attack on two very fine people, but on the justice system"

End Quote Bruce Wood Kaufman County judge

Officials have revealed little about the homicide investigation, but said the FBI and the Texas Rangers were assisting.

"It was a shock with Mark Hasse, and now you can just imagine the double shock," Kaufman Police Chief Chris Aulbaugh told the Dallas Morning News.

"Until we know what happened, I really can't confirm that it's related, but you always have to assume until it's proven otherwise.''

The lead suspect in Clements's shooting, Evan Spencer Ebel, died in a shootout with police in Decatur, around 135km (85 miles) from Kaufman, on 21 March.

Ebel, 28, was a former Colorado prison inmate and was linked to a white supremacist prison gang called the 211 Crew.

Hasse was killed the same day the justice department revealed the Kaufman County district attorney's office was pursuing a racketeering case against another white supremacist group, the Aryan Brotherhood in Texas.

The indictment, unsealed in November, accused the organisation of killings and arson.

Prosecutors also said the group had used "extreme violence and threats of violence to maintain internal discipline and retaliate against those believed to be co-operating with law enforcement".

And in December, the Texas Department of Public Safety warned it had information to suggest the Aryan Brotherhood was "actively planning retaliation against law enforcement officials" who brought charges against gang members, including its leaders.

After Hasse's killing, McLelland vowed to hunt down the "scum" responsible.

"We're going to pull you out of whatever hole you're in," the district attorney warned the perpetrators at a news conference.

McLelland previously had a 23-year career in the Army, and participated in Operation Desert Storm. He had five children, including a son in the Dallas Police Department.

'State of shock'

He was said to have carried a gun at all times and was extremely cautious when opening the front door of his house, in the town of Forney just outside Dallas.

One neighbour said that after Hasse's death, a sheriff's official kept watch outside McLelland's home for about a month.

In Harris County, Texas, which includes Houston, District Attorney Mike Anderson said he had accepted the county sheriff's offer of a 24-hour security detail for him and his family, and would take precautions at his office, the largest of its kind in Texas.

"I think district attorneys across Texas are still in a state of shock," Mr Anderson said on Sunday.

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Iowa teen sues school over bullying

1 April 2013 Last updated at 21:11 ET

An Iowa teenager has sued school officials he says failed to protect him from severe bullying, including an attack he says left him disabled.

In October, he says, two students hit him repeatedly in the back of head with an American football.

The attack left a blood clot near his brain stem, causing severe neurological and cognitive problems, he says.

Bedford school district Superintendent Joe Drake said the district could not yet comment on the case.

But he said the school district aimed to provide a safe environment where students were treated with dignity and respect.

"Any known incidents or complaints of bullying, harassment or other issues concerning student welfare and safety are promptly investigated in accordance with district policies and procedures,'' he said in a statement.

The teenager, identified in federal court by his initials, and his grandmother say in a lawsuit that he repeatedly told officials at Bedford High School he was being bullied by students who verbally harassed him and physically attacked him.

Officials "would tell him that they would look into the allegation or directed [him] to tell another teacher or coach or that they didn't want to be bothered and walk away,'' he said in the court filing.

After the last - and worst - alleged attack on the sidelines of a football field during practice, coach Robert McCoy told the boy he would look into the incident but "stated he was sure the other players were not trying to hurt him", the boy said in the suit.

A local newspaper reported that days after the attack the boy, then 16, developed headaches, speech problems and gradual paralysis on his left side before he was transferred to a Nebraska hospital for surgery to remove the blood clot from his head.

He seeks compensation for damages from physical, emotional, neurological and cognitive problems that have rendered him "permanently and totally disabled".

In addition to Mr Drake, Mr McCoy and the school district, also named in the suit are principal Dana Nally and another school official.

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Apple apologises to China customers

2 April 2013 Last updated at 02:28 ET

Apple boss Tim Cook has apologised to Chinese consumers after state media accused the firm of arrogance, greed and of "throwing its weight around".

A two-week long Chinese media campaign had focused on Apple's repair policies.

A statement on Apple's China website said "misunderstandings" may have led to the perception "Apple's attitude was arrogant" towards Chinese customers.

