Facebook, Inc. v. Power Ventures, Inc.

Filing 57

Declaration of Julio C. Avalos in Support of 56 MOTION for Summary Judgment Notice of Motion, Motion and Memorandum of Points and Authorities for Judgment on the Pleadings Pursuant to Fed. R. Civ. P. 12(c) or, in the Alternative Partial Summary Judgment of Liability Under California Penal Code S MOTION for Summary Judgment Notice of Motion, Motion and Memorandum of Points and Authorities for Judgment on the Pleadings Pursuant to Fed. R. Civ. P. 12(c) or, in the Alternative Partial Summary Judgment of Liability Under California Penal Code S filed byFacebook, Inc.(a Delaware corporation). (Attachments: # 1 Exhibit A)(Related document(s) 56 ) (Pers, Jessica) (Filed on 12/23/2009)

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EXHIBIT A Page 1 of 2 Dalton, Amy From: Sent: To: Cc: steve@stevevachani.com Friday, December 12, 2008 1:24 PM Cutler, Joseph P. (Perkins Coie) felipe.herrera@corp.power.com; Eric Santos Subject: Power.com Thank you for patience to allow us to clarify our plan of action on Power in regards to our discussion on Wednesday. We decided to move forward with the following steps 1) We will implement Facebook connect on our main login page and work with the capabilities of Facebook connect for the login to our site. Instead of a login for Facebook, users will have a button which then opens the Facebook connect window and allows them to login through Facebook connect. We will say that Facebook connects current capabilities are extremely limited and we would love the opportunity to provide a Facebook connect extension to Facebook that would allow us to enrich the experience for Facebook users. We will show that to the bus dev guys when we have a chance to meet with them. 2) We will delete any Facebook friend information we currently have. 3) We will move forward and use the Facebook features to utilize Facebook's IM, updates, and some other functionality that is already available. After we finish the implementation, we would like the opportunity to get Facebook's feedback. We have some simple innovative ideas that will follow Facebook connects system, but allow for better usability and integration. As stated earlier, we do believe that the user experience of Facebook connect is extremely limited at this stage and we hope to have an open and friendly relationship with the Facebook team to share ideas and complete solutions to allowing partners to do greater integration while addressing Facebook's concerns. 4) We are finishing a solution that we have already been discussing with other sites that is an extension to Facebook connect that Facebook could enable that will allow us to provide more functionality to Facebook users while protecting all the concerns of Facebook. 5) We do understand that there is no guarantee that Facebook will accept this solution, but our only request is that 6) We estimate that it will take us 2 weeks to completely finish this integration with Facebook connect and shift the user experience for our current users. 7) While have made the decision today to do this, we would request only one thing. We would like to meet with the business dev and guys involved on the product for thinking about solution for providing more flexibility with partners and at least present our simple code that Facebook could add that would allow us to provide a richer experience to our users and at the same time do it in a way that Facebook finds compatible with you they are envisioning their partners working with them in the future. I believed that this email addresses everything we discussed. 12/3/2009 Page 2 of 2 The two requests we have and hope you will faciliate. 1) Can we get an email introduction to the correct people inside Facebook. We only ask for the introduction and we will follow up and see their interest to meet. 2) Provide us 2 (instead of one you offered) to implement this new solution. We did study Digsby and others and saw the changes they made in their UI to implement Facebook connect. Please call me now and we can discuss this further. I am heading to a flight shortly. 12/3/2009 Page 1 of 3 Dalton, Amy From: Sent: To: Cc: Cutler, Joseph P. (Perkins Coie) [JCutler@perkinscoie.com] Monday, December 15, 2008 5:01 PM steve@stevevachani.com; filipe.herrera@powerinc.net Demetrescu, Nicole (Perkins Coie); McCullagh, James R. (Perkins Coie) Subject: RE: Power.com Steve and Felipe, I am sorry that we were not able to match schedules on Friday. Facebook has reviewed this letter, and is willing to accept your offer to have Facebook Connect implemented by EOD December 26 which is two weeks from the date you sent the letter. Meanwhile, as you may know, Facebook has taken technical measures to limit the interaction between Power.com and its network at this time. In order to fully initialize your integrated Facebook Connect status, and to lift those technical measures, Facebook requires written confirmation of the following: 1. That Power.com has purged and destroyed all data that it obtained from the Facebook network or from Facebook users prior to implementation of Facebook Connect, including all login information and/or any other data obtained or scraped from Facebook's site. 2. That Power.com has ceased displaying Facebook's trademarks on its website, except as expressly permitted by Facebook's Terms of Use, Developer Terms of Service, and/or Facebook's Connect Policies (see http://wiki.developers.facebook.com/index.php/Facebook_Connect_Policies). 