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Old May 26, 2011, 09:05 AM   #1
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Apple Files Lawsuit Against Teenager Who Sold White iPhone 4 Conversion Kits, Settlement Reached?







Last November, we highlighted the story of New York City teenager Fei Lam, who had managed to sell $130,000 worth of white iPhone 4 parts in just a few months to customers eager to get their hands on a white iPhone 4 has Apple continued to delay the release of the official model. Lam claimed that he had developed a secondhand relationship with someone at Apple's manufacturing partner Foxconn who had been supplying him with parts. At the time, the report noted that Lam had been contacted by a purported private investigator who claimed that Lam was trafficking in stolen goods, and Lam's site disappeared soon after.




Apple yesterday finally filed a lawsuit against Lam and his parents, claiming infringement and dilution of its trademarks and engaging in deceptive practices through his conversion kit sales through his website at whiteiphone4now.com. Apple did, however, also file a voluntary dismissal of the lawsuit at the same time, suggesting that a settlement has may have been reached, although Apple's request for dismissal without prejudice means that the company reserves the right to refile the claim at some point in the future.
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Defendent Lam willfully and without authorization has used Apple's trademarks in connection with the sale of his "White iPhone 4 Conversion Kits," which among other things included white front and back panels with Apple's logo and "iPhone" trademarks that are used in connection with the promotion and sale of Apple's well known iPhone 4 handheld mobile digital electronic devices. Defendant at all times knew that Apple never has authorized the sale of white panels for its iPhone 4 mobile devices, and that he obtained these panels from sources that were not authorized by Apple or any of its suppliers to sell them.
Lam's parents were included in the suit under claims that they aided and abetted him by allowing him to engage in the activity while he was a minor under their supervision. Apple claims that Lam's actions dilutes Apple's trademarks and compromises its relationships with customers by causing confusion about whether Apple had authorized sales of white iPhones.

Apple's filing includes quotes from instant messaging exchanges between Lam and Alan Yang, a business owner in Shenzhen, China who was obtaining the parts for Lam, quotes that make clear that Yang was occasionally having difficulties getting parts shipped out as customs agents in Hong Kong were giving in troubles over the trademark issues.

Apple requested a permanent injunction barring the Lams from any further sales, forfeiture of all profits from the sale of white iPhone 4 parts, reimbursement for expenses occurred in pursuing the case, and additional financial penalties. With the request for dismissal, however, it is unclear what Apple may have obtained from the Lams in a potential settlement.

Article Link: Apple Files Lawsuit Against Teenager Who Sold White iPhone 4 Conversion Kits, Settlement Reached?
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Old May 26, 2011, 09:09 AM   #2
Pentad
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Bravo, Apple! Way to go out of your way to crush the competition!


Sadly, if Microsoft would have done this (think Mike Rowe Soft incident) people would be rioting but Apple crushing a teenage is ok...
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Old May 26, 2011, 09:10 AM   #3
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I'm sorry, but this is really dumb. And I mean really, really dumb.
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Old May 26, 2011, 09:10 AM   #4
zin
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Originally Posted by Pentad View Post
Way to go Apple! Crush a teenager in your path!
It's not as if he wouldn't have had money to pay for a settlement (he made $130,000, remember...).
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Old May 26, 2011, 09:10 AM   #5
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I don't think Apple cares how much money they got (unlikely that it covered even their lawyers' expenses), but the result is that nobody will do it again.

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Originally Posted by Pentad View Post
Way to go Apple! Crush a teenager in your path!
Please explain what you mean by that. So a teenager manages to get into contact with criminals in China who are selling stolen pre-release parts for the iPhone, imports them into the USA, starts a website, starts a flourishing trade which damages Apple's reputation, so what is Apple supposed to do in your opinion?
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Old May 26, 2011, 09:11 AM   #6
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Way to go Apple! Crush a teenager in your path!
And crush his parents as well. This should serve a warning sign who dare to tread on Apple!
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Old May 26, 2011, 09:11 AM   #7
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He's only a teenager, Apple are just throwing their weight around.
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Old May 26, 2011, 09:11 AM   #8
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Allright! Another reason to make me hesitant to admit to owning an iPhone, or iPod, or MacBook, or contemplate buying more Apple crap if this is how those profits are used. Time to fix my signature...
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Old May 26, 2011, 09:12 AM   #9
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Originally Posted by zin View Post
It's not as if he wouldn't have had money to pay for a settlement (he made $130,000, remember...).
If you read the article, he has to forfit ALL profits as well as pay a penalty
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Old May 26, 2011, 09:12 AM   #10
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I'm sure there are going to be people on here who will say "leave him alone, he's just a kid" but he must have known what he was doing was going to land him in trouble. He was fitting stolen parts on phones after all. It's certainly 'enterprising', I'll give him that.
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Old May 26, 2011, 09:13 AM   #11
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Douche Move of the Century.
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Old May 26, 2011, 09:13 AM   #12
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Old May 26, 2011, 09:13 AM   #13
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Originally Posted by lcdonnelly View Post
He's only a teenager, Apple are just throwing their weight around.
NO excuse, do the crime , do the time, a crime is a crime at any age, ever hear of consequences for your actions
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Old May 26, 2011, 09:14 AM   #14
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Apple is getting to big for it's britches. The fad will be passing within another 2 yrs, the bubble will burst. And apple will be remembered for what it is ... a really good marketing company.

