AMERICAN SOCIETY FOR TESTING AND MATERIALS et al v. PUBLIC.RESOURCE.ORG, INC.

Filing 124

MOTION to Strike #118 MOTION for Summary Judgment and Permanent Injunction MOTION for Permanent Injunction by PUBLIC.RESOURCE.ORG, INC. (Attachments: #1 Memorandum in Support [Redacted], #2 Declaration of Kathleen Lu, #3 Exhibit 1 to Lu Declaration, #4 Exhibit 2 to Lu Declaration, #5 Exhibit 3 to Lu Declaration, #6 Exhibit 4 [Redacted] to Lu Declaration, #7 Exhibit 5 to Lu Declaration, #8 Exhibit 6 [Redacted] to Lu Declaration, #9 Exhibit 7 to Lu Declaration, #10 Exhibit 8 [Redacted] to Lu Declaration, #11 Text of Proposed Order)(Bridges, Andrew)

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EXHIBIT 1 1 UNITED STATES DISTRICT COURT 2 FOR THE DISTRICT OF COLUMBIA 3 AMERICAN SOCIETY FOR : NO. 4 TESTING AND MATERIALS : 1:13-cv-01215-TSC- 5 d/b/a ASTM : DAR 6 INTERNATIONAL; : 7 NATIONAL FIRE : PROTECTION : 8 ASSOCIATION, INC.; : 9 and AMERICAN SOCIETY : 10 OF HEATING, : 11 REFRIGERATION, AND : 12 AIR CONDITIONING : 13 ENGINEERS, : Plaintiffs : 14 vs. : PUBLIC.RESOURCE.ORG, : 15 INC., : 16 Defendant : 17 Videotaped deposition of JOHN C. 18 JAROSZ taken at the law offices of Veritext 19 Legal Solutions, 1250 I Street NW, 20 Washington, DC, commencing at 10:09 a.m. 21 THURSDAY, AUGUST 27, 2015, before Debbie 22 Leonard, Registered Diplomate Reporter, 23 Certified Realtime Reporter. 24 25 PAGES 1 - 260 Page 1 Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 it. Objection to form. You're asking him to recall, without having all the materials in front of him? MR. BRIDGES: Yeah. MR. FEE: Okay. THE WITNESS: It's all laid out in my report, and the sources are provided in my report. I've not memorized all those. BY MR. BRIDGES: Q. But I don't think your report refers to upside-down materials, does it? A. I don't recall for sure, but I thought some of the documents that I cited make reference to those materials. I'm not sure that I cited the, for instance, upside-down materials, but I think I have discussions about that phenomenon. Q. With whom? A. In written materials that I've cited. Q. Have you had oral discussions about what you have referred to as that phenomenon? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 beyond the document production to verify that information. Q. But you don't recall seeing any defective materials yourself, correct? A. That's correct. I do not. Q. You just relied upon the word of others, correct? MR. FEE: Objection. Vague. Mischaracterizes his testimony. THE WITNESS: I relied upon written documents I saw and conversations that I had. BY MR. BRIDGES: Q. What written documents did you see that discussed these issues? MR. FEE: Objection. Asked and answered. THE WITNESS: And I'm sorry. I can't point you to the particular ones. Perhaps, through the course of the day, my memory will be refreshed on that. BY MR. BRIDGES: Q. If you relied upon those written documents, would you have cited to Page 22 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Yes. Q. With whom? A. Counsel here. Q. With anybody else? A. I don't think so. It's possible, but I'm not recalling anything else. Q. And when you say discussions with "counsel here," you're referring to the counsel at the table here today at the deposition? A. Correct. And we should add to that Jordana Rubel, who's been a person that I've had conversations with over the last several months. Q. What did you do to verify any of the statements to you from counsel about these facts you've referred to about the materials that the defendant has disseminated? A. I don't think I did separate verification. I may have seen some documents that provide or provided confirmation of that fact, but I don't recall separately going out Page 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 those written documents in your report? A. Perhaps. Q. Why do you say "perhaps"? A. I can't say with absolute certainty what I do. But often, if something is a direct support for a factual observation, I will often cite that source, but not always. Q. What previous -- strike that. What training or education have you ever received with respect to standards development organizations? MR. FEE: Objection to form. THE WITNESS: I don't recall if I've had a course in standard development. Probably it has been part of some of the economics courses that I've taken over the years. In my profession and the work that I've done in the last 30 years, I've had occasion to look at and evaluate standards organizations and the output from those organizations. So it is among the topics that I've investigated in the course of my Page 23 Page 25 7 (Pages 22 - 25) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 consulting career. BY MR. BRIDGES: Q. In what context? A. There have been several matters I've had, litigations, that have involved standard setting organizations and the outputs from those organizations. Q. What organizations? A. Well, some that come to mind are ETSI, IEEE, the Blu-ray Association, MPEG, MPEG L.A., the Philips 6C and Philips 3C organizations. Those are among the ones that come to mind. Q. And what types of litigation did your work relating to those standard setting organizations involve? MR. FEE: Objection to form. THE WITNESS: It was almost all intellectual property litigation, with probably the bulk of the analyses undertaken with regard to patent rights. BY MR. BRIDGES: Q. Do you recall -A. I guess I should -- there were 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 standards development organization that you've worked on? A. Again, I'd have to go back and look at my records. I can't right now recite any, but there very well could be one or more. Q. Did you review any of your work in -- from earlier copyright cases involving standards development organizations in connection with your work in this case? A. Not to the best of my memory, no. Q. What background do you have in the creation of standards by standard development organizations? MR. FEE: Objection to form. THE WITNESS: In the context of some of my consulting assignments, I have examined processes undertaken by SDOs. BY MR. BRIDGES: Q. Anything else? A. Nothing else comes to mind. I've certainly looked at the output associated with those processes, but there's Page 26 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 probably some breach of contract matters as well. Q. Did you work on any matters involving copyright law where you became familiar with the work and outputs of standards setting organizations before this case? A. Probably, but I cannot say that with absolute certainty. I've been involved in several matters over a course of many years. Q. Can you name any copyright matter involving a standards development organization that you recall? A. Not now, without going back and looking at my records. Q. Would they be listed in the cases attached to Exhibit 1? A. That would summarize some of my records. The cases that are embodied in my tab 1 are those that led to deposition or trial testimony. I've been involved in many matters beyond those. Q. But sitting here, you cannot recall any copyright case involving a Page 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 nothing else that comes to mind. Q. What processes undertaken by standards development organizations did you examine? MR. FEE: Objection. Are you asking prior to the report still? MR. BRIDGES: Yes. MR. FEE: Okay. THE WITNESS: I'm not quite -MR. BRIDGES: Or other than in this case. MR. FEE: Okay. THE WITNESS: I'm not quite sure what you're asking. I've seen discussion of the some of the processes of various organizations. I'm not -- I'm not quite sure what you're asking. Perhaps you could ask it somewhat differently. BY MR. BRIDGES: Q. Well, no. You said, quote, "I have examined processes undertaken by SDOs." So my question is, what processes undertaken by standards development organizations did you examine? Page 27 Page 29 8 (Pages 26 - 29) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. It sounds like the same question to me. Q. Specifically, what processes did you examine? A. That still sounds like the same question, but let me try to answer it by saying I've looked, for instance, at the mechanisms that ETSI undertook in developing standards. So I am familiar generally with the processes that it follows. Similarly with regard to other standard setting organizations. Q. What other standard setting organizations? A. Well, I think I identified those a few moments ago. Do you want me to repeat those? Q. Well, if -- are you saying that, for all of those organizations, you examined their processes? A. In some dimension, probably for most of the organizations, I had at least some knowledge of the process. I can't say that I investigated in depth all of the processes for all of the organizations that 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 manufacturers only. Others include a wider array of companies. In all instances, though, the companies are trying to -- the standards setting organizations are trying to develop at least some form of consensus -- sometimes it's very broad consensus; sometimes it's more narrow consensus -- about what would be good for that standards setting organization. Sometimes the SSOs are interested in what's best for the manufacturers and the ability for them to supply in an interoperable environment. In some cases, the SSOs are very alert to the needs of consumers and users of products and services that comply with standards. Q. You've distinguished between standards setting organizations and standard development organizations. What is the distinction that you -- that you identify between the two? A. I think I said I didn't know if there is for sure a distinction, but I think an SSO is perhaps a broader concept than an SDO, but I might be wrong on that. Page 30 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 have been involved in my consulting assignments that are standards oriented. Q. What do you recall about your investigation of the processes by which standards development organizations create their standards? A. I should say I -- SDO is probably not the right term to use. I should probably say standards setting organizations. There may be a distinction between an SSO and an SDO. But, generally, each SSO has a process that's unique to its organization. Some solicit input from a wide range of constituents; some from a more narrow range. The ones that I have examined have all been fairly careful in the work that they've done, seeking input at many steps along the way. Some organizations, like SDOs at issue here, seek a broader array of inputs than do others. Some organizations, standards setting organizations, include primarily or only manufacturers and sometimes large Page 32 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I know the companies -- I -the plaintiffs here are SDOs. The associations are, among other things, in the business of creating and developing standards. There could be other SSOs that have different constituents that are of interest to them. I don't know for sure that an SSO is a broader concept than an SDO, but it could be. Q. What do you understand to be the constituents of the plaintiffs in this case? MR. FEE: Objection to form. THE WITNESS: I laid that out in my report. In summary, I believe they try to include in the process both those -- both supply-side entities and demand-side entities. BY MR. BRIDGES: Q. Who else are plaintiffs' constituents? MR. FEE: Same objection. THE WITNESS: I can't think of anything that doesn't fall within Page 31 Page 33 9 (Pages 30 - 33) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. So those would be harms caused by a court decision? MR. FEE: Same objection. THE WITNESS: By continuing activities by the defendant that are not halted by the Court. BY MR. BRIDGES: Q. Well, it comes across, frankly, in your report as though you're identifying harms that would flow from a court decision. MR. FEE: Objection. BY MR. BRIDGES: Q. Is that correct or not? A. No, I think you -MR. FEE: Mischaracterizes the report. THE WITNESS: -- you misread it. I don't think I said that or meant to say that. BY MR. BRIDGES: Q. So what harms have occurred from the -- from the defendant's conduct to date? A. At the risk of repeating myself, some of that is summarized in 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 think basically what I'm saying is what would -- or addressing, is what would be the harm to the plaintiffs if there's no permanent injunction. BY MR. BRIDGES: Q. Well, what did you mean by "losing copyright protection" in the paragraph -- in the heading VI on page 48? A. In essence, you can think of it as what would happen if there's no permanent injunction. In other words, what the defendant has done in the past and what it's likely to do in the future is allowed to continue. Q. And you immediately go into paragraph 112 talking about Emily Bremer, correct? A. I don't know what you mean by "immediately." It's the first paragraph in Section VI. Q. Right. Was Emily Bremer in the passage you referred to referring to the presence or absence of a permanent injunction in this case? A. I don't think explicitly she Page 66 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 paragraph 133, with regard to tangible evidence on harm. With regard to other evidence, it's throughout the report. Q. So why would it make a difference to what the defendant's harms are -- strike -- strike that. Why would it make a defendants [sic] to the plaintiffs' harms if the plaintiffs' harms were continue with -strike that. Is it your testimony that harms to plaintiffs would be different depending on the particular basis of the Court's ruling? MR. FEE: Objection. Vague. THE WITNESS: I -- I don't understand your question. BY MR. BRIDGES: Q. It looks as though you're stating what the harms would be if the Court found that incorporation by reference would cause the plaintiffs to lose copyright protection; is that correct? A. I don't -MR. FEE: Objection. Vague. THE WITNESS: -- think so. I Page 68 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 was addressing that issue, no. Q. Do you think implicitly she was referring to this case? A. No. I thought you were asking about permanent injunction. I don't think she was addressing the -- an injunction issue. She was addressing the concept of copyright protection. Q. And that's what you quoted her for, right, was for the concept of copyright protection for standards? MR. FEE: Objection. You're referring just to paragraph 112? BY MR. BRIDGES: Q. You may answer. MR. FEE: Objection to form. THE WITNESS: I -- I don't understand the question. BY MR. BRIDGES: Q. You quoted her in paragraph 112, correct? A. Yes. From one of her two articles, yes. Q. Right. Regarding the concept of copyright protection? Page 67 Page 69 18 (Pages 66 - 69) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Generally. I think she's talking about standards development and incorporation by reference. I don't remember if she said at the very beginning of the article that it was about copyright protection, but she certainly talks about copyright protection. Q. And you're quoting her about losing copyright protection, and you're placing it in the context of harms of the loss of copyright protection, correct? MR. FEE: Objection to form. THE WITNESS: This excerpt doesn't specifically talk about losing copyright protection, but it talks about the concept of it. If there was no longer copyright protection granted to the SDOs, what would be the repercussions. BY MR. BRIDGES: Q. And that's the context that you identified in the first line of paragraph 112, correct? A. Yes. MR. FEE: Objection to form. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. "Such products" -A. And in the next two sentences. Q. And these are other products that "could include more sophisticated Web-based availability, published compilations of incorporated standards, and other ancillary products that incorporate the standards"; isn't that correct? A. You didn't read that right. It starts "such products could include." Q. Okay. Otherwise, that reading is correct, correct? A. I think so. Q. You consider that to be harm to the plaintiffs? MR. FEE: Objection. Vague. THE WITNESS: It could be, yes. It's likely to be, if the copyright infringement or the assumption of a copyright infringement continues. It could broaden. BY MR. BRIDGES: Q. Right. But the fact that these other types of products would enter the marketplace is part of the harm that you Page 70 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. Let me direct your attention to paragraph 35 of your report. It says, "With regard to expansion beyond the specific actions of Public Resource here, the 'product' offerings of Public Resource scans of paper copies of standards with some rekeying of text and some redrawing of diagrams (with some containing errors) represent a rudimentary first step in the use of Plaintiffs' standards that is likely to become much more sophisticated if the Court holds that third parties are free to use Plaintiffs' standards with impunity after they are incorporated by reference into law." Do you see that? A. Yes, I do. Q. That is your statement, correct? A. Yes. Q. What are the steps that you're envisioning there beyond the rudimentary first step that you identify? A. I think they're laid out in the next sentence. Page 72 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 envision from the defendant in this case? MR. FEE: Objection to form. THE WITNESS: It's potential -there's a potential that the defendant could do that. There's also the potential that other parties could do that. BY MR. BRIDGES: Q. What -A. I don't know for sure what the defendant has in mind. Q. Why did you take into account harms caused by other parties in this case? A. Because -MR. FEE: Objection. Lack of foundation. Go ahead. THE WITNESS: If no copyright protection is allowed here, in other words, there's no permanent injunction, Public Resource and other parties like it will have freedom to do what the plaintiffs believe they should not have freedom to do. BY MR. BRIDGES: Page 71 Page 73 19 (Pages 70 - 73) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. In other words, if the Court makes a decision in a certain way, there will be harms from persons or entities other than Public.Resource.Org to the plaintiffs? Is that your testimony? MR. FEE: Objection to form. THE WITNESS: You used the phrase "in a certain way." I don't know what you mean by that. I'm addressing the issue of whether there should be a permanent injunction or not. BY MR. BRIDGES: Q. So your view is that, if the Court does not enter a permanent injunction, the plaintiffs will suffer harms from parties other than Public.Resource.Org. Is that your testimony? A. That potential exists. I don't know for sure. That's, in part, why the harm is irreparable or very difficult to quantify. Q. The -- what harm? A. Continuing