electricbirdblog days

Game Over?

2005-08-09T10:30:00.000+01:00

"When there is a choice of either living or dying, as long as there remains nothing behind to blemish one's reputation, it is better to live."
Shida Kichinosuke

ElectricBirdLand Limited closed its doors today.

ElectricBirdLand Limited, of which I was a Director, had been the target of legal action by the english arm of Sony Computer Entertainment. Sony alleged that ElectricBirdLand Limited had been infringing Sony's trade marks by parallel importing and offering for sale the products within the EEA (European Economic Area) without it's concent and demanded it sign a contract agreeing to provide Sony with all remaining stock, profits, customer data, supplier data, legal costs and damages amongst other things.

Though Sony sued ElectricBirdLand Limited, EBL had offered to stop selling PSPs on May 19th whilst the matter was investigated, Sony rejected the offer and on June 15h sued for £50,000 within 2 days of an article that ran on gamesindustry.biz that reported I was to hold a 'secret' meeting with independant retailers on the situation. Soon after the article a Private Invesigator was parked outside my home!

Sony are still yet to address the fact that ElectricBirdLand Limited received orders from divisions within the Sony Group of companies, SCEE employees and SCEE liscenees prior to, simultaneous with and subsequent to the the commencing of the legal action.

ElectricBirdLand Limited even delivered 6 PSP consoles to Sonystrasse in Austria on the day I faced 6 legal bruisers from Sony whilst representing ElectricBirdLand Limited at the High Court in London.

Of course it is the right of big companies to police their intellectual property rights, but in a global market that is a formidable and unenviable task. To run a multimillion pound campaign can to call it 'small beer' as a debt collection project is lunacy of the highest order. Importers and independent retailers are businessmen, not pirates, thieves, or criminals. Businessmen can be reasoned with in a sensible businesslike manner, there is no need for threatening and oppressive behaviour. Apply a little bit of the intellect next time.

Rome absorbed it's rivals, it didn't conquer them.

The only people that can benefit from any such action are the lawyers, the people that suffer the most are the customers. The considerable amount of money wasted by all parties could have been better spent on good causes.

Anti-competitive Market Segmentation and Price Discrimination will not be around forever.

ElectricBirdLand Limited had no interest in a Pyrrhic victory and ceased trading, on it's own terms

Sony have much more important battles to fight, hopefully verson 2.0 of the firmware will stop software piracy on the PSP. Considering software sales account for a large portion of Sony's profits and that of the Games Industry I sincerely hope that this stitches shut the hole that has been nibbled in its pockets by the pirates.

Releasing a cracked system on to the market in Europe would have been negligent but rushing a beta product on to the world market will inevitably cause damage to the Games Industry that could be significant but unquantifiable.

Am I bitter? No way. I don't drink beer either. I am not in business to litigate; I am in business to do business. I've made some really good friends - you can't put a price on that and none of them are on my payroll.

I'll call this episode adversial invoicing.

Sayōnara Sony.

Sony sues Lik-Sang

2005-08-08T10:15:00.000+01:00

After rumblings and threats over the last couple of months in the games press and news last week in Hong Kong press, Lik-Sang, online retailer of import gaming finery and thorn of the gaming giants for many years announced today that it is being sued by Sony.

According to Lik-Sang

"Sony of Europe alleges that Lik-Sang.com has breached Sony's Trade Mark rights by offering the PlayStation Portable (PSP) for sale to customers in the UK, and seeks a court order that would prevent Lik-Sang.com from selling or offering systems, games and accessories to customers in the UK and the European Economic Area (EEA)."

I've not seen the claim but my understanding is that UK Trade Mark law does not have jurisdiction on HK. Further, HK's entire economy is based on import/export. The outcome will have massive repurcutions for businesses in the region.

International Legal Conflict

According to Trade Mark law in Hong Kong, the owners rights are 'internationally exhausted' once the goods have been placed on the market. Simply meaning that Sony cannot clobber retailers for selling to anyone outside Hong Kong. However, UK law does not subscribe to international exhaustion. What happens when two countries' laws conflict?

Joined up thinking?

Market segmentation is usually largely successful (for the manufacturers) in the games industry as they apply region encoding so only games you buy in Europe will play on European consoles. This whole problem has come about since Sony tried to mirror Nintendo's region free ideal. The problem is that the company does not act as one with the same goal of making money. Each region competes for profits but when you strip down the evil encrytion barriers the company ends up competing with itself. With just three weeks to 'European launch' i'm left thinking does the left hand know what the right hand is doing. I would deduce that there is something awry in the house of Sony.

