The San Mateo District Attorney's Office has filed misdemeanor charges against two men involved in the sale of an iPhone 4 prototype to Gizmodo, but no one associated with the tech blog or Gawker Media will be charged.
Brian Hogan, 22, and Sage Wallower, 28, were charged with misappropriation of lost property and possession of stolen property. They will be arraigned on August 25 in Redwood City.
"We represent a 22-year-old young man, Brian Hogan, who has never been in trouble with the law. Brian is extremely remorseful for not having done more to return the cell phone he found," attorneys for Hogan said in a statement. "Although we do not believe that charges of any kind should have been filed, Brian fully accepts responsibility for his actions. We are working cooperatively with the district attorney to resolve this misdemeanor charge promptly."
In California, those convicted of misdemeanor misappropriation of lost property face up to a year in county jail and a maximum $1,000 fine. Stolen property convictions include similar penalties, though both charges take into account the circumstances of the case.
"After a consideration of all of the evidence, it was determined that no charges would be filed against employees of Gizmodo," the district attorney's office said in a statement.
In a statement, Gawker Media said it was "pleased" with the decision. "While we have always believed that we were acting fully within the law, it has inevitably been stressful for the editor concerned, Jason Chen, and we are glad that we can finally put this matter behind us."
To refresh your memory, Gizmodo last year posted photos and videos of what it claimed to be a prototype of the next iPhone, before the official launch of the iPhone 4. It was later revealed that Gizmodo purchased it from Brian Hogan, then 22, for $5,000 after it was left in a Redwood City bar by Apple employee Gray Powell.
Days later, police seized four computers and two servers from Gizmodo's Jason Chen. The warrant said police were looking for property that was: used as the means of committing a felony; or tends to show that a felony has been committed, or that a particular person has committed a felony. In July 2010, Gawker Media and Gizmodo agreed to voluntarily turn over relevant documents to authorities in exchange for having the warrant voided.
The move prompted discussions about whether Gizmodo should be afforded the same protections normally provided to traditional media outlets and, if so, whether those protections applied since Gizmodo purchased stolen property.
In the wake of the incident, meanwhile, Gizmodo was banned from Apple's Worldwide Developer Conference and every subsequent Apple event.
Editor's Note: This story was updated at 3:45pm Eastern with comment from Hogan's attorneys.