activity of Public Resource and others. I don't know exactly what will happen, but the potential is that 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 standards. Q. What further harm would Public.Resource.Org cause to plaintiffs with respect to the standards at issue in this case if no -- if the Court does not permanently enjoin Public.Resource.Org? MR. FEE: Objection to form. THE WITNESS: If there's no permanent injunction, there will, in essence, be a message sent to the marketplace that the standards that have already been disseminated are out there and can be used by others. So right now my expectation is that some number of consumers of the standards have been reluctant or unknowing as to the standards disseminated by Public Resource. Now there will be more knowledge about that and more approval of that activity. That is if there's no permanent injunction. BY MR. BRIDGES: Q. What harms will plaintiffs suffer if the Court rules that the plaintiffs Page 74 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 there could be very broad dissemination of the standards, which would impact these SDOs tremendously. Q. What harm would Public.Resource.Org cause to plaintiffs if there is no permanent injunction? A. A permanent injunction would -lack of a permanent injunction would harm the SDOs. Q. That wasn't my question. My question was, what harm would Public.Resource.Org cause to plaintiffs if there is no permanent injunction? A. At the very least, it's associated with its historical dissemination of these standards, and there would be, in essence, a carte blanche for other organizations or individuals to access those. So my expectation is that the dissemination of the materials that have already been disseminated will expand. It could also be the case that Public Resource will undertake further activities that would disseminate either already disseminated standards or other Page 76 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 do not own the copyrights in this case? MR. FEE: Objection. Calls for speculation. THE WITNESS: In essence, you're asking if there's no copyright infringement? BY MR. BRIDGES: Q. No. What harms -- have you identified what harms the plaintiffs would suffer if the Court rules that the plaintiffs do not own the copyrights at issue, that there are no copyrights that the plaintiffs own -MR. FEE: Objection to form. BY MR. BRIDGES: Q. -- at issue in this case? A. I haven't addressed or thought about that issue. There are also, don't forget, trademark issues. Q. I'm asking about copyright, so I ask you to confine your answers to my questions. My question is, what -- you assume for purposes of your analysis that plaintiffs own valid copyrights, correct? Page 75 Page 77 20 (Pages 74 - 77) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I assume that there's copyright infringement. I don't know that I've made an explicit assumption with regard to ownership. Q. And you assume infringement without assuming ownership of the copyrights? A. I haven't made any explicit assumption with regard to ownership. I know that's an issue in this case, but it's well beyond my expertise. Q. So if it turns out that -- do you understand your testimony to have any bearing on whether plaintiffs' standards are copyrightable? MR. FEE: Objection. Calls for speculation. I would instruct you to not disclose any communications you had with counsel that weren't the basis for any of your opinions in this case. You can otherwise answer. THE WITNESS: Could you read that back or ask it again, please? BY MR. BRIDGES: Q. Do you understand your testimony and opinions in this case to have 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 plaintiffs deserve copyright protection for these standards? MR. FEE: Objection to form. THE WITNESS: I don't have an opinion on that one way or the other. I have not thought about that topic. BY MR. BRIDGES: Q. Do you have any expertise in copyright law as a field of law? MR. FEE: Objection. Vague. THE WITNESS: No, I don't have legal expertise. I have expertise in looking at harm associated with copyright infringement. BY MR. BRIDGES: Q. Do you have any expertise with respect to harm caused by invalidation of copyrights? MR. FEE: Same objection. THE WITNESS: I'm not quite sure I'm fully appreciating your question. Again, I'm an expert in the economics of IP protection. One of the areas in which I do work is harm associated with copyright protection. Page 78 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 any bearing on whether plaintiffs' standards are copyrightable? MR. FEE: Same objection and instruction. Plus objection, calls for a legal conclusion. THE WITNESS: I don't know one way or the other. I've not taken on that assignment. BY MR. BRIDGES: Q. Do you understand whether your testimony and opinions in this case are relevant to whether plaintiffs deserve copyright protection in this case? MR. FEE: Objection. Calls for a legal conclusion. And same objection with respect to communications between you and counsel that were not the bases for your opinions or your report. THE WITNESS: I don't know one way or the other. I did not take on that assignment. BY MR. BRIDGES: Q. Do you mean by your analysis and opinions to suggest in any way that Page 80 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. Have you done any work in this case to quantify what harms plaintiffs would suffer if a court were to rule that they lacked copyright rights in the standards at issue in this case? MR. FEE: Objection to form. Go ahead. THE WITNESS: Not explicitly, to my knowledge. BY MR. BRIDGES: Q. Have you done anything implicitly? MR. FEE: Same objection. THE WITNESS: Not to my knowledge. BY MR. BRIDGES: Q. Have you done any work in this case to analyze the incentives that participants have in the standards development process? MR. FEE: Objection to form. Vague. THE WITNESS: I have in the sense that I've examined the materials Page 79 Page 81 21 (Pages 78 - 81) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Right. Or approximately $3 million? A. Are you limiting it just to 90.1 or all its standards? Q. Well, that's a good question. What -- what's -- what did you intend the last sentence in paragraph 76 to refer to? All of its standards or 90.1? A. I think it's all of its standards, but we could visit the screenshot from the Web site to confirm that. Q. Okay. A. I -- I could be wrong. I don't think I am, but I could be. Q. Okay. In the previous sentence, you say, "ASHRAE and its volunteer members devoted more than 86,400 man-hours, 3,600 hotel nights, and 1,200 round-trip flights as part of the process." And that -- "the process" appears to refer to updating the ASHRAE 90.1 standard, correct? A. Yes. Q. When you say "ASHRAE and its volunteer members," and then you give those 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: Again, I don't have an estimate. BY MR. BRIDGES: Q. Do you know -- did ASHRAE pay for the time, the hotel bills, and the plane fares of its volunteer members in updating the ASHRAE 90.1 standard? A. I would expect rarely. It's possible that there are certain instances in which there was some set of out-of-pocket expenses covered, but I would imagine the bulk of the time it's the volunteer's employer. MR. BRIDGES: Sorry. How long have we been going? I didn't get when we went back on. MR. FEE: 34 minutes. BY MR. BRIDGES: Q. Did you speak with Emily Bremer at any point in this case? A. No. Q. How did you become acquainted with her writings? A. I think Kevin Fee and/or Jordana Rubel brought to my attention that Page 90 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 statistics, those statistics refer primarily to the man-hours, hotel nights, and round-trip flights of the volunteer members? MR. FEE: Objection. Vague. THE WITNESS: Probably. As opposed to ASHRAE-employed staff. BY MR. BRIDGES: Q. Do you know how much ASHRAE's volunteer members and their employers -strike that. Do you know how much ASHRAE's volunteer members and their employers spent in salaries and disbursements for the man-hours, hotel nights, and round-trip flights that were part of the process of updating the ASHRAE 90.1 standard? A. I don't know, but it -- I would imagine it's a noticeable amount, but I don't know the amount. Q. What would be your best estimate? A. I don't have a best estimate. Q. Would it be probably over $10 million? MR. FEE: Objection to form. Page 92 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 she had written on this topic. I don't recall whether then we separately obtained her two articles or Mr. Fee slash Ms. Rubel provided those to us. Q. What independent work did you do to research writings regarding the economics of standards development? MR. FEE: Objection to form. THE WITNESS: We did independent research in the sense that people that work with me did a literature search to determine what writings had been done in the area. I was previously aware of some amount of the scholarship to begin with. BY MR. BRIDGES: Q. How is that literature search reflected in any documents? A. The results are shown in my tab 2, and in particular it is page 2 of my tab 2, at the bottom. Q. And were these items found by you or your team? MR. FEE: Objection to form. Page 91 Page 93 24 (Pages 90 - 93) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: Yes, with the exception that, in the first instance, lawyers at Morgan Lewis brought to our attention the Bremer -- the existence of Bremer articles. BY MR. BRIDGES: Q. Did you study any of the materials that Bremer -- strike that. Bremer's articles are law review articles, correct? A. Yes. Q. Did any plaintiff -- did your team's research identify any articles that you chose not to include in tab 2? A. I don't think so. Q. Did any plaintiff or its counsel furnish you with correspondence between the plaintiffs and Emily Bremer for review? A. No, not to my knowledge. Q. How many conversations with representatives of the plaintiffs did you have? MR. FEE: Objection. I would instruct you not to 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the various plaintiffs. Q. With whom? A. They are all identified in paragraph 10 of my report. Q. Which of those did you personally have conversations with? A. All of them, as I recall. It's possible there's someone I did not, but I'm not remembering that being the case. Q. Approximately how long did you spend with -- did you have conversations with any of them together? A. Yes, several of them were together. Q. Which ones? A. I don't recall all combinations. I can say with some confidence that there was never more than one plaintiff on a call. In other words, there were several people from a particular plaintiff on a call, but not more than one plaintiff. So I had various combinations of calls with ASTM that may have occurred on three occasions; with NFPA, one or two occasions; and with ASHRAE, one or two Page 94 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 answer questions regarding communications with counsel, unless they formed the basis of your opinions, in which case you can answer questions with respect to those conversations. BY MR. BRIDGES: Q. So I -- I'll change my question slightly. How many -- how many conversations did you have with non-lawyer employees or former employees of the plaintiffs? A. None that the -- that did not include the lawyers. Q. Right. I'm -- so I'm asking you to tell me what they were. If the presence of lawyer -- if you had a conversation with a -- with an employee or former employee of the plaintiff, I'd like to know what that was. So the fact that lawyers may have been present wouldn't excuse it from the scope of the answer. A. I had somewhere between four and six conversations with people who were at Page 96 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 occasions. Q. And approximately how long total did you spend in conversations with representatives of each plaintiff? MR. FEE: Objection to form. THE WITNESS: Cumulatively, somewhere between three and five hours is my best guess right now. BY MR. BRIDGES: Q. When you say cumulative -"cumulatively," you mean for all plaintiffs? A. Yes. Meaning I'm -- I've added up the conversations I had across all three plaintiffs. Q. Right. What's your best estimate as to the period of time you spent with each plaintiff? A. With ASTM, it may have been two to three hours. For NFPA, one to two hours. For ASHRAE, one to two hours. That's my best guess right now. * * * (Jarosz Exhibit 2 and Jarosz-3 marked for identification.) * * * Page 95 Page 97 25 (Pages 94 - 97) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 record at 12:17. This is the end of media unit number 1. * * * (Recess from 12:17 p.m. to 12:32 p.m.) * * * THE VIDEOGRAPHER: On the record at 12:32. This is the beginning of media unit 2 in the deposition of John Jarosz. BY MR. BRIDGES: Q. Mr. Jarosz, your report, as I referred to earlier, cites a number of conversations with employees of the plaintiffs. For what purpose did you have conversations with the plaintiffs' employees? A. To learn more about the organization and their view as to the impact of continued copyright protection -continued copyright infringement and trademark infringement. Q. What view did you learn from them? MR. FEE: Objection to form. THE WITNESS: Well, I solicited 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 you interview? A. I don't think I interviewed any members of the public either. Q. What steps did you do to ascertain the views of the members of the organizations, other than the employees? A. I read the materials that were produced here. I read the deposition testimony of the various individuals. I read the articles published by Ms. Bremer. And I read the other academic literature and practical literature that I had. Q. Which of those sources stated the views of the non-employee members of the various organizations? A. I don't know that views of -that their views were explicitly addressed in my report or represented. I understood what the impacts of the lack of honoring the copyrights and trademarks would have, but I don't know that I saw non-employee member views explicitly summarized. Q. So what steps did you do to ascertain the views of the members of the organizations -- Page 110 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 and learned many facts about the organizations. I also learned that each one of them viewed continued copyright infringement and trademark infringement as quite detrimental to their organizations, detrimental to the members, detrimental to the public. They viewed continued IP infringement as potentially devastating to their organizations. BY MR. BRIDGES: Q. These were their views? A. Yes. I'm just paraphrasing, of course. Q. What members did you interview? A. None, other than the employees. I don't know if you call those "members" or not. But the volunteer membership, I didn't go to. THE VIDEOGRAPHER: Excuse me. Counsel, could you move your microphone to your lapel? Thank you. BY MR. BRIDGES: Q. What members of the public did Page 112 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. FEE: Objection. BY MR. BRIDGES: Q. -- other than their employees? MR. FEE: Asked and answered. THE WITNESS: Well, I talked to the employees, and they interact with the members on a very regular basis, so they gave me some sense of what the views of the members were. It also could be that some of the perspectives of the members are reflected in some of the documents I identified in tab 2. BY MR. BRIDGES: Q. Well, I'm just trying to find out where -- it sounds as though -- strike that. It sounds as though a minute ago you said you couldn't recall anything specifically calling out views of non-employee members, correct? A. Correct. I think that's right. Q. What did you do to verify the statements that employees of the plaintiffs made about the views of the non-employee Page 111 Page 113 29 (Pages 110 - 113) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 members of their organizations? A. I did what I normally do in an assignment like this and look at the produced materials. Q. And the produced materials did not call out specifically any views of non-employee members of the plaintiff organizations, correct? A. I don't recall any specific views being summarized. My memory may not be perfect on that, though. Q. What research, if any, did you do among members of the public about whether lack of copyright protection for the plaintiffs' standards would be detrimental to the -- to the public? A. The information that I reviewed is in tab 2. I didn't have material beyond what is identified in tab 2. Q. So what in tab 2 reflects your steps to ascertain the views of members of the public? MR. FEE: Objection to form. THE WITNESS: I think the Bremer articles, in part, address 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 States other than law review articles by Emily Bremer? A. As I sit here right now, I'm not aware of any documents that discuss the deliberations, but my memory is not perfect. Q. Do you know if there was a consensus in any relevant committee of the Administrative Conference of the United States regarding the conclusions that Ms. Bremer states in her law review articles? A. I don't. MR. FEE: Objection. Vague. BY MR. BRIDGES: Q. Do you know whether there was any dissent in any relevant committee of the Administrative Conference of the United States regarding the conclusions that Ms. Bremer states in her law review articles? MR. FEE: Objection to form. THE WITNESS: I don't. BY MR. BRIDGES: Q. Do you know why persons get appointed to the Administrative Conference of the United States? A. I may have known that, but I Page 114 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that. I think some of the federal government's circulars that I identify, in part, reflect the reviews, in particular the NTTAA of 1995 and OMB Circular A-119. I think they, in part, reflect public views. There are probably other things. BY MR. BRIDGES: Q. Did you review OMB Circular A-119 personally? A. Yes. As I recall, I did. Q. Did you review any materials pertaining to the discussions or deliberations of the Administrative Conference of the United States in connection with your research or analysis? A. What particular materials or meetings are you referring to? Q. Any. A. I don't recall, but it's possible. Q. Does tab 2 refer you to any documents that would provide you information about the discussions or deliberations of the Administrative Conference of the United Page 116 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 don't recall that sitting here now. Q. Do you know whether Ms. Bremer's articles -- strike that. Do you know whether Ms. Bremer's law review articles reflect a view of the Administrative Conference of the United States -MR. FEE: Objection to form. BY MR. BRIDGES: Q. -- or of any of its committees? MR. FEE: Objection to form. THE WITNESS: I'm not aware that they officially reflect that. I believe she