In Gator.com v. L.L. Bean, an en banc panel of the 9th Circuit declined to rule on whether a California court can have jurisdiction over an internet and mail-order retailer based in Maine. Gator.com (now Claria) sued for a declaratory injunction that its practices of selling pop-up ads in its adware designed to pop-up over the L.L. Bean website does not violate trademark, copyright and unfair competition law. L.L. Bean moved to dismiss for lack of personal jurisdiction. Gator.com and L.L. Bean settled the trademark, copyright and unfair competition claims, with Gator.com to pay an extra $10,000 if the court ruled against finding personal jurisdiction over L.L. Bean in California. The court found that the dispute was moot and declined to rule on the jurisdictional issue.
Law.com: 9th Circuit: $10K 'Bet' Can't Settle E-Retailer Fight: "In an 8-3 decision Tuesday, judges decided the issue was moot because the parties, Maine-based L.L. Bean Inc. and Gator.com Corp. of Redwood City, Calif., settled after last summer's oral argument. Gator.com agreed to pay L.L. Bean, but the amount remained under seal at the 9th Circuit."
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