3. That Power.com has implemented Facebook Connect in strict adherence to Facebook's Terms of Use, Developer Terms of Service, and/or Connect Policies. 4. That Power.com has removed all compatibility with Facebook's site that does not comply with Facebook's Terms of Use, Developer Terms of Service and/or Connect Policies. 5. That Power.com will in the future adhere to all of Facebook's Terms of Use, Developer Terms of Service, Connect Policies. While Facebook does not object to Power.com's efforts to interact with Facebook's developer teams via normal channels, it will not set up any special developer meetings for Power.com. Lastly, regarding your proposed notice to Facebook users: your Connect interaction must strictly comply with Facebook's applicable Terms and Policies. Posting a notice that casts Facebook's Connect system in a negative light will likely become counterproductive to your stated goals of working together with Facebook's developers. Facebook reserves its right to deny approval for any Facebook Connect application for any reason. I would still like to go over these items together on the phone. Are you available for a call tomorrow (Tuesday)? If so, what time? Please confirm that you agree with these terms, and that you will commit to integrating Facebook Connect by EOD, December 26, 2008. Please also confirm that you intend to provide the written confirmation as described above by that time. Thanks, 12/3/2009 Page 2 of 3 Joe From: steve@stevevachani.com [mailto:steve@stevevachani.com] Sent: Friday, December 12, 2008 1:24 PM To: Cutler, Joseph P. (Perkins Coie) Cc: felipe.herrera@corp.power.com; Eric Santos Subject: Power.com Thank you for patience to allow us to clarify our plan of action on Power in regards to our discussion on Wednesday. We decided to move forward with the following steps 1) We will implement Facebook connect on our main login page and work with the capabilities of Facebook connect for the login to our site. Instead of a login for Facebook, users will have a button which then opens the Facebook connect window and allows them to login through Facebook connect. We will say that Facebook connects current capabilities are extremely limited and we would love the opportunity to provide a Facebook connect extension to Facebook that would allow us to enrich the experience for Facebook users. We will show that to the bus dev guys when we have a chance to meet with them. 2) We will delete any Facebook friend information we currently have. 3) We will move forward and use the Facebook features to utilize Facebook's IM, updates, and some other functionality that is already available. After we finish the implementation, we would like the opportunity to get Facebook's feedback. We have some simple innovative ideas that will follow Facebook connects system, but allow for better usability and integration. As stated earlier, we do believe that the user experience of Facebook connect is extremely limited at this stage and we hope to have an open and friendly relationship with the Facebook team to share ideas and complete solutions to allowing partners to do greater integration while addressing Facebook's concerns. 4) We are finishing a solution that we have already been discussing with other sites that is an extension to Facebook connect that Facebook could enable that will allow us to provide more functionality to Facebook users while protecting all the concerns of Facebook. 5) We do understand that there is no guarantee that Facebook will accept this solution, but our only request is that 6) We estimate that it will take us 2 weeks to completely finish this integration with Facebook connect and shift the user experience for our current users. 7) While have made the decision today to do this, we would request only one thing. We would like to meet with the business dev and guys involved on the product for thinking about solution for providing more flexibility with partners and at least present our simple code that Facebook could add that would allow us to provide a richer experience to our users and at the same time do it in a way that Facebook finds compatible with you they are envisioning their partners working with them in the future. I believed that this email addresses everything we discussed. 12/3/2009 Page 3 of 3 The two requests we have and hope you will faciliate. 1) Can we get an email introduction to the correct people inside Facebook. We only ask for the introduction and we will follow up and see their interest to meet. 2) Provide us 2 (instead of one you offered) to implement this new solution. We did study Digsby and others and saw the changes they made in their UI to implement Facebook connect. Please call me now and we can discuss this further. I am heading to a flight shortly. 