Mr Cook promised to improve the repair policy on the iPhone 4 and iPhone 4S, and to improve warranty information.

"We are aware that a lack of communications... led to the perception Apple's attitude was arrogant and that we do not care and attach importance to consumer feedback," Mr Cook wrote. "We express our sincere apologies for any concerns or misunderstandings this gave consumers."

Apple said it would enhance communication with Chinese consumers and strengthen oversight of authorised resellers.

Earlier this year, Mr Cook said he expected China to replace North America as Apple's largest source of revenue.

China is currently Apple's second-largest market, with more than 17,000 outlets selling its products.

The company says it has eight stores in mainland China, with another three in Greater China, which includes Hong Kong.

'Incomparable arrogance'

State broadcaster China Central Television (CCTV) first criticised Apple on 15 March on a show about consumer rights and safety.

The program accused Apple of failing to offer new replacement iPhones if major repairs are needed during a one-year warranty.

Continue reading the main story

Here we have the Western person's sense of superiority making mischief"

End Quote People's Daily

Following on from that, the state's flagship newspaper, People's Daily, portrayed Apple as the latest Western company to exploit Chinese citizens.

Last week the paper ran an editorial headlined: "Strike down Apple's incomparable arrogance".

"Here we have the Western person's sense of superiority making mischief,'' the paper wrote. "If there's no risk in offending the Chinese consumer, and it also makes for lower overheads, then why not?''

However, some observers in China called it hypocrisy that the paper often does not feature incidents where Chinese companies have been named as part of food safety scares, environmental violations or corruption scandals.

Apple will now offer full replacements of iPhone 4 and 4S models, and a one-year warranty will start from the date of replacement.

It will also allow customers to offer feedback directly, Mr Cook said.

Apple is not the first foreign company to come under pressure from Chinese media.

Last year, CCTV featured McDonald's and Carrefour for food safety violations. The companies later apologised.

Most recently, the parent company behind KFC, Yum, apologised after reports that chicken from some of its suppliers had excess amounts of hormones and drugs.

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Hansen retires to push climate fight

2 April 2013 Last updated at 07:39 ET By Matt McGrath Environment correspondent, BBC News

One of the leading voices on the science of global warming is to retire from Nasa this week to be more active in the fight against fossil fuels.

Dr James E Hansen has been the head of the Goddard Institute for Space Research since 1981.

He is sometimes called the "father of global warming" for his early warnings about the impacts of rising levels of greenhouse gases.

But some critics say he has hampered the cause by overstating the risk.

In the 1970s, Dr Hansen focused on studies and computer simulations of the Earth's climate for the purpose of understanding the impact of humans.

He quickly became convinced that there was a clear link between increases in concentrations of carbon dioxide and rising temperatures. His work helped identify the ways in which the planet might respond to greater warming.

Sounding the alarm

In 1981, he published the first Goddard Institute Surface Temperature Analysis. In contrast to other models, this showed a rise on global temperatures between the 1880s and the 1970s.

In 1988, Dr Hansen testified before the US Congress, arguing that human induced climate change had begun.

"It is time to stop waffling so much and say that the evidence is pretty strong that the greenhouse effect is here," he told reporters after that appearance.

Over the past 20 years, Dr Hansen's research output has continued to reinforce this theme, and he has become the pre-eminent global voice arguing in favour of restrictions on emissions of carbon dioxide. He was listed as one of Time Magazine's most influential people in 2006 and has won a series of awards for his work.

His role as an employee of the federal government proved contentious as his activism increased. In 2006, he told the New York Times that he was being censored by the Bush administration. Nasa officials eventually issued a statement underlining the right of scientists to speak out without restriction.

Dr Hansen's pronouncements were sometimes seen as extreme. In his 2009 book, Storms of my Grandchildren, he argues that the Earth could one day become like the planet Venus, where temperatures are warm enough to melt lead.

"I've come to conclude that if we burn all reserves of oil, gas, and coal, there is a substantial chance we will initiate the runaway greenhouse. If we also burn the tar sands and tar shale, I believe the Venus syndrome is a dead certainty," he wrote.