According to the Lik-Sang Press statement:

"Lik-Sang's sales are an unlawful interference with Sony's economic interests", stated Sony's legal correspondence. The case relis on Sony's claim that Lik-Sang.com has advertised the PlayStation Portable products in a "dishonest manner". Lik-Sang.com will do its best to fight Sony's powers and appreciates any support from employees, friends and even customers.

If anyone said my business was trading in a dishonest manner it would sue them for defamation. Where's the acumen? Where's the nouse? It's all academic.

This action will have far reaching implications. Lik-Sang are well established in the global games arena often exporting hard to find software and hardware aswell as defeating the segmented market ideal of the corporations. If the corporations want to discriminate on pricing they have to expect customers will look elsewhere for a better deal, if it exists. It's obvious that Sony wants all these 'better deals' out of existance.

Support

Earlier last year Lik Sang announced their 100,000th customer. No doubt the public sympathies will be with LikSang. The court of public opinion is the most important one when you're in business, the rest of the industry are just scratching their heads at this whole thing.

I was speaking to a lawyer friend the other day who confirmed to me that companies tend to sue more frequently when the economical climate is not looking too hot. Perhaps this is just viewed as another revenue stream.

Businessmen find solutions. Lawyers find arguements. Everybody wants to make money. The answer is not litigation.

Ho hum.

"It breaks down like this: it's legal to buy it, it's legal to own it and, if you're the proprietor of a hash bar, it's legal to sell it. It's legal to carry it, which doesn't really matter 'cause -- get a load of this -- if the cops stop you, it's illegal for them to search you. Searching you is a right that the cops in Amsterdam don't have."
Vincent Vega, Pulp Fiction

That Yellow Bastard and all this 'God willing' crap

2005-08-05T15:26:00.000+01:00

Evil mad mullah scum bag terrorist and cave dweller al-Zawahri, right hand man to Bin Ladin condones the bombings in London:

"As for the British, I tell them that Blair has brought you destruction in central London, and God willing, will bring more destruction."

By the way, Mel Brooks is in town and he said isn't scared "I don't use the subway". So for the time being, like Mel I will be using taxies when I visit London.

Next court date is August 17th. See you all then.

Dig Your Own

2005-07-20T16:18:00.000+01:00

Gameindustry.biz today ran an article entitled Sony wins PSP import case against Nuplayer, Online retailer responds by taking European PSP pre-orders at below RRP

Kamal Sharma of Nuplayer Limited is reported to have said "Sony has no right to stop us selling PSPs obtained from sources in Europe. The same law Sony used to stop us selling PSPs is the same law we're using to legally sell European products".

It appears Nuplayer intends on supplying the PSP by hook or by crook but with obvious bitterness he goes on to say "If Sony offered to make me an official distributor now, I would categorically say no, because I would have to sell at the RRP and would only receive a small allocation."

Regarding the enforcement campaign against import imported PSP Consoles and Games, the article also reported action apparently proceedings outside the UK, citing Lik-Sang as another target: "Sony has declared its intention to take action against the retailer, telling GamesIndustry.biz: "We have contacted Lik-Sang regarding imports as other infringers."

"We are actively considering legal remedies available to us and are approaching all known importers in the same way.""

Who is profiting here? Lik-Sang must be doing well considering Sonys attention to domestic competition. And who manufactures these products again?

Meanwhile the action against ElectricBirdLand Limited is ongoing and the next Court hearing date is scheduled for August 17th.

Judgement Day

2005-07-14T12:18:00.000+01:00

Sony today won it's claim in the High Court against Nuplayer Ltd.

Nuplayer had been selling the imported Japanese PSP Console and games prior the 1st September.

Sony claimed Nuplayer were infringing their trade marks by selling the The Products without it's consent.

Mr Justice Lawrence Collins ruled that Nuplayer had no argueable defence and Summary Judgement was given.

Nuplayer have been ordered to pay substantial Costs and Damages to Sony for bringing the case against them and hand over it's remaining stock, details of sales, profits, supplier data and some customer data.

The Nuplayer website has been taken down, it says "Sorry site down for maintenance, please check back later - the Nuplayer team".

I wish the Nuplayer team the best of luck for the future.

Reserving Judgment 2

2005-07-13T08:31:00.000+01:00

A verdict was expected yesterday about Nuplayers Injunction but the judge stated that the case was still under further review. The ruling is now expected on Thursday.

This verdict has far reaching implications according to Sony:

"If the Defendent is not injuncted pending a final determination of this action, the message given to the market will be that the Claimants [Sony] have lost their legal action. Further, if this Honourable Court refuses to accept the Claimants' application, it is difficult to see circumstances in which the Court will allow the Claimants to seek interim injunctions against others."

So Mr Sharma, the Gretailers are watching. Give 'em a spinning bird kick for all of us.

tic toc.