12/3/2009 Re: Power.com Page 1 of 5 Dalton, Amy From: Sent: To: Cc: steve@stevevachani.com Wednesday, December 17, 2008 10:29 PM filipe.herrera@powerinc.net; Cutler, Joseph P. (Perkins Coie) Demetrescu, Nicole (Perkins Coie); McCullagh, James R. (Perkins Coie) Subject: Re: Power.com Joseph, I just finished a meeting with our team. They have changed the priorities of our product team to begin a complete reintegration of Facebook with Facebook connect. They are putting together a detailed product plan and studying intensively how to get the maximum innovation through Facebook connect. I am waiting for them to final the complete product plan and schedule and allocation of resources. Based on the more detailed feedback, I am concerned that my goal of December 26th may have been too optimistic. Rather than waiting until the last day, I would like to have an open and transparent conversation with you about our progress and also early next week share with you a visual product plan on what is being implemented for you to fully appreciate the amount of resources and time we are putting into this reintegration with Facebook connect. It is my hope that after I present this that you and your team will see the good faith effort that our team is making to make this integration as smooth as possible. I would like to reconvene by telephone with you on December 23rd at the end of the day to present the latest progress. I am not expecting anything from you now, but only to provide you an update on our progress and ensure that we have open communication as we make a full effort to integrate this. On December 23rd, I will share a demo showing how we are integrating Facebook connect. Thanks, Steve --- On Mon, 12/15/08, Cutler, Joseph P. (Perkins Coie) <JCutler@perkinscoie.com> wrote: From: Cutler, Joseph P. (Perkins Coie) <JCutler@perkinscoie.com> Subject: Re: Power.com To: steve@stevevachani.com, filipe.herrera@powerinc.net Cc: "Demetrescu, Nicole (Perkins Coie)" <NDemetrescu@perkinscoie.com>, "McCullagh, James R. (Perkins Coie)" <JMcCullagh@perkinscoie.com> Date: Monday, December 15, 2008, 6:16 PM Sounds good. Let's shoot for 1:30 pm? I'll call you. Thanks for getting back to me, Steve. 12/3/2009 Re: Power.com Page 2 of 5 Joe Joseph P. Cutler Attorney at Law Perkins Coie, LLP 206. 359. 6104 (Office) 206. 359. 7104 (Fax) jcutler@perkinscoie.com -----Original Message----From: steve@stevevachani.com <steve@stevevachani.com> To: Cutler, Joseph P. (Perkins Coie); filipe.herrera@powerinc.net <filipe.herrera@powerinc.net> CC: Demetrescu, Nicole (Perkins Coie); McCullagh, James R. (Perkins Coie) Sent: Mon Dec 15 18:05:14 2008 Subject: Re: Power.com I will be free to go over these terms tomorrow. I am on a flight all morning, but should be free to talk around noon. Thanks, Steve Thanks, Steve Sent via BlackBerry by AT&T ________________________________ From: "Cutler, Joseph P. (Perkins Coie)" Date: Mon, 15 Dec 2008 17:00:53 -0800 To: <steve@stevevachani.com>; <filipe.herrera@powerinc.net> Subject: RE: Power.com Steve and Felipe, I am sorry that we were not able to match schedules on Friday. Facebook has reviewed this letter, and is willing to accept your offer to have Facebook Connect implemented by EOD December 26 which is two weeks from the date you sent the letter. Meanwhile, as you may know, Facebook has taken technical measures to limit the interaction between Power.com and its network at this time. In order to fully initialize your integrated Facebook Connect status, and to lift those technical measures, Facebook requires written confirmation of the following: 1. That Power.com has purged and destroyed all data that it obtained from the Facebook network or from Facebook users prior to implementation of Facebook Connect, including all login information and/or any other data obtained or scraped from Facebook's site. 2. That Power.com has ceased displaying Facebook's trademarks on its website, except as expressly permitted by Facebook's Terms of Use, Developer Terms of Service, and/or Facebook's Connect Policies (see http://wiki.developers.facebook.com/index.php/Facebook_Connect_Policies). 3. That Power.com has implemented Facebook Connect in strict adherence to Facebook's Terms of Use, Developer Terms of Service, and/or Connect Policies. 4. That Power.com has removed all compatibility with Facebook's site that does not comply with Facebook's Terms of Use, Developer Terms of Service and/or Connect Policies. 12/3/2009 Re: Power.com Page 3 of 5 5. That Power.com will in the future adhere to all of Facebook's Terms of Use, Developer Terms of Service, Connect Policies. While Facebook does not object to Power.com's efforts to interact with Facebook's developer teams via normal channels, it will not set up any special developer meetings for Power.com. Lastly, regarding your proposed notice to Facebook users: your Connect interaction must strictly comply with Facebook's applicable Terms and Policies. Posting a notice that casts Facebook's Connect system in a negative light will likely become counterproductive to your stated goals of working together with Facebook's developers. Facebook reserves its right to deny approval for any Facebook Connect application for any reason. I would still like to go over these items together on the phone. Are you available for a call tomorrow (Tuesday)? If so, what time? Please confirm that you agree with these terms, and that you will commit to integrating Facebook Connect by EOD, December 26, 2008. Please also confirm that you intend to provide the written confirmation as described above by that time. Thanks, Joe ________________________________ From: steve@stevevachani.com [mailto:steve@stevevachani.com] Sent: Friday, December 12, 2008 1:24 PM To: Cutler, Joseph P. (Perkins Coie) Cc: felipe.herrera@corp.power.com; Eric Santos Subject: Power.com Thank you for patience to allow us to clarify our plan of action