gathered information, and they may, in fact, represent the views of some or all members, but I don't think that's -- that either article is an official representation -BY MR. BRIDGES: Q. Are you -A. -- of that body. Q. Are you aware of the fact that her articles -- her law review articles specifically disclaim her articles as the views of any government entity and indicate Page 115 Page 117 30 (Pages 114 - 117) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 members of their organizations? A. I did what I normally do in an assignment like this and look at the produced materials. Q. And the produced materials did not call out specifically any views of non-employee members of the plaintiff organizations, correct? A. I don't recall any specific views being summarized. My memory may not be perfect on that, though. Q. What research, if any, did you do among members of the public about whether lack of copyright protection for the plaintiffs' standards would be detrimental to the -- to the public? A. The information that I reviewed is in tab 2. I didn't have material beyond what is identified in tab 2. Q. So what in tab 2 reflects your steps to ascertain the views of members of the public? MR. FEE: Objection to form. THE WITNESS: I think the Bremer articles, in part, address 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 States other than law review articles by Emily Bremer? A. As I sit here right now, I'm not aware of any documents that discuss the deliberations, but my memory is not perfect. Q. Do you know if there was a consensus in any relevant committee of the Administrative Conference of the United States regarding the conclusions that Ms. Bremer states in her law review articles? A. I don't. MR. FEE: Objection. Vague. BY MR. BRIDGES: Q. Do you know whether there was any dissent in any relevant committee of the Administrative Conference of the United States regarding the conclusions that Ms. Bremer states in her law review articles? MR. FEE: Objection to form. THE WITNESS: I don't. BY MR. BRIDGES: Q. Do you know why persons get appointed to the Administrative Conference of the United States? A. I may have known that, but I Page 114 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that. I think some of the federal government's circulars that I identify, in part, reflect the reviews, in particular the NTTAA of 1995 and OMB Circular A-119. I think they, in part, reflect public views. There are probably other things. BY MR. BRIDGES: Q. Did you review OMB Circular A-119 personally? A. Yes. As I recall, I did. Q. Did you review any materials pertaining to the discussions or deliberations of the Administrative Conference of the United States in connection with your research or analysis? A. What particular materials or meetings are you referring to? Q. Any. A. I don't recall, but it's possible. Q. Does tab 2 refer you to any documents that would provide you information about the discussions or deliberations of the Administrative Conference of the United Page 116 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 don't recall that sitting here now. Q. Do you know whether Ms. Bremer's articles -- strike that. Do you know whether Ms. Bremer's law review articles reflect a view of the Administrative Conference of the United States -MR. FEE: Objection to form. BY MR. BRIDGES: Q. -- or of any of its committees? MR. FEE: Objection to form. THE WITNESS: I'm not aware that they officially reflect that. I believe she gathered information, and they may, in fact, represent the views of some or all members, but I don't think that's -- that either article is an official representation -BY MR. BRIDGES: Q. Are you -A. -- of that body. Q. Are you aware of the fact that her articles -- her law review articles specifically disclaim her articles as the views of any government entity and indicate Page 115 Page 117 30 (Pages 114 - 117) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that they are her personal views? A. I wouldn't be surprised and may -- I may have read that, but I would expect that that would be in the first footnote of one or both articles. Q. What did you do to examine the alleged facts that the representatives of plaintiffs stated to you in their conversations with you? MR. FEE: Objection to form. THE WITNESS: I looked at -MR. FEE: Asked and answered. THE WITNESS: I'm sorry. I looked at the document production and the other materials shown in tab 2. BY MR. BRIDGES: Q. You looked at the document production that the plaintiffs' counsel furnished you? A. In part. There were other things in tab 2 that were not provided to me by plaintiffs' counsel. Q. What other materials in tab 2 -- strike that. Please identify for me in tab 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I believe counsel did not provide the Web site screenshots, but I might be wrong on that. Q. And did you do anything -what, if anything, did you do to test the validity of the factual assertions that the plaintiffs made to you in your conversations with their employees? MR. FEE: Objection to form. Asked and answered. THE WITNESS: Well, we looked at materials. If we found things that conflicted with what we learned, that would prompt us to investigate further. But I don't recall seeing any documentary evidence that conflicted with facts that were provided by plaintiff personnel, but I might be wrong. BY MR. BRIDGES: Q. Did you investigate independently whether documents existed that contradicted plaintiffs' statements of facts? A. Not with that in mind. We looked at the documents and were mindful of Page 118 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the materials that plaintiffs' counsel furnished you. A. I don't know with absolute certainty, but let me give you my best guess. I believe all the depositions that are shown on page 1. I believe the Bates ranges at the very top of the page were provided by counsel. The deposition transcripts and exhibits were provided by counsel. I believe the financial statements and plans were provided by counsel. I believe the legal documents were provided by counsel. I believe the miscellaneous items were provided by counsel. I don't know about the cases and laws. I just don't remember if we separately gathered those or were provided those. The analyst reports, articles, books, and presentations, I think we gathered all of those, with the possible exception of the two Bremer articles. I don't recall if counsel provided that or we obtained those separately. Page 120 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 whether there were conflicts within documents or conflicts between documents and other information, but I don't recall that we saw anything that gave us substantial pause. There were probably some things where there were some uncertainties whether there was a conflict or not and some where there were insignificant conflicts, but I think mostly the information we saw did not conflict with the information we learned from plaintiff personnel. Q. Did you investigate independently whether other documents, apart from the documents plaintiffs furnished you, existed that contradicted plaintiffs' statements of facts -MR. FEE: Objection to form. BY MR. BRIDGES: Q. -- in conversations with you? A. Yes, in the sense that we gathered some information that we did not receive from plaintiffs' counsel, but all of that is identified in tab 2. Q. Which part of tab 2? A. Well, as I said, I think the Page 119 Page 121 31 (Pages 118 - 121) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Web sites we gathered ourselves, and I think the reports and articles, with the exception of the Bremer articles, we gathered ourselves. Q. Do you know why you got no documents from NFPA, no Bates range documents from NFPA? MR. REHN: Object to form -THE WITNESS: I don't know why we did not receive Bates documents -THE REPORTER: Wait. MR. REHN: Sorry. Object to the form. Lacks foundation. THE WITNESS: I don't know for sure that we didn't receive Bates-stamped documents, but I believe some of the documents we received were NFPA documents. BY MR. BRIDGES: Q. Do you recall seeing any NFPA documents that -- in which NFPA personnel stated that they could not show any harm from the defendant's activities? A. Received any documents that said that? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What did you hear about overseas litigation involving Public Resource? A. I think I heard that there was a German -- or a suit in Germany, but I'm not sure that I learned much more than that. I don't recall what status that suit -- what the status of that suit is. Q. Do you recall anyone disclosing to you litigation involving NFPA in the United States that pertained to standards and copyright? A. It's possible, but I don't recall any, sitting here right now. Q. Do you recall inquiring about public statements of fact that NFPA has made regarding copyright and standards in litigation other than this litigation in the United States? MR. FEE: Objection to form. THE WITNESS: I do not. BY MR. BRIDGES: Q. Are you familiar with a case called Veeck, V-E-E-C-K? A. I'm familiar with an opinion in Page 122 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Uh-huh. A. Perhaps you would have something that would refresh my memory. I don't recall, sitting here right now, but it's possible. Are you talking about historical -- historically no harm, or are you talking about prospectively? Q. Either one. Did you -- do you recall seeing any internal NFPA documents that call into question where NF -- whether NFPA has suffered any harm from the defendant's activities? A. I don't recall documents on it. There may have been some deposition testimony about past activities, but I don't know if it was activities prior to Public Resource actions here or after. Q. Do you recall learning about any litigation that NFPA had engaged in pertaining to standards and copyright? A. I think I heard that there's some overseas litigation involving Public Resource. Whether that involves NFPA, I don't know. Page 124 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the Veeck case. Q. What do you know about that opinion? MR. FEE: Objection. I would instruct you not to disclose anything you know about that opinion that was a result of communications with counsel and that did not form the basis of any of the opinions in your report or any of the assumptions that you relied upon in reaching your conclusions. THE WITNESS: I did talk with counsel about that case, and that case didn't form any basis for any of my observations or conclusions here. BY MR. BRIDGES: Q. Why did the Veeck case not form any basis for any of your observations or conclusions here? A. I don't know how to answer that question. I -- it didn't present any facts that were specific to this case, as far as I recall. Q. What do you recall of the facts Page 123 Page 125 32 (Pages 122 - 125) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 answered. THE WITNESS: Again, I read the case. I didn't do any analysis beyond that of that particular case. BY MR. BRIDGES: Q. What steps did you take to ascertain what public harms flowed from the Court's decision in the Veeck case? A. Other than reading the case, the opinion in the case, I didn't do anything beyond that to understand the implications of that holding. Q. You didn't do any investigation as to the economic consequences to any entity, industry, or person as a consequence of the decision in the Veeck case, correct? MR. FEE: Objection to form. THE WITNESS: I think that's correct, yes. BY MR. BRIDGES: Q. How has the process of standards development changed in the last 100 years, to your knowledge? A. I don't know the specifics, and I don't know that there is one standards 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Not sitting here right now, I don't. Q. Do you know whether ASHRAE took over development of what became standard 90.1 from any other group or entity? A. No, I do not. Q. Have you ever quantified the value of the contributions made by the volunteers of the various organizations to the standards at issue in this case? MR. FEE: Objection to form. THE WITNESS: Not other than having some sense of hours or a limited sense of dollars, but not beyond that, no. BY MR. BRIDGES: Q. Can you put a rough dollar value on the time and expenses of the volunteers with respect to any of the standards in this case? MR. FEE: Objection to form. THE WITNESS: Not sitting here right now. That would entail a little bit of a study. I have not done that. BY MR. BRIDGES: Page 130 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 development process. I think there are a variety of processes pursued by a number of SSOs or SDOs. I'm sure that there have been changes on the margin. There may have been larger changes. I just don't know. I have not studied the trend in the standard development process over time. Q. What changes are you aware of in the standards development process of NFPA over the past 100 years? A. I don't know. I've not studied that topic. Q. What changes are you aware of in the standards development process of the ASHRAE 90.1 standard? A. I don't know. I've not studied that. Q. How did ASHRAE come to develop the 90.1 standard? A. I think, generally, a need was identified and a group of constituents convened to derive a standard, but I don't know the specifics beyond that. Q. Do you know who identified the need? Page 132 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What -- what would be required? A. To understand basically the out-of-pocket expenses incurred and the opportunity costs incurred. So among other things, one would want to look at time records, have an understanding of compensation, have an understanding of the activities of those individuals. Those are -- would be among the inputs. Q. What changes are you aware of in the distribution of standards in the past 100 years by the plaintiffs? MR. FEE: Objection to form. THE WITNESS: I haven't investigated that particular issue, but I understand that some of the standards today are distributed through the Internet that certainly didn't exist 100 years ago. Some of the standards are distributed for free with limitations. I don't know if that was true 100 years ago, but it might have been. I would expect some of the copying and dissemination capabilities Page 131 Page 133 34 (Pages 130 - 133) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 are much greater today than they were in 1915, but I don't know that the general methods of -- I don't know how the general methods of distribution have changed. BY MR. BRIDGES: Q. What changes are you aware of in sales trends over the past 20 years? MR. FEE: Objection to form. THE WITNESS: I don't have data going back as far as 20 years ago. I have some information on publication sales, for instance, in tabs 3, 4, and 5. They only -- that information only goes back a few years, however. BY MR. BRIDGES: Q. Did you review any information earlier than the dates shown in the documents at tabs 3, 4, and 5? MR. FEE: Objection. Vague. THE WITNESS: It's possible that some of the source documents had earlier information, but I don't recall that. I would need to look at those source documents. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the right to reproduce, copy, or disseminate those standards but can look at them online. BY MR. BRIDGES: Q. Have you used the reading rooms of any of the plaintiffs? A. No, I have not. Q. Have you reviewed the interface that the -- have you reviewed the interfaces that the plaintiffs offer to persons wishing to view materials for free online? A. No, I don't think so. Q. Do you know what effect, if any, the presence of those free materials on the plaintiffs' Web sites has had on the plaintiffs' revenues? MR. FEE: Objection to form. THE WITNESS: No, I don't. BY MR. BRIDGES: Q. Have you -- have you investigated that? MR. FEE: Same objection. THE WITNESS: I've been opening -- I've been open to learning about that, but I haven't learned that Page 134 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. And those source documents would be within the Bates ranges identified in tab 2 of your report? A. Within the Bates ranges or identified elsewhere in tab 2. For instance, the AS team -- ASTM audited -- audited consolidated financial statements, I think, may not all be Bates-stamped. I could be wrong on that. But I would look in that set of financial documents. Q. What do you know about what you said -- strike that. You said earlier that some standards are distributed for free with some limitations; is that correct? A. Yes, that's my understanding. Q. What do you know about that? MR. FEE: Objection. Vague. THE WITNESS: I've written about that in my report. I believe that each one of the plaintiffs has provided what is sometimes called a "reading room" so that people can look at those standards but are not given Page 136 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 there's a direct or indirect effect. There might be, but I haven't seen evidence of that. BY MR. BRIDGES: Q. My question was, have you investigated that? MR. FEE: Same objection. THE WITNESS: Perhaps you could read back my answer. BY MR. BRIDGES: Q. I've heard the answer. It was not responsive to my question. The -- you said you did not know what effect, if any, the presence of those free materials on the plaintiffs' Web sites has had on the plaintiffs' revenues. And my question is, have you investigated that? MR. FEE: Same objection. THE WITNESS: No, I've not undertaken a separate investigation. I've been alert to that topic, but I haven't assigned myself that investigation. BY MR. BRIDGES: Page 135 Page 137 35 (Pages 134 - 137) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Was something that was -remained pending at the time you wrote this report as something that you expected to do in the future? A. No. MR. FEE: Objection. Vague. THE WITNESS: I'm sorry. No. BY MR. BRIDGES: Q. Did you study the practices of any standards development organizations, other than the plaintiffs, for purposes of your work in this case? MR. FEE: Objection. Vague. THE WITNESS: Not that I recall. I saw reference to other SDOs in the Bremer articles, for instance, but I didn't undertake a separate investigation of the practices of any other SDOs for purposes of my assignment here. BY MR. BRIDGES: Q. Are you aware of practices or policies of other SDOs with reference to either copyright or free availability of 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 SDOs, but the standard setting organizations that are the candidates are the ones that I identified earlier today. Q. Which SDOs do you recall treating copyright protection of their standards as very important? A. I just don't recall right now. I -- I have some vague recollection that copyright considerations are addressed by ETSI, but I could be wrong on that. Q. What do you know about policies or practices of the Blu-ray organization with respect to copyright protection? A. I