Continuing our walkthrough of the Bragg vs Linden Lab filings, we move on to Bragg's second 16 January, 2007 filing. Bragg's Opposition to Rosedale's Motion to Dismiss.We already discussed Rosedale's Motion to Dismiss (to dismiss himself as a defendant in the case, on the grounds that the court had no jurisdiction over him). Now, Bragg is objecting. We also learn in passing that the motion to remand back to state court was denied. The case is now firmly in the federal district.
Okay, here's the way Bragg's playing this one. After the usual long-winded summary of the complaint, he puts forward the argument that Rosdale is a fraud, that the statements about land ownership are simply fraudulent, that by making them in person (rather than through an intermediary), Rosedale is enhancing that fraud.
On the basis that we're talking about Philip committing large-scale fraud, Bragg builds a case for the court having jurisdiction. It looks like a pretty good case for jurisdiction, to be honest, but -- if it were all that good -- why didn't anyone try the same thing on Darl McBride?
On the assumption, arguendo, that Bragg is right and Linden Lab's whole ownership notion is fraudulent and rotten fruit; that Linden Lab do not and never intended true ownership (under covenant or any other means), and could not continue to operate as a going concern if they did; well, his case for jurisdiction over Rosedale looks pretty solid, but ... umm ... why would he want his virtual land and objects back? If he wins his essential points (particularly the injunctions), then he will have destroyed their value, and rendered them essentially worthless.
Bragg suggests in a footnote that if Linden Lab successfully defends their actions with respect to Bragg's virtual property, that it may act as proof that Rosedale is a fraud. That's just a bit of manly chest beating (while you're at that actually, boys, you could post a photo of that, hmmm? That'd be nice).
Bragg goes on to argue that the way Linden Lab is structured, coupled with Rosedale's personal statements make Rosedale susceptible to his claims, where the CEO of a more traditionally structured company might not be. Who knew there was such beneficial ass-covering advantages in the boring old corporate structure?
So, this seems to be where we're at. This is evolving into a straight fraud case, with virtual land/property more or less being a MacGuffin -- which suggests that (should it come to a jury) any rulings that come out of it on the matter of virtual land/property will probably not make a lot of sense when applied to the reality of these things.
Here's the zip file, with exhibits. Check exhibit 9, Bragg has a sense of humor (this exhibit is referenced on page 7 of the opposition document). It's interesting that some of these exhibits date back to last June, whereas some are obviously from earlier this month.
No more documents for now, I'm afraid. We'll be back with more news on this, as we have it. We'll also be talking about the moot trial that took place on Harvard's Berkman Island sometime soon, but that's going to take a bit of time to digest, and the premise of this case is increasingly less and less about actual property.
1. "On the assumption, arguendo, that Bragg is right and Linden Lab's whole ownership notion is fraudulent and rotten fruit; that Linden Lab do not and never intended true ownership (under covenant or any other means), and could not continue to operate as a going concern if they did; well, his case for jurisdiction over Rosedale looks pretty solid, but ... umm ... why would he want his virtual land and objects back? If he wins his essential points (particularly the injunctions), then he will have destroyed their value, and rendered them essentially worthless.
Bragg suggests in a footnote that if Linden Lab successfully defends their actions with respect to Bragg's virtual property, that it may act as proof that Rosedale is a fraud. That's just a bit of manly chest beating (while you're at that actually, boys, you could post a photo of that, hmmm? That'd be nice)."
You're right. This is starting to morph into the fraud case it always was.
See, if Bragg is smart, he'll drop his claims of land ownership and just force LL to screw itself over.
If Bragg wins because the court decides that he DOES have ownership of his property, and that Linden Labs could not deprive him of his property without due process, then LL will be screwed because every time they ban someone with Lindens in their account or land in their name they'll be taken to court.
If Linden Labs wins because the court says "STFU, you don't own the land," then LL will be screwed because it will be a matter of the public record that actually, despite Rosedale's proclamations to the contrary, you *don't* own your land.
I don't see how either outcome could be good for Linden Labs. Unless Bragg royally fucks this up, it's a good outcome for him (and, I argue, for all of us).
Posted at 2:50PM on Jan 23rd 2007 by Petey