on Power in regards to our discussion on Wednesday. We decided to move forward with the following steps 1) We will implement Facebook connect on our main login page and work with the capabilities of Facebook connect for the login to our site. Instead of a login for Facebook, users will have a button which then opens the Facebook connect window and allows them to login through Facebook connect. We will say that Facebook connects current capabilities are extremely limited and we would love the opportunity to provide a Facebook connect extension to Facebook that would allow us to enrich the experience for 12/3/2009 Re: Power.com Page 4 of 5 Facebook users. We will show that to the bus dev guys when we have a chance to meet with them. 2) We will delete any Facebook friend information we currently have. 3) We will move forward and use the Facebook features to utilize Facebook's IM, updates, and some other functionality that is already available. After we finish the implementation, we would like the opportunity to get Facebook's feedback. We have some simple innovative ideas that will follow Facebook connects system, but allow for better usability and integration. As stated earlier, we do believe that the user experience of Facebook connect is extremely limited at this stage and we hope to have an open and friendly relationship with the Facebook team to share ideas and complete solutions to allowing partners to do greater integration while addressing Facebook's concerns. 4) We are finishing a solution that we have already been discussing with other sites that is an extension to Facebook connect that Facebook could enable that will allow us to provide more functionality to Facebook users while protecting all the concerns of Facebook. 5) We do understand that there is no guarantee that Facebook will accept this solution, but our only request is that 6) We estimate that it will take us 2 weeks to completely finish this integration with Facebook connect and shift the user experience for our current users. 7) While have made the decision today to do this, we would request only one thing. We would like to meet with the business dev and guys involved on the product for thinking about solution for providing more flexibility with partners and at least present our simple code that Facebook could add that would allow us to provide a richer experience to our users and at the same time do it in a way that Facebook finds compatible with you they are envisioning their partners working with them in the future. I believed that this email addresses everything we discussed. The two requests we have and hope you will faciliate. 1) Can we get an email introduction to the correct people inside Facebook. We only ask for the introduction and we will follow up and see their interest to meet. 2) Provide us 2 (instead of one you offered) to implement this new solution. We did study Digsby and others and saw the changes they made in their UI to implement Facebook connect. 12/3/2009 Re: Power.com Page 5 of 5 Please call me now and we can discuss this further. I am heading to a flight shortly. NOTICE: This communication may contain privileged or other confidential information. If you have received it in error, please advise the sender by reply email and immediately delete the message and any attachments without copying or disclosing the contents. Thank you. 12/3/2009 Page 1 of 8 Dalton, Amy From: Sent: To: Cc: steve@stevevachani.com Friday, December 26, 2008 9:50 PM felipe.herrera@powerinc.net; Cutler, Joseph P. (Perkins Coie) Demetrescu, Nicole (Perkins Coie); McCullagh, James R. (Perkins Coie); steve@power.com Subject: Power.com Update - sent December 26th, 2008 Dear Joseph, I am writing to follow up to our discussions regarding Power.com's integration of Facebook connect, your requests for us to take down our current Power browser compatability with Facebook, and your complaints regarding our users storing their Facebook login information inside the Power Browser. I hope you will pass this letter on to Sam and other appropriate parties inside of Facebook to communicate our sincere desire to diplomaticaly resolve our current disagreement and help you reduce these disagreements with well intentioned companies like Power. Power.com is very committed to working with Facebook and we sincerely hope that this message of diplomacy and good intention is very clear in this letter. We would like to reiterate that we have made the decision to make every diplomatic effort possible to cooperate with Facebook to integrate your Facebook Connect solution on our login page. We had originally expected that it would take us 2 weeks to complete this integration, but with the holidays and the amount of work necessary to complete this integration, we realistically don't expect have this new solution fully integrated until January 30th. as we had previously discussed. After careful consideration and after previously thinking that it would better to take Facebook comptability down while we implemented this new solution, we have made the business decision to not prevent the interruption of service to our millions of users while working closely to make these changes to address Facebook's concerns. We sincerely hope that while this is not your desired action, you will respect our reasons for doing this and keep the door open and approve Power.com inside of Facebook connect