assume you're talking about the Blu-ray Association? I may have known when I was involved in that matter. I do not remember, sitting here now. Q. Do you recall that your report actually refers to the Blu-ray Association? A. I think I refer to Blu-ray standards. I don't recall if I refer to the Blu-ray Association, but perhaps you could refresh my memory. Q. I believe you point it out at the bottom of page 62. "While certain SDOs Page 138 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 their materials? MR. FEE: Objection to form. THE WITNESS: I may have been aware through other assignments I've undertaken in the past, but I didn't undertake any separate investigation for purposes of this matter. BY MR. BRIDGES: Q. What awareness do you have of the practices or policies of other SDOs through other assignments you've undertaken in the past? MR. FEE: Objection to form. THE WITNESS: I can only recall most generally that they view intellectual property protection as being very important, but I can't be any more specific than that. BY MR. BRIDGES: Q. Which SDOs you -- do you recall treating intellectual property protection as very important? A. Well, again, I've -- I've dealt with standards setting organizations. I don't know if any of those are technically Page 140 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 (e.g., the Blu-ray disc association) provide unrestricted access to their standard publications for free, the Plaintiffs here do not." Do you recall that? A. Now I do. Thank you for refreshing my memory. Q. What economic effects are you aware of the fact that the Blu-ray Disc Association provides unrestricted access to its standard publications for free? A. I have not investigated that issue, so I don't know. Q. What other SDOs have you identified that provide unrestricted access to their standards for free? A. I don't think I've identified any others in my report. Q. Did you look for any others? A. Not that I recall. Q. Why not? A. I don't know how to answer that. I was aware of the Blu-ray Disc Association's policy in this regard, so I wrote about it here. Page 139 Page 141 36 (Pages 138 - 141) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Why did you not consider the economic effects of free distribution of standards with respect to other organizations? A. I didn't quite see the relevance to this matter. Q. Why? A. I don't know how to prove a negative. Q. What's the negative you were thinking of that would need to be proved or disproved? A. That something is not relevant. Q. You just didn't see the relevance? A. I don't understand how that would be helpful in the assignment that I had here. Q. And what was the assignment you had here? A. Well, I've laid it out -Q. I can read the report. I'm not asking you to read -- read the report. I'd like your own words now, sitting here. MR. FEE: Objection. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 perspective. BY MR. BRIDGES: Q. And what is the relevance of economic analysis to that question, as you understand it? MR. FEE: Objection to form. Vague. Might also be construed to require a legal conclusion. THE WITNESS: Economists have a view and perspective at looking at issues that some courts have found to be useful. BY MR. BRIDGES: Q. Well, I'm asking, with specific relevance to this case, what do you understand the importance of economic analysis to be in this case -MR. FEE: Objection. Calls -BY MR. BRIDGES: Q. -- as you have purported to practice it? MR. FEE: Calls for a legal conclusion. Also, to the extent that responding to that would require you Page 142 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. How do you -- how do you view -A. I'd like to answer it by looking at my report. Q. No, I'd like for you to give me a straight answer, because if you're just going to refer to the report, the report will speak for itself, and I don't need you to read it to me. I'd like for you to tell me what you understand, sitting here, to have been your assignment in this case. MR. FEE: Objection. You can answer the question however you deem appropriate. THE WITNESS: I've aptly laid it out in my report, so I defer to the words in my report. But I've, in essence, looked at the topic of the impact of copyright and trademark infringement here, and asked myself the question whether a permanent injunction would be appropriate from an economic Page 144 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 to disclose communications with counsel that did not form the basis for any of your opinions or conclusions and did not provide any assumptions that were the basis for your opinions or conclusions, you should not answer that portion of the question. THE WITNESS: I understand that, generally, economists like me are quite helpful in determining questions of harm, particularly harm as it relates to infringement of IP rights. BY MR. BRIDGES: Q. How do you distinguish between harms that are caused by an infringement by the defendant versus harms that might be caused by a court decision that plaintiffs lack copyrights? MR. FEE: Objection to the extent it calls for a legal conclusion. THE WITNESS: I don't know how to answer that question. I didn't ask Page 143 Page 145 37 (Pages 142 - 145) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Why did you not consider the economic effects of free distribution of standards with respect to other organizations? A. I didn't quite see the relevance to this matter. Q. Why? A. I don't know how to prove a negative. Q. What's the negative you were thinking of that would need to be proved or disproved? A. That something is not relevant. Q. You just didn't see the relevance? A. I don't understand how that would be helpful in the assignment that I had here. Q. And what was the assignment you had here? A. Well, I've laid it out -Q. I can read the report. I'm not asking you to read -- read the report. I'd like your own words now, sitting here. MR. FEE: Objection. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 perspective. BY MR. BRIDGES: Q. And what is the relevance of economic analysis to that question, as you understand it? MR. FEE: Objection to form. Vague. Might also be construed to require a legal conclusion. THE WITNESS: Economists have a view and perspective at looking at issues that some courts have found to be useful. BY MR. BRIDGES: Q. Well, I'm asking, with specific relevance to this case, what do you understand the importance of economic analysis to be in this case -MR. FEE: Objection. Calls -BY MR. BRIDGES: Q. -- as you have purported to practice it? MR. FEE: Calls for a legal conclusion. Also, to the extent that responding to that would require you Page 142 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. How do you -- how do you view -A. I'd like to answer it by looking at my report. Q. No, I'd like for you to give me a straight answer, because if you're just going to refer to the report, the report will speak for itself, and I don't need you to read it to me. I'd like for you to tell me what you understand, sitting here, to have been your assignment in this case. MR. FEE: Objection. You can answer the question however you deem appropriate. THE WITNESS: I've aptly laid it out in my report, so I defer to the words in my report. But I've, in essence, looked at the topic of the impact of copyright and trademark infringement here, and asked myself the question whether a permanent injunction would be appropriate from an economic Page 144 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 to disclose communications with counsel that did not form the basis for any of your opinions or conclusions and did not provide any assumptions that were the basis for your opinions or conclusions, you should not answer that portion of the question. THE WITNESS: I understand that, generally, economists like me are quite helpful in determining questions of harm, particularly harm as it relates to infringement of IP rights. BY MR. BRIDGES: Q. How do you distinguish between harms that are caused by an infringement by the defendant versus harms that might be caused by a court decision that plaintiffs lack copyrights? MR. FEE: Objection to the extent it calls for a legal conclusion. THE WITNESS: I don't know how to answer that question. I didn't ask Page 143 Page 145 37 (Pages 142 - 145) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 myself the question of ownership or impact of ownership. I asked myself the question here of impact of infringement. BY MR. BRIDGES: Q. If it turns out that the Court rules that the plaintiff -- sorry. Strike that. If it turns out the Court rules here that the defendant has engaged in fair use, is it your understanding that none of your harms analysis is relevant -MR. FEE: Objection. BY MR. BRIDGES: Q. -- because of a finding of non-infringement? MR. FEE: Calls for a legal conclusion. To the extent answering that question would require you to disclose communications you had with counsel that don't form the basis for any of your opinions or conclusions and don't provide any assumptions that you relied upon, you shouldn't disclose 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 under the assumption that the activities violate the law. BY MR. BRIDGES: Q. If the activities -- do you believe -- do you understand that your analysis is relevant to a determination of whether the defendant has violated the law? MR. FEE: Objection. Calls for a legal conclusion. To the extent that your understanding is based upon communications with counsel, you shouldn't disclose them, unless they formed the basis for your opinions or conclusions or provided assumptions that you relied upon in reaching your conclusions. THE WITNESS: I don't know. BY MR. BRIDGES: Q. Do you have any view as to whether the defendant has violated copyright law? MR. FEE: Objection. Calls for a legal conclusion. THE WITNESS: No, I've not Page 146 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 those communications. THE WITNESS: You're asking for a legal conclusion. I'm not an expert on that. BY MR. BRIDGES: Q. I'm understanding your understanding -- I'm asking for your understanding of the relevance of your contributions to this case. MR. FEE: Objection. Asked and answered. Plus all the prior objections and instructions. THE WITNESS: I believe my testimony and report are relevant to the issue of harm and potential harm. BY MR. BRIDGES: Q. From what? A. From continuing -- the continuing activities and possible expanded activities of the defendant here. Q. From activities or from violations of law? MR. FEE: Objection. Vague. Calls for a legal conclusion. THE WITNESS: I -- I'm working Page 148 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 taken on that assignment. BY MR. BRIDGES: Q. Do you have any view as to whether the defendant's activities constitute fair use? MR. FEE: Objection. Calls for a legal conclusion. THE WITNESS: No, I've not taken on that assignment. BY MR. BRIDGES: Q. If a court determines that the defendant has not infringed upon plaintiffs' copyrights, do you understand that the decision would result in economic harm to the plaintiffs? MR. FEE: Objection to the extent it calls for a legal conclusion. THE WITNESS: I'm not following your question. Could you ask it a little bit differently, please? BY MR. BRIDGES: Q. No, I'll restate it if you just need to rehear it. A. No, I don't need to rehear it. Page 147 Page 149 38 (Pages 146 - 149) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 If you could recast it, please. Q. No. Then please answer my question. MR. FEE: Objection. BY MR. BRIDGES: Q. I get to ask the questions. MR. FEE: He just said he couldn't answer it. THE WITNESS: I don't understand the question. BY MR. BRIDGES: Q. What is it you don't understand? A. I understand each word but not how you put them together. Q. If a court determines that the defendant has not infringed upon the plaintiffs' copyrights, do you believe that that decision would result in economic harm to the plaintiffs? MR. FEE: Objection to the extent it calls for a legal conclusion. Plus asked and answered. THE WITNESS: It sounds like exactly the same words, so I'm not 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that's fine. A. I want to, but I cannot. Q. Well -A. I do not understand the question. Q. I'll say it again. Would a decision by the Court that the defendant has not infringed upon the plaintiffs' copyrights result in economic harm to the plaintiffs? MR. FEE: Objection. Calls for a legal conclusion. Asked and answered. THE WITNESS: I -MR. FEE: Vague. THE WITNESS: I cannot answer it any differently. I'm sorry. Is this a good time for a break, or do you want to keep going? MR. BRIDGES: Sure. We can take one if you want. THE VIDEOGRAPHER: Off the record at 1:17. * * * (Recess from 1:17 p.m. to Page 150 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 sure how to answer that question. BY MR. BRIDGES: Q. Would a decision that the defendant has not infringed upon plaintiffs' copyrights result in economic harm to the plaintiffs? MR. FEE: Objection. Calls for a legal conclusion. THE WITNESS: I'm just not following. I under -- I'm worked -I'm working under the assumption that the activity here represents a copyright infringement. I'm -- and I'm being asked and answering the question of the impact of that and whether there would be harm and what kind of harm and whether that's reparable harm. So I'm focusing on what has been done and what may continue to be done by the defendant. BY MR. BRIDGES: Q. That's non-responsive. I'll ask you to answer my question. And if you just don't want to answer the question, Page 152 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 2:12 p.m.) * * * THE VIDEOGRAPHER: On the record at 2:12. BY MR. BRIDGES: Q. Good afternoon, Mr. Jarosz. A. Good afternoon. Q. Could you outline for me, please, what steps you took in your engagement in this case? What are the different activities you engaged in? A. Generally, I had a discussion with counsel about the matter. Then we examined documents that would -- were provided to us to give us background. We then proceeded to gather our own information from third-party sources, primarily through Internet searches. We obtained information that had been produced as part of discovery. We had conversations with people at the various plaintiff organizations. We outlined the report and summarized some of the information that you see in the tabs. We had discussions with Page 151 Page 153 39 (Pages 150 - 153) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 If you could recast it, please. Q. No. Then please answer my question. MR. FEE: Objection. BY MR. BRIDGES: Q. I get to ask the questions. MR. FEE: He just said he couldn't answer it. THE WITNESS: I don't understand the question. BY MR. BRIDGES: Q. What is it you don't understand? A. I understand each word but not how you put them together. Q. If a court determines that the defendant has not infringed upon the plaintiffs' copyrights, do you believe that that decision would result in economic harm to the plaintiffs? MR. FEE: Objection to the extent it calls for a legal conclusion. Plus asked and answered. THE WITNESS: It sounds like exactly the same words, so I'm not 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that's fine. A. I want to, but I cannot. Q. Well -A. I do not understand the question. Q. I'll say it again. Would a decision by the Court that the defendant has not infringed upon the plaintiffs' copyrights result in economic harm to the plaintiffs? MR. FEE: Objection. Calls for a legal conclusion. Asked and answered. THE WITNESS: I -MR. FEE: Vague. THE WITNESS: I cannot answer it any differently. I'm sorry. Is this a good time for a break, or do you want to keep going? MR. BRIDGES: Sure. We can take one if you want. THE VIDEOGRAPHER: Off the record at 1:17. * * * (Recess from 1:17 p.m. to Page 150 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 sure how to answer that question. BY MR. BRIDGES: Q. Would a decision that the defendant has not infringed upon plaintiffs' copyrights result in economic harm to the plaintiffs? MR. FEE: Objection. Calls for a legal conclusion. THE WITNESS: I'm just not following. I under -- I'm worked -I'm working under the assumption that the activity here represents a copyright infringement. I'm -- and I'm being asked and answering the question of the impact of that and whether there would be harm and what kind of harm and whether that's reparable harm. So I'm focusing on what has been done and what may continue to be done by the defendant. BY MR. BRIDGES: Q. That's non-responsive. I'll ask you to answer my question. And if you just don't want to answer the question, Page 152 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 2:12 p.m.) * * * THE VIDEOGRAPHER: On the record at 2:12. BY MR. BRIDGES: Q. Good afternoon, Mr. Jarosz. A. Good afternoon. Q. Could you outline for me, please, what steps you took in your engagement in this case? What are the different activities you engaged in? A. Generally, I had a discussion with counsel about the matter. Then we examined documents that would -- were provided to us to give us background. We then proceeded to gather our own information from third-party sources, primarily through Internet searches. We obtained information that had been produced as part of discovery. We had conversations with people at the various plaintiff organizations. We outlined the report and summarized some of the information that you see in the tabs. We had discussions with Page 151 Page 153 39 (Pages 150 - 153) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 counsel. And then we finalized the report, submitting it to counsel on June 5th, 2015. Q. Do you know how many standards of each plaintiff are at issue in this case? A. How many -- I'm sorry -standards are at issue? Q. Yes. A. I have that number written down. It's in the hundreds, and I forget, as I sit here right now, precisely the number. I will look it up. And I was giving you an answer that was a cumulation across the three plaintiffs. I am not seeing that number right now. I'll keep looking. Q. Do you know what -A. You may be able to point me quicker than I recall where it was. Q. Do you -- do you know what proportion of plaintiffs -- of each plaintiffs' standards is at issue in this case? A. Are you asking me the ratio of the standards at issue versus the total standards developed by the organizations? