Ownership disclosure law creates burdens for startups
José Padilla has an established track record of providing efficient, low-cost legal services. With LegalMente AI, he’s able to provide that same quality of work to those in need, including early-stage startups. We sat down with him to talk about what policymakers need to know about the uses of AI, how to keep the U.S. innovation ecosystem the most competitive globally, and his motivation to provide the most efficient work possible.
After overcoming childhood shyness in the warmth of his local Caribbean-owned barbershop, Royon Jeffrey knows the power of the beauty industry firsthand. He set out to create ListedB, an online marketplace for beauty industry professionals. We spoke to him about the financial opportunity within the industry, navigating capital access and investors, and his desire to empower small businesses owners.
Foreign nations are saddling U.S. companies — including startups — with discriminatory burdens.
MegaMinds was created out of a need to make learning more creative, fun, and hands-on for students. In our conversation with Co-Founder and CEO Eric Tao, we learned about the growing popularity of immersive learning, the tricky regulatory landscape for a product like MegaMinds, and what it’s like for many first-time entrepreneurs to build businesses.
“This morning’s decision in Google v. Oracle is a win for startups and developers across the country. The Supreme Court has left the doors open to innovators and entrepreneurs using APIs to create interoperability and compatibility between computer programs. With confirmation that such use is fair, startups can more affordably build software without incurring steep licensing costs and facing the constant risk of litigation.”
Every day, people use the Internet to create and share content with others across the globe—and those users, and the Internet companies they rely on, each depend on a copyright framework some policymakers are looking to change. Specifically, a few members of Congress indicated they may be willing to re-open Section 512 of the Digital Millennium Copyright Act (DMCA). Unfortunately, the policy debate mostly revolves around large companies—both big tech companies and Internet platforms as well as large rightsholders in traditional content industries, like mainstream music or movies. But this area of the law is critical to all types of companies, Internet users, and creators. This post attempts to unpack some recent proposals, in an effort to help more stakeholders—especially tech startups—understand what is happening.
Today’s House vote in support of the American Dream and Promise Act is a victory for the millions of undocumented immigrants who were brought to the U.S. as children in search of a better life. Dreamers help drive U.S. innovation by launching startups, creating new jobs, and serving as critical sources of talent for the tech sector. By protecting Dreamers and providing them with a pathway to citizenship, the bill gives these talented individuals the legal certainty they need to pursue their ambitions—in the tech sector or otherwise—without the threat of deportation.
In letters this week to key congressional panels, Engine outlined startup-forward principles and priorities that we hope will guide Congress’s work on patent and copyright law this year. We wrote to the leaders of the Senate’s IP Subcommittee and the House Subcommittee on Courts, IP, and the Internet, encouraging each Subcommittee to promote and preserve balanced IP frameworks, emphasize patent quality, stress modernization, and advance diversity and inclusion.
“Engine is proud to support the Workforce Mobility Act, legislation that would give workers the opportunity to launch their own competitive startups without being hindered by non-compete agreements. This legislation would spur startup formation across the country by removing barriers to entry that serve to stifle innovation and entrepreneurship.”
“Last week’s introduction of comprehensive immigration reform legislation shows that the Biden administration is committed to positively reforming the country’s outdated immigration system. The White House and Congress now have the opportunity to pursue an immigration agenda that boosts immigrant entrepreneurship and provides startups and technology companies with greater access to the talented workers they need to grow and thrive.”
It may sound like a cliched talking point, but it’s true—small businesses are the lifeblood of the U.S. economy. And that includes the small businesses of the technology sector, the thousands of innovative, tech-enabled, high-growth companies across the country that make up the U.S. startup ecosystem.
The Board of Directors of Engine—a nonprofit that works with a community of thousands of high-tech, growth-oriented startups across the nation to support technology entrepreneurship—announced this week that it has appointed Kate Tummarello as the organization’s new Executive Director. Kate has been at Engine since 2017 and has served as Engine’s Policy Director since 2019, working on privacy, intermediary liability, and telecommunications issues.
In a letter to President-elect Joe Biden and Vice President-elect Kamala Harris, Engine outlines principles we hope will guide the incoming administration’s selection of the next director of the U.S. Patent and Trademark Office (“USPTO”). The full text of our letter is below.
The Digital Copyright Act of 2021 from Sen. Thom Tillis (R-N.C.) proposes changes to copyright law that would be bad for startups that host user-generated content and the everyday Internet users and Internet-enabled creators they serve. As currently drafted, the bill would disrupt a statutory framework at the foundation of innovation, creative expression, and economic growth that would not have been possible twenty-five years ago.
We are disappointed by Congress’s decision to include controversial copyright legislation in the must-pass omnibus spending bill. As Engine and several smaller Internet platforms expressed earlier this month, “the CASE Act—as currently drafted—will be fundamentally unfair to and create substantial confusion for” everyday Internet users, small businesses, and Internet-enabled creators across the country. That bill would create an extra-judicial board where certain copyright holders could seek substantial damages—up to $30,000—over alleged copyright infringement.
Engine and the Electronic Frontier Foundation submitted an amicus brief to the U.S. Supreme Court this week in United States v. Arthrex Inc. asking the Court to reconsider a Federal Circuit decision last year that found that administrative patent judges (APJs) of the Patent Trial and Appeal Board (PTAB) were unconstitutionally appointed.
Engine submitted comments to the U.S. Patent and Trademark Office this week in response to the agency’s request for comment concerning the exercise of discretion to deny inter partes review (IPR) petitions. IPR makes it easier for startups and other small businesses to push back against frivolous lawsuits brought by patent trolls, but the USPTO’s proposal would codify current policies and practices that weaken the patent review process. This would make it more difficult for startups to challenge low-quality patents and open the door to further abusive litigation.
The ongoing COVID-19 pandemic has brought change to every facet of life and government. While Congress’ focus has largely been on providing direct relief for workers and business owners struggling with the financial impact of the outbreak, recent actions taken by the Trump administration on immigration issues stand to impact the talent needs of American businesses.
On both the domestic and global scale, startups need balanced, certain IP frameworks and policies which allow the free flow of data in order to grow and succeed. While efforts currently underway in China signal some potential progress on those fronts, there are indications that China’s evolving policy landscape may continue to present impediments to startups hoping to grow across the world.
In recent comments filed with the Senate Judiciary Subcommittee on Intellectual Property, Engine emphasized the importance of copyright fair use and urged that it continue to be protected and permitted online. Fair use is an essential component of copyright law that allows creators and users to engage in certain authorized uses of copyright content, which is important because overly-rigid application of copyright law could otherwise stifle innovation and creativity. And as we explain in the letter, startup platforms in particular benefit from balanced copyright law because they are able to serve users and creators who rely on fair use without having to worry about potentially ruinous copyright infringement litigation.
Your privacy is important to us. To better protect your privacy we provide this notice explaining our online information practices and the choices you can make about the way your information is collected and used.