when we go live in one month. Furthermore, we would like to work with Facebook to offer our complete browser tools to users with Facebook's consent and input into the user experience. The Power.com browser provides our users value added features across their Internet experience. Like most browsers, we have little interest to cause harm to Facebook or reduce Facebook's revenues. On the contrary, we are taking proactive steps to pass all Facebook ads through to the user inside our browser. Similar to Firefox, Internet Explorer, Flock, and other browsers and browser addons, we provide our users a browser to navigate and continue to use their existing sites and do not in any way attempt to obstruct users from using the sites they are accustomed to using every day. Like most browsers, we do offer our users the option to either start their experience on our home page or start on their default social network. Furthermore, we are about to launch a new solution which will pass Facebook ads inside of all Facebook content which is displayed outside of Facebook. This is something we can have ready by the end of January and which we can also enable for you to offer to other develpment partners whose only desire is to create positive applications for Facebook users. We are committed to working with the entire industry to responsibly create a borderless web where all 12/3/2009 Page 2 of 8 parties interests are respected when widgets, apps, messages, and other content are distributed outside of Facebook or outside the host site of any other web publisher. Power strives for complete transparency with our users by providing them explicit statements on our front page in two different places about the nature of our application, the fact that we are a value added browser with no endorsement by other sites, and we also require a user before using our service to read through and proactively accept our terms and conditions where we for the third time clarify the users consent and understanding that we are in no way affiliated with or endorsed by Facebook. We completely understand Facebook's position to not begin any business discussions with Power.com until we have become compliant with Facebook requests. We request that you please reconsider this decision and enable us to meet with Facebook as early as possible to diplomatically resolve this issue in a way that will allow us to keep creating new applications for Facebook and also help Facebook better accommodate other innovators and application developers like Power.com who only want to enrich your user's experiences. We are working to implement this complete solution with Facebook's cooperation by January 30th and sincerely hope that you will not misinterpret this delay and our decision to not interrupt the user experience of our mutual users as our lack of desire to work together with Facebook. If you maintain that you cannot faciliate a direct meeting, we will happily use our own contacts to start these discussions with Facebook, but it is difficult to start these discussions until after the holidays are over. We have no problem using our own contacts to get to the appropriate people at Facebook engaged in discussions in January to resolve this, but naturally prefer your assistance to speed things up. We believe that it would be a serious strategic mistake to disrupt the experience of the millions of Power.com users while we are actively working to complete the integration of Facebook connect. We believe that this would create unnecessary attention and disruption among users, the media, and the industry around what we believe is a discussion that can be handled maturely and quietly between our companies. I believe that Facebook understands the current challenges as Meebo and soon thousands of other sites that will connect to Facebook using open source technology solutions and other user driven solutions that are not endorsed by Facebook. We respect Facebook's objectives to create an open Internet which respects and protects users and enables developers to create new innovations to serve Facebook users. We think that it is important that we all diplomatically work together to achieve these goals for the best interests of users. The borderless web is inevitable and we all need to work together to define the best practices for this new and exciting Internet which Facebook has already played such a pivotal role in helping create over the past years. Power.com is very interested in sitting down with Facebook to discuss together the future of the borderless internet and work to address all of Facebook's concerns. I am willing to fly to San Francisco as early as possible to proactively present our solutions or we are happy to wait until after January 30th when we complete our integration of Facebook connect on our initial login page. 12/3/2009 Page 3 of 8 We believe that that your number one concern of protecting a users username and password will be resolved by our implemention of Facebook connect or by Facebook using an extension to Facebook connect that we would like to present to you which would allow Power and other outside developers maximum flexibility to innovate on top of Facebook while keeping the users username and password locked securely and safely outside the reach of Power.com or any other developer. We are currently supporting and helping introduce a new industry wide solution