Dr Hansen has also argued that the executives of oil companies should be tried for crimes against humanity. Critics suggested that these type of remarks did little to convince sceptics. Even environmentalists sometimes objected to the nature and detail of his comments.

Temperature standstill

In January this year he acknowledged that the temperature rises predicted by global warming were at a standstill. He suggested that rather than being proof that global warming had stopped, as some sceptics had claimed, it was due to a combination of El Nino conditions and increased amounts of what are called aerosols.

"We conclude that background global warming is continuing," he said.

Dr Hansen says he wants to use his retirement to speak and give evidence in ways that he couldn't do as a government employee. He plans to take a more active role in lawsuits challenging both federal and state governments on issues such as the use of oil extracted from tar sands in Alberta, Canada. He wants to lobby European leaders to impose higher taxes on this type of oil as well.

"These plans should be vigorously resisted. We are already in a deep hole - it is time to stop digging."

Follow Matt on Twitter

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Tight gun laws ahead for Connecticut

2 April 2013 Last updated at 10:19 ET

Lawmakers in the state of Connecticut will vote on a sweeping set of gun restrictions, including a ban on new high-capacity magazines.

The proposal requires background checks on all gun sales and expands the state's assault weapons ban.

It comes as new federal gun measures appear to have stalled in Congress.

Debate over US gun laws was reignited after a gunman killed 26 people, including 20 children, at a Connecticut primary school in December.

Tighter gun restrictions also passed in New York and Colorado in the wake of the shooting.

On Monday, six relatives of children and a school staff member killed at Sandy Hook Elementary School in December travelled to the state capitol of Hartford to call for a complete ban on high-capacity ammunition magazines, several of which the gunman used in that attack.

'Comprehensive'

The new proposal, made public after weeks of negotiation by legislative leaders, is expected to go to a vote on Wednesday with the support of both Democrats and Republicans.

Continue reading the main story

• Background checks on all gun sales
• Extends assault weapons ban to include 100 new types of firearm
• Magazines of 10 rounds or more must be registered
• Creates the first state registry of dangerous weapon offenders
• Creates an "ammunition eligibility" certificate
• Gun restrictions for people previously admitted to mental health facilities
• State grants for school safety improvements

Senate Minority Leader John McKinney, a Republican whose district includes Newtown, called the proposal "the most comprehensive package in the country because of its breadth".

It would create a registry of weapons offenders and require a new state eligibility certificate for the purchase a rifle, shotgun or ammunition.

Such a certificate would be issued after the buyer was fingerprinted, took a firearms training course and passed both a criminal background check and checks to see whether the person had been committed to a psychiatric hospital.

Criminal background checks would now be required of all prospective gun purchasers. Currently, federal law exempts so-called private transactions, which can include online sales and sales at gun shows.

In addition to proposals directly related to guns, Mr McKinney said there was also "a lot here underneath the surface" addressing mental health, school security and other issues.

In a compromise, legislators did not ban existing ammunition magazines of more than 10 rounds. Instead, already purchased high-capacity magazines will have to be registered.

'Mandatory' gun ownership

Some Newtown parents criticised the compromise.

"It doesn't prevent someone from going out of the state to purchase them and then bring them back," said Mark Barden, whose seven-year-old son Daniel was killed in the shooting.

Jake McGuigan, a spokesman for the Newtown-based gun group National Shooting Sports Foundation, also questioned the magazine registry.

"How will they register a magazine?" he told the Associated Press. "It seems a little weird.''

The US Congress is expected to vote on a raft of gun proposals this month, including broadened background checks. Gun rights advocates have pledged to block the measures.

On Monday, Connecticut House Speaker Brendan Sharkey, a Democrat, said the state was showing Washington "the way to get this job done".

Also on Monday, a small Georgia town approved a symbolic measure mandating gun ownership.

City officials in Nelson, a town of 1,300 north of Atlanta, say the law, called the Family Protection Ordinance, makes a statement about gun rights during a national conversation about firearm regulations.

The measure exempts convicted felons barred by federal law from gun ownership, those with physical and mental disabilities, and anyone who objects to owning a gun. There will be no penalty for non-compliance.

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