The incredible shrinking spacemen

2005-07-11T20:40:00.000+01:00

Japan. Always making things smaller.

I used to have this recurring dream about these astronauts that used to shrink until they disappeared.

I'm really looking forward to the GB Micro. Nintendo never cease to amaze me in the way they truly bleed every last penny from a product. It doesn't bother me. Each time they Dr Who their devices they improve it in some way, strip it down not beef it up.

There will never be another iPod phenomenon.

Sometimes hi-tech is not what the customer wants. Accessibility is also about affordability.

I use a mobile to make phone calls. I recently downgraded my star trek communicator to a Sony Ericsson T300. Oh I did of course change all the LEDs to blue ones but still the talk time is better than my thermo-nuclear-neo-dylithium walkie talkie (sure it doesn’t transmit my global coordinates to the mother ship or astral project my ass) and it looks cool. A phone is for making phone calls.

All this convergence crap just does not cut it for me.

And what the hell am I talking about? It’s the heat my friend, it is cooking me brain!

Who knows what evil lurks in the hearts of men

2005-07-07T18:41:00.000+01:00

The inevitable has happened.

Who benefits from terror?

They should all be brought to justice.

My heart goes out to all those who have been made to suffer by today's evil deeds.

Olympics coming to London!

2005-07-06T13:47:00.000+01:00

London was won the bid to host the 2012 Olympic bid!

Well done to Barbara Cassani, Seb Coe and the rest of the bid team, roll on 2012!

Why am I so pro Olympics? Hey, it's better than war! Brings all the countries of the world together to do something amazing and it really does change peoples lives without destroying anything.

Nice one London!

Reserving Judgment

2005-07-06T13:15:00.000+01:00

In SJ Berwins/Sony's ongoing campaign to plug flood of PSPs in to the UK a High Court Judge on Monday delayed his decision on preventing online retailer Nuplayer from selling PSPs until later this week.

"They were trying to throw mud but it didn't stick at all." said Mr Sharma of Nuplayer Ltd.

"Nuplayer is represented by Guy Burkhill QC, described by Shamar as "The top IT law specialist in the country." Shamar said Nuplayer did not intend "to take it lying down," revealing that he has spent £100,000 on legal fees so far." [1]

So you see now that they also go after companies with big pockets as well as those with big mouths!

Hello World

2005-07-04T16:12:00.000+01:00

Rosa Morelle has arrived!

Born at 7pm on Sunday 3rd July weighing in at 7lb 5oz.

For as the sun is daily new and old,
So is my love still telling what is told.

The lone and level sands stretch far away

2005-07-01T18:51:00.000+01:00

I met a traveller from an antique land
Who said: Two vast and trunkless legs of stone
Stand in the desert. Near them, on the sand,
Half sunk, a shattered visage lies, whose frown,
And wrinkled lip, and sneer of cold command,
Tell that its sculptor well those passions read,
Which yet survive, stamped on these lifeless things,
The hand that mocked them, and the heart that fed,
And on the pedestal these words appear:
"My name is Ozymandias, King of Kings:
Look upon my works, ye Mighty, and despair!"
Nothing beside remains. Round the decay
Of that colossal wreck, boundless and bare
The lone and level sands stretch far away.

Business is business

2005-07-01T09:16:00.000+01:00

In this capitalist world we live businesses are well within their right to exploit their economic muscle to interpret the laws of individual countries to maximise their profits, that's a given.

I cannot deny that electricbirdland is an enterprise aimed at making a profit.

Even though I agree with the phrase 'business is business', I have always operated by the rule 'people are people'.

I beleive a profitable business can be run without pissing in anyones beer.

I don't think we're in Kansas anymore Toto

2005-06-30T02:01:00.000+01:00

Is this really happening?

Corporate giant delay UK launch of hot new gadget for 9 months, whilst it is readily available in the USA and Japan

Little guy, in to videogames and working from home on his own spots an opportunity and imports a few to sell them on his website (www.electricbirdland.co.uk) and gets the jump on the giant

1000’s of other companies do the same (and still are)

2000’s of ebayers do the same (and still are)

Corporate giant buys £1000's of new gadget from little guy

Corporate giant sends out threatening letters via bully boy solicitors

Corporate giant buys £1000's more of new gadget from little guy

Little guy says “hold on a sec, that’s not fair”

All the other young guys and older guys say "..."