that will ensure that sites like Power.com, Meebo, eBuddy, and thousands of others will never have access or store Facebook usernames and passwords, but still have the maximum flexibility to innovate new applications on top of Facebook and all other sites on the Internet. We all share similar investors and partners and we are all striving for the same objectives. We believe that Facebook's second concern is the potential loss of revenues when Facebook content is accessed outside of Facebook. This coming month, Power.com will be introducing a solution which will pass all Facebook advertising through with your content that is displayed outside of Facebook. We are proceeding with this without being asked in order to further demonstrate our desire to diplomatically and responsibly address the issues of distributed content inside of mashed up websites. Power.com has no interest to interfere or to prevent Facebook from receiving revenue from all its content and will go out of its way to showcase to the industry how to responsibly solve this problem. We would welcome the opportunity to work with you to define these standards together with the leading sites on the web and introduce these standards together to the industry and inside of Facebook connect. Finally, as a browser, most of our users experience is actually inside of Facebook and other destination sites and we do not in any way prevent users from viewing the entire Facebook experience with all ads and revenues streams intact. While we understand your current requests to take down the current Facebook compatibility with the Power Browser today, we strongly believe that it is a mistake to disrupt the user experience of our millions of users and create attention around our private discussions. Unlike some other sites that you are dealing with that may truly be causing harm to Facebook, Power.com's only goal is to enable new applications which enhance Facebook's users experience inside your site. Therefore, we diplomatically request that you please grant us an extension until January 30th to work to achieve compliance with Facebook's request and to have time to diplomatically sit down with Facebook to present solutions that will assist you in dealing with these core issues not only with Power.com, but with the hundreds of other well intentioned developers who are only looking to create new innovations for Facebook, but who do not yet have the flexibility from Facebook to support their innovations. The floodgates are about to open and we would love to work proactively to solve these challenges together. We sincerely hope you respect our decision on this and look forward to building a healthy and diplomatic dialogue with Facebook to address your true concerns of protecting your users. And we apologize for the lack of clarity on our position until today and for any confusion we may have created from this lack of clarity. Facebook's initial strong reaction did catch us off guard and after careful consideration, we have crafted this letter to make clear our position and 12/3/2009 Page 4 of 8 desire and commitment to work together. Best Regards, Steve Vachani CEO, Power.com --- On Tue, 12/16/08, Cutler, Joseph P. (Perkins Coie) <JCutler@perkinscoie.com> wrote: From: Cutler, Joseph P. (Perkins Coie) <JCutler@perkinscoie.com> Subject: RE: Power.com To: steve@stevevachani.com, felipe.herrera@powerinc.net Cc: "Demetrescu, Nicole (Perkins Coie)" <NDemetrescu@perkinscoie.com>, "McCullagh, James R. (Perkins Coie)" <JMcCullagh@perkinscoie.com> Date: Tuesday, December 16, 2008, 10:41 AM Steve, I imagine you are in the air right now, but upon landing could you confirm whether you are still available at 12:00 Pacific Time? My schedule moved a bit today and I now have either 12-12:30 or after 2:00 available. I'd like to talk at noon as you originally proposed. Will that work? If I haven't heard from you then, I'll call you at noon. Thanks, Joe From: steve@stevevachani.com [mailto:steve@stevevachani.com] Sent: Monday, December 15, 2008 6:05 PM To: Cutler, Joseph P. (Perkins Coie); filipe.herrera@powerinc.net Cc: Demetrescu, Nicole (Perkins Coie); McCullagh, James R. (Perkins Coie) Subject: Re: Power.com 12/3/2009 Page 5 of 8 I will be free to go over these terms tomorrow. I am on a flight all morning, but should be free to talk around noon. Thanks, Steve Thanks, Steve Sent via BlackBerry by AT&T From: "Cutler, Joseph P. (Perkins Coie)" Date: Mon, 15 Dec 2008 17:00:53 -0800 To: <steve@stevevachani.com>; <filipe.herrera@powerinc.net> Subject: RE: Power.com Steve and Felipe, I am sorry that we were not able to match schedules on Friday. Facebook has reviewed this letter, and is willing to accept your offer to have Facebook Connect implemented by EOD December 26 which is two weeks from the date you sent the letter. Meanwhile, as you may know, Facebook has taken technical measures to limit the interaction between Power.com and its network at this time. In order to fully initialize your integrated Facebook Connect status, and to lift those technical measures, Facebook requires written confirmation of the following: 1. That Power.com has purged and destroyed all data that it obtained from the Facebook network or from Facebook users prior to implementation of Facebook Connect, including all login information and/or any other data obtained or scraped from Facebook's site. 2. That Power.com has ceased displaying Facebook's trademarks on its website, except as expressly permitted by Facebook's Terms of Use, Developer Terms of Service, and/or Facebook's Connect Policies (see http://wiki.developers.facebook.com/index.php/Facebook_Connect_Policies). 