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Have you analyzed any differences in sales trends between those of plaintiffs' standards that have been incorporated into law and those of plaintiffs' standards that have not been incorporated into law? A. I don't think so. I don't think I have those data, and I'm not sure that each plaintiff knows precisely how many have been incorporated into law. Q. Did you ask for any data regarding the distinction between standards incorporated by reference and standards not incorporated by reference in the law? A. I don't -MR. FEE: Objection to form. THE WITNESS: I'm sorry. I don't recall. BY MR. BRIDGES: Q. You made observations about sales trends earlier in your deposition. I think you said that there's been a reduction in sales of certain of plaintiffs' standards; is that correct? A. I'm not quite sure what the Page 154 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Yes. A. I think it's less than a majority for each organization. I'm fairly certain of that with regard to ASTM. I think that's true with regard to NFPA. I think it's true with regard to ASHRAE. Q. Do you have any better information than less than a majority -A. Well, I -Q. -- for each of them? A. The precise numbers are in the report. Let's see here. One can figure that out. You may remember where I summarized the number of standards. I just don't remember. It's easy to determine because the data are all here. Q. Have you analyzed differences in sales trends between standards that are at issue in this case and plaintiffs' other standards? A. No, I don't think I have those data at my disposal. Q. Did you ever ask for those data? A. I don't recall. Page 156 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 earlier testimony was, but I think I was pointing you to paragraph 133 with regard to downloads of -- and other measures of activity, as I had at my disposal. Q. Well, I'm trying to find out what changes you have studied in plaintiffs' economics that you attribute to defendant's activities. A. I'm not quite sure what your question is. Q. Well, I'm trying to find out what information you have studied to determine what changes in the finances of each of the plaintiffs have occurred as a consequence of the defendant's activities. MR. FEE: Objection to form. THE WITNESS: I'm still not sure that I'm hearing a question. But to the extent that I had information on changes in activity level, I summarized that in paragraph 133. BY MR. BRIDGES: Q. My question is, what information did you study to determine any changes in finances of each of the Page 155 Page 157 40 (Pages 154 - 157) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 plaintiffs? MR. FEE: Same objection. THE WITNESS: It's reflected in paragraph 133 and in the tabs, particularly 3, 4, and 5. But the tabs are not at the granular level that I think are of interest to you. BY MR. BRIDGES: Q. What do you mean by the "granular level" that would be of interest to me? A. I don't think it breaks out publications by standard, for instance. Q. Does it break out publications by whether a standard has been incorporated by reference or not? A. I don't think so. Q. Does it break out by whether a standard has been publicly made available by defendant or not? A. I don't think so. Not in tabs 3, 4, and 5. Q. How do you establish causation between defendant's activities and any of the data that you provide in section -- in 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 of certain of the standards. I've presented that. I don't have direct evidence of the precise impact historically of defendant's activities on plaintiffs' financials. BY MR. BRIDGES: Q. What evidence of any kind do you have of any kind of impact historically of the defendant's activities on plaintiffs' financials? MR. FEE: Objection to form. THE WITNESS: That which is reported in paragraph 133, that of which is contained in deposition testimony, and that of which I summarized in other parts of the report. BY MR. BRIDGES: Q. So when you're referring to deposition testimony, you're referring to the citations to the footnotes in paragraph 133? A. No, I don't think it's just limited to that. I think there's some other deposition transcripts that talk about the Page 158 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 paragraph 133? MR. FEE: Objection. Calls for a legal conclusion. Form. THE WITNESS: One can and should look at all evidence available, including circumstantial evidence. I don't have direct information about the precise impact of defendant's activities, but I have important information that bears on that issue, including information that's in deposition transcripts. BY MR. BRIDGES: Q. So my question is, how do you -- do you -- strike that. Are your conclusion -- are you making conclusions in paragraph 133 about the cause of changes in sales of the plaintiffs' products? MR. FEE: Objection to form. THE WITNESS: Not definitively. I have observations about the magnitude and trend of the downloads of -- through defendant's sites. I have some information on the downloads Page 160 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 impact or potential impact of defendant's activities on each one of the plaintiffs. Q. Did you make any independent assessment of causation of any financial effects on plaintiffs by the defendant's activities? MR. FEE: Objection to form. Calls for a legal conclusion. THE WITNESS: What do you mean by the term of "independent assessment of causation"? BY MR. BRIDGES: Q. You, as an expert, not relying just on what other people have said or speculated or thought. MR. FEE: Same objections. Plus compound. THE WITNESS: We experts rely on other information to draw the conclusions that we do, and then we bring our training to it. So our observations shouldn't be in a vacuum. BY MR. BRIDGES: Q. But they should be objective, correct? Page 159 Page 161 41 (Pages 158 - 161) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 plaintiffs? MR. FEE: Same objection. THE WITNESS: It's reflected in paragraph 133 and in the tabs, particularly 3, 4, and 5. But the tabs are not at the granular level that I think are of interest to you. BY MR. BRIDGES: Q. What do you mean by the "granular level" that would be of interest to me? A. I don't think it breaks out publications by standard, for instance. Q. Does it break out publications by whether a standard has been incorporated by reference or not? A. I don't think so. Q. Does it break out by whether a standard has been publicly made available by defendant or not? A. I don't think so. Not in tabs 3, 4, and 5. Q. How do you establish causation between defendant's activities and any of the data that you provide in section -- in 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 of certain of the standards. I've presented that. I don't have direct evidence of the precise impact historically of defendant's activities on plaintiffs' financials. BY MR. BRIDGES: Q. What evidence of any kind do you have of any kind of impact historically of the defendant's activities on plaintiffs' financials? MR. FEE: Objection to form. THE WITNESS: That which is reported in paragraph 133, that of which is contained in deposition testimony, and that of which I summarized in other parts of the report. BY MR. BRIDGES: Q. So when you're referring to deposition testimony, you're referring to the citations to the footnotes in paragraph 133? A. No, I don't think it's just limited to that. I think there's some other deposition transcripts that talk about the Page 158 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 paragraph 133? MR. FEE: Objection. Calls for a legal conclusion. Form. THE WITNESS: One can and should look at all evidence available, including circumstantial evidence. I don't have direct information about the precise impact of defendant's activities, but I have important information that bears on that issue, including information that's in deposition transcripts. BY MR. BRIDGES: Q. So my question is, how do you -- do you -- strike that. Are your conclusion -- are you making conclusions in paragraph 133 about the cause of changes in sales of the plaintiffs' products? MR. FEE: Objection to form. THE WITNESS: Not definitively. I have observations about the magnitude and trend of the downloads of -- through defendant's sites. I have some information on the downloads Page 160 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 impact or potential impact of defendant's activities on each one of the plaintiffs. Q. Did you make any independent assessment of causation of any financial effects on plaintiffs by the defendant's activities? MR. FEE: Objection to form. Calls for a legal conclusion. THE WITNESS: What do you mean by the term of "independent assessment of causation"? BY MR. BRIDGES: Q. You, as an expert, not relying just on what other people have said or speculated or thought. MR. FEE: Same objections. Plus compound. THE WITNESS: We experts rely on other information to draw the conclusions that we do, and then we bring our training to it. So our observations shouldn't be in a vacuum. BY MR. BRIDGES: Q. But they should be objective, correct? Page 159 Page 161 41 (Pages 158 - 161) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Yes. Q. And that means perhaps not relying upon the views of the parties to the lawsuit alone, but doing independent analysis and research, correct? MR. FEE: Objection to form. THE WITNESS: I think one can and should evaluate and consider the views of the parties, but not limited investigation to that. BY MR. BRIDGES: Q. So what independent analysis and research did you do other than reviewing the views and statements of the parties in this case? MR. FEE: Objection. Vague. THE WITNESS: I reviewed and summarized the data, as you see in 133, that I had at my disposal. I reviewed writings about the impacts. And I took important information from the fact that the plaintiffs have brought this lawsuit. The plaintiffs don't want this activity to continue. That is 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I took all the data -MR. FEE: Objection. Form. Objection to form. THE WITNESS: I took all this data into account. That's why I reported it here. BY MR. BRIDGES: Q. And the data that you identified in the footnotes in paragraph 134 -- sorry -- 133? A. Yes, I considered that information. Q. Do you know in what year the defendant posted the 2008 version of the National Electrical Code on its Web site? A. I don't know with absolute certainty. I do know a number of the alleged activities occurred in late 2012. I don't know if it's specific to that code or not. Q. Does it matter to your analysis exactly when the defendant posted the 2008 National Electrical Code on its Web site or to Internet Archive? A. I would -MR. FEE: Objection to form. Page 162 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 revealed preference information that's quite important. BY MR. BRIDGES: Q. Tell me about what you mean by repealed -- sorry. Strike that. Tell me what you mean by "revealed preference." A. What people do often provides information on what their preferences are. Q. And so the fact that plaintiffs brought this lawsuit has revealed to you that they prefer to bring the lawsuit, correct? MR. FEE: Objection. Vague. THE WITNESS: Given the cost, they prefer to bring the lawsuit rather than not bring it, yes. BY MR. BRIDGES: Q. What else -- strike that. What are the data you're referring to in page -- strike that. What are the data you're referring to in paragraph 133 that you took into account in discussing or analyzing effects of defendant's activities on plaintiffs? Page 164 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: I would consider that information if I had it, but I don't have any reason to think that it would change any of the conclusions that I drew. BY MR. BRIDGES: Q. The timing of when the defendant posted certain matters wouldn't change your conclusions? A. Not based on what I know right now. My understanding is that much of the activity occurred in 2012, the later half of 2012, and I still have the whole body of evidence that I have considered. So I'm not sure if the precise timing would change, but I certainly would consider that. Q. Do you know in what year Public.Resource.Org posted the 2011 version of the National Electrical Code? A. Same answer to the question that you had with regard to the 2008 code. Q. Can you look at the data in your -- the tables attached to your report and see if that helps refresh your memory as to when the defendant posted NEC 2008 and Page 163 Page 165 42 (Pages 162 - 165) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 NEC -- NEC 2011? A. I can look, and I will. No, it doesn't answer that question, I don't think. Q. Can you make a prediction as to when the defendant posted NEC 2008 and NEC 2011, based on the data attached to your report in Exhibit 1? MR. FEE: Objection to form. THE WITNESS: No, I don't think, based on just those data. BY MR. BRIDGES: Q. Can you make -- give an estimate as to when the defendant posted NEC 2008 and NEC 2011, based on the data attached to your report as Exhibit 1? MR. FEE: Same objection. THE WITNESS: No, I don't think, based on just that information. BY MR. BRIDGES: Q. Well, just looking at your report, can you tell when defendant posted NEC 2008 and NEC 2011? A. My answer hasn't changed. I still don't know precisely when those were 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 appropriateness of a permanent injunction here. BY MR. BRIDGES: Q. Is the appropriate of -- is the appropriateness of a permanent injunction an economic question? A. I think, in part, economic considerations can be and often are taken into account in answering that question. Q. Is it an economic question? MR. FEE: Objection. BY MR. BRIDGES: Q. That was my question. MR. FEE: Asked and answered. THE WITNESS: Again, in part. BY MR. BRIDGES: Q. The propriety of a preliminary -- of a -- strike that. It's your testimony that the propriety of a permanent injunction is, in part, an economic question? MR. FEE: Objection. Asked and answered. Form. Calls for a legal conclusion. THE WITNESS: Yes. As I Page 166 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 posted. Q. But that doesn't make a difference to your economic analysis of the effects of defendant's activities on the plaintiffs? A. Well, I would be curious -MR. FEE: Objection to form. THE WITNESS: -- curious about that information, but I don't have any reason to think it would change the conclusions that I drew, and that is that a permanent injunction is appropriate here. BY MR. BRIDGES: Q. Is it your job to determine whether a permanent injunction is appropriate? Is that what you were hired to do? A. No. MR. FEE: Objection. Calls for a legal conclusion. Form. Compound. THE WITNESS: I think it's ultimately the Court's decision to make, but I've been asked what my economic view is as to the Page 168 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 understand it, one factor to consider is the reparability or irreparability of harm. I believe, at its core, that's an economic question. BY MR. BRIDGES: Q. And what economic theories did you rely upon to conclude that, as an economic matter, a preliminary -- strike that. What economic theories did you rely upon to conclude that, as an economic matter, a permanent injunction is appropriate in this case? MR. FEE: Same objections. THE WITNESS: I don't know what candidates you have in mind for economic theories. BY MR. BRIDGES: Q. Whichever ones you relied upon. A. I -MR. FEE: Same objections. THE WITNESS: -- used all of my training and applied it to the facts of this case and drew the conclusions that I did. Page 167 Page 169 43 (Pages 166 - 169) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. And are there any particular aspects of training that you have beyond what a first-year college student would have gotten in a first-year economics course that you have brought to bear by applying particular economic theories to this case? A. I think my training makes me who I am and has helped me in assignments like this. I have beyond a first-year-incollege understanding of basic economics, but they're very important concepts that are taught and learned in first-year economics. Q. Well, I want to know if there are any economic concepts beyond first-year economics that you have brought to bear in rendering your conclusions in this case. MR. FEE: Objection to form. Asked and answered. THE WITNESS: Generally, there are, yes. BY MR. BRIDGES: Q. What economic concepts have you brought to bear in your report and analysis in this case? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: We learn about price theory. We learn about consumer behavior. We talk -- we learn about manufacturer and supplier actions. We learn about game theory. We learn about econometrics. We learn more broadly about quantitative methods. We learn about a variety of aspects of industrial organization. There are many things that we learn beyond the first year of economics training. BY MR. BRIDGES: Q. No, I'm asking what you brought to bear in your analysis in this case. A. All those. Q. Okay. What aspect of price theory did you bring to bear in this case? A. I don't know how to answer that question besides I understand basic price theory and have researched it much and applied that to the facts here. Q. What was the specific application of price theory that you brought to bear in this case? A. I can't be any more specific Page 170 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I'm sorry, because I don't know what you mean by "economic concepts." We get trained in things like quantitative methods and intermediate microeconomics, in price theory, in econometrics, in consumer behavior. All those things are beyond the first year. I don't know if you're calling those economic theories. Your -- your questioning confuses me. Q. Well, you referred to the important concepts in response to my question to you about particular aspects of training that you have beyond what a first-year college student would have gotten in a first-year economics course that you brought to bear by applying economic theories to this case, and your answer refers to very important concepts that are taught and learned. And so I'm asking you, what very important economic concepts have you brought to bear in your analysis of this case? MR. FEE: Objection to form. Lack of foundation. Page 172 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 than that. I don't understand your question. Q. What aspect of training about consumer behavior did you bring to bear in this case? A. I can't be any more specific than saying that. Q. What aspects of your training about game theory have you brought to bear in your work on this case? A. I can't be any more specific than that. Q. What aspects of econometrics in your training have you brought to bear on this case? A. I can't be any more specific than that. Q. What inform -- what aspects of training in qualitative methods have you brought to bear on this case? A. I didn't say "qualitative methods," and so it may have been mis-keyed in. I said "quantitative methods." Q. All right. What aspects of quantitative methods of your training did you bring to bear on this case? Page 171 Page 173 44 (Pages 170 - 173) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I can't be any more specific than that. Q. What aspect of your training regarding aspects of industrial organization have you brought to bear on this case? A. I can't be any more specific than that. Q. But you did bring the theory of reveal -- revealed preferences to bear on this case, correct? A. Yes. Q. What other economic theories do you recall bringing to bear on this case? MR. FEE: Objection. Asked and answered. THE WITNESS: Everything that I've -MR. FEE: And vague. Go ahead. THE WITNESS: -- I've learned in my training, both educational training and career training. BY MR. BRIDGES: Q. Can you be more specific than that? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 just on this information. Q. What else would you need? A. I don't know, because I think it's probably a very easy factual question to determine when the downloading first occurred, so I don't know why one would need to back into it. Q. Well, when -- would one be able to use sales trends as a way of identifying likely effects of a posting of each standard by the defendant? MR. FEE: Objection. Vague. Compound. THE WITNESS: Maybe; maybe not. BY MR. BRIDGES: Q. Why do you say "maybe; maybe not"? A. I just wouldn't think to do it that way, so I don't know what you exactly have in mind. Q. Do you associate the posting of standards by defendant with changes in sales volume of the standards that the defendant has posted? MR. FEE: Objection to form. Page 174 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. No. * * * (Jarosz Exhibit 4 marked for identification.) * * * BY MR. BRIDGES: Q. Mr. Jarosz, do you recognize Exhibit 4 as a document that you produced in response to a subpoena in this case? A. Yes. Q. What is this document? A. It appears to be a summary over the years 2009 through 2013 of dollars and quantity of NFPA standards that were sold in the marketplace. Q. Based upon the trends that you see in this exhibit, can you estimate when you believe it is most likely that the defendant first published -- strike that. Based upon the trends that you see in this Exhibit 4, can you estimate when you believe it is most likely that the defendant first posted each of the standards identified here? A. I don't think so, not based Page 176 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: I don't know what you mean by that question. BY MR. BRIDGES: Q. You don't understand the question? A. I do not. Q. Can you correlate the posting of standards by defendant with any changes in sales volumes of the standards that the defendant has posted? MR. FEE: Objection to form. THE WITNESS: I don't think I've attempted to compute the correlation coefficient here associated with postings. BY MR. BRIDGES: Q. I'm not asking for a specific correlation coefficient. I'm just asking, generally, can you correlate the posting of standards by defendant with any changes in sales volumes of the standards that defendants has -- that the defendant has posted with reference to Exhibit 4? A. I don't know -MR. FEE: Objection. Form. Page 175 Page 177 45 (Pages 174 - 177) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: I don't recall attempting to do that. And I wouldn't necessarily think that the historical impact would -- is the end of the story as to the harm here. BY MR. BRIDGES: Q. Is historical impact part of the story as to the harm here? A. Yes. Q. What -- what can you say by looking at Exhibit 4 about the historical impact of the posting of the defendant -- of the plaintiffs' standards by the defendant? A. I don't know that I can say much, because I believe the postings largely occurred in late 2012, and I only have one period after that. Q. If it turns out that defendant's postings were well before 2012, would that affect your analysis of the trends in sales data of the plaintiffs' publications? MR. FEE: Objection to form. Compound. Vague. THE WITNESS: Maybe. I would 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Have you determined in any way the dates at which defendant posted various standards to its Web site or to the Internet Archive? A. I don't recall doing a separate analysis of that, no. Q. How did you learn about the dates at which defendant posted various standards to its Web site or to Internet Archive? A. I had conversations with counsel on that topic, and I may have seen that information contained in certain documents like the Complaint, but I don't recall. Q. Did you rely upon information regarding those dates from conversations with counsel? MR. FEE: In arriving at his opinions, you're asking? MR. BRIDGES: Arriving at his understanding of the facts. THE WITNESS: I don't know that I did, because I don't recall reporting those specific dates Page 178 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 consider that information in conjunction with these data if you wanted me to. BY MR. BRIDGES: Q. How -- what -- what would change? A. I don't know. I haven't done that analysis. Q. Have you verified the dates on which plaintiffs -- strike that. Have you verified the dates at which defendant posted the various standards to its Web site or to Internet Archive? A. I don't -MR. FEE: Objection. Vague. THE WITNESS: I don't recall verifying it. And are you asking did I separately go out and determine what that date is and see if that was the same as what was represented in the Complaint, for instance? BY MR. BRIDGES: Q. Yes. A. No, I don't recall doing that. Page 180 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 anywhere in my report. BY MR. BRIDGES: Q. Do you recall taking specific dates into account in analyzing the effect of defendant's actions? MR. FEE: Objection to form. Vague. THE WITNESS: I don't recall one way or the other. BY MR. BRIDGES: Q. Do you know how -- strike that. Do you know how much revenue each plaintiff derives from the standards at issue in this case? A. I don't think I know that precise number. Q. Did you -- did you ever know that number? A. I don't think so. Q. Did you ever know how much revenue each plaintiff derives from standards that have been incorporated into law? A. As opposed to those that have not been incorporated? Is that -Q. Well, I'm -- I'm asking about Page 179 Page 181 46 (Pages 178 - 181) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 those standards that have been incorporated in the law. I'm asking if you know how much revenue each plaintiffs derives -- each plaintiff derives from those standards. A. I don't -MR. FEE: Objection. Form. THE WITNESS: -- think I know that number, and I'm not sure the plaintiffs know that number. BY MR. BRIDGES: Q. Do you know the percentage of revenue that each plaintiff derives from standards that have been incorporated into law? MR. FEE: Objection to form. THE WITNESS: I don't think I do, and I don't believe the plaintiffs do. BY MR. BRIDGES: Q. Are you aware of any difference in profitability to plaintiffs between those standards that have been incorporated into law and those standards that have not been incorporated into law? MR. FEE: Objection to form. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 something just north of 50 percent for ASHRAE. BY MR. BRIDGES: Q. What do you mean by "if you add in memberships"? A. I'm not -- I'm not quite sure what you're asking me to define. Q. I'm asking you to explain the phrase that you just used, "if you add in memberships." What did that mean? A. I talked about that in my report. Membership fees are a fairly good recollect -- a fairly good reflection of amount that would have been paid for publications. In other words, publication fees -- it -- let me start this over again. It makes about as much sense to become a member of ASHRAE as it is to buy some of the individual publications. As a result, many people choose to become members rather than just buying the publication, as I understand it. Q. How did you learn that? A. Having knowledge of the -- of the price difference and through discussions Page 182 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: I don't believe 1 so. 2 BY MR. BRIDGES: 3 Q. Do you know -- strike that. 4 Are you aware of any difference 5 in profitability to plaintiffs between those 6 standards that defendant has posted to the 7 Internet and those standards that defendant 8 has not posted to the Internet? 9 MR. FEE: Objection to form. 10 THE WITNESS: I don't believe 11 so. And as with the previous 12 question, I don't think the plaintiffs 13 have that information at their 14 disposal. 15 BY MR. BRIDGES: 16 Q. For each plaintiff, what do you 17 understand to be the percentage of gross 18 revenue from the sale of standards? 19 MR. FEE: Objection to form. 20 THE WITNESS: I -- I've 21 reported that in my report. My memory 22 is that it's something on the order of 23 66 percent for ASTM and for NFPA. And 24 if you add in memberships, it's 25 Page 184 with people at ASHRAE. Q. How did you learn about the price difference? A. I don't recall how I learned it, but I report it in my report based on certain documents I've seen. Perhaps I learned it from their Web site. Q. Did you do any surveys of ASHRAE members to validate that assumption? A. I'm sorry. Validate what assumption? Q. About purchase of a membership instead of buying the publication. A. I'm not sure that there's an assumption in there. My understanding is that ASHRAE people are of the belief that many people buy membership rather than individual publications. Q. And in your work, did you assume that? A. I didn't assume that. I worked on that -- under that understanding. Q. Oh, it's an understanding, but not an assumption? A. Yes. Page 183 Page 185 47 (Pages 182 - 185) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Did that understanding make a difference to your analysis? A. It was a factual underpinning. Q. An underpinning, but not an assumption? A. It was not an explicit assumption. Q. But it was an underpinning, not an assumption, is your testimony? MR. FEE: Objection. Asked and answered. THE WITNESS: Yes. I don't know what or why you're arguing with me on this. BY MR. BRIDGES: Q. I'm not arguing. A. I don't understand. Q. I'm just trying to understand your testimony. That's all. So I'm asking some follow-up questions. You stated earlier some percentages of revenue from the sale of standards. Did you mean to be identifying what you thought were the percentages of revenue from the sale of standards or from 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 are to copyrighted publications, correct? A. With the exception of number 3, which refers to copyrighted publications and memberships. Q. Okay. So my question wasn't about copyrighted publications. My question is, what percentage do you understand of plaintiffs' revenues comes from the sale of standards at issue in this case? A. Thank you for that reminder of what the question is. I don't think I know that precise percentage. Q. What percentage of plaintiffs' revenues, to your knowledge, comes from the sale of standards incorporated into law? A. I don't know that number. Q. What percentage of plaintiffs' revenues, to your understanding, comes from the sale of all standards? A. I'm sorry. I thought you asked that question. I thought the immediate one before that was standards. Q. No. It was standards at issue in this case. Then -- Page 186 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 the sale of all publications? A. Let me -- let me double-check that. Well, in the case of ASTM, for instance, I believe it's copyrighted publications. Q. What page are you referring to in your report? A. Right now I'm looking at page 36, but I think I talk about it at other areas. Q. So page 36, you're talking about which paragraph? A. Well, right now I was -Q. 83? A. -- I was looking at 83, but I'm turning back to, for more reliable information, to paragraph 15, for instance, which says in 2014, 67.1 percent of the revenue was generated by the sale of copyrighted publications. For NFPA, that information is shown in paragraph 18. And for ASHRAE, that information is shown in paragraph 22. Q. All three of those references Page 188 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. The one before that. Q. -- standards incorporated into law. And now it's all standards. A. Right. Thank you. I don't know that number either. Q. What percentage of plaintiffs' -- strike that. What dollar value do you associate with the investments that each plaintiff has made in the development of the standards at issue in this case? A. I don't think I attributed a dollar amount to that precise activity, because I don't know that amount. Q. What percentage of plaintiffs' operating expenses do you associate with the plaintiffs' development of the standards at issue in this case? A. I don't think I know that number. Q. What percentage of plaintiffs' operating expenses do you associate with the plaintiffs' development of standards incorporated into law? Page 187 Page 189 48 (Pages 186 - 189) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I don't think I know that number. Q. What percentage of plaintiffs' operating expenses do you associate with the plaintiffs' development of standards generally? A. I don't think I know that number. Q. Do you have any estimates of any of those numbers that you just said you don't think you know? MR. FEE: Objection to form. THE WITNESS: Not sitting here right now. BY MR. BRIDGES: Q. Did you at one point ever determine those numbers? A. Not that I recall. Q. Do you know what percentage of the staff or employees of each plaintiff has worked on the development of standards at issue in this case? MR. FEE: Objection to form. THE WITNESS: I don't think I know that number. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Have you ever had access to any information that I've asked in the last several questions? MR. FEE: Objection to form. THE WITNESS: I don't believe so. BY MR. BRIDGES: Q. Do you know whether plaintiffs prepare standards through joint sponsorship with any other organizations? MR. FEE: Objection. Vague. THE WITNESS: I think I may have seen a reference to that. I don't know the extent to which it occurs, but I wouldn't be surprised to be reminded that it does occur. BY MR. BRIDGES: Q. Are you aware of any, as you sit here? A. Not as I sit here right now, but I think I'm aware that it has occurred. Q. Do you know whether plaintiffs receive grants, revenue, or stipends from governments that use, reference, or adopt their standards? Page 190 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. Do you know what percentage -do you have an estimate? A. No. MR. FEE: Objection to form. THE WITNESS: Not as I sit here, no. BY MR. BRIDGES: Q. Do you know what percentage of the staff or employees of each plaintiff has worked on the development of standards incorporated into law? MR. FEE: Objection to form. THE WITNESS: Not as I sit here right now. BY MR. BRIDGES: Q. Do you have an estimate? A. Not as I sit here right now. Q. Do you know what percentage of the staff or employees of each plaintiff has worked on the development of standards in general? A. Not as I sit here right now. Q. Do you have an estimate? A. Not as I sit here right now. Page 192 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. FEE: Objection to form. THE WITNESS: There are grant monies that go to NFPA. I don't know the source of those grants. I don't see a line for grant revenues for the other two organizations. BY MR. BRIDGES: Q. Did you ask any of the plaintiffs about the revenues or expenses they have specifically attributable to the standards that defendant has posted to the Internet? MR. FEE: Objection to form. THE WITNESS: We generally talked about that topic with each plaintiff, and I don't think the plaintiffs know that amount. They undertake activities that are standards oriented. They don't know which of those standards will be incorporated by reference. BY MR. BRIDGES: Q. Did you -A. Or which have been. I don't think they systematically track those. Page 191 Page 193 49 (Pages 190 - 193) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 documents, but they provided them as part of the discovery process. BY MR. BRIDGES: Q. Did you ask them for any documents that they had not provided? A. I think we generally described the kinds of information that we find useful or typically find useful in matters like this. Q. After you received documents from plaintiffs' counsel, did you ask them for any more? A. That -- that's possible. I don't recall that. Q. You don't recall. Did you -do you have any understanding as to the dollar value of staff time and expenses that the plaintiffs have incurred in promoting incorporation of their standards into law? MR. FEE: Objection to form. Lack of foundation. THE WITNESS: I don't think I have that number, no. BY MR. BRIDGES: Q. Do you have an estimate? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I looked at some parts of it. I don't recall that I looked at all aspects of the database. Q. Did you verify how many standards were incorporated by reference according to that database? A. No, I did not. Q. What do you mean by, "This database reports nearly 13,000 instances of incorporation by reference"? A. I don't know what you're asking me to define. Q. I'm not asking you to define anything. I'm asking you to explain what you meant by that clause, "This database reports" -A. I'm sorry. I'm just -- I'm going to be just rearranging words a little bit. There were 13,000 times that there was incorporation by reference of a standard. I -- I don't -- I'm sorry. I don't understand what your confusion is. Q. I'm not confused. I'm just asking you questions. Okay? So please don't understand -- please don't assume that I'm Page 198 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. FEE: Same objections. THE WITNESS: Not as I sit here now, no. BY MR. BRIDGES: Q. Did you discuss that issue with anyone representing the plaintiffs? MR. FEE: Same objections. THE WITNESS: It's possible, but I don't recall having that discussion. BY MR. BRIDGES: Q. In paragraph 57 of your report, you refer to "thousands of private-sector standards." Was your sole support for the statement in paragraph 57 the Bremer article you cited in footnote 88? A. No. You see I discuss and provide support for that in subsequent paragraphs in that section. Q. And that includes in paragraph 58? A. Yes. Q. And did you review the Standards Incorporated by Reference Database that you refer to in paragraph 58? Page 200 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 confused. I'm trying to understand what you meant by that. You mean separate instances? You mean separate laws? What do you mean? A. Yes. Separate instances slash separate laws. Q. What did you count as an instance? A. Mention in a particular law of a standard. Q. Did you or anybody working with you attempt to determine the number of standards that those 13,000 instances of incorporation by reference referred to? A. Not entirely. But if you read on that -- in that same section, it talks about the number of ASTM standards, the numbers of -- the number of NFPA standards, and the number of ASHRAE standards. Q. Well, please tell me where it refers to the number of standards. A. It says, "Including more than 2,400 instances involving ASTM standards." So you're right. It doesn't have the number of standards. It just has Page 199 Page 201 51 (Pages 198 - 201) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 mentions of standard. You're absolutely right. Q. And the same thing is true of the NFPA standards and ASHRAE standards? A. You're absolutely right, yes. Q. Do you know how many standards that database shows as having been incorporated by reference? A. Not sitting here right now. One could perhaps look at what I cited to answer that question, but I don't know right now. Q. Do you know whether anyone working for you ever did that work to make that determination? A. I don't recall that being done. Q. Paragraph 59, you say, "At the state level, privately-developed standards are incorporated by reference as part of the exercise of a range of governmental functions." Do you see that? A. Yes. Q. What do you mean by "governmental functions" in that statement? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What are the governmental functions with respect to driving that you have in mind? A. I don't have any particular ones in mind. Q. In paragraph 59, you say, "At least 44 states and territories have adopted ASHRAE 90.1 as part of the commercial building energy code." Do you see that? A. Yes, I do. Q. And that also has footnote 95 associated with that as well, correct? A. Yes, that's correct. Q. How do you explain the fact that that reference in footnote 95 shows that those 44 states, in fact, adopted the International Energy Conservation Code that merely has a reference to an option to use ASHRAE 90.1? MR. FEE: Objection. Lack of foundation. THE WITNESS: I don't have any explanation for that. BY MR. BRIDGES: Page 202 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Things that government agencies do. Q. And you give a couple of examples, but speaking broadly, what are governmental functions that involve incorporation by reference of privately developed standards at the state level? MR. FEE: Objection to form. THE WITNESS: I can only answer generally. Health and human services, things that are related to that, safety, driving rules and regulation. Those are among the things that come to mind. BY MR. BRIDGES: Q. What are the governmental functions related to health and human services that you have in mind? A. I don't have any particular ones in mind. Q. What are the governmental functions relating to safety that you have in mind? A. I don't have any particular ones in mind. Page 204 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Did you verify that? A. I did not, no. Q. Who did? A. I'm sorry. Who verified what? Q. On what -- on what did you rely to make that statement with that footnote? A. I may not understand your question. I relied on what's identified in footnote 95. Q. But you didn't review foot -what's in footnote 95, right? MR. FEE: Objection. Lack of foundation. THE WITNESS: I did. BY MR. BRIDGES: Q. You -- you reviewed that Web site? A. Yes. Q. Personally? A. Yes, I believe so. Q. Do you have an explanation as to why the resource cited in footnote 95 actually shows that the 44 states adopted the International Energy Conservation Code? MR. FEE: Objection. Lack of Page 203 Page 205 52 (Pages 202 - 205) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What other benefits do plaintiffs gain from incorporation by reference of their standards? A. I think that generally covers it. I may be forgetting things that are laid out in my report, but that's what covers it, to the best of my memory right now. Are we at a good point for a break? Q. If you want. Sure. A. Thanks. THE VIDEOGRAPHER: Off the record at 3:12. This is the end of media unit number 2. * * * (Recess from 3:12 p.m. to 3:41 p.m.) * * * THE VIDEOGRAPHER: On the record at 3:41. This is the beginning of media unit number 3 in the deposition of John Jarosz. * * * (Jarosz Exhibit 5 marked for identification.) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 a particular period. Q. And then you do the same for NFPA documents, correct? A. Yes. Q. What do you calculate as the dollar value of harm to the -- to ASTM from the accesses and downloads that you refer to in paragraph 133? A. I haven't calculated that harm. Q. Why not? A. I'm not sure if I can at this stage. One estimate would be those number of downloads times the -- well, actually, no, let me take that back. I just don't know how to do it. Q. Can you be certain that these accesses or down -- and downloads referred to in paragraph 133, in fact, resulted in economic loss to ASTM? MR. FEE: Objection to form. THE WITNESS: Not with absolute certainty, but with reasonable certainty I can say some -- in some number of these instances, it's likely the case that the -- that the Page 210 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 * * * BY MR. BRIDGES: Q. Mr. Jarosz, I've handed you Exhibit 5. This is an article that you cited in your report, correct? A. Yes, I believe so. Q. Do you recall how this article came to your attention? A. I do not. Q. Is this an article that you understand to have been published by plaintiff ASHRAE in its journal? A. Yes, that's my understanding. Q. And this is an article you relied upon with respect to the development of standard 90, which became standard 90.1, correct? A. Yes. Q. In paragraph 133 of your report, you talk about a number of downloads -- strike that -- you talk about a number of documents accessed through Public Resource's Web site. Do you see that? A. I talk about the number of ASTM documents that are -- that were accessed over Page 212 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 information would have been obtained from ASHRAE in -- or ASTM, rather, in -- through legal means. BY MR. BRIDGES: Q. Would that -- in those instances where you say that the information would have been obtained from ASTM through legal means, can you put a dollar value on -or even an estimate of the increased revenue that ASTM would have gotten from those instances where people obtained the information from ASHRAE -- sorry -- from AST -MR. FEE: Object -BY MR. BRIDGES: Q. -- from ASTM? MR. FEE: Objection to form. THE WITNESS: No, not based on the information I have. I don't think I have any indication of who was doing the downloading and why. BY MR. BRIDGES: Q. And do you know what alternatives persons who were doing the downloading may have had for obtaining the Page 211 Page 213 54 (Pages 210 - 213) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 information? A. Not with certainty, because I don't know who those persons were, but I would expect one alternative would be to obtain it properly, directly from ASTM. Q. Would that have resulted in more revenue to ASTM? A. It may have. If they're materials that were taken improperly that would have been paid for, then that would represent a loss of revenue to ASTM. Q. Do you know whether any of the persons who obtained this information from defendant would have paid for the information from ASTM? A. No, not with certainty, because I don't know the identity of the downloaders or the reasons for their downloading. Q. Moreover, those persons might have accessed the standards from ASTM's reading room for free and with no revenue to ASTM, correct? A. You mean in a but-for world? Had they not done what they actually did, alternatively they could have gone to the 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 more extended use of that document. Q. Do you have any evidence about wide distribution of plaintiffs' standards as a consequence of defendant's actions? A. I do not. Q. Have you reviewed any studies that would allow you to establish any connection between the number of accesses or downloads that Public Resource made possible and any financial harms to the plaintiffs? MR. FEE: Objection to form. THE WITNESS: I don't think I've seen any study on that, no. BY MR. BRIDGES: Q. Have you conducted any studies that would have allowed you to establish any connection between the number of accesses or downloads that Public Resource made possible and any financial harms to the plaintiffs? MR. FEE: Objection to form. THE WITNESS: Not other than what's contained in my report. BY MR. BRIDGES: Q. Please turn to page 45, paragraph 107, which spills into page 108. Page 214 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 free reading room? Q. Right. A. That's a possibility, yes. Q. Do you have an understanding as to why persons would want to download a file of a standard instead of viewing it at one of the plaintiffs' reading rooms? A. Not with absolute certainty, but I would imagine downloading would allow more flexibility in referring to the standard and using it and sharing that information with others, whereas reading it in -- through an Internet site is somewhat less flexible, provides less flexibility for the use of that information. Q. What did -- what do you understand to be the difference in flexibility between possession of a download and access to a standard through a reading room? A. Well, I think that a download typically has a document that's in hard-copy form. Copies can made -- be made of that and distributed. Reading things just online doesn't allow for the wide distribution and Page 216 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. FEE: Page 108? THE WITNESS: I'm sorry. Page 108 or paragraph? BY MR. BRIDGES: Q. I'm sorry. Paragraph -- strike that. Let me ask you to turn paragraph 107 on pages 45 to 46. A. Okay. I'm there. Q. I just want to make sure I understand your language correctly at the bottom of page 45 and the top of page 46. Is it your opinion that the copyright that the plaintiffs assert in their standards drives sales of other publications other than the standards themselves? MR. FEE: Objection. Form. Vague. THE WITNESS: I think they're important for driving sales of publications that embody those standards. I don't know that I've drawn a conclusion that it drives the sale of other products, but that makes some sense. Page 215 Page 217 55 (Pages 214 - 217) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. Well, doesn't that sentence at the bottom of 45 and going on to 46 say that copyright on plaintiffs' standards drive sales of "handbooks that provide commentary on the standards by referring to them"? A. You haven't read -MR. FEE: Objection. Mischaracterizes the document. THE WITNESS: You haven't read the whole sentence. I see that sentence to which you refer. BY MR. BRIDGES: Q. Right. I know I haven't read the whole sentence, but didn't I fairly capture one part of it, which is the sales of -- strike that -- that copyright on plaintiffs' standards drives sales of, among other things, "handbooks that provide commentary on standards by referring to them"? MR. FEE: Same objection. THE WITNESS: I think you have generally paraphrased it accurately, yes. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 whether plaintiffs have copyright in -rights in their value-added publications? MR. FEE: Objection. Vague. THE WITNESS: I would be curious to know that, but I'm not sure of the significance. I don't think it would change my conclusions, but I would be curious to know that. BY MR. BRIDGES: Q. Do you know whether incorporation into law drives -- strike that. Do you know whether incorporation into law of plaintiffs' standards drives sales of plaintiffs' standards? MR. FEE: Objection to form. Vague. THE WITNESS: I don't know with absolute certainty, but it would make some sense to me. BY MR. BRIDGES: Q. Is it your understanding that it does? MR. FEE: Same objection. THE WITNESS: It would make Page 218 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BY MR. BRIDGES: Q. And that plaintiffs' copyright protection -- this is the top of -- strike that. And turning to the top of page 46, plaintiffs' copyright protection on their standards provides plaintiff with a competitive advantage with respect to what you call value-added publications, correct? A. You've read part of a sentence, but I do see that sentence, yes. Q. And I've fairly paraphrased it correctly, correct? MR. FEE: Objection to form. THE WITNESS: I think, generally, yes. BY MR. BRIDGES: Q. Do plaintiffs, to your understanding, have separate copyrights in those value-added publications, such as commentaries and handbooks? A. I don't know. Q. You don't know? A. Correct. I do not know. Q. Is it important to you to know Page 220 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 some sense to me, yes. BY MR. BRIDGES: Q. Are you aware that, in some instances, at least one plaintiff uses the legal status of its code to promote the sale of handbooks? MR. FEE: Objection to form. THE WITNESS: I don't know one way or the other. I don't have reason to dispute it, but there's not a particular instance that comes to mind right now. Maybe you have something to refresh my memory. BY MR. BRIDGES: Q. Can you provide a dollar value benefit that plaintiffs receive economically from the incorporation of their standards by reference? MR. FEE: Objection. Vague. Form. THE WITNESS: I want to make sure that I'm understanding. Could you read that back, please? BY MR. BRIDGES: Q. I'll restate it. Page 219 Page 221 56 (Pages 218 - 221) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Can you provide a -- can you put a dollar value, even an estimate, on the economic benefit that plaintiffs receive from incorporation of their standards into law? MR. FEE: Objection to form. THE WITNESS: I have not. And I'm not sure how one would do that, subject to thinking more about it. BY MR. BRIDGES: Q. At the top of page 46, you say, "The Plaintiffs' copyright protection on their privately-developed standards provides a competitive advantage with regard to the sale of these value-added publications as the copyright protection limits the ability of others to sell those publications unless they are unwilling [sic] to compensate the Plaintiffs for such use." MR. FEE: Objection. Mischaracterizes the statement. BY MR. BRIDGES: Q. Is there something unfair about my characterization of that statement? A. I think you read it wrong. You read "willing" to read "unwilling" for some 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What else? A. That's what comes to mind. Q. Anything else? A. Not this moment, no. I guess, potentially, when I think some more about it, training and seminars, for instance. Q. Providers of training and seminars? A. Yes. So that's broader than value-added publications, but there are potentially alternative providers of training and seminars. Q. In paragraph 109, you say, "In addition to direct sales of copyrighted materials, the Plaintiffs' materials associated with their privately-developed standards provide a competitive advantage with regard to the sale of downstream ancillary/complementary services and products." Do you see that? A. Yes. That's what I had in mind. Q. And who are the competitors you have in mind in paragraph 109? Page 222 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 reason. Q. Oh, I'm sorry. Thank you. I'll restate the sentence. "In particular, the Plaintiffs' copyright protection on their privately-developed standards provides a competitive advantage with regard to the sale of these value-added publications as the copyright protection limits the ability of others to sell those publications unless they are willing to compensate the Plaintiffs for such use." Do you see that statement? A. I do, yes. Q. And the competitive advantage you've identified there, whom do you understand to be the competition? A. Other potential providers of these so-called value-added publications. Q. And what -- when you say "value-added publications," please give me more examples of what types of things fall into that category, as you use the term. A. Examples would be handbooks that provide commentary on the standards. Page 224 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I don't know particular names, but -- at least I don't recall any sitting right now -- sitting here right now, but I think there are other providers of these downstream services and products. Q. And please give me examples of what you're calling "downstream services and products." A. Again, seminars and training, for instance. Q. Anything else? A. That's what comes to mind right now. Q. Turning to paragraph 110, you state, "I understand that the ability to control these downstream products and services is particularly important to the Plaintiffs here because the barriers to entry in the marketplace for downstream products, such as training and user manuals, are relatively low. For example, according to Mr. Comstock of ASHRAE, it is relatively easy for unauthorized instructors to read a standard and become (or think that they have become) qualified to provide training or Page 223 Page 225 57 (Pages 222 - 225) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 guidance on that standard." Do you see that? A. I do, yes. Q. What do you understand -- what did you mean by "unauthorized instructors"? A. People that have provided or trying to provide services to the marketplace that have not been explicitly approved by, for instance, ASHRAE. Q. What do you understand the -the nature of -- strike that. You called them "instructors," correct? A. Yes. Q. Does that mean that you envision that these persons are providing some kind of instruction? A. Yes. Q. What instruction do you understand -- what instruction did you have in mind when you referred to "unauthorized instructors"? A. Generally, how best to implement standards or provisions of certain standards. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. You're just parroting what Mr. Comstock said, or did you have an independent view? A. No, I heard what he said, and it made sense to me. Q. So you put it in your report? A. Yes. Q. What independent thought or investigation did you do before you put that in your report? MR. FEE: Objection. Vague. Compound. THE WITNESS: I can't point to anything in particular. BY MR. BRIDGES: Q. Would a law-school course on the law and regulation of building construction provide instruction to law students? MR. FEE: Objection. Vague. Calls for speculation. THE WITNESS: I guess it could. I have a hard time imagining there would be much demand for such a course, but I'm in general agreement Page 226 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What else? A. Nothing else comes to mind right now. Q. Would your understanding of "unauthorized instructors" include persons who were instructing the public as to what the standards require? MR. FEE: Objection to form. Vague. THE WITNESS: I didn't have that in mind. I guess that's a possibility. BY MR. BRIDGES: Q. And would it be relatively easy for unauthorized persons like that to read a standard and think that they have become qualified to provide training or guidance on that standard? MR. FEE: Objection. Vague. BY MR. BRIDGES: Q. Is that your understanding? A. According to Mr. Comstock, I believe that's correct. Q. What do you believe? A. I have no reason to doubt him. Page 228 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 that that, in concept, could occur. BY MR. BRIDGES: Q. Would it be possible to envision that, in the course of such teaching, a teacher may wish to analyze some of plaintiffs' standards that have been incorporated into law as law and as regulation? MR. FEE: Objection. Calls for speculation. Vague. Form. THE WITNESS: I guess that's possible, but I would expect a law professor would be talking about legal implications, not the technical aspects of a standard. I think they might talk about the implication in a business that's different from a vendor business. BY MR. BRIDGES: Q. Well, what about the legal implications of a code for contractors? MR. FEE: Objection. BY MR. BRIDGES: Q. Is that -- is that fair ground for a law professor to discuss with law Page 227 Page 229 58 (Pages 226 - 229) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. You can't point to any particular investigation or fact that you're relying on in paragraphs 117 to 119? MR. FEE: Objection to form. Asked and answered. THE WITNESS: Everything that's embedded in Exhibit 1 is, in part, a basis for the observations that I draw in those paragraphs. BY MR. BRIDGES: Q. What probability do you assign to your prediction in the first sentence of paragraph 119? MR. FEE: Objection. Form. Lack of foundation. THE WITNESS: I'm not sure that I've used the term "prediction," but I wouldn't assign a particular quantitative probability. BY MR. BRIDGES: Q. Can you give an estimate? A. No. Q. Why not? A. I don't have a basis for that estimate. I have reasoning underlying it, 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. What probability do you assign to the likelihood that you refer to in the first sentence of paragraph 121? MR. FEE: Objection to form. Lack of foundation. THE WITNESS: I don't have a particular quantitative likelihood measure. BY MR. BRIDGES: Q. Can you give an estimate? MR. FEE: Same objection. THE WITNESS: No. BY MR. BRIDGES: Q. Turning to paragraph 126, you refer to an "option available to Plaintiffs to respond to the loss of protection for incorporated standards." Is it your belief that, if the plaintiffs lose this case, they will shut down their creation of new standards? A. I think that's a possibility. Q. What probability do you assign to that? MR. FEE: Objection to form. Lack of foundation. Page 234 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 but I don't have a basis to provide a quantitative estimate of my level of confidence. Q. You refer to "uncertainties" in the second sentence of paragraph 119, correct? A. I do, yes. Q. What probability do you assign to the likelihood that you refer to with the word "likely" in the first sentence of paragraph 120? MR. FEE: Objection. Form. Lack of foundation. THE WITNESS: I don't have a particular quantitative measure of that. And are you referring to my use of the term "likely"? BY MR. BRIDGES: Q. Yes. A. Yes, I don't have a particular quantification of that. Q. What particular facts are you relying on for that paragraph? A. Everything that you see reported in Exhibit 1. Page 236 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: I don't have a particular quantitative measure of probability for that. BY MR. BRIDGES: Q. What's your best estimate? MR. FEE: Same objection. THE WITNESS: I don't have a quantitative best estimate. BY MR. BRIDGES: Q. Is it more or less than 50 percent? MR. FEE: Same objections. THE WITNESS: I still don't have a quantitative estimate. BY MR. BRIDGES: Q. Is it more or less than 80 percent? MR. FEE: Same objections. THE WITNESS: Still don't have a quantitative estimate. BY MR. BRIDGES: Q. Is it more or less than 5 percent? MR. FEE: Same objections. THE WITNESS: Still don't have Page 235 Page 237 60 (Pages 234 - 237) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 a quantitative estimate. I think that there -- with reasonable probability I can draw this conclusion, but I can't be any more precise than that. BY MR. BRIDGES: Q. What do you mean, "with reasonable probability"? A. Based on the information that I have and the training and logic I bring to it, I think there is a -- I say with some confidence what I have said here. Q. And when you say "likely," do you mean more than 50 percent likely? A. Not necessarily, no. Q. Are you aware of other standards development organizations active in the same field as the plaintiffs? MR. FEE: Objection. Vague. Form. THE WITNESS: Perhaps you could tell me what you have in mind with your use of the term "fields." BY MR. BRIDGES: Q. Well, are you familiar with AHRI? 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 to see what alternatives there are among standards development organizations currently in existence to carry forward the work of plaintiffs if plaintiffs chose to stop standards development as a result of the loss of this case? MR. FEE: Same objection. THE WITNESS: Not that I recall, but I am of the understanding that each SDO has a different charter, so I don't know that any SDO has an identical charter to that of any of the three plaintiffs. BY MR. BRIDGES: Q. Are you aware that these plaintiffs compete with other SDOs in the creation of standards in particular fields? MR. FEE: Objection to form. Vague. THE WITNESS: What do you mean by the term "compete with" in this context? BY MR. BRIDGES: Q. That they consider others rivals for the same market, in part. Page 238 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. I have perhaps seen reference to that. Q. Do you know with which of these plaintiffs it -- do you -- do you know what field it's in? A. I don't recall, sitting here right now, no. Q. Are you familiar with NFRC? A. I may have seen reference to that acronym. Q. Do you know what field it's in? A. Not sitting here right now. Q. Are you familiar with ICC? A. I have seen reference to that. I don't recall what it is, sitting here now. Q. Do you know whether other standards developments organizations would be in a position to step forward and to continue the maintenance and preservation and further development of the standards of plaintiffs here if plaintiffs lose this case? MR. FEE: Objection to form. THE WITNESS: I don't know. BY MR. BRIDGES: Q. Have you done any investigation Page 240 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. FEE: Objection to form. Vague. THE WITNESS: I don't recall seeing reference to that, but my memory is not perfect. BY MR. BRIDGES: Q. The -- in paragraph 131, you say, "Simply put, freely-distributed, unrestricted versions of Plaintiffs' standards that are or could be incorporated by reference can be expected to adversely impact the market for Plaintiffs' standards that are incorporated by reference and to displace sales of these standards by the Plaintiffs - which can be expected to have a material adverse effect on Plaintiffs' revenues." Do you see that? A. Yes. Q. By "expected," do you mean more than 50 percent likely? A. Not necessarily. I don't have a quantitative assessment of what I mean by "expected." Q. Do you mean more than 5 percent Page 239 Page 241 61 (Pages 238 - 241) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 new in terms of a theory. Q. Do you have the same answer with respect to -- strike that. What facts do you have -strike that. What facts are you aware of to disprove -- to disprove Mr. Malamud's theory that you refer to in paragraph 144? A. Again, it's the same theory that's being referenced, but there's additional facts; and that is, the downstream products and services aren't particularly substantial to these plaintiffs and don't appear to be enhanced by a lack of copyright protection; that is, the plaintiffs have had copyright protection and have said -- had some downstream products and services. It's hard to imagine that elimination of that copyright protection will enhance that business. Q. It's hard to imagine, but are you aware of any studies to disprove Mr. Malamud's theory? A. No. MR. FEE: Objection. Vague. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 rest of that paragraph? MR. FEE: Objection. Vague. THE WITNESS: I looked at the financial information, and I talked to people at the various plaintiffs. BY MR. BRIDGES: Q. You talked to people at the various plaintiffs? A. Yes. Q. What did you do to verify the truth and accuracy of the things that various plaintiffs said to you in their conversations? MR. FEE: Objection to form. THE WITNESS: I looked at the financial information, and I kept my eyes and mind open to the information in the rest of the record to determine if it conflicted with what I learned from the company personnel. BY MR. BRIDGES: Q. Whose financial information did you look at? A. All three of the plaintiffs. It's summarized in tabs 3, 4, and 5. Page 246 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE WITNESS: I'm sorry. BY MR. BRIDGES: Q. Have you conducted any studies to disprove Mr. Malamud's theory? MR. FEE: Same objection. THE WITNESS: Not other than what's reflected here in Exhibit 1. BY MR. BRIDGES: Q. What academic literature have you relied upon to criticize Mr. Malamud's theory in paragraph 144? A. Nothing specific comes to mind. Q. In paragraph 145, you state that, "Mr. Malamud's suggestion that the sale of downstream products and services represents an untapped and undeveloped opportunity for the Plaintiffs is incorrect." Do you see that? A. Yes, I do. Q. And then you go on and make some statements for the rest of the paragraph, correct? A. Yes. Q. What studies did you engage in to determine the facts that you stated in the Page 248 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. Did you look at the financial information of any entities other than the plaintiffs? A. I looked at Public Resource financial information. Q. Apart from Public Resource and the plaintiffs, did you look at the financial information of any other entities in making the assertions that you made in paragraph 145? A. Not in undertaking my assignment here. Q. Did you consider the business models of any entities other than the plaintiffs and the defendant in making the statements criticizing Mr. Malamud's theory in paragraph 145? A. Nothing in particular comes to mind. I understand that there are front-loaded business models, but -- at DIN, for instance, but I don't recall undertaking an investigation of the downstream activities that they have. Q. Did you undertake any investigation of downstream activities of Page 247 Page 249 63 (Pages 246 - 249) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 other US-based standards development organizations that make their standards freely available to the public? A. Not that I recall. Q. Would that have been relevant to your analysis? A. It wasn't necessary to do my analysis, but I would be curious if I had that information. If I -- if I had the ability to examine that information, I would be curious as to what that shows. Q. In paragraph 146, you state, "The loss of publications here will likely reduce the Plaintiffs' sales of those downstream products and services." Do you see that? MR. FEE: That's in 146? THE WITNESS: Is that the last sentence you were reading from? BY MR. BRIDGES: Q. Yes. A. Yeah. Q. Paragraph 146. A. Yes, I do see that. Q. Did you mean the loss of 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 unable to quantify that with great accuracy. BY MR. BRIDGES: Q. Have you considered any comparable circumstances apart from this case that would provide guidance for your prediction in the last sentence of paragraph 146? MR. FEE: Objection to form. Vague. THE WITNESS: I kept my mind and eyes open to that, but I didn't see information of a good comparator. BY MR. BRIDGES: Q. Did you research whether there might be good comparators? A. I -MR. FEE: Same objection. THE WITNESS: I did in the sense of reading through the literature and information to see if I could learn of something that would be a good comparator, but I didn't learn of such comparator. BY MR. BRIDGES: Page 250 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 copyright in the publications here? A. Certainly the loss of publications, but I believe it would probably be better to put the loss of copyright in the publications as more reflective of the assignment that I undertook here. Q. What probability do you assign to the likelihood that you refer to in that sentence? MR. FEE: Objection to form. Lack of foundation. THE WITNESS: I haven't assigned a quantitative probability to that. BY MR. BRIDGES: Q. Have you any estimate? MR. FEE: Same objections. THE WITNESS: I do not. BY MR. BRIDGES: Q. Have you any estimate as to the magnitude of the likely reduction of plaintiffs' sales of downstream products and services? MR. FEE: Same objections. THE WITNESS: No, I have been Page 252 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Q. You looked only at the information shown in tab 2 to Exhibit 1? A. Yes, I think that's right. Q. What economic effect are you aware of to the Blu-ray Disc Association from its providing unrestricted access to its standard publications for free? A. I don't know. I thought you had asked that earlier. If not, I apologize. Nonetheless, I don't recall knowing the answer to that question or undertaking that evaluation. Q. Did Blu-ray Disc Association go out of business? A. I don't think it's out of business, no. Q. Has it suffered material harm, to your knowledge, because of unrestricted access to its standard publications for free? A. I don't know. Q. Do you believe that, on the theory of revealed preference, Blu-ray Disc Association has determined that unrestricted access to its standard publications for free is in its interest? Page 251 Page 253 64 (Pages 250 - 253) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Yes. It's a different entity than the SDOs here; but for its purposes, it would appear that it's of the belief that that's the optimal path to follow. MR. BRIDGES: I think -- I think we may pause things now and reserve the remainder of our time. Just a second. Oh, yes. BY MR. BRIDGES: Q. Do you believe that the plaintiffs are harmed when the defendant posts a standard that has been incorporated by reference -- let me strike that. Do you believe that plaintiffs suffer harm from defendant posting a standard that is not the latest version of the standard? MR. FEE: Objection. Form. Compound. THE WITNESS: Potentially, it could cause confusion in the marketplace as to what's the latest standard, and there may be some entities out there that are interested in obtaining an earlier standard that 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. FEE: Objection. Lack of foundation. Vague. THE WITNESS: I'm not -- I'm not sure that I understand the concept of a standard being out of print, so maybe you could help me with that. BY MR. BRIDGES: Q. Do you know the term "out of print"? A. Generally, I do, yes. Q. What do you understand it to mean? A. That it's no longer provided in print form. Q. All right. So what harm do you understand plaintiffs would suffer if defendants posted a standard that is out of print? MR. FEE: Objection to form. THE WITNESS: Potentially, it could be the harm similar to outdated standards. BY MR. BRIDGES: Q. In other words, confusion in the marketplace? Page 254 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 would be obtaining it free rather than through the legal routes established by the plaintiffs. BY MR. BRIDGES: Q. Have you done any studies to determine what confusion may be likely in the marketplace in that regard? MR. FEE: Objection to form. THE WITNESS: I have not done a likelihood of confusion study, no. BY MR. BRIDGES: Q. What research have you done as to whether -- strike that. What information do you have about what market there is for earlier versions of standards when there is a newer version in the market? MR. FEE: Objection to form. THE WITNESS: I don't recall undertaking specific research on that topic. BY MR. BRIDGES: Q. What harm do you understand plaintiffs would suffer if defendants post a standard that is out of print? Page 256 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 A. Potential confusion in the marketplace and potentially providing -- yes, that -- that would be one form of it. Q. What other harms do -- would you identify from the defendants posting a standard that is out of print? A. Nothing else comes to mind this moment, but there could be other things that -- that I'm not thinking of right now. Q. What harms do you understand plaintiffs would suffer if a condition of a standard being incorporated into law is that plaintiffs could not forbid other entities from making that law available widely and freely to the public? MR. FEE: Objection to form. Incomplete hypothetical. Compound. Calls for speculation. THE WITNESS: I don't know. I've not undertaken that assignment. I've not given that particular question any thought. It seems economically to be quite similar to the actions that have occurred here, but I don't know. I've Page 255 Page 257 65 (Pages 254 - 257) Veritext Legal Solutions 866 299-5127 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 not thought about that particular topic. MR. BRIDGES: Okay. I think we'll pause here and reserve the rest of the time for a later visit with you, Mr. Jarosz. Kevin, this is in reliance on an exchange of correspondence between Matt and you, I believe. If, for some reason -- well, no. I think that's all. Anything else? MR. FEE: Well, I don't have any questions. Do you guys have any questions? MR. REHN: Not at this time. MR. CUNNINGHAM: No. MR. BRIDGES: Great. Thank you. THE WITNESS: Thank you. THE VIDEOGRAPHER: All right. Off the record at 4:31. This ends media unit number 3 and ends testimony for August 27th, 2015. * * * 1 2 CERTIFICATE I do hereby certify that I am a Notary 3 Public in good standing, that the aforesaid testimony was taken before me, pursuant to 4 notice, at the time and place indicated; that said deponent was by me duly sworn to tell 5 the truth, the whole truth, and nothing but the truth; that the testimony of said 6 deponent was correctly recorded in machine shorthand by me and thereafter transcribed 7 under my supervision with computer-aided transcription; that the deposition is a true 8 and correct record of the testimony given by the witness; and that I am neither of counsel 9 nor kin to any party in said action, nor interested in the outcome thereof. 10 WITNESS my hand and official seal this 11 11th day of September, 2015. 12 13 14 <%signature%> 15 Debbie Leonard, RDR, CRR Notary Public 16 17 18 19 20 21 22 23 24 25 Page 258 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Page 260 (Witness excused.) * * * (Off the record at 4:31 p.m.) * * * Page 259 66 (Pages 258 - 260) Veritext Legal Solutions 866 299-5127

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