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[porter]

There is a company in Canada that I have a contract and NDA with for an iPhone app design. I recevied some emails several months ago that they would not be able to develop the app right now and would contact me later, however I did some research today and saw that they have made my app and it was released mid Sept. The contract states that they were to pay me $500 for the game idea, the rights to develop it, and the first 50 levels of it which I provided. And I was also to receive 10% from sales, although it appears that it is free right now. They did pay me $100 up front, so the total I would sue for is $400, plus any sales that may make on it.
I know $500 isn't a huge amount (but it is to me as I am just a college student), so I'm trying to figure out if it is worth suing them over. I think I have plenty of evidence that the game is mine and that they owe me the money, so I don't think a lawyer would be necessary, although my brother is in his last year of law school now and might can help me out. If I were to sue them, would it be in a local court to me (Birmingham, AL) or would I have to go to Canada. If it matters, I did add a clause to the contract that they signed that states "The parties hereto agree that this contract, together with the rights and obligations imposed under it, will be bound by the laws applicable in the United States of America at the date hereof."

I know it's not a huge amount of money, but I could really use it, and I'm just extremely ticked that they can steal my ideas and just get away with it. If nothing else, I would like to scare them into hopefully paying me if they think I am going to sue for it.

[wattekinson86]

Intellectual Property Law is way behind technology and an "App Idea" doesn't mean much. Nor does anybody have any idea where a global app stores jurisdiction lies. What does mean something is: if they are using artwork, media, created content, personality rights, etc. that you created and own; or if they have signed a contract that says you own the idea and are due royalties/residuals. A signed contract that says you own this and are due that means you own this stuff in Canada or the US.

First step is obviously contacting the developers and seeing what's up. Maybe they have a different understanding of the agreement, or some communication problem. If the app went up mid-September then they will receive no money from sales/iAds until the end of October.

The next step would be opening an issue with Apple:

http://www.apple.com/legal/contact/
select Claims of Copyright Infringement and fill it out

Say you have contract and demand the App be taken down until you are paid.

If they refuse to cooperate then taking legal action based on the contract is an option, but (as far as I know) establishing jurisdiction in the US will itself be a legal battle before you even start.

[doran]

If the company has any presence in the US, you can sue them here.

If they do not have a US office or bank account, then you could still sue them in the US because your contract says so, but you'll have a hard time collecting the judgment.

I'd suggest you get a lawyer to send them a strongly worded letter to scare them into paying. It will have more effect coming from a lawyer than if you send it yourself.