3. That Power.com has implemented Facebook Connect in strict adherence to Facebook's Terms of Use, Developer Terms of Service, and/or Connect Policies. 4. That Power.com has removed all compatibility with Facebook's site that does not comply with Facebook's Terms of Use, Developer Terms of Service and/or Connect Policies. 5. That Power.com will in the future adhere to all of Facebook's Terms of Use, Developer Terms of Service, Connect Policies. 12/3/2009 Page 6 of 8 While Facebook does not object to Power.com's efforts to interact with Facebook's developer teams via normal channels, it will not set up any special developer meetings for Power.com. Lastly, regarding your proposed notice to Facebook users: your Connect interaction must strictly comply with Facebook's applicable Terms and Policies. Posting a notice that casts Facebook's Connect system in a negative light will likely become counterproductive to your stated goals of working together with Facebook's developers. Facebook reserves its right to deny approval for any Facebook Connect application for any reason. I would still like to go over these items together on the phone. Are you available for a call tomorrow (Tuesday)? If so, what time? Please confirm that you agree with these terms, and that you will commit to integrating Facebook Connect by EOD, December 26, 2008. Please also confirm that you intend to provide the written confirmation as described above by that time. Thanks, Joe From: steve@stevevachani.com [mailto:steve@stevevachani.com] Sent: Friday, December 12, 2008 1:24 PM To: Cutler, Joseph P. (Perkins Coie) Cc: felipe.herrera@corp.power.com; Eric Santos Subject: Power.com Thank you for patience to allow us to clarify our plan of action on Power in regards to our discussion on Wednesday. We decided to move forward with the following steps 12/3/2009 Page 7 of 8 1) We will implement Facebook connect on our main login page and work with the capabilities of Facebook connect for the login to our site. Instead of a login for Facebook, users will have a button which then opens the Facebook connect window and allows them to login through Facebook connect. We will say that Facebook connects current capabilities are extremely limited and we would love the opportunity to provide a Facebook connect extension to Facebook that would allow us to enrich the experience for Facebook users. We will show that to the bus dev guys when we have a chance to meet with them. 2) We will delete any Facebook friend information we currently have. 3) We will move forward and use the Facebook features to utilize Facebook's IM, updates, and some other functionality that is already available. After we finish the implementation, we would like the opportunity to get Facebook's feedback. We have some simple innovative ideas that will follow Facebook connects system, but allow for better usability and integration. As stated earlier, we do believe that the user experience of Facebook connect is extremely limited at this stage and we hope to have an open and friendly relationship with the Facebook team to share ideas and complete solutions to allowing partners to do greater integration while addressing Facebook's concerns. 4) We are finishing a solution that we have already been discussing with other sites that is an extension to Facebook connect that Facebook could enable that will allow us to provide more functionality to Facebook users while protecting all the concerns of Facebook. 5) We do understand that there is no guarantee that Facebook will accept this solution, but our only request is that 6) We estimate that it will take us 2 weeks to completely finish this integration with Facebook connect and shift the user experience for our current users. 7) While have made the decision today to do this, we would request only one thing. We would like to meet with the business dev and guys involved on the product for thinking about solution for providing more flexibility with partners and at least present our simple code that Facebook could add that would allow us to provide a richer experience to our users and at the same time do it in a way that Facebook finds compatible with 12/3/2009 Page 8 of 8 you they are envisioning their partners working with them in the future. I believed that this email addresses everything we discussed. The two requests we have and hope you will faciliate. 1) Can we get an email introduction to the correct people inside Facebook. We only ask for the introduction and we will follow up and see their interest to meet. 2) Provide us 2 (instead of one you offered) to implement this new solution. We did study Digsby and others and saw the changes they made in their UI to implement Facebook connect. Please call me now and we can discuss this further. I am heading to a flight shortly. NOTICE: This communication may contain privileged or other confidential information. If you have received it in error, please advise the sender by reply email and immediately delete the message and any attachments without copying or disclosing the contents. Thank you. 12/3/2009

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