hopefully the whole hacker crowd goes after apple for this petty crap and shuts them down like they did to sony
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Old May 26, 2011, 09:15 AM   #15
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You know, if Apple hadn't created the demand and then dropped the ball on the white iPhone, this wouldn't have ever come up. Lawsuits are completely unnecessary in this case.
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Old May 26, 2011, 09:15 AM   #16
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Originally Posted by lcdonnelly View Post
He's only a teenager, Apple are just throwing their weight around.
So if a teenager goes and kills someone you'd say the same thing?

The punishment may be a little harsh and a large sum of money but he should have thought of that before doing what he did.
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Old May 26, 2011, 09:15 AM   #17
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Quote:
Originally Posted by lcdonnelly View Post
He's only a teenager, Apple are just throwing their weight around.
For all those complaining like this remember:

1) He reportedly illegally got stolen parts from Foxconn
2) His parts had the Apple logo and this is a trademark violation

He wants to engineer legitimate replacement parts without trademark logos, he might have a respectable business.
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Old May 26, 2011, 09:16 AM   #18
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Originally Posted by Cheffy Dave View Post
NO excuse, do the crime , do the time, a crime is a crime at any age, ever hear of consequences for your actions
This.
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Old May 26, 2011, 09:17 AM   #19
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Originally Posted by mrpither View Post
Allright! Another reason to make me hesitant to admit to owning an iPhone, or iPod, or MacBook, or contemplate buying more Apple crap if this is how those profits are used. Time to fix my signature...
poor you, a crime is a crime

Quote:
Originally Posted by Doc750 View Post
Apple is getting to big for it's britches. The fad will be passing within another 2 yrs, the bubble will burst. And apple will be remembered for what it is ... a really good marketing company.

hopefully the whole hacker crowd goes after apple for this petty crap and shuts them down like they did to sony
grow up, Apple just is protecting its rights, HE's A THIEF! Get it?
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Last edited by kainjow; May 27, 2011 at 10:06 PM. Reason: merged posts
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Old May 26, 2011, 09:19 AM   #20
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Kinda saw it coming.

Come on, guys. He was selling probably illegitimately obtained parts. It was bound to happen. Look at Psystar. This was a legally STUPID move on the kid's part to not expect some kind of lawsuit.

Also, how the f* does a teenage kid weasel his way into Apple's supply chain?
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Old May 26, 2011, 09:19 AM   #21
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I'd feel sorry for the kid had he not made thousands of dollars off this.
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Old May 26, 2011, 09:20 AM   #22
MacMan86
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Originally Posted by Tastic Bycrom View Post
You know, if Apple hadn't created the demand and then dropped the ball on the white iPhone, this wouldn't have ever come up. Lawsuits are completely unnecessary in this case.
I would be interested to see how that kind of defence would go down in court...
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Old May 26, 2011, 09:20 AM   #23
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Originally Posted by eawmp1 View Post
For all those complaining like this remember:

1) He reportedly illegally got stolen parts from Foxconn
2) His parts had the Apple logo and this is a trademark violation

He wants to engineer legitimate replacement parts without trademark logos, he might have a respectable business.
He wouldn't have sold half of what he did if it wasn't for the logo.
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Old May 26, 2011, 09:20 AM   #24
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Actually maybe the kid is the next Steve Jobs. He took the first step and was a genius.
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Old May 26, 2011, 09:21 AM   #25
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Sorry but anyone saying leave the kid alone, or Apple is too Big Brother/Big Business either needs to get their head on straight or grow up or both. Anything of the sort just makes you sound like you don't know what you are talking about.
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