Corporate giant sues little guy for £50,000 for mouthing off and to set an example but negotiates great deals with bigger players with more money to defend themselves

Corporate giant buys £1000's more of new gadget from little guy

Corporate giant takes little guy to the High Court to tag team him in a court room with Six bruisers

That same day little guys courier delivers £1000's of pounds worth of new gadget to Giantstrasse in Austria

That same day whilst little guy is being bulldozed, corporate giants' goons turn up at little guys house to intimidate littles guys wife, little guys wife is pregnant with little guys baby and little guys wife is crying

Little guy throws a couple of untrained verbal punches but the judge sends him in to the corner with an injunction and tells bully boy solicitors to stop sending their goons round to scare little guys wife

Corporate giant is feeling like he is really doing good policing his great new product from the UK, bully boy solicitors rub their hands together

Little guy doesn't like new gadget any more

Corporate giants tells everyone that little guys are "small beer" and little guys are no big deal. Bully boy solicitors then proceed to phone all the other little guys to tell them what they have done to this little guy

Little guy posts blog entry at 2 am

Little guy thinks it is a big deal, if little guy doesn't fight giant corporate monster little guy will have to close his shop and get a job at tesco's so he can feed his little girls.

I'm sure there is a Radiohead song about this.

Beyond The Pale

2005-06-29T12:19:00.000+01:00

What with the decreased workload I have something to thank Sony for.

Today I had the first opportunity in 9 months to be with Susannah for her final visit with the midwife.

With the help of a Sonicaid I heard the tiny heartbeat of my new child.

Everything else in my life pales in to insignificance compared with the sound of that beautiful sweet steady beat.

VICTORY!

2005-06-27T15:52:00.000+01:00

ElectricBirdLand today was the first company with only one employee in the history of Sony's campaign of terrorising small businesses to secure a contractual obligation from Sony (cross undertaking) to pay us damages (money we could have earned) for the period that we choose not to sell the PSP.

So, what happened with ElectricBirdLand?

As I understand, Sony got what we offered them on May the 19th, to stop selling PSP consoles and games however whereas before we offered 3 days notice when we intend to start selling again, this time we only need to give them 24 hours notice. This time they gave us the cross undertaking that was rejected originally, of damages (which means they have to pay us any money we could have made during the period we are not selling).

One thing that was interesting was that Sony's barrister said that they would replace faulty stock received in the period of the injunction and issue replacements to our customers on September 1st! This has interesting implications to Sony's warrantying/not warrantying import devices.

We now have 28 days to file witness statements and evidence. If any of you guys out there are willing to provide statements where you have seen PSPs on sale in high street stores or even better photographs of them doing so it will assist us.

Thank you for your interest and thank you to all the retailers that came out in support. Remember Sony are NOT the police (but they do
have 151,400 persons (as of March 31,2005) and 7,159,600 million yen ($14.5 Billion) (Sales and Operating revenue 2004) [1]

Dan

RSS Feed

2005-06-24T21:37:00.000+01:00

is available via the following URL: http://www.danmorelle.com/atom.xml

Thank you all for the kind support.

Dan

Court Date Set

2005-06-21T11:36:00.000+01:00

Sony Computer Entertainment Inc. and Sony Computer Entertainment Europe are taking my company to court.

The court date is set.

Monday 27th June at 10:30am

Listed to be heard at Court 57 in the Thomas Moore Building.

Click here for more information on directions.

They will be applying for an Interim Injunction and a Summary Judgement.

Coincidently my wife's due date is on the Sunday 26th June, I hope I don't miss the birth of my new baby.

Acknowledged

2005-06-20T18:09:00.000+01:00

I have today sent our Acknowledgement of Service to the court and provided a copy to their Solicitors.

I hope when this is over I will be able to ween myself off the Coffee again!

Founding Prospectus

2005-06-17T19:35:00.000+01:00

"We shall eliminate any unfair profit seeking practices [and] constantly emphasise activities of real substance"
Masaru Ibuka, 1908 - 1997 (Founder and Chief Advisor, Sony Corporation).

Game On

2005-06-16T13:06:00.000+01:00

Well well.

Maybe I should have kept my big mouth shut.

Kabushiki Kaisha Sony Computer Entertinment (also trading as Sony Computer Entertainment Inc.) a company registered in Japan and situated at 2-6-1 Minami-Aoyama, Minato-ku, Tokyo, Japan

and

Sony Computer Entertainment Limited a company registered in England and Wales (Number 03277793) whose registered office is Golden Square, London, W1F 9LD.

Have issued legal proceedings against my company in the Royal Courts of Justice.

I will be personally presenting our case to The Courts.

My court is that of Public Opinioncommon sense will prevail (unless money has something to do with it!)

Makes me stronger

2005-05-31T12:46:00.000+01:00

SCEI (SCEE have dropped from the fray at this time) want to take a bite out of me.

They are big stinky bullies.

Welcome

2005-05-23T08:38:00.000+01:00

So here I am. My name is Dan Morelle and I run a company called ElectricBirdLand.

Maybe you will keep an eye on me over the next few weeks. If I get thrown to the lions it should make for an interesting show.

Dan